LESSER-INTEREST CLAUSE

LESSER-INTEREST CLAUSE

lesser-interest clause. Oil & gas. A provision in an oil-and-gas lease allowing the lessee to reduce payments proportionately if the lessor turns out to own less than 100% of the mineral interest. ¡ª Also termed proportionate-reduction clause.
TermBase Contributor
Carl, Chinese legal translator, specializes in translating legal documents pertaining to complex business disputes.