Utah Assignment of Overriding Royalty Interest - Short Form

• Category: Oil Gas and Minerals - Assignments
• State: Multi-State
• Control #: US-OG-031
• Format: Word; Rich Text

Description

This form is used by the Assignor to transfer, assign, and convey to Assignee all of Assignor's overriding royalty interest in a Lease and all oil, gas and other minerals produced, saved and sold from the Lease and Land.

The Utah Assignment of Overriding Royalty Interest — Short Form is an important legal document used in the oil and gas industry. It is a means for transferring the right to receive a percentage of the proceeds from the production of oil and gas from one party (the assignor) to another party (the assignee). In this assignment, the assignor relinquishes their overriding royalty interest, which is a non-operating interest in the oil and gas lease. The assignee, on the other hand, becomes entitled to receive a portion of the revenue generated from the lease. There are different types of Utah Assignment of Overriding Royalty Interest — Short Form, which may vary based on specific conditions or terms agreed upon by the parties involved. Some potential variations include: 1. Conveyance Assignment: This type of assignment involves the transfer of the overriding royalty interest from one entity to another. It may occur due to a change in ownership, mergers, acquisitions, or divestitures. 2. Partial Assignment: In a partial assignment, the assignor transfers only a portion of their overriding royalty interest to the assignee. This can be done to diversify investment portfolios, mitigate risk, or simply to allow multiple parties to share in the benefits of the royalty interest. 3. Temporary Assignment: Occasionally, an overriding royalty interest may be temporarily assigned. This type of assignment allows the assignee to receive the royalty payments for a specific period of time, after which the interest reverts to the assignor. Utah Assignment of Overriding Royalty Interest — Short Form represents a legally binding agreement between the assignor and assignee. It typically includes details such as the names and addresses of the parties involved, a clear description of the overriding royalty interest being assigned, the effective date of the assignment, and any specific terms and conditions agreed upon. Moreover, the document may also define how the royalty interest is calculated, when and how payments will be made, and provisions for handling disputes or potential breaches of the agreement. In summary, the Utah Assignment of Overriding Royalty Interest — Short Form is a vital legal instrument used in the oil and gas industry to transfer the right to receive a portion of the revenue generated from the production of oil and gas. It allows parties to enter into agreements that suit their specific needs and circumstances, and facilitates the smooth transfer of ownership and benefits associated with overriding royalty interests.