Assistance Drafting and Reviewing Covenants

Implied covenants are relevant to oil and gas leases, unless these matters are specifically covered therein. Texas laws regarding implied covenants are complex, and require the help of an experienced attorney. When offered a lease, you need to know what implied covenants are, and how they can be addressed.

Texas Attorneys Protecting Your Rights in Implied Covenants

The attorneys and litigators at The Law Office of Ryan C. Moe, PLLC, in Texas can help draft and review various covenants that cover the following:

  • Covenant to develop — This requires a balance between a lessor’s desire for rapid production and the lessee’s desire to keep production costs down.
  • Covenant to protect against drainage and waste — To protect your oil and gas from being drained, the lessee must drill some form of offset or additional well for any drainage that results to you from wells drilled on other property.
  • Covenant to market — The lessee must use reasonable care in producing and marketing and incorporating modern strategies toward that production and development. More importantly, the lessee has the duty to exercise good faith in marketing efforts. The standard that shall be followed is that of the so-called “reasonably prudent operator” who is obligated to develop an oil and gas lease in the manner and with the diligence of a reasonably prudent operator under all the surrounding facts and circumstances.

Know what you are signing. When implied covenants and ratifications are involved, the stakes are too high financially to enter into an oil and gas lease, or other agreement, without the aid of an attorney. Your future and the future of your loved ones are far too important.

Our attorneys employ all the resources available at The Law Office of Ryan C. Moe, PLLC, to ensure your rights are protected.

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As any relationship approaches its end, emotions are high. We will keep you focused and fight for the most positive resolution possible. We encourage mediation and low-conflict options when available; however, you can be assured that we will be prepared to go to court when necessary to protect your interests and those of your children.

For an initial consultation with a San Antonio implied covenant lawyer, please contact our office by email or call 210-861-6000.

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