This form is used when Assignor transfers, assigns and conveys to Assignee an overriding royalty interest in all of the oil, gas, and other minerals produced, saved, and marketed from all of the Lands and Leases equal to a determined amount (the Override ).
Title: West Virginia Assignment of Overriding Royalty Interest in Multiple Assignors: A Comprehensive Overview Introduction: In West Virginia's oil and gas industry, the Assignment of Overriding Royalty Interest (ORRIS) by Multiple Assignors plays a crucial role in property transactions. This article provides a detailed description of this assignment, covering its definition, process, key players, and potential variations. 1. Understanding the Assignment of Overriding Royalty Interest: The Assignment of ORRIS refers to the transfer of a percentage of royalty interest to a third party, known as the assignee, by multiple assignors in West Virginia. This agreement allows the assignee to collect a portion of the total royalty proceeds from oil and gas production on a specific property or lease. 2. Key Components of the Assignment: a. Assignors: These are the individuals or entities who own the overriding royalty interest and wish to transfer a portion to the assignee. b. Assignee: The assignee is the party acquiring the overriding royalty interest from multiple assignors, entitling them to receive a portion of royalty proceeds. c. Overriding Royalty Interest: It refers to a percentage of total royalty interests that bypasses the lease terms and is typically carved out before the lessee receives their share. 3. Process of a West Virginia Assignment of ORRIS: a. Negotiation: Assignors and assignee engage in negotiations to determine the assigned percentage of overriding royalty interest and other terms. b. Conveyance Document: Once agreed upon, parties create a conveyance document outlining the assignment details, including the specific property, overriding royalty interest percentage, and assignee's rights. c. Review and Execution: All involved parties carefully review and sign the conveyance document to execute the assignment officially. d. Filing with County Records: The completed assignment document is recorded with the appropriate county clerk or recorder's office for public record. 4. Potential Variations of West Virginia Assignment of ORRIS: a. Fractional Assignments: Multiple assignors transfer varying fractions of their overriding royalty interest, adding complexity to the negotiation and delineation of rights. b. Sequential Assignments: Assignors transfer their overriding royalty interest in different stages, allowing assignees to acquire interests progressively over time. c. Multi-Property Assignments: Assignors assign their overriding royalty interest across multiple properties or leases, further complicating negotiations and conveyance documents. Conclusion: The West Virginia Assignment of Overriding Royalty Interest in Multiple Assignors is a fundamental aspect of property transactions within the oil and gas industry. Understanding the intricacies of this assignment, the involved parties, and the variations it may have is essential for individuals and entities operating in this sector. Properly executed assignments ensure a clear transfer of rights, facilitating the smooth functioning of West Virginia's oil and gas operations.
