Boy Scouts Says Bankruptcy Plan Is Unaffected By Purdue Ruling

The US Supreme Court’s ruling overturning Purdue Pharma LP’s bankruptcy plan and $6 billion Sackler family settlement should have no effect on the Boy Scouts bankruptcy case, the youth organization said.

The Boy Scouts’ Chapter 11 plan, structured around a historic $2.46 billion sex abuse settlement, was meant to be left intact when the high court ruled in Harrington v. Purdue Pharma that bankruptcy plans can’t force creditors to give up legal claims against nonbankrupt third parties, the nonprofit told the US Court of Appeals for the Third Circuit on Wednesday.

The high court recognized that its June decision doesn’t ...