Gladwyn d’Souza<p>The ruling marked the first major repudiation of an emerging legal strategy with the potential to upend U.S. <a href="https://sfba.social/tags/corporate" class="mention hashtag" rel="tag">#<span>corporate</span></a> <a href="https://sfba.social/tags/liability" class="mention hashtag" rel="tag">#<span>liability</span></a> law. The strategy called Texas two-step was designed to address asbestos-related <a href="https://sfba.social/tags/lawsuits" class="mention hashtag" rel="tag">#<span>lawsuits</span></a> & involves creating a <a href="https://sfba.social/tags/subsidiary" class="mention hashtag" rel="tag">#<span>subsidiary</span></a> to absorb the <a href="https://sfba.social/tags/liabilities" class="mention hashtag" rel="tag">#<span>liabilities</span></a> and to immediately file <a href="https://sfba.social/tags/Chapter11" class="mention hashtag" rel="tag">#<span>Chapter11</span></a> @ Georgia Pacific, Saint-Gobain, Trane Technologies and Johnson & Johnson<br /><a href="https://www.reuters.com/legal/jjs-ltl-units-bankruptcy-dismissed-by-us-appeals-court-filing-2023-01-30/" target="_blank" rel="nofollow noopener noreferrer" translate="no"><span class="invisible">https://www.</span><span class="ellipsis">reuters.com/legal/jjs-ltl-unit</span><span class="invisible">s-bankruptcy-dismissed-by-us-appeals-court-filing-2023-01-30/</span></a></p>