October Term 2023 · Docket 23-124
Can bankruptcy courts release non-debtor parties from lawsuits?
Creditors seek to sue Purdue Pharma's owners. The company argues the bankruptcy code allows releasing them from liability.
Verified source milestones
- — An official oral-argument transcript was verified.
- — An official oral-argument transcript was verified.
- — An official Court opinion was verified.
The arguments, in order
This case may have been argued more than once. Each entry below uses that session's official transcript. Later arguments do not erase earlier ones.
Argument 1 ·
What happened at the argument
Curtis Gannon argued for the creditors. He cited a specific victim's experience. He emphasized the need for accountability.
Daniel Garre argued for Purdue Pharma. He cited the plain text of the statute. He argued the release is legally authorized.
questions_asked_by_justices
Read the official transcript for this argument · Official argument details
Sources used for this argument breakdown
- Official Supreme Court Transcript — file page 10, lines 39-27 — Transcript, file page 10, lines 39-27
- Official Supreme Court Transcript — file page 12, lines 15-21 — Transcript, file page 12, lines 15-21
- Official Supreme Court Transcript — file page 12, lines 27-31 — Transcript, file page 12, lines 27-31
- Official Supreme Court Transcript — file page 121, lines 27-9 — Transcript, file page 121, lines 27-9
- Official Supreme Court Transcript — file page 13, lines 21-45 — Transcript, file page 13, lines 21-45
- Official Supreme Court Transcript — file page 14, lines 31-33 — Transcript, file page 14, lines 31-33
- Official Supreme Court Transcript — file page 14, lines 37-39 — Transcript, file page 14, lines 37-39
- Official Supreme Court Transcript — file page 5, lines 11-21 — Transcript, file page 5, lines 11-21
- Official Supreme Court Transcript — file page 5, lines 23-9 — Transcript, file page 5, lines 23-9
- Official Supreme Court Transcript — file page 61, lines 39-37 — Transcript, file page 61, lines 39-37
- Official Supreme Court Transcript — file page 67, lines 21-11 — Transcript, file page 67, lines 21-11
- Official Supreme Court Transcript — file page 68, lines 13-47 — Transcript, file page 68, lines 13-47
- Official Supreme Court Transcript — file page 69, lines 43-7 — Transcript, file page 69, lines 43-7
- Official Supreme Court Transcript — file page 7, lines 11-17 — Transcript, file page 7, lines 11-17
- Official Supreme Court Transcript — file page 7, lines 23-27 — Transcript, file page 7, lines 23-27
- Official Supreme Court Transcript — file page 7, lines 47-51 — Transcript, file page 7, lines 47-51
- Official Supreme Court Transcript — file page 70, lines 11-35 — Transcript, file page 70, lines 11-35
- Official Supreme Court Transcript — file page 70, lines 39-45 — Transcript, file page 70, lines 39-45
- Official Supreme Court Transcript — file page 71, lines 29-37 — Transcript, file page 71, lines 29-37
- Official Supreme Court Transcript — file page 71, lines 41-47 — Transcript, file page 71, lines 41-47
- Official Supreme Court Transcript — file page 71, lines 51-53 — Transcript, file page 71, lines 51-53
- Official Supreme Court Transcript — file page 72, lines 11-13 — Transcript, file page 72, lines 11-13
- Official Supreme Court Transcript — file page 72, lines 45-51 — Transcript, file page 72, lines 45-51
- Official Supreme Court Transcript — file page 73, lines 19-27 — Transcript, file page 73, lines 19-27
- Official Supreme Court Transcript — file page 73, lines 31-35 — Transcript, file page 73, lines 31-35
- Official Supreme Court Transcript — file page 74, lines 31-33 — Transcript, file page 74, lines 31-33
- Official Supreme Court Transcript — file page 74, lines 7-9 — Transcript, file page 74, lines 7-9
- Official Supreme Court Transcript — file page 8, lines 15-19 — Transcript, file page 8, lines 15-19
- Official Supreme Court Transcript — file page 8, lines 31-39 — Transcript, file page 8, lines 31-39
- Official Supreme Court Transcript — file page 9, lines 19-25 — Transcript, file page 9, lines 19-25
- Official Supreme Court Transcript — file page 94, lines 35-41 — Transcript, file page 94, lines 35-41
A citizen's guide to the whole case
What this case is about
This case tests the scope of bankruptcy law. It asks if a court can shield third parties from lawsuits during a company's reorganization.
Official sources for this section
- Official Supreme Court Transcript — file page 121, lines 27-9 — Transcript, file page 121, lines 27-9
- Official Supreme Court Transcript — file page 5, lines 23-9 — Transcript, file page 5, lines 23-9
- Official Supreme Court Transcript — file page 61, lines 39-37 — Transcript, file page 61, lines 39-37
- Official Supreme Court Transcript — file page 67, lines 21-11 — Transcript, file page 67, lines 21-11
- Official Supreme Court Transcript — file page 94, lines 35-41 — Transcript, file page 94, lines 35-41
How the case got here
The Supreme Court heard oral argument in this case on December 4, 2023.
Official sources for this section
- Official Supreme Court Transcript — file page 5, lines 11-21 — Transcript, file page 5, lines 11-21
- Official Supreme Court Transcript — file page 71, lines 51-53 — Transcript, file page 71, lines 51-53
What each side wants
Creditors want to sue Purdue's owners for damages.
Purdue wants to shield its owners from lawsuits.
Official sources for this section
- Official Supreme Court Transcript — file page 121, lines 27-9 — Transcript, file page 121, lines 27-9
- Official Supreme Court Transcript — file page 5, lines 23-9 — Transcript, file page 5, lines 23-9
- Official Supreme Court Transcript — file page 61, lines 39-37 — Transcript, file page 61, lines 39-37
- Official Supreme Court Transcript — file page 67, lines 21-11 — Transcript, file page 67, lines 21-11
- Official Supreme Court Transcript — file page 94, lines 35-41 — Transcript, file page 94, lines 35-41
What each side says
Creditors argue the bankruptcy code does not allow releasing non-debtors.
Purdue argues the code text permits releasing third parties.
Official sources for this section
- Official Supreme Court Transcript — file page 121, lines 27-9 — Transcript, file page 121, lines 27-9
- Official Supreme Court Transcript — file page 5, lines 23-9 — Transcript, file page 5, lines 23-9
- Official Supreme Court Transcript — file page 61, lines 39-37 — Transcript, file page 61, lines 39-37
- Official Supreme Court Transcript — file page 67, lines 21-11 — Transcript, file page 67, lines 21-11
- Official Supreme Court Transcript — file page 94, lines 35-41 — Transcript, file page 94, lines 35-41
What the justices asked
Justice Thomas asked how to narrow the broad statutory language.
Justice Alito asked if Congress should address this problem.
Official sources for this section
- Official Supreme Court Transcript — file page 10, lines 39-27 — Transcript, file page 10, lines 39-27
- Official Supreme Court Transcript — file page 12, lines 15-21 — Transcript, file page 12, lines 15-21
- Official Supreme Court Transcript — file page 12, lines 27-31 — Transcript, file page 12, lines 27-31
- Official Supreme Court Transcript — file page 13, lines 21-45 — Transcript, file page 13, lines 21-45
- Official Supreme Court Transcript — file page 14, lines 31-33 — Transcript, file page 14, lines 31-33
- Official Supreme Court Transcript — file page 14, lines 37-39 — Transcript, file page 14, lines 37-39
- Official Supreme Court Transcript — file page 68, lines 13-47 — Transcript, file page 68, lines 13-47
- Official Supreme Court Transcript — file page 69, lines 43-7 — Transcript, file page 69, lines 43-7
- Official Supreme Court Transcript — file page 7, lines 11-17 — Transcript, file page 7, lines 11-17
- Official Supreme Court Transcript — file page 7, lines 23-27 — Transcript, file page 7, lines 23-27
- Official Supreme Court Transcript — file page 7, lines 47-51 — Transcript, file page 7, lines 47-51
- Official Supreme Court Transcript — file page 70, lines 11-35 — Transcript, file page 70, lines 11-35
- Official Supreme Court Transcript — file page 70, lines 39-45 — Transcript, file page 70, lines 39-45
- Official Supreme Court Transcript — file page 71, lines 29-37 — Transcript, file page 71, lines 29-37
- Official Supreme Court Transcript — file page 71, lines 41-47 — Transcript, file page 71, lines 41-47
- Official Supreme Court Transcript — file page 72, lines 11-13 — Transcript, file page 72, lines 11-13
- Official Supreme Court Transcript — file page 72, lines 45-51 — Transcript, file page 72, lines 45-51
- Official Supreme Court Transcript — file page 73, lines 19-27 — Transcript, file page 73, lines 19-27
- Official Supreme Court Transcript — file page 73, lines 31-35 — Transcript, file page 73, lines 31-35
- Official Supreme Court Transcript — file page 74, lines 31-33 — Transcript, file page 74, lines 31-33
- Official Supreme Court Transcript — file page 74, lines 7-9 — Transcript, file page 74, lines 7-9
- Official Supreme Court Transcript — file page 8, lines 15-19 — Transcript, file page 8, lines 15-19
- Official Supreme Court Transcript — file page 8, lines 31-39 — Transcript, file page 8, lines 31-39
- Official Supreme Court Transcript — file page 9, lines 19-25 — Transcript, file page 9, lines 19-25
Why it matters
This dispute defines the power of bankruptcy courts. It determines whether companies can shield owners from liability. This affects how creditors recover losses in corporate bankruptcies.
Official sources for this section
- Official Supreme Court Transcript — file page 121, lines 27-9 — Transcript, file page 121, lines 27-9
- Official Supreme Court Transcript — file page 5, lines 23-9 — Transcript, file page 5, lines 23-9
- Official Supreme Court Transcript — file page 61, lines 39-37 — Transcript, file page 61, lines 39-37
- Official Supreme Court Transcript — file page 67, lines 21-11 — Transcript, file page 67, lines 21-11
- Official Supreme Court Transcript — file page 94, lines 35-41 — Transcript, file page 94, lines 35-41
What happens next
This article currently covers the argument record. Use the official docket link for later case activity.
Official sources for this section
- Official Supreme Court Transcript — file page 10, lines 39-27 — Transcript, file page 10, lines 39-27
- Official Supreme Court Transcript — file page 12, lines 15-21 — Transcript, file page 12, lines 15-21
- Official Supreme Court Transcript — file page 12, lines 27-31 — Transcript, file page 12, lines 27-31
- Official Supreme Court Transcript — file page 13, lines 21-45 — Transcript, file page 13, lines 21-45
- Official Supreme Court Transcript — file page 14, lines 31-33 — Transcript, file page 14, lines 31-33
- Official Supreme Court Transcript — file page 14, lines 37-39 — Transcript, file page 14, lines 37-39
- Official Supreme Court Transcript — file page 5, lines 11-21 — Transcript, file page 5, lines 11-21
- Official Supreme Court Transcript — file page 68, lines 13-47 — Transcript, file page 68, lines 13-47
- Official Supreme Court Transcript — file page 69, lines 43-7 — Transcript, file page 69, lines 43-7
- Official Supreme Court Transcript — file page 7, lines 11-17 — Transcript, file page 7, lines 11-17
- Official Supreme Court Transcript — file page 7, lines 23-27 — Transcript, file page 7, lines 23-27
- Official Supreme Court Transcript — file page 7, lines 47-51 — Transcript, file page 7, lines 47-51
- Official Supreme Court Transcript — file page 70, lines 11-35 — Transcript, file page 70, lines 11-35
- Official Supreme Court Transcript — file page 70, lines 39-45 — Transcript, file page 70, lines 39-45
- Official Supreme Court Transcript — file page 71, lines 29-37 — Transcript, file page 71, lines 29-37
- Official Supreme Court Transcript — file page 71, lines 41-47 — Transcript, file page 71, lines 41-47
- Official Supreme Court Transcript — file page 71, lines 51-53 — Transcript, file page 71, lines 51-53
- Official Supreme Court Transcript — file page 72, lines 11-13 — Transcript, file page 72, lines 11-13
- Official Supreme Court Transcript — file page 72, lines 45-51 — Transcript, file page 72, lines 45-51
- Official Supreme Court Transcript — file page 73, lines 19-27 — Transcript, file page 73, lines 19-27
- Official Supreme Court Transcript — file page 73, lines 31-35 — Transcript, file page 73, lines 31-35
- Official Supreme Court Transcript — file page 74, lines 31-33 — Transcript, file page 74, lines 31-33
- Official Supreme Court Transcript — file page 74, lines 7-9 — Transcript, file page 74, lines 7-9
- Official Supreme Court Transcript — file page 8, lines 15-19 — Transcript, file page 8, lines 15-19
- Official Supreme Court Transcript — file page 8, lines 31-39 — Transcript, file page 8, lines 31-39
- Official Supreme Court Transcript — file page 9, lines 19-25 — Transcript, file page 9, lines 19-25
Official Court provenance
Official docket and case history · Official Supreme Court oral-argument detail page
Verified official opinions and orders
Title and summary sources
- Official Supreme Court Transcript — file page 121, lines 27-9 — Transcript, file page 121, lines 27-9
- Official Supreme Court Transcript — file page 5, lines 23-9 — Transcript, file page 5, lines 23-9
- Official Supreme Court Transcript — file page 61, lines 39-37 — Transcript, file page 61, lines 39-37
- Official Supreme Court Transcript — file page 67, lines 21-11 — Transcript, file page 67, lines 21-11
- Official Supreme Court Transcript — file page 94, lines 35-41 — Transcript, file page 94, lines 35-41
- Official Supreme Court Transcript — file page 121, lines 27-9 — Transcript, file page 121, lines 27-9
- Official Supreme Court Transcript — file page 5, lines 23-9 — Transcript, file page 5, lines 23-9
- Official Supreme Court Transcript — file page 61, lines 39-37 — Transcript, file page 61, lines 39-37
- Official Supreme Court Transcript — file page 67, lines 21-11 — Transcript, file page 67, lines 21-11
- Official Supreme Court Transcript — file page 94, lines 35-41 — Transcript, file page 94, lines 35-41
Revision history
- Revision 1 · Post Opinion ·
Correction: Rewritten to the concise citizen-facing editorial standard.
- Revision 2 · Post Opinion ·
Correction: Migrated to the dated official Court activity contract without model use.