DALLAS, TX, June 25, 2012 -- Attorneys with Allen Stewart, P.C. announced today that a group of Pennsylvania landowners represented by the Dallas-based law firm have settled their claims against oil and gas giant Chesapeake Energy Corporation for $1.6 million.

The settlement was reached immediately after attorneys with Allen Stewart, P.C., who acted as lead trial counsel, presented the plaintiffs' case to the arbitration panel and before Chesapeake Energy called any witnesses -- a testament to the strength of the plaintiffs' claims. The landowners were also represented by attorneys with Pennsylvania-based law firms O'Malley & Langan, P.C.; Goldberg, Persky & White, P.C.; and Florida based The Romano Law Firm.

"These landowners signed oil and gas leases under assurances that gas drilling would never be close enough to affect their properties. These assurances proved false and Chesapeake's inadequate design and maintenance of the gas wells allowed methane to pollute the plaintiffs' underground water supply"

The plaintiffs are three families who live on Paradise Road in the small town of Wyalusing in northern Pennsylvania. Gas extraction and drilling activities by Oklahoma-based Chesapeake Energy and affiliated companies contaminated the property and groundwater of these Bradford County residents with excess methane levels that required one family to evacuate their home for 2 weeks.

Before Chesapeake Energy began drilling in 2009, the plaintiffs' water showed no signs of pollution. By the summer of 2010, however, the plaintiffs experienced sudden changes in their ground water quality. At the same time, Chesapeake Energy's wells located near the plaintiffs' properties were leaking gas because the wells had been poorly cemented. Pennsylvania Department of Environmental Protection investigated and determined that Chesapeake Energy's gas wells were responsible for the methane in the plaintiffs' water.

"These landowners signed oil and gas leases under assurances that gas drilling would never be close enough to affect their properties. These assurances proved false and Chesapeake's inadequate design and maintenance of the gas wells allowed methane to pollute the plaintiffs' underground water supply," said Allen Stewart, who represents the landowners.

Allen Stewart, P.C. has been a leading force in obtaining justice for landowners harmed by poorly designed and maintained gas extraction wells. Landowners who know or suspect that their own water supply or property has been contaminated are encouraged to contact the attorneys at Allen Stewart, P.C. to learn more about their legal rights.

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