Episode Details

Oral Argument: Harrington v. Purdue Pharma L.P. | Case No. 23-124 | Date Argued: 12/4/23 | Date Decided: 6/27/24

Link to Docket: Here.

Question Presented: Whether the Bankruptcy Code authorizes a court to approve, as part of a plan of reorganization under Chapter 11 of the Bankruptcy Code, a release that extinguishes claims held by nondebtors against nondebtor third parties, without the claimants' consent.

Holding: The bankruptcy code does not authorize a release and injunction that, as part of a plan of reorganization under Chapter 11, effectively seek to discharge claims against a nondebtor without the consent of affected claimants.

Result: Reversed and remanded.

Voting Breakdown: 5-4. Justice Gorsuch delivered the opinion of the Court, in which Justices Thomas, Alito, Barrett, and Jackson joined. Justice Kavanaugh filed a dissenting opinion, in which Chief Justice Roberts and Justices Sotomayor and Kagan joined.

Link to Opinion: Here.

Oral Advocates:

• For Petitioner: Curtis E. Gannon, Deputy Solicitor General, Department of Justice, Washington, D.C.
• For Respondents Purdue Pharma L.P., et al.: Gregory G. Garre, Washington, D.C.
• For Respondents The Official Committee of Unsecured Creditors of Purdue Pharma L.P., et al.: Pratik A. Shah, Washington, D.C.