Litigation

Chesapeake Energy | Energy Companies | Industrywide Issues | Lease & Royalty Payments | Litigation | Pennsylvania | Statewide PA

Chesapeake & PA Landowners Settle Royalty Lawsuit…Again
December 30, 2014December 30, 2014

In September 2013 MDN told you that Chesapeake Energy had “settled” a lawsuit that would reimburse Pennsylvania landowners for post-production costs Chesapeake had deducted from royalty checks, leaving some landowners with checks for pennies (see Chesapeake Settles PA Royalty Lawsuit for Pittance: $7.5M). As we said at the time, it was a pittance that Chessy would pay $7.5 million to be shared among “several thousand” landowners, with 1/3 of it going to lawyers. The suit was never settled because some landowners sued to block it while they filed their own, separate lawsuit. The disagreeing landowners have finally joined and have (now) accepted an offer from Chesapeake to settle–for $11 million. Still peanuts if you ask us, but perhaps something is better than nothing?…
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Dominion Energy | Energy Services | Industrywide Issues | Litigation | Pipelines | Statewide VA | Virginia

Dominion Sues VA Landowners to Allow Survey for Pipeline
December 30, 2014December 30, 2014

In September, Dominion committed full force to building a 550-mile, $5 billion natural gas pipeline that will run from West Virginia, through Virginia and into North Carolina (see Dominion Commits to Major New Marcellus/Utica Pipeline Project). The project, called the Atlantic Coast Pipeline, will transport Marcellus and Utica Shale gas to the southeast. In November, Dominion asked the Federal Energy Regulatory Commission (FERC) to begin an environmental review of the project (see Dominion Asks FERC to Start Environmental Review of SE Pipeline). In order to do a proper review and to finalize plans for the route, Dominion surveyors need to get on property of landowners in Virginia who have, so far, refused them entry. So Dominion has now taken 40 Virginia landowners to court to force them to allow a survey…
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Anschutz Exploration | Chemung County | Energy Companies | Industrywide Issues | Litigation | New York

Exclusive: Anschutz Wins 4 Yr-Old NY Methane Contamination Case
December 29, 2014December 29, 2014

An MDN exclusive: In 2010, at the beginning of widespread public consciousness about the Marcellus Shale and a time when drilling was just taking off in Pennsylvania, a New York City personal injury law firm smelled opportunity with a group of landowners in Chemung County, NY. Nine families living in Big Flats claimed that nearby gas drilling from Anschutz Corporation had “contaminated” their water wells (see our story at the time, Supposed “First Claim” Filed in New York Alleging Water Contamination from Hydraulic Fracturing Gas Drilling). The NYC law firm claimed in a press release (falsely) that the two wells drilled by Anschutz had been fracked (see Anschutz Exploration Responds to Lawsuit Claiming Drilling Operations Contaminated Water Wells in Big Flats, NY). The case started out in a lower court, called Supreme Court in New York (go figure) and eventually ended up in U.S. District Court in Western NY. Last week, U.S. District Court Judge Charles Siragusa dismissed the case against Anschutz…
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Hydraulic Fracturing | Industrywide Issues | Litigation | New York | Regulation | Statewide NY

Do “Takings” Lawsuits Stand a Chance for NY Landowners?
December 23, 2014December 23, 2014

Last week MDN posed the question, In Light of NY Frack Ban, What Happens to Signed Leases? In that article, we also began to address the topic of lawsuits based on “takings”–the fact that New York has stripped away the right of a landowner to profit and use his or her land as he or she sees fit–including fracking under it–and those landowners are owed just compensation. Today we pick up that thread. What recourse do New York landowners have at this juncture, and what actions can they take next? Would a takings lawsuit have a prayer of a chance?…
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Industrywide Issues | Litigation | Ohio | Statewide OH

4 Important Dormant Mineral Act Cases with OH Supreme Court
December 15, 2014December 15, 2014

In September, MDN shined a light on an important issue for both landowners and drillers in the Ohio Utica Shale: the Dormant Minerals Act, or DMA (see Video: OH Lawyers Explain Dormant Minerals Act & Impact on Utica). The Ohio Supreme Court currently has four cases before it that deal with the DMA. The high court could rule on any one (or all) of them at any time. Here’s a helpful summary of the situation from legal beagle David Wigham, from the firm Critchfield, Critchfield & Johnston, in Wooster, Ohio…
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Hydraulic Fracturing | Industrywide Issues | Litigation | New York | Regulation | Statewide NY

New Wrinkle in NY: Towns Must Pass Zoning Laws to Allow Fracking
December 9, 2014December 9, 2014

Anti-drilling former “reporter” for the Binghamton Press & Sun-Bulletin, Tom Wilber, is back with an insightful article in the P&SB. Wilbur highlights an issue just now coming to light for residents in New York. Earlier this year the New York Court of Appeals (NY’s highest court) made a disastrous ruling that allows townships to ban fracking (see Shale Drilling in NY is Over – High Court Upholds Town Bans). The continuing sliver of hope for NY landowners is that Gov. Andrew “can’t make up his mind” Cuomo will make up his mind, lo these 6 years later, and allow fracking to take place. The thinking has been that the fight (for anti-drillers) will now focus on attempting to get town boards to enact a ban–something not likely to happen in places most likely to drill. Wilber’s article points out a big, fat problem with that thinking: the high court’s decision in July did a lot more than just allow towns to ban drilling. In light of the July decision, towns with zoning ordinances (almost all towns in NY) must specially allow drilling–or it can’t take place by default…
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Air Quality | Industrywide Issues | Litigation | Pennsylvania | Regulation | Sand/Proppant | Wyoming County (PA)

Deuling Air Quality Studies for NEPA Frac Sand Transfer Station
December 9, 2014December 9, 2014

MDN has tracked the case of a proposed D&I Silica (owned by Hi-Crush Partners) frac sand transfer facility in Tunkhannock (Wyoming County), PA and some of the ins and outs along the way. D&I is ready to build the facility but lacks one important permit–from the county. So D&I has sued to get it (see NEPA Town Residents Resist Frack Sand Transfer Station). That lawsuit was settled in November and construction will now go forward. We recently brought you a report from a resident and long-time reader of MDN on the situation (see Revisiting Frac Sand Facility Controversy in Tunkhannock, PA). We have a new update: Both the county and the state Dept. of Environmental Protection (DEP) are proposing air quality studies to ensure nearby residents are not exposed to silica dust which acts a lot like asbestos particles and can, in the most extreme cases, can cause lung cancer. The question is, whose study will get done, or will taxpayers pay for both studies?…
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Industrywide Issues | Jobs | Litigation | Supply Chain

Thorny Issues in Using Independent Contractors in Shale Drilling
December 5, 2014December 5, 2014

Most exploration & production (E&P) companies–the ones who risk the money to have oil and gas wells drilled–don’t actually DO the drilling themselves. They hire it done by using oilfield services companies like Schlumberger, Halliburton and Baker Hughes. In addition, they hire just about everyone done–from security at well pads to earth moving to water trucking to you name it. The shale drilling industry, particularly in the Marcellus and Utica, is a bonanza for local businesses or “independent contractors” that plug in to the industry supply chain. However, there are some negatives for E&Ps when it comes to using independent contractors rather than having employees on the payroll do the work. The sharp lawyers at Vorys, Sater, Seymour and Pease say lawsuits alleging violations of the Fair Labor Standards Act are now more common than employment discrimination cases for oil and gas companies. They’ve just issued an alert/advisory on the pros and cons of using independent contractors in the oil and gas industry…
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Anti-Drilling/Fossil Fuel | Industrywide Issues | Litigation

Enviro Groups Sue DOT to Stop Bakken Oil Rail Shipments
December 4, 2014December 4, 2014

The radicals at Earthjustice, the Sierra Club and ForestEthics (bet you didn’t know that forests have ethics, didja?) have sued the federal Dept. of Transportation to challenge the DOT’s refusal to ban railroads from shipping crude oil via rail from the Bakken (and other shale plays). This is the same tactic repeatedly used by anti-drillers (and leftists everywhere) to create new laws without getting Congress involved. Sue a regulatory agency, win the lawsuit, then the agency is “forced” to enact a regulation it (supposedly) didn’t want to enact–at the gun point of a lefty judge. (Watch this video of Oklahoma Attorney General Scott Pruitt for an explanation of how they do it.) What Earthjustice and their ilk continue to do to our justice system is sick…
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Energy Companies | Industrywide Issues | Litigation | Pennsylvania | Range Resources Corp | Washington County

PA Family Sues Range Resources over Nearby Drilling, Impoundment
December 1, 2014December 1, 2014

Range Resources has for years been battling allegations that their wastewater impoundments in Washington County, PA have leaked and polluted nearby water wells. The Pennsylvania Dept. of Environmental Protection (DEP) investigated and in September levied a $4.15 million fine against Range, requiring the company to close five of seven impoundments (see PA DEP Fines Range Resources $4.15M for Wastewater Impoundments). Along the way several landowners have sued Range–over the impoundments and over nearby drilling. Add one more to the list: The Lauff family in Mt. Pleasant Township has filed a lawsuit alleging negligence by Range in the way they drilled several nearby wells and in their operation of a wastewater impoundment…
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Anti-Drilling/Fossil Fuel | Energy Companies | Indiana County | Industrywide Issues | Litigation | Pennsylvania | Pennsylvania General Energy | Wastewater

Little Mahoning Watershed to Testify in Court Case (??)
November 21, 2014November 21, 2014

You have to give the silly anti-fossil fuel nutters one thing–they sure are creative. The latest nonsense to come from the extreme left is that artificial constructs like watersheds now have “rights” and can somehow speak for itself. At least that’s what’s being claimed in a “first of its kind” motion by–yes–the Little Mahoning Watershed (Indiana County, PA). We wonder, what does the Watershed’s voice sound like? And where, precisely, did the Watershed scribble down its statement that was recently delivered to the court? We’d like to see that place and behold that miracle. This would all be rolling-on-the-floor funny if extremists weren’t so hellbent on bastardizing our laws and the U.S. Constitution–to the point our legal system becomes meaningless. The Community Environmental Legal Defense Fund (CELDF), which hangs its hat in Mercersburg, PA, says Little Mahoning Watershed spoke to it and whispered it doesn’t want to be polluted by nasty frack wastewater…
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Anti-Drilling/Fossil Fuel | Industrywide Issues | Landfills | Litigation | Ohio | Regulation | Statewide OH | Wastewater

Another Day, Another Lawsuit from Food & Water Watch
November 20, 2014November 20, 2014

The anti-drilling Fresh Water Accountability Project (FWAP)–based in Ohio–along with the odious and litigious (and misnamed) Food & Water Watch have once again, sued. Surprise! This time they’ve sued OH Gov. John Kasich along with the Ohio Department of Natural Resources (ODNR) for what they claim are the “illegal approval of at least 23 fracking waste handling, storage, processing and recycling facilities to operate.” Lea Harper, head of the so-called FWAP, has been involved in other anti-drilling lawsuits, including one against the Muskingum Watershed Conservancy District. FWW must have to employ a librarian to keep track of all their anti-drilling lawsuits. Here’s the latest bald-faced lies from these two litigious organizations:
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Industrywide Issues | Litigation | Ohio | Statewide OH

Another OH DMA Case Decided in Favor of Landowners
November 17, 2014November 17, 2014

For some time now MDN has been following court challenges to Ohio’s Dormant Mineral Act (DMA). The DMA is really two pieces of legislation: One which went into effect in 1989, the other which sought to clarify the 1989 law that went into effect in 2006 (see Video: OH Lawyers Explain Dormant Minerals Act & Impact on Utica). The Ohio Supreme Court has heard a case on the DMA but has still not ruled. However, other cases on the periphery of the DMA have been decided (see OH 7th Circuit Court of Appeals Decision on Dormant Minerals Act). Another such case, Wendt v. Dickerson, was decided a few weeks ago–a case which found in favor of landowners who want to reclaim mineral rights in certain circumstances…
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Axiall | Energy Companies | Energy Services | Gastar Exploration | Hydraulic Fracturing | Industrywide Issues | Litigation | Marshall County | West Virginia

Gastar Fracking Near WV Chemical Plant Halted Pending Court Review
November 13, 2014November 13, 2014

Chemical manufacturer Axiall, with a plant in Natrium (Marshall County), WV, has successfully stopped Gastar from fracking several drilled shale wells located near the chemical plant. Why? They’re afraid that the fracking process will allow gas to travel underground and affect their previously drilled brine wells in the area. That exact scenario, according to Axiall, played out last year when Triad Hunter fracked wells nearby. The fracking, according to Axiall, led to a blowout at one of their brine wells and the well began emitting natural gas–an explosion hazard. A judge agreed with Axiall and put a stop to any fracking by Gastar pending a full hearing before the court…
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Energy Services | Industrywide Issues | Litigation | Minuteman Environmental Services | Pennsylvania | Statewide PA

PA AG Kane Tries to Derail Counter Lawsuit in Minuteman Bankruptcy
November 10, 2014November 10, 2014

Pennsylvania Attorney General Kathleen Kane is once again trying to manipulate the court system to support her ongoing witch hunts into the Marcellus Shale industry. You may recall she previously abused her office in filing criminal charges against XTO Energy for an accidental spill that occurred two years before she took office (see PA AG Abuses Her Authority, Files Criminal Charges Against XTO). She’s also brought criminal charges against EQT (see PA Attorney Gen. Kane Abuses Office Again, Arrest Warrant for EQT). But it’s not only the big boys she has a vendetta against. She also shut down a small company that does environmental remediation and wastewater disposal (see Minuteman Enviro Says PA AG Office “Terrorized” Family Members, Filing Lawsuit). The company had the audacity to fight back, filing their own lawsuit against Kane because she’s forced the company into bankruptcy by her abusive actions (see Minuteman Sues AG Kane’s Office for $20M + Punitive Damages). Kane now wants to keep the bankruptcy court judge from making a ruling in that lawsuit, furthering her abuse of power…
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Accidents | Energy Companies | Industrywide Issues | Litigation | Lycoming County | Pennsylvania | XTO

Minor Setback for XTO in PA AG’s Criminal Case for 2010 Spill
November 4, 2014November 4, 2014

Arriving with the promise to hassle the Marcellus drilling industry when she took office in January 2013, Pennsylvania Attorney General Kathleen Kane kept her promise. After assuming office, she promptly looked for old cases she could reopen in order to make a name for herself. She found one in a two year-old case of an accidental spill of frack wastewater by XTO Energy (part of ExxonMobil). She proceeded to abuse the power of her office by bringing criminal charges against XTO for that two year-old (now four year-old) case (see PA AG Abuses Her Authority, Files Criminal Charges Against XTO). There is a new development in the case. XTO requested the case be dismissed because it was previously investigated “jointly” by both state and federal investigators. The judge presiding over the case has found that there was no “jointly” in the investigation and eventual settlement…
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