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How the Texas Two-Step Changes How Plaintiffs Litigate Mass Torts Image

How the Texas Two-Step Changes How Plaintiffs Litigate Mass Torts

Mark Eveland

By enabling defendants to shield themselves from mass tort liability, the "Texas Two-Step" is a new obstacle for plaintiffs pursuing mass tort cases against manufacturers of dangerous products.

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Could the $18.8M Talc Verdict Threaten J&J's Bankruptcy Plan? Image

Could the $18.8M Talc Verdict Threaten J&J's Bankruptcy Plan?

Amanda Bronstad

The verdict, which excluded punitive damages, could have been much larger. But the jury's award has the potential to threaten the $8.9 billion settlement and, as a result, a proposed Chapter 11 reorganization plan in the bankruptcy of Johnson & Johnson's LTL Management.

Features

Second Circuit Affirms Slashing of Unreasonable Fees In Dismissed Involuntary Bankruptcy Case Image

Second Circuit Affirms Slashing of Unreasonable Fees In Dismissed Involuntary Bankruptcy Case

Michael L. Cook

An involuntary bankruptcy petition is a limited, risky remedy for both creditors' counsel and debtor's counsel. The fee problems encountered by counsel for the petitioners and the putative debtor in this case provide a cautionary tale.

Features

Second Circuit Sets Up Seven-Factor Test for Third-Party Releases In Bankruptcy Cases Image

Second Circuit Sets Up Seven-Factor Test for Third-Party Releases In Bankruptcy Cases

Alan B. Morrison

The Second Circuit had a tough call to make in the Purdue Pharmacy bankruptcy appeal: What to do about the release given to the Sackler families who had agreed to contribute $5.5 to $6 billion to Purdue's reorganization plan but were not themselves in bankruptcy.

Features

Bankruptcy Court Highlights Pitfalls to Avoid When Retaining Experts Image

Bankruptcy Court Highlights Pitfalls to Avoid When Retaining Experts

Francis J. Lawall & Marcy J. McLaughlin Smith

Simply because the expert is retained by counsel in anticipation of litigation, does not automatically render all communications privileged.

Features

Bankruptcy Judge Dismisses 3M Unit's Earplug Case, Concluding It Had No 'Valid Reorganization Purpose' Image

Bankruptcy Judge Dismisses 3M Unit's Earplug Case, Concluding It Had No 'Valid Reorganization Purpose'

Amanda Bronstad

U.S. Chief Bankruptcy Judge Jeffrey Graham found that 3M subsidiary Aearo Technologies, which is financially solvent, had no "valid reorganization purpose" to file for Chapter 11 protection last year.

Features

Delaware Bankruptcy Court Provides Guidance On Drafting Proxies Image

Delaware Bankruptcy Court Provides Guidance On Drafting Proxies

Robert B. Greco

Proxies in voting and support agreements, secured debt instruments, and other corporate documents should be drafted in a manner that fully reflects the intended scope of the parties' proxy relationship.

Features

Third Circuit: Pre-Bankruptcy Commercial Lease Termination Not Fraudulent Transfer Image

Third Circuit: Pre-Bankruptcy Commercial Lease Termination Not Fraudulent Transfer

Michael L. Cook

Is an insolvent debtor's pre-bankruptcy termination of a commercial lease a fraudulent transfer? The circuit courts seem to be split, however a close reading of cases in the Third and Seventh Circuits shows that the reasoning of both courts can be reconciled on their facts.

Features

Lease Terminations As Fraudulent Transfers Image

Lease Terminations As Fraudulent Transfers

Michael L. Cook

Is an insolvent debtor's pre-bankruptcy termination of a commercial lease a fraudulent transfer? The circuit courts seem to be split, however a close reading of cases in the Third and Seventh Circuits shows that the reasoning of both courts can be reconciled on their facts.

Features

The Role of Third-Party Releases In Successful Chapter 11 Reorganizations Image

The Role of Third-Party Releases In Successful Chapter 11 Reorganizations

John J. Rapisardi & Jacob T. Beiswenger

Part Two of a Two-Part Article In Part Two, we continue the analysis by evaluating two constitutional issues arising from third-party releases: whether creditor consent to be bound by a third-party release is required to satisfy the due process clause of the Fifth and Fourteenth Amendments; and whether bankruptcy courts have constitutional authority to issue final orders granting third-party releases in a plan of reorganization under Stern v. Marshall.

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