pugh clause terms

Hello, in 2011 we signed a lease with gulfport in belmont county with option to renew once which they did in 2016. gulfport then assigned the lease to ascent in 2018 and it expired in june 2021, a few weeks ago I received a call from a guy from purple land mgmt stating ascent wanted to extend the lease under the pugh clause but they want to pay yearly instead of the 5 yr term up front as the lease spells out. as I read the clause this could be used during the primary term 1 time as long as the bonus money is paid. my thoughts are 1. lease expired in 2021 after being renewed once already and 2. changing the payment terms of the bonus money doesn't follow terms of said lease. can someone with knowledge of the pugh clause help me please??? thanks in advance        Joe

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Permalink Reply by joe traczyk on April 24, 2023 at 2:44pm

David Cain ,where is he located at?

Permalink Reply by David Cain on April 25, 2023 at 3:01am

Joe,

Billl Williams from KWGD is in Canton, Ohio.  Their office phone is (330) 497-0700.  I don't think you would need to actually visit his office - they could probably handle everything over the phone or email.  He is a good guy, but is getting ready to retire soon.  They have other oil/gas attorneys too.  I have used them on three separate matters and they have treated me right.  They do charge 4% of the signing bonus but got me $1,000 more per acre than the original offer so I am still coming out way ahead.  I have also heard others on here mention Emens & Wolper out of Columbus as a good firm.  To me there is too much at stake not to have a good oil and gas attorney on your side to help level the playing field.  If you have any questions don't hesitate to ask.  Good Luck.

Permalink Reply by Dott on April 25, 2023 at 12:10pm

Joe,

I for one have mentioned Emens & Wolper. I worked with Cody Smith very knowledgeable.  They have special pricing if you are willing to deal with the landman  yourself according to their Recommendations. Everything is in writing for you. It's a Free 30 min consult. 614-414-0888

Does your old lease have deductions? If so then you definitely should talk to an attorney to get that removed.

Permalink Reply by joe traczyk on April 25, 2023 at 12:45pm

it is a no deduction lease but when gulfport transferred it to ascent they are taking out deductions and when I inquired with ascent about it they basically told me to take them to court and I would much rather deal with ascent directly on a new lease because I have no use for these landmen

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