§ 38-13-1302 — When agreement to locate property void - rules

(1) Subject to
subsection (2) of this section, an agreement under section 38-13-1301 is void if it is
entered into during the period beginning on the date the property was paid or
delivered by a holder to the administrator and ending twenty-four months after the
payment or delivery.

(2) If a provision in an agreement described in subsection (1) of this section
applies to mineral proceeds for which compensation is to be paid to the other
person based in whole or in part on a part of the underlying minerals or mineral
proceeds not then presumed abandoned, the provision is void regardless of when
the agreement was entered into.

(3) The administrator shall adopt rules governing the maximum
compensation in an agreement under subsection (1) of this section. An agreement
that provides for compensation in an amount that exceeds the maximum amount
established by rule is unenforceable except by the apparent owner. An apparent
owner or the administrator, acting on behalf of an apparent owner, or both, may file
an action in the district court for the city and county of Denver to reduce the
compensation to the maximum amount. On the final determination of an action filed
under this subsection (3), the court may, on application, award the plaintiff its
reasonable attorney fees, costs, and expenses of litigation.

(4) An apparent owner or the administrator may assert that an agreement
described in this section is void on a ground other than it provides for payment of
unconscionable compensation.

(5) This section does not apply to an apparent owner's agreement with an
attorney to pursue a claim for recovery of specifically identified property held by
the administrator or to contest the administrator's denial of a claim for recovery of
the property.

Legislative History

Source: L. 2019: Entire article R&RE, (SB 19-088), ch. 110, p. 455, � 1, effective July 1, 2020.