U.S. Senators, 25 States File Amici Briefs with U.S. Supreme Court, Asking High Court to End ‘Texas Two-Step’
January 24, 2024
- Senator Brief
- States Brief
WASHINGTON, D.C. –– Twenty-five states and three U.S. Senators have filed amici briefs asking the U.S. Supreme Court to put an end to the “Texas Two-Step” bankruptcy maneuver, saying it “unjustly limits their liability for the harms they have caused.”
The separate briefs were filed on Jan. 22 in the U.S. Supreme Court maintained that the maneuver “allows tortfeasor corporations not facing financial distress to abuse the bankruptcy process.”
The underlying appeal involves the bankruptcy of Bestwall, a subsidiary of Georgia-Pacific. In June 2023, the 4th Circuit U.S. Court of Appeals upheld the stay on asbestos litigation against Georgia-Pacific.