In late December 2023, U.S. bankruptcy court in North Carolina denied motions to dismiss the Texas Two-Step mass-tort bankruptcy cases of entities created to resolve the asbestos liability of the Trane companies. This type of maneuver involves splitting a company into two, moving the liabilities to one company, and then seek bankruptcy protections to absolve […]
In the pending U.S. Supreme Court case regarding Purdue Pharma’s litigation shield for the Sackler family, the decision of the Court could impact widely used non-debtor releases in Chapter 11 bankruptcy cases. Professor Ralph Brubaker suggested to Bloomberg Law the ruling might affect cases involving mass torts, including cases involving the Catholic diocese, Boy Scouts, […]
Ruling in the case Nine West LBO Securities Litigation, the United States Court of Appeals for the Second Circuit cited Professor Ralph Brubaker’s work on safe harbor rules in the Tax Equity and Fiscal Responsibility Act of 1982. The case revolved around the leveraged buyout of an apparel and footwear company, including brands such as Nine West and Anne Klein, and […]
The bankruptcy deal for Purdue Pharma, in which the Sackler family would pay $6 billion and be shielded from further lawsuits, is a highly charged issue which led to fiery arguments before the Supreme Court. Professor Ralph Brubaker, who has submitted an amicus brief against Purdue Pharma in the case, spoke with several news outlets […]
In the lead-up to oral arguments in the Purdue Pharma case at the Supreme Court, bankruptcy expert and law professor Ralph Brubaker spoke to Bloomberg about the key question at hand. “Given the court’s existing jurisprudence, I would be personally shocked if they find there is statutory power for what the bankruptcy court approved in […]
The Harvard Law School Bankruptcy Roundtable brings together corporate bankruptcy practitioners with bankruptcy scholars in an online venue to discuss critical issues in corporate bankruptcy. The Roundtable recently published a series on the Purdue Pharma bankruptcy case, where they featured several of the more than thirty briefs filed in the case, giving readers the opportunity […]
Lenders to bankrupt firms are increasingly insisting upon controversial contract clauses known as roll-ups, which boosts investments by moving existing debt to the front of the repayment line. This kind of contract structure prioritizes existing debt repayment, potentially limiting the resources available for lower-ranking creditors. Despite their controversial nature, bankrupt firms and judges overseeing them […]
A dozen academics, including Professors Ralph Brubaker and Robert Lawless, are urging the United States Bankruptcy Court to abolish the two-judge panel on a south Texas bankruptcy court that has earned a reputation as a key venue for large bankruptcy cases. The letter from the legal scholars to Chief Judge Eduardo V. Rodriguez comes as […]
In the case of Harrington v. Purdue Pharma, pending before the U.S. Supreme Court, Professor Ralph Brubaker has submitted an amicus brief arguing “Courts have no power to approve” the bankruptcy plan submitted by Purdue Pharma. Joined in writing the brief by fellow bankruptcy experts Professor Bruce Markell of Northwestern and Professor Jonathan Seymour of […]
As part of Creditor Rights Coalition’s “The Academics Speak Up” series, Professor Ralph Brubaker shared his thoughts on Purdue Pharma’s appeal to the U.S. Supreme Court in its bankruptcy proceedings. Brubaker made clear his feelings about the mechanisms by which Purdue was trying to discharge its debts in a direct and unsparing critique. “I am […]