After a recent decision from the Commonwealth Court of Pennsylvania, oil and gas operators may now be exposed to potential lawsuits under Pennsylvania’s Unfair Trade Practices and Consumer Protection Law (UTPCPL). While the UTPCPL is traditionally only applied to consumer transactions, the statute’s application has been expanded to oil and gas lease arrangements.
This decision has far-reaching implications for companies in the oil and gas industry, particularly those involved in oil and gas lease transactions. Accordingly, operators should be prepared for future UTPCPL claims and would be wise to require training for all employees or agents who conduct lease negotiations.
– Justin Leonelli, Meyer, Unkovic & Scott, jnl@muslaw.com