This form is used when an Assignor assigns, transfers, and conveys to Assignee an overriding royalty interest in the Lease and all of the oil and gas produced, saved and marketed from the Lease, out of the interest owned by Assignor, with proportionate reduction (the Override ).
Maine Assignment of Overriding Royalty Interest for Single Lease — Proportionate Reduction: The Maine Assignment of Overriding Royalty Interest for Single Lease — Proportionate Reduction is a legal document that outlines the transfer of the right to receive royalties from an oil, gas, or mineral lease in Maine. This assignment is specifically related to overriding royalty interests, which are interested in the proceeds derived from the production of minerals that are separate from the working interest. In Maine, there may be different types of assignments of overriding royalty interest for single lease with proportionate reduction. These types can vary based on the specific terms and conditions outlined in the agreement. Some possible types include: 1. Conveyance Assignment: This type of assignment involves the transfer of the overriding royalty interest from one party to another. It typically includes details such as the effective date, description of the lease, and the percentage of the overriding royalty interest being assigned. 2. Proportionate Reduction Assignment: A proportionate reduction assignment is used when the overriding royalty interest needs to be proportionately reduced among multiple assignees. This is often seen when the total overriding royalty interest exceeds a certain predetermined percentage. 3. Partial Assignment: A partial assignment is when only a portion of the overriding royalty interest is transferred to another party. This may occur when the assignor wishes to retain a certain percentage of the interest while transferring the rest. 4. Assignment for Consideration: This type of assignment involves the transfer of overriding royalty interest in exchange for monetary or other forms of consideration. It may include additional clauses specifying the payment terms, obligations, and rights of both parties involved. 5. Assignments with Retained Interest: In some cases, an assignment may allow the assignor to retain a fractional interest in the overriding royalty interest, giving them the right to receive a portion of the royalties. It is important to carefully review and understand the terms and conditions outlined in any Maine Assignment of Overriding Royalty Interest for Single Lease — Proportionate Reduction document before entering into an agreement. Seek legal advice and ensure that all relevant parties are properly informed and involved in the assignment process.
