Subsequently Created Interests Sample Clauses
The "Subsequently Created Interests" clause defines how rights or interests that arise after the execution of an agreement are treated under that agreement. Typically, this clause ensures that any new assets, rights, or property acquired by a party after the contract is signed are automatically included within the scope of the agreement, such as in security agreements where future collateral is covered. Its core function is to prevent gaps in coverage and ensure that the agreement remains comprehensive as new interests are created, thereby protecting the parties’ expectations and reducing the need for frequent amendments.
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Subsequently Created Interests. If any party should hereafter create an overriding royalty, production payment or other burden payable out of production attributable to its working interests, hereunder, or if such a burden existed prior to this agreement and is not set forth in Exhibit “A”, or was not disclosed in writing to all other parties prior to the execution of this agreement by all parties, or is not a jointly acknowledged and accepted obligation of all parties (any such interest being hereinafter referred to as “subsequently created interest” inspective of the timing of its creation and the party out of whose working interests the subsequently created interests is derived being hereinafter referred to as “bounded party”), and:
1. If the burdened party is required under this agreement to assign or relinquish to any other party, or parties, all or a portion of its working interests and/or production attributable thereto, said other party, or parties shall receive said assignment and/or production free and clear of said subsequently created interest and the burdened party shall indemnify and save said other party, or parties, harmless from any and all claims and demands for payment asserted by owners of the subsequently created interests; and,
Subsequently Created Interests. If any Party has contributed a Lease or Interest that is burdened with an assignment of production given as security for the payment of money, or if, after the date of this agreement, any Party creates an overriding royalty, production payment, net profits interest, assignment of production or other burden payable out of production attributable to its working interest, the burden shall be deemed a “Subsequently Created Interest.” Further, if any Party has contributed a Lease or Interest burdened with an overriding royalty, production payment, net profits interest, or other burden payable out of production created prior to the date of this agreement, and the burden is not shown on Exhibit “A,” the burden shall also be deemed a Subsequently Created Interest to the extent the burden causes the burdens on the Party’s Lease or Interest to exceed the amount stipulated in Article III.B. above. The Party whose interest is burdened with the Subsequently Created Interest (the “Burdened Party”) shall assume and alone bear, pay, and discharge the Subsequently Created Interest and shall indemnify, defend, and hold harmless the other parties from and against any liability therefor. Further, if the Burdened Party fails to pay, when due, its share of expenses chargeable under this agreement, all provisions of Article VII.B. shall be enforceable against the Subsequently Created Interest in the same manner as they are enforceable against the working interest of the Burdened Party. If the Burdened Party is required under this agreement to assign or relinquish to any other Party, or parties, all or a portion of its working interest and/or the production attributable to that interest, the other Party, or parties, shall receive the assignment and/or production free and clear of the Subsequently Created Interest, and the Burdened Party shall indemnify, defend and hold harmless said other Party, or parties, from any and all claims and demands for payment asserted by owners of the Subsequently Created Interest.
Subsequently Created Interests. If a Party that creates a Subsequently Created Interest becomes a Non-Drilling Party with respect to any operation conducted under this Agreement, then the Drilling Party entitled to receive the share of Production to which the Non-Drilling Party would otherwise be entitled shall receive the same free and clear of any such Subsequently Created Interest. Such Non-Drilling Party shall be solely responsible for any obligations due under the Subsequently Created Interest and shall hold the Drilling Party harmless with respect thereto.
Subsequently Created Interests. Farmor's rights of reverter under this Contract shall at all times be superior to all liens, claims, and encumbrances, and all overriding royalties, production payments, net profit obligations, carried working interests, and other payments out of or with respect to production, or any other obligations created, assigned, or incurred by Operator, and any interest which reverts to Farmor pursuant to this Contract shall revert to Farmor free and clear of any such lien, encumbrance, debt, claim, overriding royalty, or other production payment burden, or other obligation.
Subsequently Created Interests. Neither party hereto shall create ------------------------------ any additional overriding royalty, production payment or other burden payable out of production attributable to the Gas Leases subject to this Operating Agreement without the prior written consent of the other party hereto; provided, however, that CIG reserves the right in its sole discretion to negotiate and settle disputes with its royalty owners. However, subsequent to that point in time when CIG does not take delivery of at least two (2) BCF of gas for the immediately preceding twelve (12) month period pursuant to the terms and conditions of the "B" Contract, as amended, CIG shall not enter into a settlement with any of its royalty owners that would or may have the effect of reducing or diminishing Mesa's rights or benefits (including any adverse economic impact to Mesa) under the "B" Contract and to the delivery of gas volumes pursuant to the "B" Contract without first obtaining Mesa's prior written consent.
Subsequently Created Interests. Notwithstanding anything to the contrary contained herein or in the JOA. Any Party may hereinafter assign, overriding royalty interests, carried working interests, or net profits interests carved out of the working interest such party owns in and to the leases or w▇▇▇▇ received under this agreement. However, any party assigning such an interest shall alone bear the cost of any such interests assigned and shall hold the other working interest owners harmless from sharing in the costs such interest, and such interests shall burden only the working interest from which it was carved and shall not burden the working interest held by any of the other non-assigning working interest owners.
Subsequently Created Interests. If any party should hereafter create an overriding royalty, production payment or other burden payable out of production attributable to its working interest hereunder, and:
1. If the burdened party is required to reassign or relinquish under this agreement to any other party or parties all or a portion of its working interest hereunder and/or the production attributable thereto, said other party or parties shall receive said assignment and/or production free and clear of said subsequently created interest and the burdened party shall indemnify and save said other party or parties harmless from any claims and demands for payment asserted by owners of the subsequently created interest; and,
2. If the burdened party fails to pay, when due, its share of expenses chargeable hereunder, all provisions of this agreement governing the repayment of such expenses, including the right to withhold proceeds or to cause the purchaser to withhold proceeds, shall be enforceable against the subsequently created interest in the same manner as they are enforceable against the working interest of the burdened party.
Subsequently Created Interests. Operator's rights of assignment under this Contract shall be free and clear of all liens, claims, add encumbrances, and all overriding royalties, production payments, net profit obligations, carried working interests, and other payments out of or with respect to production, or . any other obligations created, assigned, or incurred by Farmor, excluding only the Lessor's royalty upon the Lease to be assigned hereunder and overriding royalties in existence and of record on the Effective Date of this Contract.