Compass Bank v. North Am. Petroleum Corp. USA (In re North Am. Petroleum Corp. USA)

Ruling: 
Oil and gas exploration company allowed administrative expense claim for salt water disposal costs under voided agreement with debtor.
Procedural posture: 
Debtors' adversary complaint sought rulings as to the meaning and effect of a capital recovery agreement (CRA) with defendant oil and gas exploration companies (OG1 and OG2) and relief from obligations claimed to have been assumed thereunder. OG2 sought payment of amounts allegedly due to it under the CRA as administrative expenses (AEs) per 11 U.S.C.S. § 503(b)(1)(A) and 11 U.S.C.S. § 507(a)(2). Other parties included banks that had intervened.
Issue: 
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Commercial case opionion summary, case decided on February 18,2011, LexisNexis #0311-045