California Wildfire Victims File First Suit in PG&E Bankruptcy

A family that lost its home and three small businesses to the worst wildfire in California history sued PG&E Corp. in bankruptcy, opening a new chapter in the fight to pin blame for the disaster on the troubled utility.

All other lawsuits filed by fire victims had been halted when PG&E sought court protection from creditors last month. By agreeing to let the judge overseeing the Chapter 11 case to handle their lawsuit, the family of David and Julia Herndon in Paradise, California, will have their claims move forward.

Wildfire victims are set to get an official creditors committee to ...