Samson Resources Corporation, et al. – Preference Defense Lawyer

Beginning on September 12, 2017, Peter Kravitz, as Settlement Trustee of the Samson Settlement Trust, began filing preference complaints seeking to avoid and recover alleged preferential and/or fraudulent transfers pursuant to Sections 547, 548, and 550 of the United States Bankruptcy Code. So far, nearly 300 such complaints have been filed, but Plaintiff has time to file more.

Background, as alleged by Plaintiff:

“as of the Petition Date, the Debtors were an onshore oil and gas exploration and production company with interests in various oil and gas leases primarily located in Colorado, Louisiana, North Dakota, Oklahoma, Texas, and Wyoming. Headquartered in Tulsa, Oklahoma, the Debtors employed 600 individuals and generated most of their revenue through three operating companies: Samson Resources Company (“SRC”), Samson Contour Energy E&P, LLP (“SCEEP”), and Samson Lone Star, LLC (“SLS”).”

Procedural History:

On September 16, 2015 (the “Petition Date”), Samson Resources Corporation and its affiliates (collectively, the “Debtors”) each commenced their Bankruptcy Cases,by filing a voluntary petition for relief under Chapter 11 of title 11 of the United States Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the District of Delaware .

The Debtors in these chapter 11 cases include: Geodyne Resources, Inc.; Samson Contour Energy Co.; Samson Contour Energy E&P, LLC; Samson Holdings, Inc.; Samson-International, Ltd.; Samson Investment Company; Samson Lone Star, LLC; Samson Resources Company; and Samson Resources Corporation.

On February 13, 2017, the Court entered an order confirming the Global Settlement Joint Chapter 11 Plan of Reorganization of Samson Resources Corporation and Its Debtor Affiliates. The cases are jointly administered pursuant to Rule 1015(b) of the Bankruptcy Rules.

These adversary actions are before the Honorable Christopher S. Sontchi.

Common Defenses in Preference Actions

The United States Bankruptcy Code provides many affirmative defenses to preference actions, contained within Section 547(c). For example, the most common defenses that may be available to a Defendant under Section 547(c) may include:

• the transfer was a contemporaneous exchange for new value given to the debtor (i.e., the debtor received something of value in exchange for the transfer); 11 U.S.C. §547(c)(1);
• after such transfer, Defendant gave new value to or for the benefit of the debtor (i.e., the Defendant extended additional credit to the Debtor after receiving the transfer) 11 U.S.C. §547(c)(4); or
• the transfer was in payment of a debt incurred by the debtor in the ordinary course of business or financial affairs of the debtor and the recipient (i.e., Defendant made the transfer under ordinary business terms). 11 U.S.C. §547(c)(2).

For more information, see our page on Preference Defense Litigation: http://www.tobialaw.com/practice-areas/delaware-preference-defense-lawyer/

If you conducted business with Samson Resources Corporation or any related entities and especially if you have received a demand letter or a complaint, contact us here, email us at info@tobialaw.com or call the firm’s Wilmington offices directly at (302) 655-5303 to schedule an initial consultation. We can discuss the situation and share with you our initial observations at no charge.