Lease problem or not??

Our family has been negotiating a leases on 3 tracts and have been in touch with all of the heirs involved.  We have been working on the lease to get it right and everyone was on board and were not signing until everything was to our liking.  Well,  one of the land agents got one of the heirs to sign a copy of the crap lease.  Question:  Where does that leave the other 11 heirs?   Thanks in advance.

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0i7okn54zwbdoPermalink Reply by 0i7okn54zwbdo on January 11, 2013 at 7:35am

Here's how it works: the 11 other heirs will sign what we'll call the "good lease".  Those 11 people will be entitled to everything the contract says.  The one heir who signed the "crap lease" will be stuck with those terms.  If the company i question does something that violates a term in the good lease (but not the crap lease) then the 11 heirs will have the right to seek remedy.  The one heir (Mr./Mrs. Crappy Lease Signer) will not be entitled to seek remedy on his/her own because there was no contract breach. 

Permalink Reply by Willi West on January 12, 2013 at 5:57am

Marcus--tell me if I understand--what you say is true assuming that all 12 heirs signed with the same Lessee.  The reasoning would be that one company holds leases from all the owners, so they can drill as long as they meet all terms on all the leases.  If the crap lease is with a different company, then nothing could happen unless one Lessee assigned the rights to the other.  True?

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