Simple English definitions for legal terms
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A turnkey drilling contract is an agreement between a drilling contractor and the owner of mineral rights. The contract outlines the responsibilities of each party, with the drilling contractor promising to perform specific functions for an agreed price. The owner has little control over the contractor and assumes little liability for any damages caused by the drilling. This type of contract is different from a daywork drilling contract, where the owner has more control over the drilling contractor and is therefore more liable for any damages, and a footage drilling contract, where the contractor is paid per foot drilled and assumes most of the risk and liability.
A turnkey drilling contract is an agreement between a drilling contractor and the owner or lessor of mineral rights. The contract outlines the responsibilities and obligations of both parties. In this type of contract, the drilling contractor takes on most of the risk and liability for any damages caused by the drilling.
These examples illustrate the different levels of control and liability that can be present in drilling contracts. A turnkey drilling contract offers the least amount of control for the owner or lessor of mineral rights, but also the least amount of liability. The drilling contractor takes on most of the responsibility for the success and safety of the drilling operations.