North Dakota Letter in Lieu of Transfer Order

State:
Multi-State
Control #:
US-OG-471
Format:
Word; 
Rich Text
Instant download

Description

The Letter-in-Lieu of Transfer Order form, is a request for a change of a company's records to reflect the buyer as the owner of the sellers interest in the conveyed properties.
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FAQ

A transfer order is a document used for executing the movement of goods from one warehouse location to the other or the goods movement between a storage unit to another within the warehouse. The transfer order occurs for the purpose of warehouse management or order processing.

Letters in Lieu of Transfer Orders (US) A letter sent to a buyer of oil and gas when a producing oil and gas property is sold. It directs the addressee to make the payments for the production directly to the new owner of the property. This letter is an alternative to traditional transfer orders.

Total operated basis: The total reserves or production associated with the wells operated by an individual operator. This is also commonly known as the "gross operated" or "8/8ths" basis.

A landowner can also insert a clause in the lease to take royalty either ?in kind? or ?in value.? Taking royalty ?in kind? means that the Lessor can take physical possession of the oil, gas or liquids once they leave the ground, and he may market the production himself.

To be in lieu of something is to replace it or substitute for it. A restaurant that's run out of clams might serve French onion soup in lieu of chowder.

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North Dakota Letter in Lieu of Transfer Order