Liens and Payment Defaults Clause Samples

Liens and Payment Defaults. The Partnership grants to PDC a lien upon its oil and gas rights in the Contract Area, and a security interest in its share of oil and/or gas when extracted and its interest in all equipment, to secure payment of its share of expense, together with interest thereon. To the extent that PDC has a security interest under the Uniform Commercial code of the state, PDC shall be entitled to exercise the rights and remedies of a secured party under the Code. The bringing of a suit and the obtaining of judgment by PDC for the secured indebtedness shall not be deemed an election of remedies or otherwise affect the lien rights or security interest as security for the payment thereof. In addition, upon default by the Partnership in the payment of its share of expense, PDC shall have the right, without prejudice to other rights or remedies, to collect from the purchaser the proceeds from the sale of the Partnership's share of oil and/or gas until the amount owed by the Partnership, plus interest, has been paid. Each purchaser shall be entitled to rely upon PDC's written statement concerning the amount of any default. PDC grants a like lien and security interest to the Partnership to secure payment of PDC's proportionate share of expenses. If any party fails or is unable to pay its share of expense within sixty (60) days after rendition of a statement therefor by PDC, PDC shall pay the unpaid amount in the proportion that the interest of each such party bears to the interest of all such parties.

Liens and Payment Defaults. Each Non-Operator grants to Operator, a lien on all of each Non-Operator's right in the

Liens and Payment Defaults. Non-Operator, and any other Interest owner by this Agreement or collateral agreement grants to Operator a lien upon its oil and gas rights and property in the Contract Area and Interests, and a security interest in its share of Production when extracted and its interest in all equipment, to secure payment of its share of all Operator's cost of operating the Interest, together with interest thereon at the rate provided in the Accounting Procedure attached hereto as Exhibit "B". To the extent that Operator has a security interest under an applicable Uniform Commercial Code Operator shall be entitled to exercise the rights and remedies of a secured party under the Code. The bringing of a suit and the obtaining of judgment by Operator for the secured indebtedness shall not be deemed an election of remedies or otherwise affect the lien rights or security interest as security for the payment thereof until actually collected by Operator. In addition, upon default by any Non-Operator in the payment of its share of expense, Operator shall have the right , without prejudice to other rights or remedies, to collect from the purchaser of Production the proceeds from the sale of such Non-Operator's share until the amount owed by such Non-Operator, plus interest has been paid. Each purchaser shall be entitled to rely upon Operator's written statement concerning the amount of any default. If Non-Operator fails or is unable to prepay the estimated total costs of operating the Interests within thirty (30) days after rendition of a statement therefore by Operator, Operator shall be entitled to withhold payment of Non-Operator's share of the proceeds from sale of oil and gas from the Interest until said amount is paid in full. Operator is authorized and directed to market all Production from the Interests for the benefit of itself and Non-Operator Interest owners. Operator shall be responsible for collecting the entire amount of the proceeds due from the purchasers(s). Unless Non-Operator has prepaid the costs of operating the Interests, Operator may deduct from the proceeds from the sale of Production the Operator's percentage of Production and the costs of operating the Interests due from the Interest Owners, and, in that event, Operator shall pay the net proceeds to Interest owners within 45 days after receipt of payment from the purchaser(s).

Liens and Payment Defaults. Each Non-Operator grants to Operator a lien upon its oil and gas rights in the Contract Area, and a security interest in its share of oil and/or gas when extracted and its interest in all equipment, to secure payment of its share of expense, together with interest thereon at the rate provided in Exhibit “C”. To the extent that Operator has a security interest under the Uniform Commercial Code of the state, Operator shall be entitled to exercise the rights and remedies of a secured party under the Code. The bringing of a suit and the obtaining of judgment by Operator for the secured indebtedness shall not be deemed an election of remedies or otherwise affect the lien rights or security interest as security for the payment thereof. In addition, upon default by any Non-Operator in the payment of its share of expense, Operator shall have the right, without prejudice to other rights or remedies, to collect from the purchaser the proceeds from the sale of such Non-Operator’s share of oil and/or gas until the amount owed by such Non-Operator, plus interest, has been paid. Each purchaser shall be entitled to rely upon Operator’s written statement concerning the amount of any default. Operator grants a like lien and security interest to the Non-Operators to secure payment of Operator’s proportionate share of expense.

Liens and Payment Defaults. Each party to this Agreement grants to the other party a lien upon its oil and gas rights in the Licenses and Leases, and a security interest in its share of oil and/or gas when extracted and its interest in all equipment, to secure payment of its share of expense, together with interest thereon at a rate equal to the "Prime Rate" (as then in effect for the Operator's principal lending bank) plus one percent (1%) per annum. The bringing of a suit and the obtaining of judgment by either party for the secured indebtedness shall not be deemed an election of remedies or otherwise affect the lien rights or security interest as security for the payment thereof. In addition, upon default by either party in the payment of its share of expense, the other party shall have the right, without prejudice to other rights or remedies, to collect from the purchaser the proceeds from the sale of the defaulting party's share of oil and/or gas until the amount owed by the defaulting party, plus interest has been paid. Each purchaser shall be entitles to rely upon the other party's written statement concerning the amount of any default.

Liens and Payment Defaults. Each Non-Operator grants to Operator, a lien on all of each Non-Operator's right in the Contract Area, and a security interest in its interest in all equipment and the revenues received from Third Parties for the transportation of crude oil, to secure payment of its share of expense, together with interest thereon at the rate shown in Exhibit "B". Operator grants a like lien and security interest to the Non-Operators to secure payment of Operator's proportionate share of expense.

Liens and Payment Defaults. Each party grants to the other parties hereto a lien upon any interest it now owns or hereafter acquires in Oil and Gas Leases and Oil and Gas Interests in the Contract Area, and a security interest and/or purchase money security interest in any interest it now owns or hereafter acquires in the personal property and fixtures on or used or obtained for use in connection therewith, to secure performance of all of its obligations under this agreement including but not limited to payment of expense, interest and fees, the proper disbursement of all monies paid hereunder, the assignment or relinquishment of interest in Oil and Gas Leases as required hereunder, and the proper performance of operations hereunder. Such lien and security interest granted by each party hereto shall include such party’s leasehold interests, working interests, operating rights, and royalty and overriding royalty interests in the Contract Area now owned or hereafter acquired and in lands pooled or unitized therewith or otherwise becoming subject to this agreement, the Oil and Gas when extracted therefrom and equipment situated thereon or used or obtained for use in connection therewith (including, without limitation, all ▇▇▇▇▇, tools, and tubular goods), and accounts (including, without limitation, accounts arising from gas imbalances or from the sale of Oil and/or Gas at the wellhead), contract rights, inventory and general intangibles relating thereto or arising therefrom and all proceeds and products of the foregoing. To perfect the lien and security agreement provided herein, each party hereto shall execute and acknowledge the recording supplement and/or any financing statement prepared and submitted by any party hereto in conjunction herewith or at any time following execution hereof, and Operator is authorized to file this agreement or the recording supplement executed herewith as a lien or mortgage in the applicable real estate records and as a financing statement with the proper officer under the Uniform Commercial Code in the state in which the Contract Area is situated and such other states as Operator shall deem appropriate to perfect the security interest granted hereunder. Any party may file this agreement, the recording supplement executed herewith, or such other documents as it deems necessary as a lien or mortgage in the applicable real estate records and/or a financing statement with the proper officer under the Uniform Commercial Code. Each party represents and warran...

Liens and Payment Defaults. 1. Each Non-Operator hereby grants to Operator a lien and security interest upon (and a contractual right to setoff in and to) the interest of Non-Operator in its oil and gas rights in the Contract Area, a security interest in its share of oil and gas when extracted, and in the proceeds from the sale of oil and gas, and a security interest in its equipment and other Collateral (as hereinafter defined) in order to secure payment by Non-Operator of its obligations hereunder, which lien and security interest shall be prior and superior to any lien or security interest that may hereafter be created upon such interest. In addition, each Non-Operator grants to the Operator a lien upon all of the rights, titles and interests of such granting party, whether now existing or hereafter acquired, in and to (a) the oil, gas and other minerals in, on and under the Contract Area; (b) any oil, gas and mineral leases covering the Contract Area or any portion thereof; (c) any oil and gas interest within the Contract Area; and (d) granting party’s rights, titles, interests, claims, general intangibles, proceeds and products thereof, whether now existing or hereafter acquired, in and to (i) all oil, gas and other minerals produced from the Contract Area when produced, (ii) all accounts receivable accruing or arising as a result of the sale of such oil, gas and other minerals from the Contract Area, (iii) all cash or other proceeds from the sale of such oil, gas and other minerals once produced, and (iv) all oil or gas w▇▇▇▇ and other surface and subsurface equipment and facilities of any kind or character located in the Contract Area and the cash or other collateral is or will become fixtures on the Contract Area, and the interest of each party in and to the oil, gas and other minerals when extracted from the Contract Area and the accounts receivable accruing or arising as the result of the sale thereof shall be financed at the wellhead of the well or w▇▇▇▇ located on the Contract Area. Upon the failure of Non-Operator to timely pay its share of costs and expenses hereunder when due and owing as prescribed herein, then and in such event the lien and security interest referred to above in this Subparagraph, and the obligations secured thereby may be enforced forthwith either through judicial proceedings or by the sale by Operator of Non-Operator’s interest (i) in the lands and leases covered hereby and (ii) the Collateral, or any or all, which sale may be made in one or more s...