Did you lose money investing in Alta Mesa Resources, Inc.?
Galvin Legal, PLLC is launching an investigation on behalf of investors who suffered losses investing in Alta Mesa Resources, Inc. at the recommendation of their financial advisor. If you suffered losses investing in the investment, then Galvin Legal, PLLC may be able to help you recover your losses in a Financial Industry Regulatory Authority (“FINRA“) arbitration claim against the brokerage firm that recommended the investment.
As energy prices have declined so has the value of energy investments. Many investors have suffered significant losses in energy investments that were recommended to them by the financial advisor. Many of these investments were high risk and were unsuitable for their portfolios.
If you suffered losses and would like a free consultation with a securities attorney, then please call Galvin Legal, PLLC at 1-800-405-5117.
UPDATE 6/18/2020: According to FINRA Uniform Practice Advisory # 17-20 (UPC #17-20) dated 6/18/2020, notice has been received that Alta Mesa Resources, Inc.’s First Amended Joint Prepackaged Chapter 11 Plan became effective on 06/08/2020. Pursuant to the plan, on the Effective Date, Alta Mesa Resources, Inc. interests shall be cancelled and discharged, with the Holders of such Class 11 Alta Mesa Resources, Inc. Interests receiving no distribution on account of such Alta Mesa Resources, Inc. Interests, except to the extent that Excess Alta Mesa Resources, Inc. Distributable Cash and Excess company Reserve Amounts remain after satisfaction in full of the company’s General Unsecured Claims, in which event the Holders of Alta Mesa Resources, Inc. Interests and any Section 510(b) Claims against Alta Mesa Resources, Inc. shall be entitled to their Pro Rata share of such remaining amounts.
Each Holder of an Allowed Class 4 Prepetition Senior Notes (CUSIP U02051AC1) Claim shall receive: (i) on the Effective Date or as soon as reasonably practicable thereafter, in accordance with the Plan Administration Process, subject to the Indenture Trustee Charging Lien, its Pro Rata share of 100% of the Prepetition Senior Notes Distribution Cash, up to satisfaction in full of such Prepetition Senior Notes Claim; and (ii) on the Effective Date or as soon as reasonably practicable thereafter, its Pro Rata share of the Alta Mesa Resources, Inc. Litigation Trust Interests (which shall, for the avoidance of doubt, be shared Pro Rata by the Holders of Prepetition Senior Notes Claims and Prepetition Alta Mesa Resources, Inc. RBL Deficiency Claims calculated at the time of distribution; provided, that the Alta Mesa Resources, Inc. Litigation Trust Interests distributed in respect of the Prepetition Alta Mesa Resources, Inc. RBL Deficiency Claims shall be subject to adjustment, as provided in the Alta Mesa Resources, Inc. Litigation Trust Agreement, as a result of the distribution of Excess Alta Mesa Resources, Inc. Reserve Amounts or the Cash monetization of the Reserved ORRI issued pursuant to Article III.C.2.c.iii.1
If you suffered losses and would like a free consultation with a securities attorney, then please call Galvin Legal, PLLC at 1-800-405-5117.
Due Diligence Requirement
FINRA requires brokerage firms to conduct due diligence on investments, such as Alta Mesa Resources, Inc., and to conduct a suitability analysis when recommending securities to a customer that takes into account the customer’s knowledge and experience. FINRA Rule 2111(a) states that “a member or an associated person must have a reasonable basis to believe that a recommended transaction or investment strategy involving a security or securities is suitable for the customer, based on the information obtained through the reasonable diligence of the member or associated person to ascertain the customer’s investment profile. A customer’s investment profile includes, but is not limited to, the customer’s age, other investments, financial situation and needs, tax status, investment objectives, investment experience, investment time horizon, liquidity needs, risk tolerance, and any other information the customer may disclose to the member or associated person in connection with such recommendation.”
Rule 2111 is composed of three main obligations: reasonable-basis suitability, customer-specific suitability, and quantitative suitability. Brokerage firms that fail to conduct adequate due diligence on investments they recommend, such as Alta Mesa Resources, Inc., or that make unsuitable recommendations can be held responsible for the customer’s losses in a FINRA arbitration claim.
If you suffered losses and would like a free consultation with a securities attorney, then please call Galvin Legal, PLLC at 1-800-405-5117.
Request a Free Consultation with a Securities Attorney
If you suffered losses investing in Alta Mesa Resources, Inc. and would like a free consultation with a securities attorney, then please call Galvin Legal, PLLC at 1-800-405-5117.
This information is all publicly available and is being provided to you by Galvin Legal, PLLC.
Galvin Legal, PLLC is a national securities arbitration, securities mediation, securities litigation, securities fraud, securities regulation and compliance, and investor protection law practice. For more information on Galvin Legal, PLLC and its representation of investors, please visit www.galvinlegal.com or call 1-800-405-5117.
