The oil company now faced 400 lawsuits filed against it by landowners who claim to be cheated by the company on multiple levels.
Recently, it was seen that Chesapeake Energy Corporation was accused by a massive four hundred lawsuits that claimed that the oil-digging firm has been running an unfair business by giving the all kinds of wrong information to its customers and landowners regarding oil prices and taking away higher prices from them in a completely dishonest manner. All the lawsuits have been filed against the oil firm in Texas and it has been disclosed that the oil field services provider is withholding a colossal amount of $1 billion, which actually belongs to all the landowners who have been charged wrongly by the company. The oil company is the second biggest oil services provider in the country and the legal problems it has now been attacked with seem to be quite big too. According to Dan McDonald's, who is associated with the law firm McDonald's, it was seen that Chesapeake was dealing with a massive 25,000 owners of land who were also in the ownership of tracts useful for the firm. These owners were misguided by the oil giant as they were not aware of how the oil industry carried out its business activities and easily agreed to what the firm told them. Mr. McDonald's believes that these landowners were spoken to by a lawyer who informed them of the vulnerabilities they could be facing by breaking the law since they owned such tracts on their land. Chesapeake, however, has so far not agreed to any of the accusations and has informed the media that it will be addressing the press through an appropriate platform to discuss this problem. All the cases, which have been filed against the giant, are to go to court in February, some taking place in Fort Worth while some of them will take places in Tarrant County. On the other hand, oil firm has already carried out settlement activities with some of the parties accused it of holding back the royalty money. These settlements and the amounts against which they were made have not been made available to the public yet. Analysts believe that the 400 lawsuits filed against Chesapeake are something that the firm has no option but to take very seriously as these are something that should be reckoned with. This is currently not the only challenge being faced by the giant but it is also facing the fall in stock value on the other hand which is just another issue to be handled by the firm.
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