May 16, 2016 Comments (0) Blog

Investor Alert: Breitburn Energy Partners Bankruptcy

(Last Updated On: May 19, 2016)

Have you suffered losses investing in Breitburn Energy Partners LP? If so, the securities attorneys of The White Law Group may be able to help you recover your losses through a FINRA arbitration claim against the brokerage firm that recommended the investment.

Breitburn Energy Partners LP (NASDAQ: BBEP) is an independent oil and gas master limited partnership (MLP) focused on the acquisition, exploitation, development and production of oil and gas properties in the United States.

According to reports, the company recently announced that it had filed for Chapter 11 bankruptcy.  In a statement released Monday, the company said the continued decline of oil and natural gas prices has made Breitburn’s existing debt burden “unsustainable,” though the company’s portfolio of diverse assets “continues performing in line with our expectations.”

The White Law Group is investigating the liability that brokerage firms may have for improperly recommending high-risk master limited partnerships like Breitburn Energy Partners LP.

A master Limited Partnership (or MLP) is a type of limited partnership that is publicly traded. MLP’s receive the same tax benefits of a limited partnership combined with the liquidity of a publicly traded securities. MLP’s are a popular way to structure oil and gas investments like Breitburn Energy Partners.

However, the plummeting prices of crude gas and oil has caused havoc on the industry, and have many investors asking “was this investment right for me?”  According to Bloomberg, Breitburn Energy Partners has declined over 98.93% in the last year.

Brokerage firms are required to perform adequate due diligence to evaluate whether the investments they recommend are suitable in light of the client’s age, net worth, risk tolerance, investment experience, and investment objectives. Firms that fail to perform adequate due diligence, or that make unsuitable recommendations, can be held responsible for losses in a FINRA arbitration claim.  The White Law Group believes certain financial advisors have been recommending MLPs improperly to income seeking retired investors – focusing on the income potential of the investments while downplaying or ignoring the risks.

If you suffered losses investing in Breitburn Energy Partners at the recommendation of your financial advisor and would like a free consultation with a securities attorney, please call The White Law Group at 888-637-5510.

The White Law Group is a national securities arbitration, securities fraud, and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida.

For more information on The White Law Group’s Breiburn Energy Partners investigation, visit http://www.whitesecuritieslaw.com/2015/12/15/helping-investors-in-breitburn-energy-partners/.