This lease rider form may be used when you are involved in a lease transaction, and have made the decision to utilize the form of Oil and Gas Lease presented to you by the Lessee, and you want to include additional provisions to that Lease form to address specific concerns you may have, or place limitations on the rights granted the Lessee in the “standard” lease form.
Puerto Rico Reservation of A Call on, Or Preferential Right to Purchase Production by Lessor is a legal concept that grants a landlord or lessor certain rights to purchase any production or output from a property before it is sold to a third party. This right is often included in lease agreements and provides the lessor with a priority position in acquiring the produced goods. The Reservation of A Call on, Or Preferential Right to Purchase Production by Lessor in Puerto Rico ensures that landlords maintain a degree of control over the produce from their leased property. By having this provision in place, lessors can protect their interests and ensure a steady supply of goods while maintaining their involvement in the production process. There are different types of Reservation of A Call on, Or Preferential Right to Purchase Production by Lessor that can be found in Puerto Rico: 1. General Reservation of A Call on Production: This type gives the lessor the right to purchase a portion or all of the produced goods from the property. The terms and conditions may vary depending on the agreement between the lessor and the lessee. 2. Restricted Reservation of A Call on Production: In this case, the lessor's right to purchase production is limited to specific goods or a certain quantity of the produced items. The terms and limitations are typically specified in the lease agreement. 3. Temporary Reservation of A Call on Production: This type allows the lessor to exercise their right to purchase production for a defined period. Once the specified time has elapsed, the lessor's right may expire, and the lessee might have the freedom to sell to other parties. 4. Conditional Reservation of A Call on Production: This type of reservation is contingent upon certain conditions or events. For example, the lessor may have the right to purchase production only if the lessee fails to sell the goods within a specific timeframe or at a predetermined price. It is important for both lessors and lessees to understand the implications and terms of a Reservation of A Call on, Or Preferential Right to Purchase Production by Lessor. Seeking legal advice and drafting a clear agreement with specific provisions can help ensure a smooth operation and minimize potential disputes over the purchase and sale of produced goods.
