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Mass Tort Cases Test Boundaries of Chapter 11 Bankruptcies
August 31, 2025
Courts continue to grapple with issues impacting the rights of debtors, creditors and insurers in Chapter 11 cases filed by companies facing mass tort liabilities. This article summarizes key takeaways from significant cases such as Red River Talc and Boy Scouts of America (BSA). We also review the fallout from last year’s Supreme Court rulings in Purdue Pharma, barring nonconsensual third-party releases in reorganization plans, and Truck Insurance v. Kaiser Gypsum, endorsing broad standing for insurers in bankruptcy proceedings.
J&J’s Third Attempt to Resolve Talc Liabilities In Chapter 11 Fails
Johnson & Johnson’s multi-year effort to settle its talc liabilities by placing a special-purpose entity into Chapter 11 ended on March 31, when the U.S. Bankruptcy Court for the Southern District of Texas dismissed the Chapter 11 case of Red River Talc, LLC, a subsidiary that J&J created using the Texas divisional merger statute (called the “Texas Two-Step”). See, In re Red River Talc, 2025 Bankr. LEXIS 863 (Bankr. S.D. Tex. Mar. 31, 2025).
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New York's Latest Cybersecurity Commitment
On Aug. 9, 2023, Gov. Kathy Hochul introduced New York's inaugural comprehensive cybersecurity strategy. In sum, the plan aims to update government networks, bolster county-level digital defenses, and regulate critical infrastructure.
Law Firms are Reducing Redundant Real Estate by Bringing Support Services Back to the Office
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Summary Judgment Denied Defendant in Declaratory Action by Producer of To Kill a Mockingbird Broadway Play Seeking Amateur Theatrical Rights
How AI Has Affected PR
When we consider how the use of AI affects legal PR and communications, we have to look at it as an industrywide global phenomenon. A recent online conference provided an overview of the latest AI trends in public relations, and specifically, the impact of AI on communications. Here are some of the key points and takeaways from several of the speakers, who provided current best practices, tips, concerns and case studies.