April 03, 2025

Third J&J Filing Dismissed on Grounds Different from the First Two Dismissals

Houston’s Bankruptcy Judge Christopher Lopez decided that the newest plan by a Johnson & Johnson subsidiary didn’t qualify for nondebtor releases permissible in asbestos cases.

5th Circuit, Texas, Texas Southern District

March 24, 2025

Another Fifth Circuit Humdinger: This Time, Limiting Gatekeeping

Picking up where Serta Simmons left off, the Fifth Circuit nixes another creative chapter 11 plan.

5th Circuit

March 13, 2025

Opt-Out Plan Confirmed with Impaired Creditors Almost Unanimous in Support

In the Spirit Airlines reorganization, no creditors with an economic interest had opposed confirmation of a plan with opt-out releases for nondebtors.

2nd Circuit, New York, New York Southern District

March 12, 2025

District Court Doesn’t Say Whether ‘Person Aggrieved’ Survived Truck Insurance

District court upholds an ‘opt-out’ chapter 11 plan with releases for nondebtors.

8th Circuit

March 10, 2025

Bankruptcy Judge Rejects a District Court’s Narrow View of Sales Free and Clear

New York’s Judge Philip Bentley interpreted Section 363(f)(5) to permit a sale free and clear whenever a creditor could conduct a foreclosure or a UCC sale.

2nd Circuit, New York, New York Southern District

March 03, 2025

Texaco’s 1988 Confirmation Didn’t Kill Environmental Suits Decades Later

New York’s Bankruptcy Judge David Jones reopened Texaco’s 1988 bankruptcy to ensure that state courts wouldn’t mistakenly decide that environmental claims were discharged

2nd Circuit, New York, New York Southern District

February 28, 2025

Purdue Doesn’t Preclude Injunctions from Protecting Nondebtors for the Life of a Plan

New York’s Judge John Mastando saw no reason a Subchapter V plan couldn’t enjoin lawsuits against nondebtors for the life of a five-year plan.

2nd Circuit, New York, New York Southern District

February 06, 2025

No Second Restructuring of the Same Debt in a Different Venue

Delaware judge wouldn’t allow a chapter 11 debtor to restructure the same secured debt a second time in a different venue.

3rd Circuit, Delaware

February 04, 2025

Barton Halted Third Parties from Suing in an Allegedly Better Forum

When third parties sued a trust created by a confirmed chapter 11 plan, Judge Garrity declined to invent any new exceptions to the Barton doctrine.

2nd Circuit, New York, New York Southern District

January 30, 2025

In ‘363’ Sales, Three Courts Say Purdue Doesn’t Bar Injunctions Protecting Buyers

For a sale ‘free and clear,’ nondebtors can be enjoined from suing.

4th Circuit, Virginia, Virginia Eastern District