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Simple English definitions for legal terms

paid-up lease

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A quick definition of paid-up lease:

A paid-up lease is a type of agreement in the oil and gas industry where the person leasing the land pays all the necessary fees upfront, including any bonuses. This means that the landowner does not have to worry about receiving any additional payments or drilling requirements. The lease remains in effect for the agreed-upon term without any further obligations from either party.

A more thorough explanation:

A paid-up lease is a type of mineral lease used in the oil and gas industry. It differs from other leases in that it does not require the lessee to make delay-rental payments or commit to drilling. Instead, the lessor pays all delay-rental payments and any bonus when the lease is signed. This type of lease is often used for small areas, fractional interests, or short primary terms.

  • Company A signs a paid-up lease with a landowner for a small plot of land. The lease does not require any delay-rental payments or drilling commitments, and the landowner receives a bonus payment upfront.
  • Company B signs a paid-up lease for a fractional interest in a larger mineral estate. The lease allows Company B to extract oil and gas from their portion of the estate without any additional payments or drilling commitments.

These examples illustrate how a paid-up lease works in practice. In both cases, the lessor receives an upfront payment and does not have to worry about delay-rental payments or drilling commitments. The lessee, on the other hand, is able to extract oil and gas from the leased area without any additional financial obligations.

paid-in surplus | paid-up policy

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MIAMI A
[] AromaticTroubledDormouse
20:55
How does one know if they are UR1 or UR2?
[] AromaticTroubledDormouse
20:56
CONGRATS MACAQUE!
TY
got a random stanford email and almost had a heart attack
ALSO CONGRATS!
Congrats1!
21:15
Miami A, yall I'm so excited I could cry.
21:15
Feel like I can finally stop holding my breath!! Whew!!!
[] baddestbunny
22:16
every time I get accosted by a strange man who follows me around because my male coworkers were too busy talking to walk me back to my car I get closer to saying we need to bring back traditional gender roles
Dkk
22:32
Nice! @Macaque
Dkk
22:32
@Aromatic, Have to guess.
Dkk
22:33
That sucks @Bunny do you have to go to the hospital?
[] baddestbunny
22:40
I said accosted not assaulted
23:35
guys. my notre dame address just went long is this good or bad
1a2b3c4d26z
23:37
Oooooo me too
23:37
omg is this good or bad
Dkk
23:47
Idk if gender roles are gunna fix that then.
23:49
it looks like most people who applied in october last cycle didn't get a decision until january... does it even mean anything that our addresses went long??
hows ED 2 compared to ED 1?
Dkk
0:10
No idea
windyMagician
0:34
reporting live to say my ndls address also went long
does it mean anything ^
Dkk
2:21
NDLS and Fordham took a very long time last year. It's good info for people to know.
[] baddestbunny
4:29
let’s get after it boys and girls
Dkk
5:21
I gtg to bed soon.
Dkk
5:22
Big day today. Gunna be a crazy one. I will sleep through the first half.
good morning lsd it is 5 am EST
also jazzy my ndls address went long ages ago i sadly do not think it means anything
my stanford address also went long LOL i think at most it's an indicator it's under review
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