Landowners in Monroe County who signed oil and gas leases with Beck Energy over the last decade should be aware of two potentially significant cases pending before the Ohio Supreme Court: Hupp v. Beck Energy and State of Ohio ex rel. Claugus Family Farm, L.P. v. Seventh District Court of Appeals, et al. (consolidated into one case). The Court heard oral arguments in these cases on Tuesday, December 15, 2015.
The central issue in Hupp is essentially whether Beck Energy leases, called Form G&T (83) leases, are perpetual no-term leases that are therefore void ab initio (or from the beginning) as against public policy. If the Court rules that the lease form is a void, perpetual lease, the holding would invalidate a form of oil and gas lease commonly used across the state and would directly impact all landowners in Monroe County who currently have undrilled Beck Energy leases...Ohio Gas & Oil Magazine