Case Overview

Represented a group of creditors in the Chapter 11 bankruptcy case of Crusader Energy Group, Inc., and its affiliates. Prior to the bankruptcy, the creditors sold to Crusader a 75% working interest in oil and gas leases covering a significant amount of acreage in four Texas counties. The creditors asserted claims against Crusader in the bankruptcy case of approximately $10 million. Through innovative use of Texas law on equitable vendor liens, the creditors were able to reacquire the 75% working interest in the leases for a minimal cash payment and cancellation of the debt owed by Crusader to the creditors.