Notice of Proposed Voluntary Dismissal of Derivative Action
January 16 2015 - 4:01PM
Business Wire
This notice relates to a proposed voluntary dismissal of a
shareholder derivative action and is being given pursuant to an
order of The U.S. District Court for the Western District of
Oklahoma. The purpose of the notice is to advise Chesapeake
shareholders that plaintiff, M. Lee Arnold, in the below referenced
action wishes to voluntarily dismiss the case. Additional
information on the action and right to intervene can be found
below.
On September 6, 2011, M. Lee Arnold filed a purported
shareholder derivative complaint in the U.S. District Court for the
Western District of Oklahoma, Arnold v. McClendon et al., Case No.
CIV-11-986, against members of the Company’s board of directors
(the “Derivative Action”). The Derivative Action alleges a cause of
action for breach of fiduciary duty and failure to exercise
oversight responsibilities against all defendants for alleged
violations of Sections 11, 12 and 15 of the Securities Act of 1933
in connection with disclosures and alleged failures to disclose
information in the registration statement and prospectus for the
Company’s July 2008 common stock offering, which was the subject of
an earlier-filed securities class action, United Food and
Commercial Workers Union v. Chesapeake Energy Corporation et al.,
Case No. CIV-09-1114 (the “Securities Class Action”).
Because the disclosure claims in the Securities Class Action
were based on the same essential facts and issues, the parties to
the Derivative Action agreed to stay proceedings pending resolution
of the Securities Class Action. On February 13, 2013, the
Securities Class Action was dismissed on summary judgment, and on
August 8, 2014 the dismissal of the Securities Class Action was
affirmed by the 10th Circuit Court of Appeals.
In light of the dismissal of the Securities Class Action,
Plaintiff has sought leave to voluntarily dismiss the Derivative
Action. On November 20, 2014, the parties filed a Joint Stipulation
Voluntarily Dismissing the Action Without Prejudice. This notice of
the proposed voluntary dismissal of the Derivative Action will be
posted in the Investor Relations section of Chesapeake’s website
for two weeks. Chesapeake shareholders are hereby advised:
Chesapeake shareholders may intervene and continue prosecution
of the Derivative Action. Any shareholder who wishes to intervene
must file a motion with the U.S. District Court for the Western
District of Oklahoma, 200 NW 4th Street, Oklahoma City, Oklahoma,
73102, not later than February 9, 2015. Any motion to intervene
must be filed in writing, and must include: (i) the caption of the
Derivative Action; (ii) the name of the shareholder; (iii) proof or
certification of the date the intervening shareholder purchased
Chesapeake stock, and that the intervening shareholder has held its
shares continuously since the date of purchase; and (iv) a
statement of the basis for the intervention.
Chesapeake Energy CorporationInvestor Contact:Brad
Sylvester, CFA, 405-935-8859ir@chk.comorMedia Contact:Gordon
Pennoyer, 405-935-8878media@chk.com
Chesapeake Energy (NASDAQ:CHK)
Historical Stock Chart
From Mar 2024 to Apr 2024
Chesapeake Energy (NASDAQ:CHK)
Historical Stock Chart
From Apr 2023 to Apr 2024