North Dakota Legislature Addresses Wind Leases, Easements and Options
In its final days of session, the North Dakota legislature passed a bill creating certain requirements for leases or easements for wind energy development that are entered into in the state.
The bill's requirements for wind leases and easements include: placement of a cover page on every wind lease encouraging the landowner to review the agreement with his or her attorney; negotiations may not be maintained as confidential (although the terms of the final agreement may be kept confidential under a mutual confidentiality provision); the lease may not be signed until at least ten days after it has been delivered to the landowner; and the landowner may terminate the lease if the wind energy facility has not operated for a period of at least three years (unless certain payments are made to the landowner under the lease).
Nebraska Passes Legislation Governing Wind Leases
The Nebraska legislature recently passed a bill amending existing state law governing wind easements, wind options, or wind leases or lease options entered into in the state for the purpose of wind energy development. Substantive terms of the legislation include a limitation on the initial term of the agreement of not more than 40 years, and an automatic termination of the agreement if development of a wind energy facility has not commenced within ten years (although this may be extended by the parties).
For more information, please contact my colleague Kevin Prohaska.
