Chapter 20 IMPLIED COVENANTS: RECENT DEVELOPMENTS IN FAILURE-TO-DEVELOP CASES AND OTHER IMPLIED OBLIGATIONS UNDER MINERAL LEASES

摘要

Heightened leasing activity in the United States over the last several years associated with shale plays such as the Barnett, Haynesville, and Marcel -lus Shales has resulted in an increase in disputes and litigation between lessors and lessees over the obligations imposed by mineral leases. While state mineral codes and specific lease terms clarify certain obligations, lessors and lessees must be cognizant of implied covenants or duties imposed by the entry of a mineral lease. Implied covenants play an important role in determining whether a lessee has fulfilled its obligations to the lessor.