WILLIAM K. HARRINGTON, UNITED STATES TRUSTEE, REGION 2, PETITIONER v. PURDUE PHARMA L. P., ET AL., 603 U.S. 204

Summary

HOLDINGS: [1]-In light of its text, context, and history, 11 U.S.C.S. § 1123(b)(6) did not authorize a release and injunction that, as part of a plan of reorganization under Chapter 11, effectively sought to discharge claims against a nondebtor without the consent of affected claimants; [2]-Per this interpretation of § 1123(b)(6), the bankruptcy court had improperly granted the long-time owners of a pharmaceutical company, who had not declared bankruptcy, a release from all opioid-related claims and an injunction enjoining victims from bringing future claims.