Texas Subordination by Lessee of Right to Use All or Part of Surface Estate

• Category: Oil Gas and Minerals - Subordination
• State: Multi-State
• Control #: US-OG-140
• Format: Word; Rich Text

Description

If the minerals have been severed from the surface of lands, with the mineral estate, in many states, being the dominate estate, the mineral owner has the right to make use of as much of the surface as is reasonably necessary to develop those minerals. If the minerals have been leased, and the surface owner desires the lessee not to enter on specific lands, the surface owner may obtain a subordination from the mineral lessee to that effect. This form addresses that situation. Texas Subordination by Lessee of Right to Use All or Part of Surface Estate refers to a legal agreement wherein a lessee (tenant) consents to subordinate their right to use the surface estate (land) on a property to the rights of another party. This particular agreement is prevalent in the context of oil and gas leases in Texas. The purpose of subordination is to ensure that the rights of the surface owner are protected and preserved while allowing the lessee to access and develop subsurface materials. The concept of subordination by lessee of the right to use all or part of the surface estate recognizes that property ownership consists of both surface and subsurface rights. In Texas, where oil and gas extraction is a significant industry, this agreement becomes crucial. By entering into this agreement, the lessee acknowledges the importance of the surface owner's rights and agrees to adjust their rights accordingly. Various types of subordination by lessee of the right to use all or part of the surface estate can exist, depending on the specific circumstances and requirements of the parties involved. Some common types of subordination agreements include: 1. General Subordination Agreement: This type of agreement applies to the entire surface estate of the property, wherein the lessee agrees to subordinate their rights to the surface owner's rights comprehensively. This agreement is used when the lessee needs to conduct extensive operations over the land and wants to assure the surface owner that their concerns will be addressed. 2. Limited Subordination Agreement: In cases where only a portion of the surface estate is required for conducting operations, the lessee may opt for a limited subordination agreement. This agreement specifies the specific area of the surface estate that will be subject to subordination, allowing the surface owner to retain control over the remaining area. 3. Partial Release of Subordination: Sometimes, a lessee may execute a partial release of subordination, granting the surface owner some relief from the subordination agreement temporarily or permanently. This type of release can occur when the lessee completes their operations in a specific area or when certain conditions are met. When drafting a Texas Subordination by Lessee of Right to Use All or Part of Surface Estate agreement, it is crucial to include the following key elements: — Parties involved: Clearly identify and provide the contact details of both the surface owner and the lessee. — Property description: Accurately describe the property, including the legal description and any pertinent details about the surface estate. — Term and conditions: Specify the duration and terms of the subordination agreement, including any limitations, restrictions, or conditions for use of the surface estate. — Compensation: Outline any compensation or damages to be paid by the lessee to the surface owner, such as rental fees, surface damages, or restoration obligations. — Liabilities and indemnities: Address the responsibilities and liabilities of both parties and include indemnification clauses to protect against potential claims or damages. — Governing law: Specify that the subordination agreement will be governed by the laws of the State of Texas. It is advised to consult with legal professionals experienced in Texas property and oil and gas laws to ensure that the subordination agreement accurately reflects the intentions and protects the rights of all parties involved.

Texas Subordination by Lessee of Right to Use All or Part of Surface Estate refers to a legal agreement wherein a lessee (tenant) consents to subordinate their right to use the surface estate (land) on a property to the rights of another party. This particular agreement is prevalent in the context of oil and gas leases in Texas. The purpose of subordination is to ensure that the rights of the surface owner are protected and preserved while allowing the lessee to access and develop subsurface materials. The concept of subordination by lessee of the right to use all or part of the surface estate recognizes that property ownership consists of both surface and subsurface rights. In Texas, where oil and gas extraction is a significant industry, this agreement becomes crucial. By entering into this agreement, the lessee acknowledges the importance of the surface owner's rights and agrees to adjust their rights accordingly. Various types of subordination by lessee of the right to use all or part of the surface estate can exist, depending on the specific circumstances and requirements of the parties involved. Some common types of subordination agreements include: 1. General Subordination Agreement: This type of agreement applies to the entire surface estate of the property, wherein the lessee agrees to subordinate their rights to the surface owner's rights comprehensively. This agreement is used when the lessee needs to conduct extensive operations over the land and wants to assure the surface owner that their concerns will be addressed. 2. Limited Subordination Agreement: In cases where only a portion of the surface estate is required for conducting operations, the lessee may opt for a limited subordination agreement. This agreement specifies the specific area of the surface estate that will be subject to subordination, allowing the surface owner to retain control over the remaining area. 3. Partial Release of Subordination: Sometimes, a lessee may execute a partial release of subordination, granting the surface owner some relief from the subordination agreement temporarily or permanently. This type of release can occur when the lessee completes their operations in a specific area or when certain conditions are met. When drafting a Texas Subordination by Lessee of Right to Use All or Part of Surface Estate agreement, it is crucial to include the following key elements: — Parties involved: Clearly identify and provide the contact details of both the surface owner and the lessee. — Property description: Accurately describe the property, including the legal description and any pertinent details about the surface estate. — Term and conditions: Specify the duration and terms of the subordination agreement, including any limitations, restrictions, or conditions for use of the surface estate. — Compensation: Outline any compensation or damages to be paid by the lessee to the surface owner, such as rental fees, surface damages, or restoration obligations. — Liabilities and indemnities: Address the responsibilities and liabilities of both parties and include indemnification clauses to protect against potential claims or damages. — Governing law: Specify that the subordination agreement will be governed by the laws of the State of Texas. It is advised to consult with legal professionals experienced in Texas property and oil and gas laws to ensure that the subordination agreement accurately reflects the intentions and protects the rights of all parties involved.