Common use of DEFAULT OF LEASE Clause in Contracts

DEFAULT OF LEASE. 1. All mine reclamation requirements are the obligation of the Lessee as defined in Section H, regardless as to the circumstances involved in the releasing of the rights to mine or the termination of the lease. The right to mine under this lease may be forfeited. However, forfeiture of mining rights will not relieve Lessee of any obligations for reclamation of the premises. 2. In the event the Lessor shall determine a default in the performance by the Lessee of any express or implied covenant of this Lease, the Lessor shall give notice, in writing, by personal service or certified United States mail, return receipt requested, to the Lessee’s last known address, specifying the facts by which default is claimed. Except as to royalty requirements as herein provided, the Lessee shall have thirty (30) calendar days from the date such notice is mailed in which to satisfy the obligation of the Lessee, if any, with respect to the Lessor’s notice. 3. No tools, fixtures, machinery or other property of the Lessee shall be removed from said premises, if any royalties, damages, or other payments are due to the Lessor, and all sums due on royalties, damages, or other payments, shall be a lien on all implements, tools, movable machinery, and all other chattels used in operating said property, and also upon all of the unsold construction sand, gravel, cobbles, boulders and clay obtained from the land herein leased, as security for the payment of said royalties, damages, or other payments. 4. Should the Lessee be prevented from complying with any express or implied covenant of this Lease, from conducting operations thereon, or from producing construction sand, gravel, cobbles, boulders and clay therefrom, after effort made in good faith, for any cause beyond the reasonable control of the Lessee, such as, but not limited to war, rebellion, riots, strikes, acts of God or an order or rule of governmental authority, then while so prevented, the Lessee's obligation to comply with such covenant shall be suspended upon proper and satisfactory proof presented to the Lessor in support of the Lessee's contention. The Lessee shall not be liable for damages for failure to comply therewith except in the event of lease operations suspended for wrongful acts or omissions of the Lessee. This Lease shall be extended as to such portion of the leased premises as, while, and so long as the Lessee is prevented, by any such cause, from producing construction sand, gravel, cobbles, boulders and clay thereon or therefrom, provided, however, that nothing herein shall be construed to suspend the payment of royalties as herein provided. The Lessee is expected to make application for all separate written permissions required by governmental agencies, including but not limited to easements, mining permits, and surface use permits, prior to production under the Lease. Lessee's obligations under this Lease shall not be excused by failure to make timely applications for permits, annual frost law road restrictions, winter snow conditions or other conditions which are reasonably foreseeable. 5. As required by R299.4006 (3), before a lease will be executed for construction sand, gravel, cobbles, boulders and clay production, the Lessee shall file with the Lessor a lease performance bond, in an amount established by the Lessor, to cover costs incurred by the Lessor due to breach of any clause contained herein by the Lessee, including but not limited to the costs of any enforcement actions necessary on the part of the Lessor, costs of any necessary environmental remediation, clean-up or site restoration and conditioned that the Lessee, its heirs, executors, administrators, successors, and assigns, shall faithfully perform the covenants, conditions, and agreements specified in the Lease, and the laws and rules of the State of Michigan which apply. 6. The Lessee shall keep in full force and effect a sufficient lease performance bond to cover the acreage held under this Lease. If the amount of the lease performance bond in effect becomes depleted or partially depleted because of any claim or claims, the Lessee shall file a new or additional lease performance bond as required by the Lessor. 7. The Lessor may invoke part or all of the lease performance bond when it determines that part or all of the covenants, conditions or agreement specified in the Lease are not being fulfilled. 8. In addition to invoking a part of or all of the lease performance bond noted under D(7), the Lessor, at the Lessor's sole option, may determine that the Lessee be placed on a "Hold Action" list until such time as any and/or all infractions by the Lessee have been resolved to the satisfaction of the Lessor. Placement on said list may result in barring the Lessee from any further leases, assignments, easements, extensions or other approvals required by the Lessor. However, placement on said list does not eliminate the Lessor's ability to forfeit any or all parts of said Lease under D(9). 9. If the Lessee fails to voluntarily satisfy the claim of default as herein provided relative to any condition or any express or implied covenants of this Lease, the Lessor may proceed, at its sole discretion, with forfeiture of all or part of said leased premises in accordance with the provisions of Act 81 of Public Acts of 1929, being Sections 554.281 and 554.282 of the Michigan Compiled Laws with invocation of all or part of the lease performance bond or with any combination thereof. 10. Lessor reserves the right to recover any and all staff and attorney fees and costs associated with any legal action required of the lease from Lessee associated with carrying out the provisions of Section D (default of lease) of the lease.

Appears in 3 contracts

Samples: Nonmetallic Minerals Lease, Nonmetallic Minerals Lease, Nonmetallic Minerals Lease

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DEFAULT OF LEASE. 1. All mine reclamation requirements are the obligation of the Lessee as defined in Section H, regardless as to the circumstances involved in the releasing of the rights to mine or the termination of the lease. The right to mine under this lease may be forfeited. However, forfeiture of mining rights will not relieve Lessee of any obligations for reclamation of the premises. 2. In the event the Lessor shall determine a default in the performance by the Lessee of any express or implied covenant of this Lease, the Lessor shall give notice, in writing, by personal service or certified United States mail, return receipt requested, to the Lessee’s last known address, specifying the facts by which default is claimed. Except as to royalty requirements as herein provided, the Lessee shall have thirty (30) calendar days from the date such notice is mailed in which to satisfy the obligation of the Lessee, if any, with respect to the Lessor’s notice. 3. No tools, fixtures, machinery or other property of the Lessee shall be removed from said premises, if any royalties, damages, or other payments are due to the Lessor, and all sums due on royalties, damages, or other payments, shall be a lien on all implements, tools, movable machinery, and all other chattels used in operating said property, and also upon all of the unsold unused construction sand, gravel, cobbles, boulders and clay obtained from the land herein leased, as security for the payment of said royalties, damages, or other payments. 4. Should the Lessee be prevented from complying with any express or implied covenant of this Lease, from conducting operations thereon, or from producing construction sand, gravel, cobbles, boulders and clay therefrom, after effort made in good faith, for any cause beyond the reasonable control of the Lessee, such as, but not limited to war, rebellion, riots, strikes, acts of God or an order or rule of governmental authority, then while so prevented, the Lessee's obligation to comply with such covenant shall be suspended upon proper and satisfactory proof presented to the Lessor in support of the Lessee's contention. The Lessee shall not be liable for damages for failure to comply therewith except in the event of lease operations suspended for wrongful acts or omissions of the Lessee. This Lease shall be extended as to such portion of the leased premises as, while, and so long as the Lessee is prevented, by any such cause, from producing construction sand, gravel, cobbles, boulders and clay thereon or therefrom, provided, however, that nothing herein shall be construed to suspend the payment of royalties as herein provided. The Lessee is expected to make application for all separate written permissions required by governmental agencies, including but not limited to easements, mining permits, and surface use permits, prior to production under the Lease. Lessee's obligations under this Lease shall not be excused by failure to make timely applications for permits, annual frost law road restrictions, winter snow conditions or other conditions which are reasonably foreseeable. 5. As required by R299.4006 (3), before a lease will be executed for construction sand, gravel, cobbles, boulders and clay production, the Lessee shall file with the Lessor a lease performance bond, in an amount established by the Lessor, to cover costs incurred by the Lessor due to breach of any clause contained herein by the Lessee, including but not limited to the costs of any enforcement actions necessary on the part of the Lessor, costs of any necessary environmental remediation, clean-up or site restoration and conditioned that the Lessee, its heirs, executors, administrators, successors, and assigns, shall faithfully perform the covenants, conditions, and agreements specified in the Lease, and the laws and rules of the State of Michigan which apply. 6. The Lessee shall keep in full force and effect affect a sufficient lease performance bond to cover the acreage held under this Lease. If the amount of the lease performance bond in effect becomes depleted or partially depleted because of any claim or claims, the Lessee shall file a new or additional lease performance bond as required by the Lessor. 7. The Lessor may invoke part or all of the entire lease performance bond when it determines that part or all of the covenants, conditions or agreement specified in the Lease are not being fulfilled. 8. In addition to invoking a part of or all of the lease performance bond noted under D(7), the Lessor, at the Lessor's sole option, may determine that the Lessee be placed on a "Hold Action" list until such time as any and/or all infractions by the Lessee have been resolved to the satisfaction of the Lessor. Placement on said list may result in barring the Lessee from any further leases, assignments, easements, extensions or other approvals required by the Lessor. However, placement on said list does not eliminate the Lessor's ability to forfeit any or all parts of said Lease under D(9). 9. If the Lessee fails to voluntarily satisfy the claim of default as herein provided relative to any condition or any express or implied covenants of this Lease, the Lessor may proceed, at its sole discretion, with forfeiture of all or part of said leased premises in accordance with the provisions of Act 81 of Public Acts of 1929, being Sections 554.281 and 554.282 of the Michigan Compiled Laws with invocation of all or part of the lease performance bond or with any combination thereof. 10. Lessor reserves the right to recover any and all staff and attorney fees and costs associated with any legal action required of the lease from Lessee associated with carrying out the provisions of Section D (default of lease) of the lease.

Appears in 2 contracts

Samples: Nonmetallic Minerals Lease, Nonmetallic Minerals Lease

DEFAULT OF LEASE. 1. All mine reclamation requirements are the obligation of the Lessee as defined in Section H, regardless as to the circumstances involved in the releasing of the rights to mine or the termination of the lease. The right to mine under this lease may be forfeited. However, forfeiture of mining rights will not relieve Lessee of any obligations for reclamation of the premises. 2. In the event the Lessor shall determine a default in the performance by the Lessee of any express or implied covenant of this Lease, the Lessor shall give notice, in writing, by personal service or certified United States mail, return receipt requested, to the Lessee’s 's last known address, specifying the facts by which default is claimed. Except as to royalty rental and offset well requirements as herein provided, the Lessee shall have thirty (30) calendar days from the date such notice is mailed in which to satisfy the obligation of the Lessee, if any, with respect to the Lessor’s 's notice. 32. No tools, fixtures, machinery or other property of the Lessee shall be removed from said premises, if any royalties, damages, or other payments are due to the Lessor, and all sums due on royalties, damages, or other payments, shall be a lien on all implements, tools, movable machinery, and all other chattels used in operating said property, and also upon all of the unsold construction sand, gravel, cobbles, boulders and clay oil and/or gas obtained from the land herein leased, as security for the payment of said royalties, damages, or other payments. 3. The Lessee may remove all machinery and fixtures placed on the leased premises, including the right to remove casing from xxxxx not productive of oil or gas in commercial amounts, provided, however, that said Lessee has complied with and fulfilled all other provisions of the Lease as herein provided. 4. Should the Lessee be prevented from complying with any express or implied covenant of this Lease, from conducting drilling operations thereon, or from producing construction sand, gravel, cobbles, boulders and clay oil and/or gas therefrom, after effort made in good faith, for any cause beyond the reasonable control of the Lessee, such as, but not limited to war, rebellion, riots, strikes, acts of God or an order or rule of governmental authority, then while so prevented, the Lessee's obligation to comply with such covenant shall be suspended upon proper and satisfactory proof presented to the Lessor in support of the Lessee's contention. The Lessee shall not be liable for damages for failure to comply therewith except in the event of lease operations suspended for wrongful acts or omissions of the Lessee. This Lease shall be extended as to such portion of the leased premises as, while, and so long as the Lessee is prevented, by any such cause, from drilling, reworking operations or producing construction sand, gravel, cobbles, boulders and clay oil and/or gas thereon or therefrom, provided, however, that nothing herein shall be construed to suspend the payment of royalties as herein providedrentals during the primary or extended term. The Lessee is expected to make application for all separate written permissions required by governmental agencies, including but not limited to easements, mining drilling permits, and surface use permits, within reasonable time prior to production under expiration of the Lease. Lessee's obligations under this Lease shall not be excused by failure to make timely applications for permits, annual frost law road restrictions, winter snow conditions or other conditions which are reasonably foreseeable. 5. As required by R299.4006 R299.8106 (3), before a lease will be executed for construction sandoil and/or gas exploration, graveldevelopment, cobbles, boulders and clay production, the Lessee shall file with the Lessor a lease performance bond, in an amount established by the Lessor, to cover costs incurred by the Lessor due to breach of any clause contained herein by the Lessee, including but not limited to the costs of any enforcement actions necessary on the part of the Lessor, costs of any necessary environmental remediation, clean-up or site restoration and conditioned that the Lessee, its heirs, executors, administrators, successors, and assigns, shall faithfully perform the covenants, conditions, and agreements specified in the Lease, and the laws and rules of the State of Michigan which apply. 6. The Lessee shall keep in full force and effect a sufficient lease performance bond to cover the acreage held under this Lease. If the amount of the lease performance bond in effect becomes depleted or partially depleted because of any claim or claims, the Lessee shall file a new or additional lease performance bond as required by the Lessor. 7. The Lessor may invoke part or all of the lease performance bond when it determines that part or all of the covenants, conditions or agreement specified in the Lease are not being fulfilled. Invoking the lease performance bond is not necessarily related to any action taken by the Lessor under part E(1). 8. In addition to invoking a part of or all of the lease performance bond noted under D(7E(7), the Lessor, at the Lessor's sole option, may determine that the Lessee be placed on a "Hold Action" list until such time as any and/or all infractions by the Lessee have been resolved to the satisfaction of the Lessor. Placement on said list may result in barring the Lessee from any further leases, assignments, easements, extensions or other approvals required by the Lessor. However, placement on said list does not eliminate the Lessor's ability to forfeit any or all parts of said Lease under D(9E(9). 9. If the Lessee fails to voluntarily satisfy the claim of default as herein provided relative to any condition or any express or implied covenants of this Lease, the Lessor may proceed, at its sole discretion, with forfeiture of all or part of said leased premises in accordance with the provisions of Act 81 of Public Acts of 1929, being Sections 554.281 and 554.282 of the Michigan Compiled Laws with invocation of all or part of the lease performance bond or with any combination thereof. 10. Lessor reserves the right to recover any and all staff and attorney fees and costs associated with any legal action required of the lease from Lessee associated with carrying out the provisions of Section D (default of lease) of the lease.

Appears in 1 contract

Samples: Oil and Gas Lease

DEFAULT OF LEASE. 1. All mine reclamation requirements are the obligation of the Lessee as defined in Section H, regardless as to the circumstances involved in the releasing of the rights to mine or the termination of the lease. The right to mine under this lease may be forfeited. However, forfeiture of mining rights will not relieve Lessee of any obligations for reclamation of the premises. 2. In the event the Lessor shall determine a default in the performance by the Lessee of any express or implied covenant of this Lease, the Lessor shall give notice, in writing, by personal service or certified United States mail, return receipt requested, to the Lessee’s last known address, specifying the facts by which default is claimed. Except as to royalty rental and offset well requirements as herein provided, the Lessee shall have thirty (30) calendar days from the date such notice is mailed in which to satisfy the obligation of the Lessee, if any, with respect to the Lessor’s notice. 32. No tools, fixtures, machinery or other property of the Lessee shall be removed from said premises, if any royalties, damages, or other payments are due to the Lessor, and all sums due on royalties, damages, or other payments, shall be a lien on all implements, tools, movable machinery, and all other chattels used in operating said property, and also upon all of the unsold construction sand, gravel, cobbles, boulders and clay oil and/or gas obtained from the land herein leased, as security for the payment of said royalties, damages, or other payments. 3. The Lessee may remove all machinery and fixtures placed on the leased premises, including the right to remove casing from xxxxx not productive of oil or gas in commercial amounts, provided, however, that said Xxxxxx has complied with and fulfilled all other provisions of the Lease as herein provided. 4. Should the Lessee be prevented from complying with any express or implied covenant of this Lease, from conducting drilling operations thereon, or from producing construction sand, gravel, cobbles, boulders and clay oil and/or gas therefrom, after effort made in good faith, for any cause beyond the reasonable control of the Lessee, such as, but not limited to war, rebellion, riots, strikes, acts of God or an order or rule of governmental authority, then while so prevented, the Lessee's ’s obligation to comply with such covenant shall be suspended upon proper and satisfactory proof presented to the Lessor in support of the Lessee's ’s contention. The Lessee shall not be liable for damages for failure to comply therewith except in the event of lease operations suspended for wrongful acts or omissions of the Lessee. This Lease shall be extended as to such portion of the leased premises as, while, and so long as the Lessee is prevented, by any such cause, from drilling, reworking operations or producing construction sand, gravel, cobbles, boulders and clay oil and/or gas thereon or therefrom, provided, however, that nothing herein shall be construed to suspend the payment of royalties as herein providedrentals during the primary or extended term. The Lessee is expected to shall make application for all separate written permissions required by governmental agencies, including but not limited to easements, mining drilling permits, and surface use permits, within reasonable time prior to production under expiration of the Lease. Lessee's ’s obligations under this Lease shall not be excused by failure to make timely applications for permits, annual frost law road restrictions, winter snow conditions or other conditions which are reasonably foreseeable. 5. As required by R299.4006 (3R299.8106(3), before a lease will be executed for construction sandoil and/or gas exploration, graveldevelopment, cobbles, boulders and clay production, production the Lessee shall file with the Lessor a lease performance bond, in an amount established by the Lessorof Twenty-five Thousand ($25,000.00) Dollars, to cover costs incurred by the Lessor due to breach of any clause contained herein by the Lessee, including but not limited to the costs of any enforcement actions necessary on the part of the Lessor, costs of any necessary environmental remediation, clean-up or site restoration and conditioned that the Lessee, its heirs, executors, administrators, successors, and assigns, shall faithfully perform the covenants, conditions, and agreements specified in the Lease, and the laws and rules of the State of Michigan which apply. 6. The Lessee shall keep in full force and effect a sufficient lease performance bond to cover the acreage held under this Lease. If the amount of the lease performance bond in effect becomes depleted or partially depleted because of any claim or claims, the Lessee shall file a new or additional lease performance bond as required by the Lessor. 7. The Lessor may invoke part or all of the lease performance bond when it determines that part or all of the covenants, conditions or agreement specified in the Lease are not being fulfilled. Invoking the lease performance bond is not necessarily related to any action taken by Lessor under part E(1). 8. In addition to invoking a part of or all of the lease performance bond noted under D(7E(7), the Lessor, at the Lessor's ’s sole option, may determine that the Lessee be placed on a "Hold Action" list until such time as any and/or all infractions by the Lessee have been resolved to the satisfaction of the Lessor. Placement on said list may result in barring the Lessee from any further leases, assignments, easements, extensions or other approvals required by Lessor and/or by any agency of the LessorState of Michigan. However, placement on of said list does not eliminate the Lessor's ’s ability to forfeit any or all parts of said Lease under D(9E(9). 9. If the Lessee fails to voluntarily satisfy the claim of default as herein provided relative to any condition or any express or implied covenants of this Lease, the Lessor may proceed, at its is sole discretion, with forfeiture of all or part of said leased premises in accordance with the provisions of Act 81 of Public Acts of 1929, being Sections 554.281 and 554.282 of the Michigan Compiled Complied Laws with invocation of all or part of the lease performance bond or with any combination thereof. 10. Lessor reserves the right to recover any and all staff and attorney fees and costs associated with any legal action required of the lease from Lessee associated with carrying out the provisions of Section D (default of lease) of the lease.

Appears in 1 contract

Samples: Oil and Gas Lease

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DEFAULT OF LEASE. 1. All mine reclamation requirements are If Lessee shall default in the obligation payment of rent when due or in the performance of any of the covenants and agreements of Lessee as defined herein, or if Lessee shall abandon the Premises, or if a receiver be appointed for Lessee's property, or if the interest of Lessee herein shall be levied upon, Lessor may, in Section Haddition to all other remedies provided by the lease, regardless as to the circumstances involved in the releasing exercise and enforce any of the rights following remedies, and the election of one remedy shall not preclude enforcement of any other remedy, and failure of Lessor to mine or the termination insist on strict compliance shall not preclude enforcement of the leaseany subsequent similar breach. The right to mine No default under this lease may shall be forfeited. However, forfeiture of mining rights will not relieve Lessee of any obligations for reclamation of the premises. 2. In the event the Lessor shall determine a default in the performance by the Lessee of any express or implied covenant of this Lease, the Lessor shall give notice, in writing, by personal service or certified United States mail, return receipt requested, to the Lessee’s last known address, specifying the facts by which default is claimed. Except as to royalty requirements as herein provided, the Lessee shall have enforced until thirty (30) calendar days from after written notice shall have been sent by Lessor to Lessee stating the date such notice is mailed in which to satisfy the obligation nature of the Lesseebreach complained of, if anyand Lessee may, with respect to the Lessor’s notice. 3. No toolswithin said thirty (30) days, fixtures, machinery or other property remedy any breach of the Lessee terms of this lease, otherwise such breach shall be removed from said premises, if any royalties, damages, or other payments are due to the Lessor, and all sums due on royalties, damages, or other payments, shall be a lien on all implements, tools, movable machinery, and all other chattels used in operating said property, and also upon all of the unsold construction sand, gravel, cobbles, boulders and clay obtained from the land herein leased, as security for the payment of said royalties, damages, or other payments. 4. Should the Lessee be prevented from complying with any express or implied covenant of this Lease, from conducting operations thereon, or from producing construction sand, gravel, cobbles, boulders and clay therefrom, after effort made in good faith, for any cause beyond the reasonable control of the Lessee, such as, but not limited to war, rebellion, riots, strikes, acts of God or an order or rule of governmental authority, then while so prevented, the Lessee's obligation to comply with such covenant shall be suspended upon proper and satisfactory proof presented to the Lessor in support of the Lessee's contention. The Lessee shall not be liable for damages for failure to comply therewith except in the event of lease operations suspended for wrongful acts or omissions of the Lessee. This Lease shall be extended as to such portion of the leased premises as, while, and so long as the Lessee is prevented, by any such cause, from producing construction sand, gravel, cobbles, boulders and clay thereon or therefrom, provided, however, that nothing herein shall be construed to suspend the payment of royalties as herein provided. The Lessee is expected to make application for all separate written permissions required by governmental agencies, including but not limited to easements, mining permits, and surface use permits, prior to production under the Lease. Lessee's obligations under this Lease shall not be excused by failure to make timely applications for permits, annual frost law road restrictions, winter snow conditions or other conditions which are reasonably foreseeable. 5. As required by R299.4006 (3), before a lease will be executed for construction sand, gravel, cobbles, boulders and clay production, the Lessee shall file with the Lessor a lease performance bond, in an amount established by the Lessor, to cover costs incurred by the Lessor due to breach of any clause contained herein by the Lessee, including but not limited to the costs of any enforcement actions necessary on the part of the Lessor, costs of any necessary environmental remediation, clean-up or site restoration and conditioned that the Lessee, its heirs, executors, administrators, successors, and assigns, shall faithfully perform the covenants, conditions, and agreements specified in the Lease, and the laws and rules of the State of Michigan which apply. 6. The Lessee shall keep in full force and effect a sufficient and Lessor may prosecute the remedies herein or as provided by law. (a) In the event of any such default, Lessor may elect to cancel this lease performance bond and terminate the right of Lessee to cover possession of said Premises and without further notice or demand may, by its officers or agent, re-enter into and upon said Premises or any part thereof with or without process of law and repossess the acreage held under this Lease. If same and without relinquishing Lessor's right to past and future rents. (b) In the event of the default of payment of rent, Lessor may declare the full amount of rent then due and all rent to become due for the remaining period of the lease performance bond in effect becomes depleted or partially depleted because immediately due and payable. (c) Lessor may re-enter and relet said Premises for such rent and upon such terms as may then prevail and such re-entry shall not be deemed a cancellation of any claim or claimsthis lease, the and Lessee shall file a new or additional lease performance bond be entitled to credit for the sum realized from such reletting and shall be liable for the balance as required by the Lessor. 7. The Lessor may invoke part or all of provided in the lease performance bond when it determines that part or all of and the covenantsterms and conditions thereof, conditions or agreement specified for the unexpired term, but in the Lease are not being fulfilledno event shall Lessor be liable to Lessee for any excess in rents, if any, obtained through such reletting. 8. In addition to invoking a part of or all of the lease performance bond noted under D(7), the Lessor, at the Lessor's sole option, may determine that the Lessee be placed on a "Hold Action" list until such time as any and/or all infractions by the Lessee have been resolved to the satisfaction of the Lessor. Placement on said list may result in barring the Lessee from any further leases, assignments, easements, extensions or other approvals required by the Lessor. However, placement on said list does not eliminate the Lessor's ability to forfeit any or all parts of said Lease under D(9). 9. If the Lessee fails to voluntarily satisfy the claim of default as herein provided relative to any condition or any express or implied covenants of this Lease, the Lessor may proceed, at its sole discretion, with forfeiture of all or part of said leased premises in accordance with the provisions of Act 81 of Public Acts of 1929, being Sections 554.281 and 554.282 of the Michigan Compiled Laws with invocation of all or part of the lease performance bond or with any combination thereof. 10. Lessor reserves the right to recover any and all staff and attorney fees and costs associated with any legal action required of the lease from Lessee associated with carrying out the provisions of Section D (default of lease) of the lease.

Appears in 1 contract

Samples: Lease (Ipcs Inc)

DEFAULT OF LEASE. 1. All mine reclamation requirements are the obligation of the Lessee as defined in Section H, regardless as to the circumstances involved in the releasing of the rights to mine or the termination of the lease. The right to mine under this lease may be forfeited. However, forfeiture of mining rights will not relieve Lessee of any obligations for reclamation of the premises. 2. In the event the Lessor shall determine a default in the performance by the Lessee of any express or implied covenant of this Lease, the Lessor shall give notice, in writing, by personal service or certified United States mail, return receipt requested, to the Lessee’s 's last known address, specifying the facts by which default is claimed. Except as to royalty rental and offset well requirements as herein provided, the Lessee shall have thirty (30) calendar days from the date such notice is mailed in which to satisfy the obligation of the Lessee, if any, with respect to the Lessor’s 's notice. 32. No tools, fixtures, machinery or other property of the Lessee shall be removed from said premises, if any royalties, damages, or other payments are due to the Lessor, and all sums due on royalties, damages, or other payments, shall be a lien on all implements, tools, movable machinery, and all other chattels used in operating said property, and also upon all of the unsold construction sand, gravel, cobbles, boulders and clay oil and/or gas obtained from the land herein leased, as security for the payment of said royalties, damages, or other payments. 3. The Lessee may remove all machinery and fixtures placed on the leased premises, including the right to remove casing from xxxxx not productive of oil or gas in commercial amounts, provided, however, that said Xxxxxx has complied with and fulfilled all other provisions of the Lease as herein provided. 4. Should the Lessee be prevented from complying with any express or implied covenant of this Lease, from conducting drilling operations thereon, or from producing construction sand, gravel, cobbles, boulders and clay oil and/or gas therefrom, after effort made in good faith, for any cause beyond the reasonable control of the Lessee, such as, but not limited to war, rebellion, riots, strikes, acts of God or an order or rule of governmental authority, then while so prevented, the Lessee's obligation to comply with such covenant shall be suspended upon proper and satisfactory proof presented to the Lessor in support of the Lessee's contention. The Lessee shall not be liable for damages for failure to comply therewith except in the event of lease operations suspended for wrongful acts or omissions of the Lessee. This Lease shall be extended as to such portion of the leased premises as, while, and so long as the Lessee is prevented, by any such cause, from drilling, reworking operations or producing construction sand, gravel, cobbles, boulders and clay oil and/or gas thereon or therefrom, provided, however, that nothing herein shall be construed to suspend the payment of royalties as herein providedrentals during the primary or extended term. The Lessee is expected to make application for all separate written permissions required by governmental agencies, including but not limited to easements, mining drilling permits, and surface use permits, within reasonable time prior to production under expiration of the Lease. Lessee's obligations under this Lease shall not be excused by failure to make timely applications for permits, annual frost law road restrictions, winter snow conditions or other conditions which are reasonably foreseeable. 5. As required by R299.4006 R299.8106 (3), before a lease will be executed for construction sandoil and/or gas exploration, graveldevelopment, cobbles, boulders and clay production, the Lessee shall file with the Lessor State of Michigan a lease performance bond, in an amount established by the Lessorof $25,000.00 (twenty five thousand Dollars), to cover costs incurred by the Lessor State of Michigan due to breach of any clause contained herein by the Lessee, including but not limited to the costs of any enforcement actions necessary on the part of the LessorState of Michigan, costs of any necessary environmental remediation, clean-up or site restoration and conditioned that the Lessee, its heirs, executors, administrators, successors, and assigns, shall faithfully perform the covenants, conditions, and agreements specified in the Lease, and the laws and rules of the State of Michigan which apply. 6. The Lessee shall keep in full force and effect a sufficient lease performance bond to cover the acreage held under this Lease. If the amount of the lease performance bond in effect becomes depleted or partially depleted because of any claim or claims, the Lessee shall file a new or additional lease performance bond as required by the LessorState of Michigan. 7. The Lessor State of Michigan may invoke part or all of the lease performance bond when it determines that part or all of the covenants, conditions or agreement specified in the Lease are not being fulfilled. Invoking the lease performance bond is not necessarily related to any action taken by the State of Michigan under part E(1). 8. In addition to invoking a part of or all of the lease performance bond noted under D(7E(7), the LessorState of Michigan, at the Lessor's State of Michigan’s sole option, may determine that the Lessee be placed on a "Hold Action" list until such time as any and/or all infractions by the Lessee have been resolved to the satisfaction of the LessorState of Michigan. Placement on said list may result in barring the Lessee from any further leases, assignments, easements, extensions or other approvals required by the LessorState of Michigan. However, placement on said list does not eliminate the Lessor's ability to forfeit any or all parts of said Lease under D(9E(9). 9. If the Lessee fails to voluntarily satisfy the claim of default as herein provided relative to any condition or any express or implied covenants of this Lease, the Lessor may proceed, at its sole discretion, with forfeiture of all or part of said leased premises in accordance with the provisions of Act 81 of Public Acts of 1929, being Sections 554.281 and 554.282 of the Michigan Compiled Laws with invocation of all or part of the lease performance bond or with any combination thereof. 10. Lessor reserves the right to recover any and all staff and attorney fees and costs associated with any legal action required of the lease from Lessee associated with carrying out the provisions of Section D (default of lease) of the lease.

Appears in 1 contract

Samples: Oil and Gas Lease

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