BOEM-2028 (January 2020)
Previous Editions are Obsolete.
Obligations of the lease in accordance with BOEM specifications be materially false and BOEM relied upon such representation
in canceling the instrument.
5. The Surety waives any right of notice of this bond taking effect and agrees that this bond will take effect upon delivery to BOEM.
6. The Surety's Obligations will remain in full force and effect, even if:
(a) Any person assigns all or part of any interest in an Instrument covered by this document.
(b) Any person modifies an Instrument or Obligation under an Instrument in any manner including modifications that result from
a commitment to a unit, cooperative, communitization, or storage agreement; suspension of operations or production;
suspension or changes in rental, minimum royalty, or royalties; modification of regulations or interpretations of regulations;
creation or modification of compensatory royalty agreements or payments; or creation of any mortgage, pledge, or other grant
of security interest in the Instruments.
(c) Any person, event, or condition terminates any Instrument covered by this bond, whether the termination is by operation of
law or otherwise.
(d) BOEM takes or fails to take any action in enforcing, as against any party to the Instrument, the payment of rentals or royalties
or the performance of any other covenant, condition or agreement of the lease, or giving notice of or making demand with
respect to such nonperformance.
(e) The Surety suffers any loss by reason of any law limiting, qualifying, or discharging the Principal's Obligation.
7. The Surety agrees to be bound under this bond as to the interests in any Instrument retained by the Principal when BOEM
approves the transfer of any or all of the Instruments or interests in the Instruments.
8. In the event of any default under a lease, the Surety must provide payment of all of the cost of the Obligations of the Principal
upon demand by BOEM.
9. If BOEM decides to commence suit to enforce its rights, it may commence and prosecute any claim, suit, action, or other
proceeding against the Principal and Surety, or either of them, whether or not BOEM joins the lessees or any other party.
10. In the event there is more than one Surety for the Principal's performance of the Obligations, as to any Instrument, the Surety's
Obligation and liability under this bond is on a “solidary” or “joint and several” basis along with other guarantors or sureties.
11. The Surety agrees to give prompt notice to BOEM and the Principal of any action filed alleging the insolvency or bankruptcy of
the Surety or the Principal, or alleging any violation that would result in suspension or revocation of the Surety's charter or license
to do business.
12. The Surety's Obligation and liabilities under this Bond are binding upon the Surety's successors and assigns. Nothing in this
document permits assignment of the Surety's Obligation without the written consent of BOEM.
13. The Surety hereby waives any defenses to liability on this bond based on an unauthorized Principal signature.
Name of Surety
Name of Principal
Signature of Person Executing for Surety
Signature of Person Executing for Principal
Name and Title (typed or printed)
Name and Title (typed or printed)
Business Address
Business Address
Business Address
Business Address
Signed on this day of , 20 , in the State of _, in the presence of:
Signature of Witness
Signature of Witness
Name (typed or printed)
Name (typed or printed)
Address
Address
Address
Address
Note: The person executing for the Surety must attach a corporate resolution and power of attorney stating his or her authority to
undertake this Obligation, pursuant to the acts of the corporate board of directors and the laws of the State of incorporation. The
corporation executing this bond as Surety and the Principal, if a corporation, must affix their corporate seals.
