The Second Circuit on July 25 denied the request of the government to stay issuance of the mandate pending the U.S. Solicitor General’s petition for certiorari asking the Supreme Court to review the Purdue decision allowing the bankruptcy court to issue nonconsensual releases of creditors’ direct claims against nondebtors. The mandate from the Second Circuit is scheduled to issue today, allowing the Purdue debtor to consummate the chapter 11 plan originally confirmed by the bankruptcy court in New York in September 2021, according to a special analysis from Rochelle's Daily Wire. The government isn’t giving up. The Solicitor General filed an application in the Supreme Court on July 28, asking the high court to stay issuance of the mandate pending disposition of the government’s forthcoming certiorari petition. The Supreme Court immediately directed that responses be filed by noon on Friday, August 4. The response deadline suggests that a grant or denial of a stay could come as early as Friday afternoon.
