OGL Never filed of record

We were recently approached to lease in Carter County by a broker & were about to sign leases when one of the family members got a notice from Google that his drive was getting full so he went in to delete some files & came across leases we signed a little over a year & a half ago that happen to be on the same sections. We do keep records but no one thought to look to see if these were same we’d leased before just automatically assumed if it wasn’t open we wouldn’t have been approached. This has never happened in over 40 years. We had to tell the broker of course which was devastating to them because they had spent time & money. One of us tried to call the original Lessee but it just goes to voicemail & no one has returned the call. This is a clear cloud on title & over 7 sections. Does anyone have any advice or knowledge on any recourse on this? Thank you in advance for any response.

Have you searched your names in www.okcountyrecords.com to see if the leases were filed? Were you paid? If they did not pay you and did not file, then you may be able to lease. Also never sign a lease that covers multiple sections. Lease them independently.

2 Likes

Perhaps the broker could negotiate an assignment of the leases from the earlier lessee?

Like M Barnes said, if you were not paid and they didnt file the OGL’s, you are able to lease. If a current broker approached you, they must think you are open. Ask them to look into it for you, its part of their job and will take them 5 minutes to determine. For future reference, never sign a multi section lease.

@Bob77, @CyndyK has not confirmed the lease bonus wasn’t paid. The lease bonus may have been paid.

Give the lease broker a copy of existing lease, and let them track it down.

Out of curiosity to Oklahoma legal experts, does failure to pay the bonus invalidate the lease (in Texas it does not)? How about not recording (in Texas it does not – but does protect the parties)?

`

Sorry I haven’t been on here in so long I forgot how to reply :woman_facepalming:. Yes we were paid but totally forgot & we went to the county and looked through every index for every section & talked to the clerk once we realized but they didn’t file any leases there were 7 sections and four people. All sections had separate ogl’s. I just don’t understand and neither did the clerk as to why they would never lease. If fact when you do a state search on them there are only 4 leases ever filed by them and they were all in March 2023. I just wonder did they lose the leases or intentionally not filing them. I learned about a cloud on title it’s been a few years but I thought that was a big fat NO NO. Just wanted to ask you guys because I knew alot of you know your stuff & maybe could enlighten me as to why they would do that. Even the clerk said she’d seen taking a few months to file but never this long. Thank you for the feed back it’s greatly appreciated.

@CyndyK, it sounds very odd that they would wait so long to record the leases. Perhaps they are still leasing in the area and don’t want to disclose the fact to other parties they have discovered the next big play.

Failure to pay doesn’t invalidate the ogl in Oklahoma. Not recording it doesn’t invalidate the ogl. It doesn’t allow for constructive notice to all third parties of a prior lease. However, the prospective lessee is now on actual notice of a preexisting lease. If the lease was never recorded, it sounds like the lessee has abandoned the agreement. (just a hunch). i would give all the facts to the “new” lessee and see if they want to take the risk.

1 Like

The attorney knows the rules! I follow his advice!

Thanks to all of you for your knowledge & advice. Greatly appreciate. I hope everyone here has a Merry Christmas & Happy Holidays. God Bless

This is probably worth a certified letter to the lessee demanding that either the bonus be paid or the lease be voided and returned.

This post is not legal, tax or investment advice. Reading or responding to this post does not create an attorney/client relationship.

1 Like

Rick, she followed up saying that they were paid.

1 Like

This topic was automatically closed after 90 days. New replies are no longer allowed.