The Washington Legal Foundation has published an op-ed authored by TCJL in connection with the mass talc litigation pending in the U.S. Bankruptcy Court in New Jersey. The consumer products division of Johnson & Johnson, the target defendant in almost 40,000 lawsuits nationwide, reorganized under Texas law to place present and future claims liability in a separate entity, LTL Management. LTL filed for Chapter 11 reorganization for the purpose of establishing a fair and orderly process for paying legitimate claims, as has been done previously by other mass tort defendants. Plaintiffs’ attorneys appealed the bankruptcy judge’s determination that LTL’s Chapter 11 filing was undertaken in good faith and in accordance with applicable law. The U.S. Third Circuit Court of Appeals’ is now considering the appeal. TCJL’s op-ed explains the origination and history of the Texas law authorizing entities to carry out divisive mergers to manage liability and rebuts characterizations of LTL’s actions as “abuses” of the law.
The op-ed may be seen here:
