Bankruptcy

Insurer Standing in Bankruptcy Cases: A Controversial Debate that Could Impact Mass Tort Resolutions

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Houston, Texas – Insurers seeking broad standing in mass tort bankruptcy cases face opposition from legal experts. The U.S. Supreme Court is considering whether to endorse insurer standing in the case of Truck Insurance Exchange v. Kaiser Gypsum Company Inc., with some arguing that a broad view of insurer standing would eliminate obstacles to resolving insurer objections. However, experts argue that insurers’ claims are based on two fallacies and that expanding their standing would only lead to unnecessary delays in bankruptcy proceedings. The first fallacy criticized by legal experts is the notion that the goal … Read more

Bankruptcy Judge Seeks Change: Pushes for Special Masters in Talc Bankruptcy Cases to Ease Caseload Burden

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Newark, New Jersey – Since the first talc bankruptcy was filed in 2021, Judge Michael Kaplan has grappled with numerous disputes in the US Bankruptcy Court. These disagreements encompass a range of issues, including fights over discovery, disputes over the administration of individual claims, and conflicts over the total amount in controversy. If Kaplan were a district court judge overseeing a mass tort action, the solution would be clear: appoint a special master to efficiently manage the increasingly contentious parties. However, as a bankruptcy judge, Kaplan is prohibited from appointing a special master according to … Read more

Insurers Face High Stakes in Mass Tort Bankruptcy: What You Need to Know

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Insurers in mass tort Chapter 11 bankruptcy cases are currently under scrutiny for their role in the legal process. These bankruptcies, which occur when many individuals file claims against a single defendant, have significant implications for both the insurance industry and the victims seeking compensation. Mass tort Chapter 11 bankruptcies raise questions about insurance companies’ ability to meet their obligations in such situations. This is particularly relevant as more individuals come forward with claims against defendants, leading to a surge in bankruptcy filings. One of the main concerns is whether insurance policies will provide coverage … Read more

Otterbourg PC Establishes Innovative Mass Tort Bankruptcy Practice Group to Meet Growing Demand

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New York, NY – Otterbourg PC, a prominent law firm, has announced the establishment of a specialized practice group that focuses on mass tort bankruptcies. In an effort to attract top-level talent in this area, the firm has recruited a highly experienced restructuring attorney to lead the newly formed group. With many BigLaw firms currently vying for bankruptcy expertise, Otterbourg PC’s move demonstrates its commitment to expanding its capabilities and meeting the growing demand for legal services in this field. This development comes as the firm recognizes the increasing complexity and prevalence of mass tort … Read more