Replies to This Discussion

Permalink Reply by Skip Peel - Mineral Consultant on December 7, 2011 at 3:22

No.  You are ratifying a lease negotiated by someone else who receives the bonus.  Ratification of a lease is a means to place your ownership in the public record.  There are a number of scenarios where someone is requested to ratify a lease. 

• ▶ Reply

Permalink Reply by robert minton on December 7, 2011 at 14:44

POSSIBLE EXCEPTION: If tract of land is of sufficient amount of acreage to block a number of drill-sites, you are in a position to negotiate a possible increase in YOUR royalty. Won't change lease royalty for others.  Could get left at the station,though! Don't trade too hard. pigs get fattened, hogs get eaTEN.

• ▶ Reply

Permalink Reply by The_Baron on December 8, 2011 at 4:41

We are talking about ratifying an existing lease, not negotiating a new lease. IT is standard procedure to get the naked owners to ratify a lease, as the lease would terminate on the death of the owner who has the usafruct.

 

• ▶ Reply

Permalink Reply by The_Baron on December 7, 2011 at 4:22

You could refuse to ratify and hope that they would negotiate better terms. However you risk upseting the deal already struck.

 

 

• ▶ Reply

Permalink Reply by Ken Boone on December 7, 2011 at 5:30

THere is already a well on the property that has been producing since January. 

There was a lease that was signed by my grandmother, but she passed this year. So her heirs would have to ratify the lease, right?

• ▶ Reply

Permalink Reply by The_Baron on December 7, 2011 at 8:31

More of a question to ask your attourney

• ▶ Reply

Permalink Reply by Skip Peel - Mineral Consultant on December 8, 2011 at 6:02

We seem to be getting replies that do not specify whether they are referencing  LA. or TX. mineral law/regulations.  It is helpful to state clearly which is being referred to as otherwise laymen become confused.  The differences can be significant.

• ▶ Reply

Permalink Reply by The_Baron on December 8, 2011 at 8:04

good point, I am of course assuming LA minerals here.

• ▶ Reply

Permalink Reply by Ken Boone on December 8, 2011 at 10:19

Yes, the lease is in LA.

I am new to all of this and learning. Please, what is a usafruct?

What is a "naked owner"?

And am I clear that once an owner dies, that lease can be negotiated?

• ▶ Reply

Permalink Reply by The_Baron on December 9, 2011 at 4:01

No, you are not clear.

 

Read my blogs on mineral servitudes and report back after that.

 

A usafruct is what the surviving spouse is given when their spouse dies intestate. Without a will the children or other legal heirs (I could go on several pages) recive half of the common property, but the surviving spouse recives the other half with a usafruct over th ehalf given to the kids. The survivors usafruct gives him/her the right to use and finacially benifit from the property until their death.  If the usufruct leases their interest, they could also lease the intrest covered by the usafruct, as they are entitiled to the revenue derived from it. However, the lease on the half covered by the usafruct would terminate in the death of the usafruct owner since they would need need consent of the naked owners (the heirs) to execute the lease.

 

This subject can get complicated, I sugest you talk to an experiance mineral attourney.

• ▶ Reply

Permalink Reply by Ken Boone on December 8, 2011 at 10:33

I got it. I looked up the terms. Thanks

• ▶ Reply

Permalink Reply by Ken Boone on December 9, 2011 at 13:00

Is this subject for an estate lawyer or a gas and oil lawyer? THanks

• ▶ Reply

• ‹ Previous
• 1
• 2
• Next ›
• Page