1Amending Title 58 (Oil and Gas) of the Pennsylvania Consolidated
2Statutes, in development, providing for gas mineral rights
3lease agreement disclosure and indemnification.

4The General Assembly of the Commonwealth of Pennsylvania
5hereby enacts as follows:

6Section 1.  Section 3272 of Title 58 of the Pennsylvania
7Consolidated Statutes, added February 14, 2012 (P.L.87, No.13),
8is amended to read:

9§ 3272.  [(Reserved).] Gas mineral rights lease agreement 
10disclosure and indemnification.

11(a)  Duty to provide disclosure.--

12(1)  Prior to the execution of a gas mineral rights lease
13agreement, the gas drilling company shall disclose to the
14landowner that the landowner may be liable to other
15landowners for damages that result from the gas drilling.

16(2)  The disclosure shall be on a separate piece of
17paper, in ten-point all capital type and shall include a
18statement that the landowner should consult an attorney

1before signing any document relating to a gas mineral rights
2lease agreement.

3(3)  The disclosure shall be signed by the landowner
4prior to or simultaneously with the execution of the
5agreement.

6(b)  Departmental approval required.--The department shall
7approve the form and content of the disclosure statement
8required under subsection (a).

9(c)  Indemnification provision required.--A gas mineral
10rights lease agreement shall contain an indemnification
11provision that holds the landowner harmless from any and all
12liability, liens, claims and environmental liability arising out
13of the drilling company's operations under the terms of the
14lease.

15Section 2.  This act shall take effect in 60 days.