Shale Energy Law Blog
Ohio Appeals Court Issues Decision on Lease Termination
June 3, 2014
The Seventh District Court of Appeals issued a decision concerning the automatic termination of an oil and gas lease. The case involved an oil and gas lease which required two wells to be put into production by November of 1989 or the lease would automatically terminate. The second well was not put into production until 1995. Despite the fact that the property owner received free gas and accepted certain de minimus royalty checks, the court held that no waiver or ratification occurred and the lease automatically terminated.