Common use of Distribution After Termination Clause in Contracts

Distribution After Termination. Upon termination of the Trust as set forth under Section 5.01 above, the producing properties comprising the Trust shall be distributed in the form of Assignment of Working Interest in accordance with the number of Units owned by each Unit Owner. Any non-producing property or property that has not been drilled during the term of the Trust shall be re-assigned by the Trustees back to the Trustor. Upon distribution of the interests to the Unit Owner, the Unit Owner shall own same free and clear of all liens, subject to the payment of lease operating expenses and subject to the Unit Owners’ execution of an Operating Agreement.