This form is used when an Assignor was granted the right to receive, at payout, a certain reversionary working interest in the Lease. Payout has not occurred, and Assignor is vested with beneficial ownership of the Interest in the Leases and Lands. The purpose of this Assignment and the intention of Assignor is to assign to Assignee, the Interest.
Iowa Assignment of A Diversionary Working Interest is a legal document that transfers the rights and ownership of a diversionary working interest in an oil and gas lease or property located in the state of Iowa. This assignment outlines the terms and conditions under which the transfer is made, and it is an essential part of the process when there is a change in ownership or when parties wish to rearrange their working interests. A diversionary working interest refers to the portion of interest in an oil and gas lease that reverts to its original owner or granter once certain conditions specified in the lease agreement are met. These conditions commonly include the completion of a specific number of wells or the recovery of a certain amount of petroleum. The Iowa Assignment of A Diversionary Working Interest document contains various crucial elements to ensure a legally binding transfer. It typically includes: 1. Parties Involved: The document starts by identifying the parties involved in the assignment, namely the assignor (current owner) and the assignee (new owner). Their full legal names and contact information are usually mentioned. 2. Description of the Property: A detailed description of the property being assigned is provided, including its legal description, location, and any relevant identifiers such as lease numbers. 3. Diversionary Interest Details: The assignment specifies the exact diversionary working interest being transferred. This may include the percentage or fraction of interest, the specific rights and obligations associated with it, and any relevant provisions laid out in the original lease agreement. 4. Consideration: The consideration or payment made for the assignment is clearly stated, including the amount and forms of payment, such as cash, promissory notes, or other assets. 5. Warranties and Indemnification: Both parties typically provide warranties ensuring that they have the legal right and authority to execute the assignment. Additionally, provisions for indemnification can be included to protect either party from potential losses or liabilities arising from the assignment. Different types or variations of Iowa Assignment of A Diversionary Working Interest may exist based on specific circumstances or modifications required by the parties involved. For instance, an Assignment of A Diversionary Working Interest with overriding royalty might involve the transfer of both the diversionary working interest and a portion of the royalty interest to the assignee. Another variation could be an Assignment of A Diversionary Working Interest with preferential rights, where the assignee obtains priority over other parties in acquiring additional working interests in the property. In conclusion, the Iowa Assignment of A Diversionary Working Interest is a crucial legal document that facilitates the transfer of ownership of a diversionary working interest in an oil and gas lease. Its contents encompass detailed descriptions of the parties involved, the property being assigned, the specific interest being transferred, consideration provided, and additional provisions to protect the assignor and assignee. Different variations of this assignment might exist depending on the unique terms negotiated between the parties involved.
