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Permalink Reply by Mike h on September 20, 2011 at 7:03am

look at the lease(s) on alov.us. You will find such a clause.

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Permalink Reply by Finnbear on September 21, 2011 at 2:04am

It is in their draft lease (=wish list) but it is not in the SURE lease. The final ALOV lease is not posted on their website. I don't believe CHK agreed to that clause but I would like confirmation from someone who was in the ALOV group and has received their signing bonus. The clause reads as follows:

ARTICLE III. PAYMENT TO LESSOR

2. Additional Bonus
In the event all or any portion of Lessee’s rights or interests under this Lease are
conveyed, sold, transferred or assigned by Lessee to any other party (other than Lessor) and
Lessee receives as consideration for such assignment payment or value in any form other than a
share of the production from operations on the Leased Premises (such as an up-front cash
payment) which payment or value exceeds the amount of the bonus payment to Lessor set forth
above, then Lessee shall pay over to Lessor ten percent (10%) of the amount of such payment or
value received that exceeds the bonus payment paid to Lessor as an additional bonus to Lessor.
Such additional bonus shall be paid within thirty (30) days following receipt by Lessee of such
payment or value from its grantee or assignee. Lessee shall give written notice to Lessor of any
such assignment prior to the effective date or time of the assignment, and Lessee’s failure to
provide such notice shall render any such assignment by Lessee as void and of no effect. Lessee
shall, upon written request from Lessor, provide Lessor with a true copy of documents reflecting
such assignment or sale of Lessee’s interest in the Leased Premises, including documents
evidencing payment or value received by Lessee therefore.

 

Can someone who was part of the ALOV signing tell me if this was actually included in the final lease?

Finnbear

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