Royalty Owners Who Received a Payment from EQT Beginning December 8, 2008 for a West Virginia Natural Gas Well, Could Be Included in a Class Action Lawsuit

CHARLESTON, W.Va., March 22, 2018 /PRNewswire/ -- The following is being released by The Masters Law Firm lc and Carey, Scott, Douglas & Kessler, PLLC as Class Counsel in The Kay Company, LLC v. EQT Production, Co.

EQT Royalty owners could be affected by a class action lawsuit against EQT Corporation; EQT Production Company; EQT Energy; EQT Gathering, LLC; EQT Investment Holdings, LLC; and EQT Midstream Partners ("EQT Defendants") over royalty payments on gas leases in West Virginia whose leases are held by EQT. 

The Court has approved the lawsuit as a class action on behalf of a "class," or group of people.  The lawsuit claims that the EQT Defendants made improper deductions in calculating royalties under the leases and did not calculate royalties based on the fair value of the gas produced.  It also claims that they improperly deducted post-production expenses from royalty payments.  The EQT Defendants argue that they have complied with the terms of the leases in calculating royalty payments, and that all royalties have been properly paid.

The Court has not determined who is right or whether either side will win.  The lawyers for Plaintiffs will have to prove their claims in Court.

An EQT natural gas lease is included if:

• The lease is on land in West Virginia;
• The royalty owner owned a royalty interest for this lease anytime during the period December 8, 2008 to September 17, 2017;
• Gas was produced on the land anytime between December 8, 2008 to December 31, 2017;
• The royalty owner received or is due royalty payments from this lease; and
• The royalty owner received or is due royalty payments from the EQT Defendants.

There are three different groups or subclasses included in the lawsuit: the Flat Rate Subclass and two Percentage Subclasses.  The Flat Rate Subclass in this class action only includes flat rate natural gas wells that have been converted to a percentage royalty.  The full class definition is included in the Certification Order available at www.EQTRoyaltyWVClass.com.

The leases involved in this action are those in effect from December 8, 2008, to September 17, 2017, except for leases acquired by EQT from the purchases of the following companies:  Rice Energy, Statoil, Stone Energy or Republic Energy.  The period for which damages are sought is from December 8, 2008, to December 31, 2017.

Class Members' rights may be impacted by the outcome of this lawsuit.  The Plaintiffs are asking for money and other benefits from the EQT Defendants for the Class.  The Plaintiffs want to obtain payment of all royalties owed to Class Members for natural gas extracted and produced from their property or leasehold to which they have a valid claim.

The Court has appointed a group of attorneys to represent the Class as "Class Counsel."  Class Members don't have to pay Class Counsel or anyone else to participate.  Instead, if Class Counsel gets money or benefits for the Class, they may ask for attorneys' fees and costs.  Any fees and costs would then be deducted from any money obtained or paid by EQT in settlement or by judgment in the litigation.  Class Members may, if they desire, hire their own lawyer to appear in Court for them at their own expense, but it is not required to participate.

Class Members have a choice whether to remain a member of the Class or to be excluded.  To stay in the Class, Class Members do not have to do anything.  If money or benefits are obtained, Class Members will be notified about how to ask for a share.  There is no money available now and no guarantee that there will be.  Class Members who want to keep their right to sue EQT Defendants on their own or do not want to be included must exclude themselves from the Class by May 11, 2018.  However, anyone who excludes themselves cannot get money or benefits from this lawsuit if any are awarded.

For additional information about the lawsuit, please visit www.EQTRoyaltyWVClass.com or call 1-800-564-6019.

SOURCE The Masters Law Firm lc and Carey, Scott, Douglas & Kessler, PLLC