In an action brought pursuant to the Surface Owners Protection Act, if the court finds that compensation is owed under Section 3[4] [70-12-4 N.M. Stat. Ann.] of the Surface Owners Protection Act the court may also award the prevailing party:

Ask a business law question, get an answer ASAP!
Thousands of highly rated, verified business lawyers.
Click here to chat with a lawyer about your rights.

A. attorney fees and costs if:

(1)     the operator conducted oil and gas operations without providing notice as required by Subsection B of Section 4[5] [70-12-5 N.M. Stat. Ann.] of the Surface Owners Protection Act;

(2)     the operator conducted oil and gas operations without a surface use and compensation agreement and before depositing a bond or other surety as required by Section 5[6] [70-12-6 N.M. Stat. Ann.] of the Surface Owners Protection Act;

(3)     the operator conducted oil and gas operations outside the scope of a surface use and compensation agreement and, when entering into the agreement, knew or should have known that oil and gas operations would be conducted outside the scope of the agreement; or

(4)     the surface owner failed to exercise good faith in complying with the provisions of the Surface Owners Protection Act or the terms of a surface use and compensation agreement; or

B. attorney fees, costs and treble damages if the court finds, by clear and convincing evidence, that:

(1)     the operator willfully and knowingly entered upon the premises for the purpose of commencing the drilling of a well:

(a) without giving notice of the entry as required by Subsection B of section 4[5] of the Surface Owners Protection Act; or

(b) without a surface use and compensation agreement with the surface owner and before depositing a bond or other surety pursuant to Section 5[6] of the Surface Owners Protection Act; or

(2)     either the surface owner or the operator willfully and knowingly violated the surface use and compensation agreement.