Chesapeake Energy Corp (CHK)

[ogbull]

Lawsuits like this are common in the oil patch. The contract the land owner's signed says if CHK does not have a profit, there is no royalty payments. This is common-sense clause in all oil and gas contracts. This is just bloodsucking group of lawyers trying to get money out of Chesapeake. It will likely go on for a decade or more unless CHK offers them a small settlement of which most will go to the lawyers. If an oil and gas company loses money, why should they pay royalties to the landowners?

On the other hand, a suit to clean up an environmental mess is far more serious for Chesapeake shareholders unless they go bankrupt.

I'm equally sure Chesapeake has its own law group on retainer.

And, you'll see this announce maybe 20 times over the next 6 months.

Forget about it!