Chesapeake Exploration Underpays Gas Royalties: Suit

Law360, New York (September 28, 2010, 5:05 PM EDT) -- A property owner with rights to gas and minerals under the Barnett Shale formation in Texas has hit Chesapeake Exploration LLC with a putative class action, alleging the energy company intentionally underpays royalties on the gas it extracts.

In a complaint filed Monday in the U.S. District Court for the Western District of Oklahoma, plaintiff Robyn Coffey accused Chesapeake of executing a scheme to cheat property owners out of royalties owed to them in their contracts with the energy company.

According to the complaint, Coffey's contract...
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