Haynes Boone Partner Patrick Hughes was featured in an article from The Washington Post as companies seeking protection from lawsuits by filing for bankruptcy must now reckon with a Supreme Court ruling against the opioid company Purdue Pharma that substantially raised the bar for executives and owners trying to shield their wealth.
Notably, the Supreme Court’s opinion on Purdue pointed to an exception in federal law involving asbestos cases that allows bankruptcy courts to approve a settlement even if not all claimants agree to it.
Companies “will have to engage more intentionally and more proactively with those claimants that are most prone to wanting to opt out and try their cases against non-debtors,” explained Hughes.
To read the full article in The Washington Post, click here.