icon on The Supreme Court released a long-awaited decision on the Purdue Pharma bankruptcy case Thursday.
In a 5-4 decision, the court ruled the Bankruptcy Code did not authorize the nonconsensual release of claims against non-debtors, essentially blocking the liability shield granted to members of the Sackler family who own Purdue Pharma that would protect them from widespread litigation.
Jim Morgan of Howard & Howard discusses the impact of the decision on bankruptcy court moving forward:
“It will definitely change the calculus for the analysis of whether to file a bankruptcy because you no longer get the absolute relief that you could through a bankruptcy process.”
Read more from Jim and about the court’s decision below:
Yahoo! Finance: https://yhoo.it/4cH0V1g.
Bloomberg Law: https://bit.ly/3L3EveH.