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Simple English definitions for legal terms

marketable-product rule

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A quick definition of marketable-product rule:

The marketable-product rule is a way to calculate royalties for oil and gas. It means that production happens when the oil or gas is pumped up, stored, and made ready to sell. The company that is drilling for the oil or gas has to pay for all the costs of getting it out of the ground until it becomes a product that can be sold. This is different from the capture-and-hold rule, which says that production happens as soon as the oil or gas is captured, even if it's not yet ready to sell.

A more thorough explanation:

The marketable-product rule is a doctrine used in the oil and gas industry to determine when production occurs for royalty-calculation purposes. It states that production happens when oil or gas is pumped up, stored, and made marketable through processing. Before a marketable product is produced, the lessee is responsible for all costs of capturing and handling oil and gas.

For example, if an oil company extracts crude oil from the ground, but it is not yet processed into a usable product, it is not considered production under the marketable-product rule. The lessee must bear the costs of capturing and handling the crude oil until it is processed into a marketable product, such as gasoline or diesel fuel.

Another example is if a natural gas company extracts gas from a well, but it is not yet processed and transported to customers, it is not considered production under the marketable-product rule. The lessee must bear the costs of capturing and handling the gas until it is processed and transported to customers.

The marketable-product rule ensures that the lessee is responsible for the costs of capturing and handling oil and gas until it is processed into a marketable product. This helps to ensure that the lessor receives fair compensation for the use of their resources.

marketability test | marketable security

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14:34
in case u were wondering, i do wear a size 6 ring. just thought id throw that out there
JumpySubsequentDolphin
14:35
I’ll get you a Cartier band llama
14:36
thxs boo
windyMagician
14:39
I want a Tiffany engagement ring
14:39
let shaq know
14:40
any women here would u consider a silver over gold band>
windyMagician
14:40
I only wear rose gold
JumpySubsequentDolphin
14:41
@llama: i like exclusively wear 18/22 ct yellow gold but id want my wedding band to be platinum so im gonna have to figure out how to make that work
JumpySubsequentDolphin
14:41
the goal is to have a big enough diamond that the band doesn’t show
14:42
just so u guys know diamonds are a scam, very plentiful on earth, much less valuable than silver, plat, gold. junk rock
JumpySubsequentDolphin
14:44
big lab grown fan llama?
14:44
literally just carbon either way. sure they are pretty but they are dependable.
14:46
i appreciate the beauty of both, im just having an autis rant srry
JumpySubsequentDolphin
14:46
lab grown’s not very expensive tho
JumpySubsequentDolphin
14:46
depending on the size i guess
JumpySubsequentDolphin
14:46
more ethical too
there are lab grown diamonds and child labor diamonds
i prefer child labor diamonds for their authenticity
14:49
I only buy real diamonds if i get a polaroid of the child who harvested it to authenticate the rock
14:50
ok players I g2g. but if u want to oogle over some jewelry: https://www.youtube.com/@TraxNYCDiamondJewelry is my favorite
jackfrost11770
14:55
can reddit users please learn that when you post an instagram link it'll share your profile with anyone that opens it
jackfrost11770
14:55
so much self doxxing constantly happening on lsa 💀
16:51
😛
put your tongue away
Dkk
17:38
I buy a bowling ball for my woman when I want their ring size. That's been my strategy in the past.
Dkk
17:40
Oh shit, I posted Instagram here once. I doxed myself then too lmfao.
18:11
when should i hear back if I applied 12/13 to cardozo, st johns, hofstra, nyls, brooklyn, and umiami - anyone else hear back and applied mid december ?
probably like sometime in march
Dkk
19:18
@getmoney: check the charts. We have already given you an answer multiple times.
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