McKinsey Denied Supreme Court Appeal Over Jay Alix’s RICO Suit

The US Supreme Court declined to take up McKinsey & Co.'s challenge of restructuring expert Jay Alix’s standing to sue the consulting firm for allegedly concealing conflicts of interest in large corporate bankruptcy cases.

The justices’ order Tuesday allows Alix, the retired founder of competitor AlixPartners, to continue litigating his 2018 suit against McKinsey for allegedly violating the Racketeer Influenced and Corrupt Organizations Act.

McKinsey now will enter a discovery phase of the case, which it previously said could cause “irreparable harm” and implicate 20 years of competition with other restructuring advisory companies.

McKinsey sought Supreme Court relief following the ...