Lease from 2010 was not favorable to lessor and no time limit listed for shut in. Last production was in 2017 and have received a shut in payment annually since. Can a shut in last until well is closed? What if shut in payment isn’t cashed? Can this last indefinitely?
Welcome to the forum. Unfortunately, a shut in clause with no time limits can last indefinitely. I inherited some that have been dragging on for decades. It can be expensive to try (and frequently doomed to fail) to break a lease with that type of clause. If you don’t cash the check, you are probably just missing out on some extra cash.
Thank you for the information and sharing your personal experience
When signing a new lease, it is important to have a limitation on the number of years shut in rights can last.
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