Author: Jonathan C. Lipson

Professor Jonathan Lipson – Making America Worse: Jobs and Money at Trump Casinos, 1997-2010

Professor Jonathan Lipson’s working paper, Making America Worse: Jobs and Money at Trump Casinos, 1997-2010, caused enough of a stir when it was released in late September to earn a spot on the Clinton campaign’s website. Since then, the paper, which questions Donald Trump’s claim that his business success in creating jobs means that he can also create jobs as President, has become part of the national political discourse. Lipson has discussed his findings, and his theory that bankruptcy is the real model behind Mr. Trump’s presidential campaign, in a series of op-eds; his work has also inspired widespread discussion in a variety of noteworthy publications, which are listed below. About Professor Lipson Jonathan Lipson is a nationally recognized authority on corporate bankruptcy whose work is frequently cited by leading business courts, such as the Delaware Supreme Court, the Delaware Chancery Court, and the Bankruptcy Court for the Southern District of New York. He serves on the editorial boards of The Business Lawyer and The American Bankruptcy Law Journal. He has also served as an expert in complex reorganizations, including that of Enron Corp., and …

Donald Trump

Bankruptcies Shaped Trump Political Style

Restructuring a failing business requires puffery, threats, gambles and head fakes. Sound familiar? Donald Trump’s campaign for president often seems baffling. That’s because he is playing a very different game from what we expect in general elections. He learned it in bankruptcy proceedings. Having taken his Atlantic City casinos through bankruptcy multiple times, this is a game Trump knows how to play and win — at least for himself, if not necessarily for his companies or others who may depend on him. The process of restructuring troubled businesses such as Trump’s casinos is replete with posturing, table pounding, empty threats, puffery, head-fakes, and the occasional desperate gamble. If all that sounds familiar, it’s probably because you heard it from Trump in this week’s presidential debate. Bankruptcy may be the real model behind his unconventional political behavior. Corporate bankruptcies are complex and contentious affairs. Scores of creditors and shareholders grapple for slices of a pie that is too small to feed all of them. Ordinarily, the expectation is that shareholders will be wiped out, because the company is insolvent, and managers will …