A company that agreed to “lease” coal from several landowners, but has not extracted any coal from the ground, will not have to pay additional royalties for extracting coalbed methane, the Pennsylvania Superior Court ruled in a decision that oil and gas attorneys say is the first application of longstanding principals to a common set of circumstances.
A unanimous three-judge panel of the court ruled in Birdie Associates v. CNX Gas that the agreement to “lease” coal was in fact a sale that gave the defendant company the right to extract coalbed methane without having to pay the plaintiffs any additional royalties.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]
