§ 57-806 — Notice of lien; how given; effect

Anything in sections 57-801 to 57-820 to the contrary notwithstanding, any lien claimed by virtue of the provisions of sections 57-801 to 57-820 insofar as it may extend to oil or gas or the proceeds of the sale of oil or gas shall not be effective against any purchaser of such oil or gas until written notice of such claim has been delivered to such purchaser. Such notice shall state the name of the claimant, his address, the amount for which the lien is claimed, and a description of the leasehold interest upon which the lien is so claimed. Such notice shall be delivered personally to the purchaser or by registered or certified mail addressed to the purchaser. Until such notice is delivered as above provided, no such purchaser shall be liable to the claimant for any oil or gas produced from the leasehold interest upon which the lien is claimed or the proceeds thereof except to the extent of such part of the purchase price of such oil or gas or the proceeds thereof as may be owing by such purchaser at the time of delivery of such written notice. Such purchaser shall withhold payments for such oil or gas runs to the extent of the lien amount claimed until such delivery of notice in writing that the claim has been paid.

Legislative History

Source: Laws 1957, c. 241, § 6, p. 810.