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By Paul R. Yagelski, Esquire
Rothman Gordon
Pittsburgh, Pennsylvania

I previously wrote an article entitled, “Do Not Use the Recording of Surrender Documents from Oil and Natural Gas Lease Act,” in which I indicated that Pennsylvania’s Act should not be used when a lessor is dealing with notice to the lessee of the termination, expiration or cancellation of an oil and gas lease. The Act allows a lessor to serve notice of the termination, expiration or cancellation of an oil and gas lease (“Notice”) on a lessee if the lessee fails to timely provide a surrender document in recordable form, not more than 30 days after the termination, expiration or cancellation of the lease. This is well and good. The problem, however, is that the Notice must state that the lease will be terminated, expired or cancelled according to its terms, including the date of the termination, expiration or cancellation, i.e., some future date. Why send a notice stating that the lease will be terminated, expired or cancelled according to its terms when it has already been terminated, expired or cancelled according to its terms?! This is the problem that was addressed in the prior article, but there are two additional problems. One is the date that the lessor sets in the Notice for the termination, expiration or cancellation of the lease. The other is the mode of service of the Notice.

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