Publish Date: 
Wednesday, March 15, 2017

Main Case: In re: Cal Dive Offshore Contractors, Inc.; Bankr. Case No. 15-10458 (CSS)
Plaintiff: Cal Dive Offshore Contractors, Inc.

On March 2, 2017, Cal Dive Offshore Contractors, Inc. a debtor and debtor-in-possession (“Cal Dive”) filed 136 actions pursuant to Section 547 of title 11 of the United States Code (the “Bankruptcy Code”.) The Cal Dive and its co-debtors filed for bankruptcy protection under Chapter 11 of the Bankruptcy Code on March 3, 2015, meaning that this bulk filing occurred on the eve of the statutory two-year deadline.

According to filings in these cases, the Debtors entered chapter 11 with the goal of divesting certain non-core assets and restructuring their subsea contracting business as a going concern. However, the continued decline in oil and gas prices made a comprehensive plan of reorganization impractical and the Debtors proceeded to sell substantially all of their assets through bankruptcy sales. After the various asset sales, on February 6, 2017, the Cal Dive debtors filed its Debtors’ Motion for an Order (A) Converting the Debtors’ Chapter 11 Cases to Cases Under Chapter 7 of the Bankruptcy Code and (B) Granting Related Relied (the “Conversion Motion”) [Docket No. 1558]. The Conversion Motion contains a brief summary of the history of the cases and the asset sales. On March 8, 2017, the Bankruptcy Court entered its order converting the cases to cases under Chapter 7 of the Bankruptcy Code was entered on March 8, 2017 [Docket No. 1728]. David W. Carickhoff was appointed as Interim Trustee.

Prior to conversion, the Rosner Law Group LLC was retained as special litigation counsel to Cal Dive for this preference drill. The substance of the Complaints reviewed thus far is standard preference material. Cal Dive does assert fraudulent conveyance claims under Section 548, relying solely on the recitation of the statutory language and deeming the transfers as “Potentially Fraudulent Transfers.”

Kurtzman Carson Consultants is the claims agent for Cal Dive Offshore Contractors, Inc.; General case information can be found at: http://www.kccllc.net/CalDive

A list of the filed Adversary Proceedings in the Cal Dive case can be found here.

 

R. Grant Dick IV
(302) 984-3867
gdick@coochtaylor.com

 

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