Mineral Rights Purchase agreement

In March of 2022, our small family LLC entered into a purchase and sales agreement with a large reputable company… We were TOLD that this agreement would close in approx 7 months. As of today, it has still not closed. In the Purchasing/Sale agreement there is no timeline specified for closing. Only that “ The purchase of the mineral property shall occur no later than 60 calendar days after the date on which the buyer has given a full notice to proceed to the GM for the project.”

They buyer has had to get extensions from other landowners and the county as well (2 years).

Is there anything that we can do? Ie more deposit (which goes to purchase price) etc? Renegotiate??? Or, are we just in a holding pattern until they get ready for the project?

Thanks.

Run it by a lawyer licensed in the state where the minerals are located.

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I’ll provide a short answer, then make a few points. I’m sorry for your situation.

No person can provide you any definitive statements about “what you can do”, without having the full detail of the agreement you’ve signed. Generalities on a public forum are only going to get you general (and highly subject to being wrong) commentary. A qualified attorney is what you need for guidance. (the fact that your P&S agreement was loosely drafted enough that you are in the position your in speaks to the qualification of the author I’m afraid).

a. agreements should always be written from the perspective of “what happens if…”

b. have you simply and thoughtfully asked the other party… what’s up?

c. it can be informative to ask around to others involved in or around this deal about their dealings with the company you’re dealing with

Best of luck

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I totally understand I was speaking in “generalities.”. That was on purpose. I did not want to offend the author. All of this transpired prior to my being involved with the company. I was hoping not to involve an attorney but fear I may. I have reached out to the “buyer” for information but have gotten more info from news articles.