TRENTON, N.J. (Legal Newsline) - Saying it is trying to avoid a “value-destructive, complex, expensive bankruptcy” of its $61 billion consumer-products division, Johnson & Johnson urged the Third Circuit Court of Appeals to reconsider a panel decision rejecting the reorganization of a smaller unit the company established to handle tens of thousands of lawsuits claiming its Johnson’s Baby Powder contains deadly asbestos.
While legislation is pending in Congress that would require the dismissal of Chapter 11 bankruptcy cases in which the debtor has created a divisional merger, federal appeals court judges in Philadelphia heard arguments this week about whether Johnson & Johnson’s bankruptcy case was filed in good faith.
NEWARK (Legal Newsline) - The Washington Legal Foundation (WLF) is among the organizations that have filed an amicus brief arguing against the appeal of a federal judge’s decision to allow Johnson & Johnson to proceed with its bankruptcy.