Chesapeake Energy Corp. Ends Royalties Suits for $9.1 Million

Chesapeake Energy Corp. will pay $9.1 million to resolve class actions claiming they underpaid royalties due to Pennsylvania leaseholders, according to a U.S. District Court for the Southern District of Texas order finally approving the deals.

The settlements together allocate a total of $6.25 million to class member claims, with $2.9 million going to attorneys’ fees and costs.

The first of two settlement classes, comprising 8,925 leaseholders alleging that Chesapeake improperly deducted post-production costs when calculating royalties, will receive a total $5 million and will be able to decide monthly whether to have royalties calculated based on the higher of ...