Main Case: In re: Samson Resources Corporation., et al.,, Bankr. Case No. 15-11934
Judge: Hon. Brendan Linehan Shannon
Plaintiff: Peter Kravitz, as Settlement Trustee of the Samson Settlement Trust
Starting September 12, 2017 and likely continuing through September 16, 2017, Peter Kravitz, serving as the appointed Settlement Trustee (the “Trustee”) of the Samson Resources Corporation Settlement Trust (the “Settlement Trust”) in the Samson Resources Corporation, et al. (the “Debtors”) bankruptcy cases (Main Case No. 15-11934) (the “Bankruptcy Cases”) commenced what appears to be a massive preference drill, filing over 200 adversary proceedings pursuant to Sections 547, 548, and 550 of title 11 of the United States Code (the “Bankruptcy Code”). A list of the preference actions as of the date of this posting can be found in the link above.
On September 16, 2015 (the “Petition Date”), Samson and eight of its affiliates filed voluntary petitions under Chapter 11 of the Bankruptcy Code. On February 13, 2017, the Bankruptcy Court entered an order (the “Confirmation Order”) confirming the Global Settlement Joint Chapter 11 Plan of Reorganization of Samson Resources Corporation and Its Debtor Affiliates (the “Plan”) [D.I. 2019]. The effective date of the Plan (the “Effective Date”) occurred on February 28, 2017. [D.I. 2063]. In accordance with the Plan and Confirmation Order, the Settlement Trust was established on the Effective Date, and the Debtors and the Trustee entered into a Settlement Trust Agreement.
Pursuant to Article IV, Section V of the Plan, Avoidance Actions and other causes of action arising under chapter 5 of the Bankruptcy Code were transferred to the Trust. [D.I. 2019-1]. At the time the Settlement Trust documents were filed, the Settlement Trust obtained the right to pursue over 800 avoidance actions [See D.I. 2069]. Pursuant to Section 546(a) of the Bankruptcy Code, the Committee has until September 16, 2017 to file additional preference actions. The Trustee is filing about 100 per day at the current rate.
The Trustee is seeking to avoid and clawback transfers made by the Debtors to vendors, service providers, and other creditors that occurred during the 90-day period prior to the commencement of the Bankruptcy Cases (the “Preference Period”). The Preference Period is defined in the Complaint as the period between June 18, 2015, and September 16, 2015. It is unclear whether lien claimants were generally included as defendants, but the size and scope of this drill suggest that it might be the case.
The substance of the Complaints is standard ASK fare, with generic pleadings, relying on the Exhibit A for specific transfer information. Plaintiff’s Exhibit A attempts to identify some or all of the required pleadings information: which Debtor made the transfer, the Debtor incurring the antecedent debt, the check/payment number, check date, clear date, exact amount of the transfer, the invoice number, the invoice amount, and the amount allegedly paid.
ASK LLP is prosecuting this preference drill as counsel to Trustee Kravitz.
Garden City Group, LLC is the claims agent in these Bankruptcy Cases and case information and main case filings can be found at: http://cases.gcginc.com/SamsonRestructuring/index.php. Copies of the complaints can be found here.
If your firm has been served a complaint in the Samson Resources bankruptcy cases and you require counsel, the attorneys at Cooch and Taylor, P.A. are available to represent your interests before the Bankruptcy Court in Delaware.