Litigation

Beck Energy | Energy Companies | Hydraulic Fracturing | Industrywide Issues | Litigation | Ohio | Regulation | Summit County

OH Appeals Court Strikes Down Home Rule for Drilling
February 7, 2013February 7, 2013

In 2012, Beck Energy Corp. got a permit from the OH Dept. of Natural Resources (ODNR) to drill on property located in the City of Munroe Falls (Summit County), OH. Beck started drilling and the city slapped a Stop Work Order on them and took them to court, saying Beck was not in compliance with a number of local ordinances and necessary permits. The local trial court supported Munroe Falls’ position and ruled in their favor.

Beck appealed the trial court decision to the Ohio Court of Appeals (Ninth District) and in a decision handed down yesterday, the appellate court sided with Beck and against so-called “home rule” when it comes to oil and gas drilling. The Ninth District instructed the lower court to reverse its opinion. This decision (full copy embedded below) has major consequences for both Utica Shale drillers and municipalities throughout the state…

Read More “OH Appeals Court Strikes Down Home Rule for Drilling”
Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Litigation | New York | Pipelines | Spectra Energy | Statewide NY

Judge Tosses Out Lawsuit Against Spectra NYC Pipeline Project
February 5, 2013February 5, 2013

Spectra Energy continues to battle environmental extremists who want nothing to do with more natural gas (especially “filthy” shale gas) coming into New York City, even though NYC Mayor Michael Bloomberg calls more natural gas “vital” to the city. Spectra has had to battle nutty protesters that strip down (see NYC Pipeline Protesters Get Naked, Paint Themselves Green), and even protesters who don’t tell themselves they’re about to break the law (see Nutjob Protester Stops NYC Pipeline Construction for 2 Hours).

The protesters and their more adult-acting supporters took Spectra to court in New York State to stop the 16-mile pipeline from New Jersey to New York City from being built. A judge has just tossed the lawsuit telling the protesters, “wrong court”…

Read More “Judge Tosses Out Lawsuit Against Spectra NYC Pipeline Project”
Accidents | Energy Services | Industrywide Issues | Litigation | MarkWest Energy | Pennsylvania | Washington County

MarkWest Sues Enerflex Over Compressor Station Fire in Western PA
February 5, 2013February 5, 2013

Midstream powerhouse MarkWest filed a lawsuit on Monday in Washington County, PA seeking $1.1 million from Enerflex Energy Systems, manufacturer of equipment for compressor plants. MarkWest says Enerflex sold them defective equipment that led to a fire, and a lot of damage, in their compressor facility in Avella, PA last year:

Read More “MarkWest Sues Enerflex Over Compressor Station Fire in Western PA”
Energy Companies | Hydraulic Fracturing | Industrywide Issues | Litigation | Pennsylvania | Range Resources Corp | Regulation | Washington County

Robinson Twp, PA Drags Feet on Approving New Permits to Drill
February 4, 2013February 4, 2013

Why are drilling permits from Range Resources not being approved in Robinson Township (Washington County), PA? You may recall that Robinson is one of seven towns in PA that sued the State of Pennsylvania over Act 13, a new shale drilling law passed in February 2012. Robinson and the other towns object to a provision in Act 13 that replaces the right of local towns to enact zoning restrictions on oil and gas drilling and instead replace local rules with a uniform set of zoning rules from the state (see Lawsuit Filed: PA Towns Sue State over Marcellus Act 13 Law).

Robinson and the other towns went to court over the provision and won their case in the lower courts. The decision was appealed by the state all the way to the PA Supreme Court where a everyone eagerly awaits a decision (see PA Supreme Court Hears Testimony on Act 13 Zoning).

Read More “Robinson Twp, PA Drags Feet on Approving New Permits to Drill”
Chesapeake Energy | Energy Companies | Industrywide Issues | Litigation | Ohio | Statewide OH

Chesapeake Wins Permit Case Before OH Supreme Court
February 1, 2013February 1, 2013

Chesapeake Energy has won an important appeal before the Ohio Supreme Court that ruled the Ohio Oil and Gas Commission did not have jurisdiction to hear an appeals case from a landowner over a permit issued to Chesapeake from the OH Division of Oil and Gas Resources Management to drill on the property. It was a case of the wrong agency sitting in judgment—the wrong “referee” if you will:

Read More “Chesapeake Wins Permit Case Before OH Supreme Court”
Industrywide Issues | Litigation | Regulation

Law Firm Launches Study of Legal Trends in Shale Development
February 1, 2013February 1, 2013

Yeah, we know it’s a press release from a law firm (we see them every day!). But this one, MDN reckons, is noteworthy. The 12th largest oil and gas law firm in the country, Steptoe & Johnson (with offices about everywhere in the Marcellus & Utica Shale), is conducting a study of legal trends for businesses working to develop the Marcellus, Utica and other shale plays. The results are due to be released in April and should be interesting.

Here’s the details about the new study (and how you can participate) from Steptoe & Johnson:

Read More “Law Firm Launches Study of Legal Trends in Shale Development”
Belmont County | Energy Companies | Industrywide Issues | Litigation | Ohio | Oxford Oil Company

Belmont County Landowners with Lease Sue to Stop Well Drilling
January 24, 2013January 24, 2013

A Barnesville (Belmont County), OH couple have sued the company they signed a lease with in 2008, Oxford Oil Company, to prevent Oxford from drilling a new well on a hayfield on their property.

The details as we know them:

Read More “Belmont County Landowners with Lease Sue to Stop Well Drilling”
Broome County | Industrywide Issues | Litigation | New York | Property Value | Statewide NY | Tioga County (NY)

Important Decision in Court Case Affects all NY Landowners
January 17, 2013January 17, 2013

A very important legal decision in New York potentially affects all New York landowners with and without drilling leases who have seen a sharp jump in their property assessments. A Broome County, NY Supreme Court judge has just ruled in favor of four Tioga County, NY landowners who sued to have their property assessments reduced, believing their assessments were unfairly raised because of the perceived increase in land value from the possibility (i.e. “speculation”) that the land may one day see Marcellus Shale drilling.

Read More “Important Decision in Court Case Affects all NY Landowners”
Crime | Industrywide Issues | Litigation | Pennsylvania | Statewide PA | Wastewater

Did Man Convicted of Dumping Shale Wastewater Get Off Easy?
January 2, 2013January 2, 2013

The Pennsylvania State Attorney General’s office has appealed the sentencing of a man who owned a shale gas wastewater hauling company who was convicted off dumping millions of gallons of wastewater into streams and abandoned mine shafts. The AG thinks a sentence of seven years’ probation with no prison time is not good enough:

Read More “Did Man Convicted of Dumping Shale Wastewater Get Off Easy?”
Carroll County | Columbiana County | Industrywide Issues | Lease & Royalty Payments | Litigation | Ohio

Judge Tells Ohio Landowners They Can’t Break Lease
December 14, 2012December 14, 2012

A lawsuit filed by 95 landowners in Carroll and Columbiana counties (Ohio) has been decided in favor of Chesapeake Energy and against the landowners. Last month, Judge Richard Markus (Common Pleas Court) issued his decision that the landowners in the case could not break their lease if they received a better offer—something they thought they could do according to a provision in the lease.

Here’s the details of the case and the decision:

Read More “Judge Tells Ohio Landowners They Can’t Break Lease”
Air Quality | Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | Litigation | New York | Statewide NY

7 States Threaten EPA Lawsuit over Methane Emissions
December 12, 2012December 12, 2012

An out-of-control New York Attorney General Eric Schneiderman is the ring leader for seven northeastern states who say they plan to sue the federal Environmental Protection Agency (EPA) to force the EPA to enforce even stricter air emissions rules (if such a thing is possible) to reduce methane emissions from oil and gas drilling. Earlier this year the EPA introduced far stricter rules that require drillers to install expensive new equipment to trap leaking (so-called “fugitive”) methane—perhaps driving some of them out of business in two years when the new rules are fully implemented.

Read More “7 States Threaten EPA Lawsuit over Methane Emissions”
Chenango County | Industrywide Issues | Landowner Coalition News | Litigation | New York

CNY Landowners Establish Legal Fund to Sue Towns with Bans
December 11, 2012December 11, 2012

Landowners in the central New York area are tired of having their property rights trampled by a few of their discontented (and misguided) neighbors. When two of three town board members vote to institute a ban or moratorium, it strips away the rights of all landowners in the town and devalues their property, making it all but impossible for them to sign leases for potential future natural gas drilling.

The CNY Landowner’s Coalition (Central New York) has established a fund to help with attorneys fees to defend their property rights against what they consider to be an illegal seizure of their property rights by some towns. First up is to defend their rights against a misguided moratorium in Oxford (Chenango County, NY). Note to Oxford town board members and residents: prepare to spend big bucks to defend a permanent moratorium if you pass one. It’s not a threat—it’s a promise.

Read More “CNY Landowners Establish Legal Fund to Sue Towns with Bans”
Energy Companies | Hydraulic Fracturing | Industrywide Issues | Lenape Resources | Litigation | Livingston County | New York | Regulation | Statewide NY

Lenape Sues Avon, NY & DEC over Fracking Ban – Seeks $50M
November 30, 2012November 30, 2012

The residents of Avon, NY will have to come up with $50 million if a local driller wins a lawsuit filed earlier this month. Lenape Resources, a small, independent conventional (vertical) natural gas driller in western New York sued Avon, NY and the state Dept. of Environmental Conservation (DEC) because of a broad-based ban on fracking and natural gas activities in the township passed in June.

Avon, in a misguided attempt to ban fracking, drafted and passed a new zoning law so broad it affected not only unconventional shale drilling but also conventionally drilled (vertical) gas wells. At the time, Lanape’s president John Holko threatened to sue both the town and the DEC if the ban was not rescinded (see this MDN story for background on the ban and Holko’s threat of a lawsuit). The ban stayed, the DEC has refused to enforce a 1981 state law that says only the DEC has the power to regulate drilling, so Holko has sued. He’s asking for compensation to reimburse him for the millions the company has invested in wells and other infrastructure in the township, and for lost revenue because he’s had to shut it all down.

Way to go Avon! Three town board members have just bankrupted your township.

Read More “Lenape Sues Avon, NY & DEC over Fracking Ban – Seeks $50M”
Industrywide Issues | Litigation | Statewide WV | West Virginia

Major WV Court Case Goes Against Surface Landowners
November 27, 2012November 27, 2012

A major court case before the West Virginia Supreme Court was decided last week, and the decision is not favorable to surface rights landowners. MDN previously alerted you to the case as it went to court back in September (see this MDN story). In brief, in WV the sub-surface mineral rights in many cases were severed and sold separately from the surface landowner rights—years ago. Surface rights landowners understand that mineral rights owners (and drillers) need access, but they want the right to have a say in where a drilling pad will be located on their property—and just compensation for taking the property for that purpose.

The WV Supreme Court decided last week (a copy of the decision is embedded below) that surface rights landowners cannot challenge WV DEP permits for drill pads, and where the pads are located, on their property:

Read More “Major WV Court Case Goes Against Surface Landowners”
Broome County | Chesapeake Energy | Energy Companies | Industrywide Issues | Inflection Energy | Litigation | New York | Statewide NY | Tioga County (NY)

More on the NY Force Majeure Ruling Against Chesapeake
November 20, 2012November 20, 2012

MDN headlined a story yesterday about last week’s decision by a federal judge that went in favor of landowners and against Chesapeake Energy and Inflection Energy. The case found that Chesapeake and Inflection could not use the legal clause in their signed leases called “force majeure” to extend previously signed leases beyond the original 10-year term (see this MDN story for background).

One of the lead attorneys who brought the case on behalf of New York landowners is Scott Kurkoski, from the Vestal, NY law firm Levene, Gouldin & Thompson, LLP. Scott sent along a statement (below) along with a copy of the judge’s decision (also below).

Read More “More on the NY Force Majeure Ruling Against Chesapeake”
Broome County | Chesapeake Energy | Energy Companies | Industrywide Issues | Inflection Energy | Lease & Royalty Payments | Litigation | New York | Statewide NY | Tioga County (NY)

Judge Rules Against Chesapeake, Inflection in NY Lease Case
November 19, 2012November 19, 2012

An important court case has ruled in favor of landowners against energy companies in New York State. Last Thursday, U.S. District Court Judge David Hurd ruled against Chesapeake Energy and Inflection Energy (and in favor of landowners) in a case where the companies had tried to extend leases beyond the original term by invoking “force majeure,” a legal phrase that means the terms of the lease could not be carried out due to extenuating circumstances.

Chesapeake and Inflection had argued that New York State’s moratorium on hydraulic fracturing of shale meant they could not drill on New York land for which they hold leases. But as with many things legal, the story is not so simple…

Read More “Judge Rules Against Chesapeake, Inflection in NY Lease Case”