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Brief Of Amici Curiae Law Professors In Support Of Appellees Regarding The “Abuse” Standard, Pamela Foohey

Faculty Amicus Briefs

This amicus brief explains how and why the nondebtor releases granted to the Sackler family, and a large and indeterminate number of other persons and entities in the chapter 11 reorganization of opioid-maker Purdue Pharma, were "abusive" as that term has historically been understood in bankruptcy.

In the 2005 Metromedia opinion, the Second Circuit warned that a nondebtor release "lends itself to abuse" because it “operates as a bankruptcy discharge arranged without a filing and without the safeguards of the Bankruptcy Code.” Liabilities arising from fraudulent transfers, as well as “willful and malicious injury,” have been considered classic examples of …