2012 Utah Code
Title 38 - Liens
Article 10 - Oil, Gas, and Mining Liens
Section 109 - Limitation on liability for other owners in production unit if notice provided -- Contents of notice -- Filing of notice -- Time for filing -- Failure to file does not affect other defenses.

(1) Where work is performed or materials or equipment are furnished for any production unit under a contract with an owner of an interest in the production unit, any interest of any other owner in the production unit shall not be subject to a lien under this chapter, if such other owner gives written notice that he will not be responsible for work performed or materials or equipment provided.

(2) Written notice shall be:

(a) in recordable form;

(b) filed with the county recorder of the county where the production unit is located; and

(c) filed within 10 working days after the latter of:

(i) the owner obtaining knowledge of the performance of such work or the providing of such materials or equipment; or

(ii) the execution by the last party of:

(A) a farmout agreement;

(B) a lease or sublease;

(C) an operating agreement;

(D) an assignment of less than 100% of the lessee's interest or operating rights under a lease;

(E) a sales contract; or

(F) an option agreement.

(3) Failure to file under this section shall not impair any other defense available to such owner.

Enacted by Chapter 170, 1987 General Session