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Class action lawsuit filed against Chesapeake subsidiary in Columbiana County

Friday, October 30, 2015 by

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On Oct. 26, a class-action lawsuit was filed against Chesapeake Operating in Columbiana County, according to The Times-Reporter. The company, a subsidiary of Chesapeake Energy, is accused of withholding royalty payments from mineral rights owners.

The proposed lawsuit says that Chesapeake Operating sold oil and gas at prices lower than the market price and then taking production and post-production costs from royalty payments improperly.

The lawsuit was filed for two Columbiana County farms and one Carroll County mineral rights owner. The terms of these leases were also used in leases in Columbiana, Carroll, Stark, Tuscarawas, Jefferson, Belmont, Guernsey and Harrison counties, so the scope of the lawsuit could grow.

Via: The Times-Reporter > Chesapeake accused of withholding millions in royalty payments

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