Chesapeake Energy sued over royalties from Eagle Ford leases

Already besieged by lawsuits challenging royalty payments in the Barnett Shale, Chesapeake Energy now faces similar accusations of underpaying landowners in the Eagle Ford Shale in South Texas by more than $9.4 million. The landowners have also sought a declaration on whether or not their leases have terminated. “When [natural] gas prices went low, lawsuits kicked in and with oil going down you will see more lawsuits from oil-related plays,” Daniel Charest told the Fort Worth Star Telegram. This is the second lawsuit to be filed recently by the Burns Charest law firm against Chesapeake. Last week the firm filed a class action lawsuit in federal court against Chesapeake over allegations that were the basis for a federal indictment against the company’s late CEO Aubrey McClendon. “If you are colluding to restrict competition that is a violation of the law,” Warren Burns told Bloomberg News.

Read the full article in the Star-Telegram.
Read the full article in Bloomberg News.