Investigating Potential Claims – Lone Pine Resources Inc.
Lone Pine Resources Inc. engages in the exploration and development of natural gas and light oil properties in Canada.
The company and several affiliates reportedly filed an insolvency proceeding on September 25, 2013 in Alberta, Canada, under Canada’s Companies’ Creditors Arrangement Act. Lone Pine filed a Chapter 15 bankruptcy case in Delaware, seeking recognition of the CCAA proceeding.
The bankruptcy filings were due to Lone Pine’s liquidity problems, primarily a result of declining natural gas prices.
The New York Stock Exchange suspended trading of Lone Pine’s common stock on September 16, 2013, and the Toronto Stock Exchange suspended trading on September 17, 2013.
Securities Investigation – Lone Pine Resources Inc.
The White Law Group is investigating potential claims involving broker dealers who may have unsuitably recommended Lone Pine Resources Inc. to investors.
Due to the high degree of risk associated with oil and gas offerings, like Lone Pine Resources Inc., they are generally more appropriate for sophisticated and institutional investors. Unfortunately, because of the high commissions these products generally pay to brokers, they are often sold to unsophisticated and retired investors.
Broker-dealers have a legal obligation to act in the best interest of their clients and have to demonstrate adequate due diligence on an investment before recommending the investment to a client. Furthermore, recommendations should be consistent with an individual’s age, risk tolerance, financial objectives, and investment knowledge.
Broker-dealers that have not done their fiduciary duty or adequately disclose the risks when selling investments may be held liable for damages lost through FINRA arbitration claims.
If you are concerned about your investment in Lone Pine Resources Inc., The White Law Group may be able to help you. For a free consultation with a securities attorney, please call 888-637-5510.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida.
For more information on The White Law Group, visit http://whitesecuritieslaw.com.