U.S. Trustee Moves to Dismiss Red River Talc Petition, Says J&J Has ‘No Valid Restructuring Purpose’

HOUSTON –– The U.S. Trustee involved in the recently filed Red River Talc LLC Chapter 11 bankruptcy petition has moved to dismiss the case, saying that Johnson & Johnson’s tactics “are a textbook example of bad faith.”

In a motion filed Oct. 21 in the U.S. Bankruptcy Court for the Southern District of Texas, the U.S. Trustee argues that the filing is nothing more than the third attempt by Johnson & Johnson to “immunize itself from billions of dollars of personal injury liability without actually subjecting itself to bankruptcy.”

“As in the previous cases, which were both eventually dismissed for …