Concerned about your investment in Hornbeck Offshore Services?
Are you concerned about your investment in Hornbeck Offshore Services Inc.(HOS)? If so, the securities attorneys at The White Law Group may be able to help you by filing a FINRA Arbitration claim against the brokerage firm that sold you the investment.
According to reports last week, Hornbeck Offshore Services Inc. filed for Chapter 11 bankruptcy protection and reportedly plans to reorganize the business in the coming months.
The company, which provides marine transportation for the U.S. military and oil field operators in the Gulf of Mexico, filed a prepackaged bankruptcy in the Southern District of Texas on May 19, 2020.
The company had apparently been negotiating with lenders for months trying to avoid bankruptcy but the market crash during Covid-19 global pandemic made it impossible. The price of crude oil dropped to $20 per barrel as demand dwindled and although oil prices have recovered somewhat, there is reportedly a glut of crude oil in storage. Many companies in the industry are reportedly shutting in wells and considering bankruptcy.
Hornbeck Offshore Services’s stock is down -99% in the past 12 months, according to Yahoo Finance.
Investigating Potential Securities Claims
Energy investments such as Hornbeck Offshore Services Inc. typically involve a high degree of risk. The energy market has seen enormous losses over the last few years due to the declining cost of oil and other energy commodities. These investments may seem wise at first, until the dramatic drop in distributions.
The White Law Group is investigating the liability that FINRA registered brokerage firms may have for improperly selling high-risk energy investments, like Hornbeck Offshore Services, to their clients.
Prior to making recommendations to an individual investor, brokerage firms are required by the Financial Industry Regulatory Authority (FINRA) to disclose all the risks of an investment. Recommendations should only be made if the investment is suitable for an individual investor given their age, investment objections, investment experience and risk tolerance.
Brokerage firms that do not perform adequate due diligence on an investment and/or make unsuitable recommendations can be held accountable for investment losses through FINRA arbitration.
If you are concerned about your investment losses in Hornbeck Offshore, The White Law Group may be able to help. Please call the offices at 888-637-5510 for a free consultation with a securities attorney.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Franklin, Tennessee.
For more information on The White Law Group and its representation of investors in FINRA arbitration claims, please visit https://www.whitesecuritieslaw.com.