Articles Tagged: Bankruptcy
Johnson Johnson has announced a proposed $5.5 billion global resolution aimed at settling tens of thousands of lawsuits alleging its talcum powder products caused ovarian cancer, a major development in one of the country’s most closely watched mass torts.
23andMe’s data-breach exposure grew again this week, as a coalition of more than 40 state attorneys general announced they will share in an additional $18 million resolution over alleged unreasonable security practices. The state deal follows a bankruptcy court’s approval of a separate $46.75 million settlement with private claimants, bringing the combined fallout to $64.75 million and underscoring how cyber incidents can trigger overlapping liability across private litigation, regulatory enforcement, and insolvency proceedings.
The underlying civil litigation has been centralized in the Northern District of California as IN RE: 23ANDME, Inc., Customer Data Security Breach Litigation, a multidistrict proceeding that has become a key docket for watching how courts handle privacy claims tied to alleged security failures involving highly sensitive consumer data.
An emergency motion to compel filed by the Official Committee of Unsecured Creditors in this Texas Southern Bankruptcy Court Chapter 11 case is the kind of procedural fight that can quickly become outcome-determinative. At bottom, a creditors’ committee typically brings this kind of motion when it believes the debtor or another case stakeholder is not producing information fast enough—or fully enough—for the committee to perform its statutory oversight role.
In the Chapter 11 context, committees are charged with investigating the debtor’s financial affairs, scrutinizing transactions, and protecting unsecured creditor recoveries.
The Department of Justice’s U.S. Trustee Program said on April 17, 2026, that it obtained a judgment requiring a national consumer bankruptcy law firm to return $196,527 in fees to clients after finding deficient legal services and violations of the Bankruptcy Code. For bankruptcy practitioners and firms operating at scale, the judgment is a pointed reminder that fee collection, client service, and compliance obligations remain subject to close court and regulator scrutiny.
Although the announcement did not identify the firm in the summary provided, the outcome itself is notable.


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