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The Insider’s Scoop: Boomerang Tube Decision Already Endorsed in Delaware

In re Samson Resources, Corp., Case No. 15-11934 (CSS) (Bankr. D. Del. Feb. 8, 2016) [Letter Ruling]

[Update – The Honorable Brendan Linehan Shannon has also followed suit, issuing a letter ruling in In re Gulf Resources, LLC.  Therein, His Honor agreed with Judge Walrath’s holding in Boomerang Tube“including comments contained in Footnote 6 of the Opinion applying its rationale to the retention of debtor’s counsel.”]

The Boomerang Tube decision has already been followed by one other Delaware bankruptcy judge.  In a letter ruling in In re Samson Resources Corp., Judge Christopher S. Sontchi agreed with, endorsed, and applied Judge Walrath’s ruling to deny fee defense provisions in retention applications for debtors’ counsel.