Monday, February 27, 2012

Regarding the Corn Valley Drilling Site

Force Majeure (developing story...stay tuned)



Joe Pool Lake Dam and Spillway 




An oil and gas lease generally [but not always] includes a force majeure clause. Such agreement relieves the lessee from liability for breach, if the party's performance is impeded as the result of a natural cause that could not have been anticipated or prevented.
This Act of God must completely prevent performance and must be unanticipated. Courts often construe this clause very strictly and rarely enforce it. For example, a tornado preventing performance in Oklahoma would not trigger the force majeure clause, since tornadoes are a common occurrence in Oklahoma.[emphasis added]










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