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More on the NY Force Majeure Ruling Against Chesapeake
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”
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.
Is there any chance that New York will move forward with releasing new shale gas drilling rules by Nov. 29, the one year anniversary after the last public hearing on the new rules (and by which the rules must be released or the rulemaking process restarts)? No. Not a chance.
While New York Gov. Andrew Cuomo dithers about whether or not to allow fracking in the state, two court cases that will have a profound effect on where fracking can happen (should he finally make up his mind) continue to work their way through the court system. Those cases address of the issue of whether or not local municipalities should have the right to completely ban fracking within their borders—sometimes referred to as “home rule.”