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REAL ESTATE to acquire the rights for wind-farm developments in order to flip these rights to larger developers or energy companies that have the wherewithal to complete the project. In many cases, he says, the agents will rely on draft agreements drawn up for the oil and gas sector, which are totally inadequate for wind farms. Whereas lease agreements for oil and gas exploration are often just three or four pages long, it may be necessary to draft a 30- to 50-page document to cover all the contingencies involved in wind-farm development, Liakopoulos and Vermeulen explain. There are vari- ous legal and economic reasons for this. In most cases, subsurface mineral TitlePlus_CL_Mar_10 2/11/10 12:54 PM Page 1 rights are owned by provincial gov- ernments, not the owner of the land beneath which the resource is situated, and land can be expropriated by the province if the landowner doesn't agree to a lease that will provide access to the land. The compensation involved in such lease agreements or expropria- tions follows long-established formu- lae that are well understood by land- owners in oil-producing regions. For wind farms, on the other hand, there are no such expropriation provisions. And, since wind farms are a relatively new phenomenon, farmers are often unfamiliar with what may be required in a lease, what pitfalls or problems could arise, and what compensation arrangements are appropriate, says Liakopoulos. "Everyone's comfortable with an oil derrick, but nobody under- stands what a turbine's going to look like or what it's like when it's whizzing on a windy day," he adds. What makes wind-farm leases really complicated, however, is the economic realities involved in securing finan- cing for projects that can cost more than $100 million. Lenders are not Everything you need Together we have all the tools The TitlePLUS® protect your clients from title risks.1 Program works with you to help With the right tools we assist you, through our legal serv- ices coverage2 , by reducing the inconven- ience of dealing with a loss as the result of an error or omission in your real estate transac- tions. To ensure your clients get the most compre- hensive coverage in one policy, take a look at the TitlePLUS Program, your Bar-related® estate partner! real PROTECTION AS GOOD AS IT GETS 1-800-410-1013 1 titleplus.ca Please refer to the policy for full details, including actual terms and conditions. The TitlePLUS policy is underwritten by Lawyers' Professional Indemnity Company (LAWPRO®)/ Assurance LAWPRO®. Assurance LAWPRO is a registered name used in Québec by Lawyers' Professional Indemnity Company. Contact LAWPRO for brokers in Manitoba, Alberta and Québec. 2 Excluding OwnerEXPRESS® policies and Québec policies. ® TitlePLUS, the TitlePLUS logo, OwnerEXPRESS, LAWPRO and Assurance LAWPRO are registered trademarks of Lawyers' Professional Indemnity Company. ® BAR-RELATED Mark is a registered Mark of North American Bar Related Title Insurers used by LAWPRO under License. 24 NO VEMBER / DECEMBER 2010 www. C ANADIAN Law ye rmag.com