6.3.2: Negotiating a Right-of-Way Agreement

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Page ID: 15667

Marcellus Matters
Pennsylvania State University via John A. Dutton: e-Education Institute

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Easement agreements are formal legal agreements granting the operator long-term use of the right-of-way. A change in ownership of the property does not alter the easement agreement, especially if the easement agreement or a memorandum of the easement agreement is filed on record. Because easement agreements are legally binding contracts, landowners are encouraged to have the contract reviewed by an attorney who is knowledgeable in oil and gas law and experienced in reviewing right-of-way agreements before entering into any contract. Experienced oil and gas lawyers can also be immensely helpful in the negotiation of the easement agreement.

Basic Negotiation Suggestions

Do not feel pressured to sign anything
Many points in the contract can be negotiated
Everything should be in writing
Talk to your neighbors, share information
Limit the agreement as possible
Talk to an accountant
See legal review

Required Reading

Landowners Resource Guide for Pipeline Easements and Rights-of-Way