ABA Journal

Bankruptcy Law

1143 ABA Journal Bankruptcy Law articles.

3rd Circuit tosses talc defendant’s ‘Texas two-step’ bankruptcy

A federal appeals court has dismissed a petition for Chapter 11 bankruptcy filed by a new unit of Johnson & Johnson that was formed to assume liabilities in litigation over talc contained in its baby powder.

Judge won’t sanction Texas lawyer for missteps after mistaken disclosure of info about Sandy Hook families

Updated: A Connecticut judge has declined to sanction a Texas lawyer representing Infowars host Alex Jones for failing to take proper action after his paralegal mistakenly released confidential documents to the opposing counsel.

Bankruptcy judge suspends lawyer for ‘bizarre gamesmanship,’ urging clients to infect trustee with ‘nasty disease’

A bankruptcy judge in Colorado has suspended a Denver lawyer from practicing before the court for three years as a sanction for “egregious lawyer misconduct” that included asking his clients to infect the trustee with COVID-19 or another “nasty disease.”

Lawyer who missed deadline after spending 25 minutes trying to file ECF document gets no mercy from 10th Circuit

A lawyer has failed to persuade a federal appeals court that his missed deadline should be excused because of his difficulty filing a complaint with an electronic case filing system.

Sullivan & Cromwell pressured me to file for FTX bankruptcy, crypto exchange’s founder says

Indicted cryptocurrency exchange FTX founder Samuel Bankman-Fried is accusing Sullivan & Cromwell of pressuring him to seek bankruptcy protection for his company and filing documents nominating a new CEO after he tried to withdraw permission.

FTX founder faces criminal and civil charges for alleged $1.8B fraud at FTX Trading

The founder of cryptocurrency exchange FTX is facing criminal and civil securities charges in connection with an alleged $1.8 billion fraud for touting FTX Trading as a safe platform for crypto asset trading while diverting investor money to his privately held hedge fund.

This BigLaw firm charges more for copying than competitors, bankruptcy filings show

Kirkland & Ellis charges clients more for in-house copying services that do other BigLaw firms, according to a review of bankruptcy filings.

Lawyer who hinted about accused priest is sanctioned $400K for violating protective order

A bankruptcy judge in New Orleans has imposed a $400,000 sanction on a lawyer who represents victims of priest abuse for hinting about allegations against a Catholic priest in violation of a protective order.

Can Infowars host Alex Jones pay nearly $965M verdict for Sandy Hook lies? He spent $80K to get to trial, bankruptcy filings show

Infowars host and founder Alex Jones called the $965 million verdict against him a “joke” during his broadcast Wednesday and suggested that defamation plaintiffs who sued him for lying about the 2012 Sandy Hook shooting massacre in Connecticut won’t be able to collect.

Baker & Hostetler helped client conceal ‘blatant insurance fraud,’ suit alleges

A bankruptcy trustee has filed a lawsuit alleging that Baker & Hostetler helped a client commit “blatant insurance fraud" and cause several companies to wrongly pay more than $100 million in rebates to pharmacy benefit managers that managed patients' insurance.

Disbarred lawyer Tom Girardi’s auction items included Persian rugs, bronze statues, holographic Pokémon card

A court-ordered auction of items from disbarred lawyer Tom Girardi’s California mansion yielded nearly $500,000 that will be used to help pay creditors in the bankruptcy of his personal estate.

Litigation lenders bankrolled Tom Girardi despite his apparent ‘proclivities’ for stealing from clients, suit says

In ‘Perry Mason moment,’ lawyer impeaches Infowars host Alex Jones with texts mistakenly sent by opposing counsel

Updated: A lawyer for the parents of a child killed in the 2012 Sandy Hook shooting massacre in Newtown, Connecticut, confronted Infowars host Alex Jones on Wednesday with information from texts said to be mistakenly sent by Jones’ lawyers.

Gaming the System? Inside the ‘Texas two-step’ strategy profitable companies use to file for bankruptcy

In recent years, Purdue Pharma, USA Gymnastics and Boy Scouts of America have filed for Chapter 11 bankruptcy to avoid civil liability. But it is J&J’s use of a 1989 Texas statute on divisive mergers that is facing scrutiny in federal courts and in Congress.

Taking on unauthorized practice of law regulations to expand access to justice

A professor talks to the ABA Journal’s Victor Li about New York-based company Upsolve’s lawsuit regarding UPL rules and access-to-justice issues in general.

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