Senators Urge High Court to Hear ‘Two-Step’ Bankruptcy Suit (1)

Three Senate Judiciary Committee members urged the US Supreme Court to review a Georgia-Pacific LLC unit’s bankruptcy, saying the paper products manufacturer is financially healthy and the justices should overturn a lower court decision allowing the Chapter 11 case to continue.

Ranking member Dick Durbin (D-Ill.) and his fellow committee members, Sheldon Whitehouse (D-R.I.) and Josh Hawley (R-Mo.), argued in a Wednesday court filing that Congress didn’t create the US bankruptcy code to allow wealthy companies defending themselves against asbestos tort claims to leverage the law and “gain a strategic advantage.”

Georgia-Pacific in 2017 became the first company to attempt ...