Comment

Comment by Samuel J. Orr on December 16, 2012 at 3:53pm

Correction: It is nearly impossible to emerge with one's suit unsoiled!

Comment by Samuel J. Orr on December 16, 2012 at 3:43pm

Jim:

I do not know what CX .M&P did in other deals. I was offering some suggestions that I thought my be helpful when they considered signing with M&P / CX or any similar group. I know that any lawyer should know the difference between a "lease option" or a "lease". Landowners who signed "lease options" directly with an O&G company that they thought were leases may be faulted for not seeking legal advice from their own attorney. M&P / CX's Mount Jackson 4 group allowed you and others who are not attorneys to represent to landowners that good title meant payment. The landowners believed this to be true. You, also, believed it to be true. M&P / CX either knew it was not true or should have known it was not true! I do not question your personal integrity but M&P / CX allowed your reputation to be tarnished. If I were going to sign with M&P / CX or any similar group, I would ask them precisely what they were going to do to prevent a repeat of the Mount Jackson 4 debacle in Mercer County. Maybe the answer is nothing? Even with the rejected lease options M&P / CX made millions with Mount Jackson 4. Or maybe M&P / CX has the philosophy of sign anybody and everybody to an exclusive marketing agreement and subsequently to "lease options" knowing full well they will still make a ton of money even if the O&G company in question chooses to cherry pick particular acreage as they did in Mercer County! I again re-iterate that I do not question your personal integrity. Nevertheless, if one walks through a barn full of horse manure wearing a white suit, it is nearly impossible not to emerge with  one's suit .unsoiled!

Comment by Brett Allen Morgan on December 16, 2012 at 3:42pm

I agree Jim

Comment by Jim Litwinowicz on December 16, 2012 at 2:50pm

I think checking out the track record of all concerned is a good idea.  Cx have done 8 or 9 deals in the past two years. All but one have been total successes getting landowners more bonus money and better lease terms than landowners was getting from land agents at that the time of the deal.

Even in this deal half of the landowners got way better terms than other offers. And many have already been signed to new lases with another driller. Further, Halcon backed out of thousands of leases with landowners that signed on their own without a group but instead signed through the Caffey Group or Adapt. Those landowners have no recourse whatsoever while the ones with Cx have legal options with a law firm is working on their behalf. Who is helping all those people that followed your advice and went out on their own?

Comment by p umpjack on December 16, 2012 at 10:15am

real simple before you sign check there track record C-X and M&P have proven how they AND there associates do business
not everyone has figured it out just wait some people will not realize they have been hoodwinked by these carpetbaggers for another 6 months
how sad............

Comment by Samuel J. Orr on December 16, 2012 at 10:03am

As I said, ithe automatic renewal provision is to the benefit of CX. I am not so sure that with computers, communication would be as difficult as you suggest. I do realize  that on this issue, reasonable minds may differ. Perhaps a good compromise would be a legend in large boldface type reading as follows; BY THE SIGNING OF THIS AGREEMENT, THE SIGNING LANDOWNER AGREES THAT UNLESS WRITTEN NOTICE IS RECEIVED BY CX AT LEAST 30 DAYS PRIOR TO THE EXPIRATION OF SAID MARKETING  AGREEMENT,  SAID AGREEMENT SHALL AUTOMATICALLY RENEW FOR AN ADDITIONAL 6 MONTH PERIOD. i would suggest that the type of written notices acceptable be stipulated and that e-mail should be one of the accepted means.These are just some thoughts but companies ie Halcon, CX, and attorneys M&P etc. have the right to do business as they respectively see fit. I consider you to be an honorable representative of CX. You have previously stated that your opinions may be biased. That is to your great credit. Your primary loyalty is to CX and that is as it should be. I am merely offering some suggestions to landowners and they can decide whether they make sense. I have no financial interest at all in whether they follow any, all, or none of my suggestions.

Comment by Jim Litwinowicz on December 16, 2012 at 8:58am

Sam; the reason why they use an agreement is that they have well over 5,000 landowners in various counties. Imagine the difficulty in having to track when each signed, write them letters, have them sign new agreements and the enter that into the system.  Much easier to have an automatic renewal instead.  Just remove anyone that requests it.

I suggest that anyone signing an agreement mark their calendar the day the sign and also mark it on the day five months ahead so that they can make a decision then. If one wants out, just write a letter stating so.

Comment by Samuel J. Orr on December 16, 2012 at 8:24am

Do NOT sign a contract with M&P / CX or any similar group with any such renewal clause. Insist on a contract that expires automatically. As for renewal clauses, insist that any option to renew for an additional  period be unilateral and at the sole discretion of the landowner.  The renewal language in CX's  marketing agreements is designed to benefit only one party and it assuredly is NOT the landowner. (If you think I am wrong, consult any attorney of your own choosing!) I would recommend that you sign a contract for 3 months, but certainly not more than 6 months. Things can change rapidly in this O&G leasing business, and a landowner needs flexibility to respond to rapidly changing conditions.  

Comment by Brett Allen Morgan on December 16, 2012 at 4:29am

James,

I am sure you already are aware of this but just in case you are not...... make sure you send CX written notification 30 days prior to your contract with them expiring otherwise it will renew automatically. Good luck!!

Comment by james on December 16, 2012 at 3:32am

CX seems to have lost their luster, I have land signed up with them in Crawford county,but after my 6 month term is over I wont be renewing with them. After what happened in Mercer County and with still nothing done in Crawford, I might as well work a deal out on my own.

• ‹ Previous
• 1
• …
• 77
• 78
• 79
• 80
• 81
• …
• 93
• Next ›
• Page