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Author Topic: Gas Lease termination letter for PA  (Read 1858 times)

flyer5

  • Posts: 32
Gas Lease termination letter for PA
« on: November 15, 2012, 09:50:18 AM »
  Hi I am in Susq co PA. My lease expired the end of Oct. I do not have the option to extend. I was given an offer and counter offered and have not heard anything from them as of yet. I am looking for a letter of termination for a gas lease in PA. I have found plenty for NY but I am sure the law codes are different. Thank you in advance

ghrit

  • Posts: 2241
  • Member since October 05, 2008
Re: Gas Lease termination letter for PA
« Reply #1 on: November 15, 2012, 10:09:45 AM »
Does your lease address a period of time for the company to act on the expiration?  That you've entered into negotiations might also influence the termination.  Careful from here on out, and a lawyer might not be a bad thing to have behind you.
There are two kinds of ships.  Submarines and targets.
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flyer5

  • Posts: 32
Re: Gas Lease termination letter for PA
« Reply #2 on: November 15, 2012, 10:47:57 AM »
Does your lease address a period of time for the company to act on the expiration?  That you've entered into negotiations might also influence the termination.  Careful from here on out, and a lawyer might not be a bad thing to have behind you.

  I have a lawyer for the write up of the new addendum. I have not started negotiations till after my lease date expired they had 90 days before. That was all. Don't get me wrong I want to work with the Gas co they are one of the better ones around, but I am in no hurry to jump at an offer that does not have my best interests. I think my counter offer is more than fair and if they don't like it, its up to them to tell me what they don't like. If we can agree to something we both win if not I will survive without it just fine.
  But what I am looking for is a termination letter from this point. I can find many for other states but not PA . I hate to leave loose ends.
   I already spent a lot of money on legal fees actually more than I received for my original lease, if that isn't ironic.  And I just feel I will try this on my own first.  Thanks,

NRG1

  • Posts: 977
Re: Gas Lease termination letter for PA
« Reply #3 on: November 15, 2012, 01:15:13 PM »
Your lease expired by its own terms and you don't technically have to do anything at this point... however unless you are dealing with the same company that leased you the first time around then another company might want to see the first lessee file a release of the lease of record.  If you're dealing with the same company...it becomes a moot point.

Alternatively, all you need to do is file a very simple Affidavit of Non Development which affirms that there was nothing done on the lease premises, or on lands pooled therewith that would have served to perpetuate your lease.  This is the second best route.

flyer5

  • Posts: 32
Re: Gas Lease termination letter for PA
« Reply #4 on: November 15, 2012, 02:02:19 PM »
Your lease expired by its own terms and you don't technically have to do anything at this point... however unless you are dealing with the same company that leased you the first time around then another company might want to see the first lessee file a release of the lease of record.  If you're dealing with the same company...it becomes a moot point.

Alternatively, all you need to do is file a very simple Affidavit of Non Development which affirms that there was nothing done on the lease premises, or on lands pooled therewith that would have served to perpetuate your lease.  This is the second best route.

    Thank you. That is very helpful, I have read that it needs to be formally released. But may not be the case. I will probably send affidavit of non-development just to be safe. I would hate a few yrs down the road to wish I had done it.

NRG1

  • Posts: 977
Re: Gas Lease termination letter for PA
« Reply #5 on: November 15, 2012, 02:21:48 PM »
The "need to be formally released" depends on who you ask and for what purpose.  There is a "presumptive belief" that a lease, notwithstanding the fact that it is past its primary term, could still be in force and effect due to the fact that leases which have been timely drilled and continue to have commercially productive wells will remain in effect indefinitely.  Conversely a lease that has no such drilling or production will otherwise expire.  The affidavit of non production will rebut the assumption of production but it will NOT provide the equivalent of a release by the lessee of record.  If you were to subsequently try to mortgage the property your lender may require that you obtain the release if possible prior to consummating the transaction. 

tliving

  • Posts: 89
Re: Gas Lease termination letter for PA
« Reply #6 on: November 15, 2012, 06:07:09 PM »
How do I go about filing for an affidavit of non production? I was told I would receive my Release of Lease when my lease expired. That was"two years ago"and  I'm still waiting!

tliving

  • Posts: 89
Re: Gas Lease termination letter for PA
« Reply #7 on: November 15, 2012, 06:12:34 PM »
Better yet, how do I go about filing for a Release of Lease?

Zach

  • Posts: 352
Re: Gas Lease termination letter for PA
« Reply #8 on: November 16, 2012, 06:40:25 AM »
You need the gas co to file the release, send them a certified letter requesting the release and if they don't comply or they are not around file and Aff of non production and development

NRG1

  • Posts: 977
Re: Gas Lease termination letter for PA
« Reply #9 on: November 16, 2012, 07:35:52 AM »
Provide me with your e mail address and I will supply you with an Affidavit of Non Production Form... I attempted to post one here as an attachment but this site will not accept Microsoft Word Document uploads.

 


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