Renewable Energy Leases: The Benefits of Legal Counsel for Landowners
posted in: Business Law + Surface Rights
The global shift towards renewable energy has created lucrative opportunities for landowners—leasing land for solar and wind energy projects. These agreements, however, can be complex and often have multi-decade implications on the land and its use that a landowner must consider prior to signing. KMSC Law LLP is here to help.
Here are seven reasons landowners should consider KMSC Law when negotiating renewable energy leases:
- Managing Legal Costs: At KMSC Law, we understand that legal fees can be a concern. However, it’s common for renewable energy companies to agree to cover the landowner’s legal fees in contract review and negotiations. We can negotiate this aspect on your behalf, giving you access to the legal advice you need without incurring out of pocket costs.
- Expertise in Understanding Lease Agreements: KMSC Law can help landowners comprehend the details of lease agreements. Lease Agreements for renewable energy developments are complex and usually contain option clauses. Our legal experts can guide you through complex clauses and ensure that you understand the conditions under which options can be exercised or terminated, in addition to landowner and company obligations under the agreement.
- Protecting Landowner’s Rights: Our lawyers always strive to protect a landowner’s rights and interests. It is not uncommon for agreements presented by renewable energy companies to lack sufficient security to ensure end of life obligations for a project are met. Our lawyers can help you understand issues around reclamation security and ensure a company bankruptcy event will not result in an “orphaned” renewable energy project with no recourse for clean up costs.
- Skilled Negotiation of Financial Terms: KMSC Law has extensive experience in negotiating the financial terms of lease agreements. Our team can help negotiate the initial payment for the option to lease the land, the annual lease payments, and the rental fees once the project is operational.
- Navigating Legal and Regulatory Requirements: KMSC Law can ensure that clauses related to necessary permits, environmental studies, and governmental authorizations are structured effectively to limit your potential liabilities.
- Handling Registration of Caveats: Our team is proficient in the registration of caveats against land titles. KMSC Law can provide you the necessary legal advice to understand and negotiate such caveats.
- Coordinating with Other Professionals: Our lawyers can also help coordinate efforts between various professionals who service you, such as accountants and tax professionals. Lease agreements for renewable energy can have significant tax implications, and having a legal team that works hand-in-hand with your financial advisors ensures that all aspects of the lease are considered.
Why Landowners Should Trust KMSC Law for Renewable Energy Lease Expertise
At KMSC Law, we provide more than just legal services; we offer peace of mind and security. Our team of experts is committed to helping you navigate the complexities of solar and wind energy leases, ensuring the agreements are both beneficial and protective of your interests. KMSC Law, is one of the few firms in Alberta that practices commercial law and also represents landowners in surface rights matters. For this reason, we are uniquely qualified to advise landowners on wind and solar leases. With KMSC Law by your side, you can confidently step into the future of renewable energy.