An influential appellate court has agreed to take up a bankruptcy involving the controversial "Texas two-step," potentially deciding the merger tactic's fate in future Chapter 11 cases.
Fourth Circuit Could Decide Fate of the 'Texas Two-Step'
An influential appellate court has agreed to take up a bankruptcy involving the controversial "Texas two-step," potentially deciding the merger tactic's fate in future Chapter 11 cases. The Fourth Circuit agreed to hear a petition to dismiss the bankruptcy of Bestwall, a subsidiary of Koch Industries-owned Georgia-Pacific, created through a "Texas two-step" to resolve 60,000 lawsuits over asbestos exposure.

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