Claims Related to Investments in Swift Energy Co., Basic Energy Services, Inc., et. al.

Sonn Law Group is investigating claims related to notes issued by Swift Energy Co., Basic Energy Services, Inc., Alpha Natural Resources and RRI Energy. Financial advisors may have recommended these notes to retirees or other fixed income investors. The downturn in energy prices, however, has exposed these investors to considerable losses, particularly if such investors were over-concentrated in energy sector investments. For example, the national average price of gas will drop below $2 per gallon tomorrow for the first time since March 25, 2009, according to AAA. In addition, oil prices have dropped 65% since mid-2014 to less than $37 per barrel, according to CNN Money. Further, analysts at Goldman Sachs investment bank estimate $20 oil is possible in 2016. Another bearish factor for oil prices is the expected increase of crude oil exports from Iran after international sanctions.

A broker must have reasonable grounds for each recommendation made to investors considering such factors as the customer’s other securities holdings, financial situation, and risk tolerance. In addition, before a firm offers a security to its customers, the firm must conduct due diligence, that is investigate the facts surrounding the security, to confirm that it is suitable for any customer of the firm. The suitability of an investment for a particular individual is at the center of the investment process and one of the key fiduciary duties owed by a firm and its broker to the customer. A firm may be held liable for its failure to recommend suitable investments to its customers.

If you invested in Swift Energy Co., Basic Energy Services, Inc., Alpha Natural Resources and RRI Energy and have experienced investment losses, please call us at 844-689-5754 or complete our “contact form.” Sonn Law Group is a nationally recognized law firm representing individuals, trusts, corporations and institutions in claims against brokerage firms, banks and insurance companies.