The Importance of Direct vs. Derivative Claims in Bankruptcy

This panel explores ways in which practitioners are avoiding the direct impact of Purdue by seeking to release only derivative claims. The panelists analyze the direct/derivative distinction more broadly by discussing its impact on what constitutes property of the estate, whether pursuit of a derivative claim violates the stay, and what claims an estate fiduciary has the power to bring under § 544, and discusses the Whittaker, Clark & Daniels decision.