U.S. Senate Judiciary Committee Hears Arguments Relating to ‘Texas Two-Step’ Bankruptcy Maneuver

WASHINGTON, D.C. –– The U.S. Senate Judiciary Committee has heard arguments relating to the “Texas Two-Step” bankruptcy maneuver in an effort examine ways in which to close loopholes in the bankruptcy system.

The Committee heard testimony on Sept. 19 from several individuals during a hearing entitled “Evading Accountability: Corporate Manipulation of Chapter 11 Bankruptcy.”

Among those testifying were Lori Knapp; Samir D. Parikh, Robert E. Jones Professor of Advocacy and Ethics, Lewis & Clark Law School; Stephen Hessler, Partner, Sidley Austin LLP; Melissa B. Jacoby, Graham Kenan Professor of Law, University of North Carolina at Chapel Hill; and Erik Haas, …