Litigation

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    Jury Finds PA AG Kathleen Kane Guilty of Committing Felonies

    Kathleen Kane convicted
    Kathleen Kane convicted

    Pennsylvania Attorney General Kathleen Kane is no longer just felony-indicted. She’s now felony-convicted. Yesterday a jury of six women and six men spent 4 1/2 hours in deliberation following Kane’s trial for committing perjury, among other crimes, and they found her guilty of all nine counts against her. We’ve chronicled this long, sordid affair from the beginning. Kane is an enemy of the drilling industry–she has been from the beginning when she filed criminal charges against XTO Energy for an accidental spill that happened years before she took office. That case was settled just a few weeks ago (see Shakedown Complete: XTO Pays PA AG $400K to Make Case Go Away). Kane’s crimes and subsequent trial have nothing to do with the Marcellus industry. Although she is the top law enforcement officer in the state, Kane is now a convicted criminal facing up to 28 years in jail for her crimes. Yet she still has not resigned her office. If Kane does not resign within the next day or two, look for the PA legislature move swiftly to impeach, convict and forcibly remove her from office…
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    Elk County Town Wises Up, Abandons Effort to Block Injection Well

    I Give UpThere is a new development in the case of an illegal ban on injection wells passed by Highland Township in Elk County, PA. In 2013 the radical leftist PA-based group Community Environmental Legal Defense Fund (CELDF) convinced ignoramuses in Highland Township to pass a so-called Community Bill of Rights. Seneca Resources, a driller with leases and an active drilling program in Elk, had planned to drill an injection well on their own property to dispose of their own flowback and produced water. The CELDF-inspired ordinance Highland Twp prevented it, and Seneca threatened to sue the town (see Seneca Resources Threatens to Sue PA Town over Injection Well). Seneca made good and filed to sue, but the town and CELDF tried to prevent the lawsuit. In March of this year, U.S. Magistrate Judge Susan Paradise Baxter ruled that Seneca has standing to sue and allowed the lawsuit to go forward (see Judge Rules Seneca May Challenge Injection Well Ban in Elk County). Faced with losing the lawsuit and taxpayers owing Seneca big money, township supervisors voted to overturn the so-called Community Bill of Rights. Another crushing defeat for the CELDF…
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    4 WV Counties Refuse to Grant Statoil $6.6 Million in Tax Refunds

    lawsuitBrooke County, WV makes it four for four in denying Statoil’s request to refund tax overpayments made by the company. Statoil, based in Norway, is a big player in the West Virginia Marcellus Shale. Statoil paid property taxes to Brooke, Marshall, Ohio and Wetzel counties (all in WV) in 2015 and later found, during an audit/review, that they had overpaid those counties. They overpaid Brooke by $1.8 million, Ohio by $2.9 million, Wetzel by $1.6 million and Marshall by $342,000. We previously reported on Marshall’s refusal to refund the money (see Statoil Wants Millions in Refunds from Tax Overpayments in WV). The WV Tax Department argues that Statoil “acted negligently” and exercised “poor judgment” in not finding the mistake sooner. With Brooke’s refusal, all four counties have now voted to deny Statoil’s request. Statoil is (so far) taking Marshall and Ohio counties to court, suing them for refunds. They are “assessing…options” with respect to suing Wetzel and Brooke. You can bet your bottom dollar they will…
    Read More “4 WV Counties Refuse to Grant Statoil $6.6 Million in Tax Refunds”

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    The Evil Empire Strikes Back Against Exxon in Court Case

    Empire Strikes BackYesterday MDN brought you the story of how New York’s disgusting Attorney General, Eric Schneiderman, has been colluding “unlawfully” with other AGs, including the equally disgusting Massachusetts AG Maura Healey (see Letter Proves NY AG, Others “Unlawfully” Ganged Up on ExxonMobil). In June Exxon sued AG Healey–in U.S. District Court for the Northern District in Fort Worth, Texas, attempting to strike a blow against the monolithic and overreaching power of the government (see Exxon Fights Back Against Mass. AG’s Illegal Subpoena). Think of it this way: Exxon is the Rebel Force in Star Wars (the good guys), and Schneiderman/Healey are the Evil Empire (the bad guys). The Empire Strikes Back. Healey filed a motion in that Texas court on Monday asking the judge to dismiss Exxon’s case. In other words, she wants to smash Exxon’s right to free speech. If Exxon doesn’t agree that the fairy tale of man-made global warming exists, and that their product is polluting the planet, Healey wants the right to throw them in jail and take all their money. That’s what this is about. Unbridled, Nazi-like powers against private citizens and private companies by a state run amok…
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    Bloomberg Predicts Court Will Strip NY’s Right to Stop Constitution

    Constitution PipelineWe have been making the point, loudly, for the past year, that IF New York State blocks the Constitution Pipeline, as they have now done, the state runs the very real risk of having the federal government strip away their right to make such decisions about any federally-approved pipeline project. We’ve previously warned that New York is in grave danger of losing their power by attempting to block the Constitution. We wrote the following in October 2015: When MDN editor Jim Willis attended the Shale Insight conference in Philadelphia in September, he listened to a panel discussion of midstream (pipeline) experts, including a former FERC commissioner. He got to ask a question and the question, roughly, was this: “The NY DEC is currently holding up the FERC-approved Constitution Pipeline. What if the DEC refuses to issue the necessary permits? What happens next?” The answer Jim got was, “It depends.” The bottom line seems to be that it’s likely FERC (and Williams) will need to take the DEC to court. The DEC frankly has no legal right to prevent a federally approved project from being built. That’s the bottom line. It may take a court to force the DEC (and Gov. Cuomo) to act, but in this matter the law is on our side. This is not a question of “if,” it is a question of “when” the pipeline will get built (see Time to Force NY DEC to Issue Permit for Constitution Pipeline). And now we get to brag about how prescient we were. Williams did indeed have to take New York to court, and now a Bloomberg analyst has written an article expressing essentially the same sentiment we expressed last year (see it below), saying Williams–the builder of the Constitution Pipeline–is “favored to prevail” in one (if not both) legal challenges they have filed. A victory by Williams will result in neutering New York’s authority to block this and other similar projects…
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    Court Rejects Dela. Riverkeeper Case Against PA DEP Pipe Approval

    happy dance - SnoopyTime to do a happy dance. THE (arrogant) Delaware Riverkeeper has lost yet another court case–one of many such cases they continuously file to stop any fossil fuel-related project in the northeast. In March MDN told you that THE Delaware Riverkeeper had sued the Federal Energy Regulatory Commission, challenging their decision to approve the Williams Transco Pipeline’s Leidy Southeast Expansion from PA to New York City (see Dela. Riverkeeper Sues FERC Again – Over Leidy Pipeline Expansion). Riverkeeper wanted to hedge its bets–so at some point (not sure when) they also sued the Pennsylvania Dept. of Environmental Protection (DEP) and Riverkeeper’s philosophical clones at the New Jersey Conservation Foundation sued the New Jersey Department of Environmental Protection (NJDEP) claiming the agencies acted “arbitrarily or capriciously” in granting state permits for the Leidy Southeast Expansion project. The U.S. Court of Appeals for the Third Circuit this week slapped down Riverkeeper and their clones in NJ, saying the states were well within their rights to grant those permits, and they did nothing wrong…
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    Judge Rules No Class Action Against Chesapeake in PA Royalty Case

    go it aloneA landowner couple in Bradford County, PA, Edward and Kathleen Ostroski, filed a royalty lawsuit against Chesapeake Energy claiming Chesapeake was screwing them out of money by conducting “creative” accounting and deducting expenses that shouldn’t be deducted. Seems like there’s hardly a state where Chessy drills where someone has not filed a similar lawsuit against the company. However, in the Ostroski case, the couple claimed (or rather, their lawyers claimed) the case should be a class action. That there are in fact some 2,000 other landowners similarly affected by Chesapeake’s actions. A U.S. Middle District judge ruled on Monday that the Ostroskis may pursue their case–but only for themselves. There will be no class action. If other landowners feel cheated, they will have to bring their own lawsuits against the company…
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    Big Stakes: Gorsline Zoning Case Goes to PA Supreme Court

    theyre backGuess who’s back with a case now before the Pennsylvania Supreme Court? Yep, the odious nutters from Big Green Groups PennFuture, THE (arrogant) Delaware Riverkeeper, and the Peters Township gang. You may recall we reported last September of the humiliating defeat suffered by these groups in the “Gorsline” case (see Major Victory for PA Landowners/Drillers in Lycoming County Case). It was a Lycoming County zoning case before the Pennsylvania Commonwealth Court. In Gorsline v. Board of Supervisors of Fairfield Township, anti-drilling neighbors, including Brian and Dawn Gorsline, Paul and Michele Batkowski and others (collectively “Gorsline”) sued to stop a conditional use permit granted by Fairfield Township to allow Inflection Energy to construct a well pad on the property of Donald and Eleanor Shaheen. The case was weak, but the lowest court in the PA court system–the Court of Common Pleas (i.e. county court)–said the ninny nanny neighbors had a right to strip away the Shaheen’s property rights to allow drilling on their own property. The PA Commonwealth Court obliterated the faulty reasoning of the lower court and, significantly, redefined how courts should interpret the results of the Act 13 zoning lawsuit that allows local municipalities the right to restrict shale drilling. Unfortunately the matter won’t rest there. The Pennsylvania Supreme Court has taken up the Gorsline case on appeal. The PA Supreme Court has a 5-2 majority of left-leaning Democrats. Below we have a copy of the brief filed by PennFuture on behalf of the ninny nanny Gorslines, along with “friend of the court” briefs filed by THE Delaware Riverkeeper and Peters Township. Folks, this is a dangerous case the for drilling industry… Read More “Big Stakes: Gorsline Zoning Case Goes to PA Supreme Court”

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    Cove Point LNG Now 67% Complete, Atlantic Coast Pipeline on Track

    Dominion Cove Point Terminal
    Dominion Cove Point Terminal – click for larger version

    Last week utility and midstream giant Dominion issued their second quarter update and held an earnings/analyst call to discuss the update. Sometimes those earnings calls are a treasure trove of information you don’t see in the prepared quarterly update, especially in the unscripted Q&A that follows prepared remarks. Such was the case last week. Dominion’s CEO and President, Tom Farrell, along with other top brass from the company, offered up key insights into the Cove Point LNG export project, the Atlantic Coast Pipeline project, Blue Racer Midstream (a Dominion’s joint venture project), and the status of leased acreage for which the company owns Marcellus/Utica drilling rights. A smorgasbord of yummy updates! Here they are…
    Read More “Cove Point LNG Now 67% Complete, Atlantic Coast Pipeline on Track”

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    Shakedown Complete: XTO Pays PA AG $400K to Make Case Go Away

    Make Him an Offer He Can't RefuseJust prior to going on trial for committing felonies while in office, Pennsylvania Attorney General Kathleen Kane (Democrat) needed something, ANYTHING, to distract the press from focusing on her own crimes. Since she took office in January 2013, Kane has targeted the Marcellus industry. One of the first high profile cases she manufactured (out of nothing) was to accuse XTO Energy of committing a crime in an accidental spill of a few thousand gallons of frack wastewater–an accident in Lycoming County, PA that happened years before she took office and didn’t have any long-term effects (see PA AG Abuses Her Authority, Files Criminal Charges Against XTO). The case Kane has tried to manufacture against XTO, launched in her first year in office, is finally over. Instead of dragging it out further, XTO decided to pay Kane $400,000 to make it all go away (called a shakedown in the organized crime world). Kane is settling with XTO using a “rehabilitation” program normally used for drunk drivers without a prior record–that’s how desperate she is to get this case settled and turn the focus away from herself for a few days. “Coincidentally” Kane’s own felony trial begins on Monday. It’ll be a sweet day to watch her frog marched out in leg irons when she’s convicted…
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    CELDF Loses Case to Represent Ecosystem – Turtles Disappointed

    Gavel-falling.jpgScore an important victory against the forces of darkness. The radical leftist PA-based group Community Environmental Legal Defense Fund (CELDF) does its best to trick townships into passing illegal bans on fracking and injection wells. In 2013 the CELDF fooled Highland Township in Elk County, PA into passing a ban on wastewater injection wells. They also tricked Grant Township in Indiana County, PA to do the same thing. Both towns are in court defending their illegal actions. One of the idiotic legal tactics used by the CELDF in both cases is to claim that an ecosystem is a “person” under the law–a person who can file to join the town’s lawsuit in an effort to protect itself (see It Speaks! An “Ecosystem” has Filed to Join a Lawsuit in PA). Of course the CELDF appoints itself as the representative of said ecosystem. It’s an asinine notion. Will the tree in my front yard sue me for cutting a branch off it? Will my gravel driveway sue me if I decide to pave it? Get real. Back to declaring victory. Pennsylvania General Energy (PGE) filed a lawsuit against Grant Township for $1 million for blocking construction of PGE’s legally permitted injection well. That CELDF has already said it won’t help Grant taxpayers foot the bill if they lose the lawsuit–after adopting the CELDF’s very own ban language (see Anti Group CELDF Won’t Help Grant Twp Pay $1M Judgement). Last week the Third Circuit Court of Appeals in PA ruled that a so-called ecosystem (the Little Mahoning Watershed) does NOT have standing in the case, completely rejecting the CELDF and their arguments. Grant Township taxpayers should be prepared to open up their wallets, they’re about to get soaked (note that the CELDF has already snuck out of town)…
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    15 States File Lawsuits to Block EPA O&G Methane Rule

    lawsuitIn May the federal Environmental Protection Agency (EPA) once again far overstepped its charter by seizing power that doesn’t belong to it. They issued new methane rules in a back-door way to try and regulate the oil and gas industry (see EPA Does it Again: Tries to Destroy O&G with New Methane Rule). North Dakota was the first state to sue the EPA over the new standard. Not long after Texas also sued. And last week, another 13 states joined together to sue over the standard–to block it from taking effect. All 15 are now combined into a single case. Below is a list of the states with spine, standing up to the bullies at the EPA, along with the paltry, precious-little reporting we can find about the lawsuit launched last week by a group of 13 states joined, to the lawsuits by ND and TX…
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    PA Court Rejects Radicalized Kids’ Global Warming Lawsuit

    rejected.jpgLast August MDN told you about a lawsuit brought by a group of left coast radicalized children who want to force the federal government to become communist and “force action” on mythical climate change (see Group of Kids Sues U.S. Govt to Force Action on “Climate Change”). In January of this year, we brought you an update, telling you that radicalized, fringe Catholic groups had joined the cause with the ignorant children (see Climate Change Lawsuit by Radicalized Children Gets Interesting). What we didn’t know is that at the same time manipulating adults on the Left Coast were (ab)using children to file their lawsuit, the same thing was happening in Pennsylvania. A group of minors, being manipulated by radical adults, filed their own version of the same lawsuit. In PA the lawsuit asked the court to use the state’s so-called Environmental Rights Amendment to force the Executive Branch (i.e. the governor) to develop a plan to protect these poor, defenseless children against mythological man-made global warming. That is, it was a lawsuit to stop all drilling for oil and natural gas–flying under the guise of protecting PA citizens from “climate change.” On Tuesday, the Commonwealth Court of Pennsylvania rejected this nonsensical lawsuit, tossing it out (full copy of the decision below). Now the radicalized children, still being manipulated by radicalized adults, are appealing the case to the PA Supreme Court…
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    NY & MA AGs Refuse to Comply with Congressional Supeona

    lawlessThe lawless Attorney General in New York, Eric Schneiderman, and his philosophical twin in Massachusetts, AG Maura Healey, are refusing to obey a subpoena issued by Congress for copies of their communication records that would show the two (along with other AGs) have been unethically (perhaps illegally) colluding with Big Green groups in targeting Exxon Mobil over the issue of so-called global warming. As MDN previously reported, Schneiderman, Healey and several other far-left radicals made fantastical claims that Exxon “knew” that burning their evil, filthy, nasty oil and natural gas is causing Mom Earth to warm up, so the AGs served subpoenas to Exxon to turn over every piece of communication the company has ever had. Why? So the AGs could try to build a case against Exxon’s expression of free speech (see NY AG Targets/Accuses ExxonMobil of Lying about ‘Climate Change’). Interestingly, Schneiderman, Healey and others in this cabal were suspected, now with proof, that they’ve been colluding with each other and with radical Big Green groups in their witch hunt of Exxon (see Smoking Gun: AGs Signed Pact to Keep Exxon Documents Secret). So Congress went on a little fishing expedition of its own, issuing subpoenas to Scheiderman et al (see NY AG, Others Served Congressional Subpoena re Exxon Witch Hunt). Schneiderman and Healey are officially refusing to obey the subpeona. Hey psycho AGs: Exxon has every right to refuse YOUR subpoenas too! Sauce for the goose…
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    PA Supreme Court Decides “Title Washing” OK in Mineral Rights Case

    Gavel-falling.jpgYou’ve heard of “whitewashing” before. How about “title washing?” No, we hadn’t either. But this funny sounding practice has a great deal to do with mineral rights in Pennsylvania, with possible implications for landowners and drillers. The Pennsylvania Supreme Court issued a 5-0 ruling last week that upholds the practice of title washing in the Keystone State. What in the world is it, and how does it affect landowners and drillers? In the case of Herder Spring Hunting Club v. Keller there had been a tax sale in 1935 for a property in Centre County, PA where the mineral rights had previously been separated. Prior to 1948 if mineral rights that had been separated were not properly recorded (it was incumbent on the owner of the subsurface rights to ensure the sale was recorded at the assessor’s office), and the surface land was later sold, both the mineral rights (subsurface) and the surface land became part of the sale. That, in essence, was title washing. After 1948 a law prevented this from happening, so such cases only apply to land sold before 1948. The legal beagles at Babst Calland have a good overview of what the practice of title washing is, and how the Court’s decision affects Pennsylvanians. We also have a copy of the decision embedded below…
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    Constitution Pipeline Gets a Little (Court) Help from Its Friends

    Constitution Pipeline map
    Constitution Pipeline map – click for larger version

    In perhaps the sleaziest of sleazy political moves, New York Gov. Andrew Cuomo made the non-science-based political decision to deny the Constitution Pipeline stream crossing permits in April (see NY Gov. Cuomo Refuses to Grant Permits for Constitution Pipeline). The man is a menace to all New Yorkers. He caves to his radical, fringe left on a regular basis, as he did with his decision to deny the Constitution Pipeline. Williams, Cabot and the other partners in the project aren’t taking it laying down. They sued New York State in federal court with the very real possibility that the court will neuter NY’s decision-making role in the project (see Williams Sues NY Over Constitution Pipe – DEC May Lose Authority). The Constitution doesn’t stand alone. A number of national industry organizations are coming to the Constitution’s defense. On Tuesday the Natural Gas Supply Association (NGSA) and other groups together filed an amicus curiae brief with the U.S. Circuit Court of Appeals for the Second Circuit. “Amicus curiae” means “friend of the court” in Latin. The brief (full copy below) makes the point that states should not be the tail that wags the federal-oversight-of-such-projects dog. That is, the New York Dept. of Environmental Conservation (DEC) is preventing the Federal Energy Regulatory Commission (FERC) from doing its job. One government entity (especially a state) cannot block the power and authority of another government entity (in particular the federal government)…
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