THE DUTY OF LANDMEN AND LEGAL COUNSEL TO FORMER EMPLOYERS IN THE PETROLEUM INDUSTRY: ETHICAL AND LEGAL CONSIDERATIONS(Chapter 7)

摘要

With the formation of new oil and gas exploration companies and the expansion of existing companies, there are many opportunities for professional landmen and other industry professionals to change jobs. When there is an economic downturn in the industry, there are many professional landmen and other industry professionals who are forced to look for new opportunities. These new opportunities can present increased salary and equity participation. Landmen often change employment, frequently working for partners or direct competitors of their former employers. Often, the professional landmen or other mining industry professionals are in possession of proprietary information from their former employer that can be used directly for new employers or for personal financial gain. This proprietary information often includes information pertaining to unleased prospects, prospects that are currently in the leasing process, and unleased minerals in existing wells. In addition, internal company trade secrets of former employers may be shared with new employers who are in direct competition, thereby detrimentally affecting the former employer. Beyond the professional landman, similar issues may arise between both general in-house legal counsel and outside legal counsel, who often are privy to proprietary information or trade secrets within the scope of their representation.