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carter
02-18-2013, 10:24 AM
Has any one had any luck leasing to a dredger to get their claims logged on paper? I am building home this summer and wont get to dredge much. I thought someone else could do alittle leg work for me? Any horror stories? I know there could be alot of "what ifs" Am i liable on my leases for a guy with his own rec. permit? ect.
thanx,
carter

geowizard
02-18-2013, 11:54 AM
carter,

Ask "who else would be liable?"

I'm not an attorney and as I have mentioned before, I don't play one on TV. The following is personal opinion and not legal advice. The preceding narrative should give you an idea about liability.

It was your idea. That makes you liable. As soon as he hooks up the trailer with your dredge on it, you're liable. A mining claim lease will lay out the liability. If you lease a mining claim from another claimant, the lease will assign liability to you for all activities related to that lease. As soon as "the dredger" arrives at the mining claim. You are liable. If he causes a fire, you are liable. If he drowns and it is related to an equipment malfunction, i.e. your compressor, you are liable. The fact that he is working in association with you places you in a position of "contributing" to the neglegence of "the dredger". If he does something completely stupid and gets himself killed or injured, you have contributed to that death or injury. There's the environmental aspect to consider. He discharges unlawfully into a stream or river and you are liable either directly or indirectly.

Was "the dredger" properly trained? Will he perform all of the safety checks when out of your view? There are a hundred questions that could be asked. You probably have an idea by now.

Consult a qualified attorney on all legal matters.

- Geowizard

carter
02-18-2013, 12:26 PM
so just because i have the mining lease and give permission to rec. dredge on it ties me to obligations? Cant stop public access on my claims, not even the animals! I dredged o 5' hole in a narrow spot and was concerned of a wheeler going into it so i put a rope across it and had issues with a dang caribou racking his horns on the hole for the rope all summer! He didnt like my mining sign either.(better than a bear i guess!) I guess giving the permission and taking a percentage is two diff. things also. My work place requires a release form to get access thru their leases/mine when you are off of work.

geowizard
02-18-2013, 01:24 PM
carter,

Yes, unfortunately, the legal system allows others to be compensated for the actions or inactions of others that cause a loss. The cost of mining goes up as the cost of insurance goes up. Your employer probably pays a portion of his income to insure the mine against liability for all forms of loss during the work day. He has coverage for you during the period you are working. If you want to get access to the mine during off duty time, then you probably have to sign a liability waiver.

- Geowizard

Steve Herschbach
02-18-2013, 03:45 PM
Here is a very simple liability issue. It is your claim. You lease it to guy who accidentally spills a 55 gallon drum of fuel and decides to walk away.

Guess who is liable for the cleanup?

Now, you can go after the guy for damages also. If he is from another state and has few assets good luck with that. All the government knows is you are the claimant and you allowed the guy to operate on your claim.

Not trying to put you off leasing your claim out but yes, you do need to be careful who you deal with.

micropedes1
02-18-2013, 04:42 PM
I have leased claims before. And I have dredged someone else's claims on a percentage. In each instance I have known and trusted the miner or claim owner. Some formalized the deal with a written and recorded lease. Others have been settled with a simple handshake. I prefer the latter. If I do not know and trust you, i will not be associated in any business dealings. It is simply a matter of trust (and honor). Some will tell you that there is no honor among thieves ( and gold miners). I disagree. Most miners are honorable to a fault. But newbies with gold fever are a different animal!!

Brian Berkhahn
02-18-2013, 07:43 PM
Once again.. Steve is absolutely correct. Look at me.. I leased my claims to a "prospecting club", they broke every rule in the book (both club and State) and who did the government officials have on record to blame??? ME, I almost recieved a $10,000.00 fine but was given the opportunity to clean up THEIR mess because they knew I was not at fault.. the next season I hauled out 7 FULL truck loads of garbage and that didn't include what I could burn, I had to lease a backhoe to fill in THEIR holes and recontour the creek banks and all of this was on my own time and out of my own pocketbook. So the answer is yes.. you are held completely liable for everything that happens on your claim, anyone who thinks differently has never been through it.

If you know the people and trust them then that's a different story but if you don't then just pay the Annual Labor.

So anyways that's my horror story about leasing your claims.

geowizard
02-19-2013, 06:41 AM
BTW, please understand, leasing a mining claim CAN be done. A formal lease document is a must! In every case where no paperwork was signed, that I know of - best friends, having the best intentions, sorely parted.

A lease document protects both parties. It has a start date and an end date. It defines the obligations of BOTH parties. It defines the liabilities of all parties involved. It covers payments and the issue of inspection by the lessor. It gives the right of ingress and egress to lessee.

The state of Alaska sets an example on MHT leases. The Lessee should also be insured and provide a bond.

To assure income from the lease, my advice is to require a minimum cash payment from the Lessee.

Finally, the Lessee is responsible for payment of the royalty to SOA for his cut.

Alaska Dept. of Revenue requires a mining license if you lease your mining clams.

- Geowizard