Texas Driller 'Death Spiral' Suit Against Investor Dismissed

By Michael Phillis (May 22, 2017, 2:03 PM EDT) -- A Texas federal judge on Monday dismissed oil and gas company Camber Energy Inc.'s suit against a key investor for allegedly forcing it to issue shares that drove down its stock value into a "death spiral" based on a strained interpretation of an "unconscionable" contract.

The joint, one-paragraph filing dismisses the case without prejudice and requires each party to bear its own costs and attorneys' fees after the oil company and the investor jointly requested dismissal. Camber had sued Discover Growth Fund on May 9, saying that the offshore lender's conversions were ruining the company. And earlier this month, U.S. District...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.

  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!


Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Ask a question!