Pennsylvania Woman Awarded $60,000 by Arbitration Panel over Well Contamination
Tuesday, February, 25, 2014
Jacqueline Place has been awarded $60,000 in damages from Chesapeake Appalachia LLC by an arbitration panel. The company had leased land and use rights from Place to drill for and extract natural gas from her property, and as part of the lease agreement, arbitration was agreed to as the means of dispute resolution.
When Mrs. Place’s well became contaminated with methane, she hired a consultant to perform baseline tests and alerted the Pennsylvania Department of Environmental Protection (DEP), which shut down her well. Chesapeake Appalachia brought in a temporary water supply for Place and installed methane-monitoring equipment. The DEP later lifted the shutoff and the well was reconnected, but ongoing tests performed by Place have shown continued levels of methane above the baseline tests. Place has stated that she and her family drink only bottled water.
Place claimed damages as a result of the contamination of the only water supply to her home, and per the terms of the lease agreement, brought her claims to the American Arbitration Association, where she was awarded $60,000 as a result.