(a) If, at any time, after the filing of the petition and before a sale of the property, it should be made to appear to the circuit court that the interests of the various owners could be more fully protected and the value of the various interests of the parties increased by the execution of an oil and gas lease providing for the prospecting and drilling for oil and gas upon the property involved in the suit, or upon property near thereto, the court may appoint a receiver who shall be authorized to enter into negotiations for the leasing of the property for the drilling and operating for oil and gas, and if the receiver finds that the property can be leased upon the terms as, in his or her opinion, are beneficial to the various owners, he or she shall file a petition with the court setting out the results of his or her investigation and shall pray for authority to execute the lease.
(b) If the lease shall provide for the payment of royalty of not less than one-eighth (1/8) of the production and shall otherwise appear to the court to be to the best interest of all the parties to the suit, the court shall order and direct the receiver to execute the lease upon terms the court deems just and proper, and the person taking the lease shall be vested with the leasehold rights therein conveyed as fully and with like effect as if the lease had been executed by all of the owners of the oil and gas rights, and their spouses.
(c) Leases executed by the receiver under the authority of the court, as provided in this section, shall not terminate with the termination of the suit for partition nor with the sale and confirmation of the oil and gas rights, but the leases shall continue in full force and effect according to their own terms and conditions as fully and with like effect as if they had been executed by the various owners and their spouses, and any person thereafter purchasing the oil and gas rights, or any interest therein, either from the owners or from the commissioner of the court selling the rights under the decree of sale and partition, shall take the rights subject to the oil and gas lease so executed by the receiver.
Copyright ©2024 LegalFix. All rights reserved. LegalFix is not a law firm, is not licensed to practice law, and does not provide legal advice, services, or representation. The information on this website is an overview of the legal plans you can purchase—or that may be provided by your employer as an employee benefit or by your credit union or other membership group as a membership benefit.
LegalFix provides its members with easy access to affordable legal services through a network of independent law firms. LegalFix, its corporate entity, and its officers, directors, employees, agents, and contractors do not provide legal advice, services, or representation—directly or indirectly.
The articles and information on the site are not legal advice and should not be relied upon—they are for information purposes only. You should become a LegalFix member to get legal services from one of our network law firms.
You should not disclose confidential or potentially incriminating information to LegalFix—you should only communicate such information to your network law firm.
The benefits and legal services described in the LegalFix legal plans are not always available in all states or with all plans. See the legal plan Benefit Overview and the more comprehensive legal plan contract during checkout for coverage details in your state.
Use of this website, the purchase of legal plans, and access to the LegalFix networks of law firms are subject to the LegalFix Terms of Service and Privacy Policy.