Chesapeake Ordered To Complete $115M Preston Lease Deal

Law360, New York (July 11, 2012, 6:16 PM EDT) -- A Texas federal judge ruled in favor of Preston Exploration Co. in its $115 million breach of contract suit against Chesapeake Energy Corp. for reneging on a deal for three property leases and ordered Chesapeake to go through with the sale.

Judge Gray H. Miller said Chesapeake must pay the balance on the three leases — a total of $100.8 million — and give Preston Exploration an additional $18.4 million in prejudgment interest.

Texas-based Preston originally filed a complaint in November 2008, claiming that Chesapeake withdrew...
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