Author: Jonathan C. Lipson

A health care provider that faced dozens of prisoner lawsuits is filing for bankruptcy

Bankruptcy has become a popular path for companies facing mass tort liabilities, Prof. Jonathan Lipson tells NPR. It “can give the company significant advantages through the bankruptcy process that they never have in ordinary litigation, including halting those other litigations, halting the discovery process, halting determinations of liability on the merits, and many other things that can be quite valuable to the company but might be costly to victims.” Read More

Why FTX’s Generous Bankruptcy Payouts Still Leave Some Creditors Cold

As FTX creditors continue to voice concern about the role of Sullivan & Cromwell in the company’s bankruptcy, Prof. Jonathan Lipson says the law firm “has done some really important and valuable things.” “It’s also true that bankruptcy is all about spreading the pain. However, the right metric is if you had to maximize the value of this estate, what would you get? And there are, I think, legitimate questions about that.” Read More