Oil & Gas Ownership and Management

The launch of a new business in the oil and gas sector will be driven in large part by the legal agreements that the parties enter into that will direct this new business venture, such that it is extremely important that these contractual arrangements need to be clearly defined and established. Such a contract needs to be appropriately negotiated and drafted such that each side is properly protected and capable of realize the most from this new business venture (while having the capacity to resolve problems and settle disputes).

What should be noted is that joint ownership and management agreements need to be particularized to the circumstances, given the unique aspects of each contractual relationship. Particular aspects seen in such contracts have included:

"Declaration. The Joint Owners hereby agree, pursuant to the purchase of the Property, for the term of the Agreement, to hold the Property in a state of Joint Ownership and to comply with the Agreement regarding its use, management, funding and resale."

"Preventitive Maintenance. The Manager shall implement and administer preventative management programs with respect to the Systems and Equipment, shall undertake regular and systematic inspections of the Property, the Systems and Equipment, taking into consideration the various preventive management programs and shall also control and update all mechanical, plumbing, electrical or other plans as well as those pertaining to the Property in addition to performing any other task necessary for the maintenance and the upkeep of the Systems and Equipment and the Property."

"Annual Meeting. Within thirty days following the end of each Financial Year of the Joint Ownership, a annual general meeting of the Joint Owners shall be held at a date and time determined by the Manager for the purpose of examining the financial statements."

For more information on the legal services of Neufeld Legal P.C. with respect to launching your new business in the oil & gas sector, including joint ownership and management agreements, or to schedule an appointment, contact our lead lawyer Christopher Neufeld at Christopher@OilGasLawyer.ca or 403-400-4092.

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Agreements pertaining to the launch of an oil and gas business start-up.

Unanimous Shareholder Agreement

Joint Venture Agreement

General Partnership Agreement

Pre-Incorporation Partnership Agreement

Joint Ownership and Management Agreement