The Johnson & Johnson talc powder bankruptcy filing in Houston is less than a month old, but new documents filed Sunday in the case show that it is going to be highly profitable for the lawyers and law firms involved. Over the past three days, lawyers for Jones Day, Porter Hedges, King & Spalding, Skadden Arps, Shook Hardy & Bacon and McCarter & English have filed their official applications to represent Red River Talc, the J&J subsidiary. Jones Day’s Dallas office is the biggest financial beneficiary.
Apache Names David Bernal New VP of Legal
Bernal succeeds long-time general counsel Anthony Lannie, who retired.
Pedernales Electric Coop Names New GC
A long-time energy industry lawyer with extensive experience practicing before the Texas Public Utility Commission and the Federal Energy Regulatory Commission has been named the new general counsel at Johnson City-based Pedernales Electric Cooperative.
P.S. — Bankruptcy Judge Harlin Hale, Craig Glidden, Martha Hofmeister Honored, DFW Corporate Counsel Award Nominations Open
The Association of Corporate Counsel’s DFW Chapter and The Texas Lawbook are now accepting nominations for the 2024 DFW Corporate Counsel Awards, including nominations for Achievement in Pro Bono and Public Service and Achievement in Diversity and Inclusion. In the news this week, the American Bar Association honors former LyondellBasell GC Craig Glidden, and the Federal Bar Association recognizes Dallas lawyer Martha Hardwick Hofmeister for outstanding leadership. On Thursday, the Dallas Bar Foundation presented retired NDTX Bankruptcy Judge Harlin Hale with the Justinian Award.
Plus, The Lawbook thanks Sempra Energy Chief Risk Management and Compliance Officer Carolyn Aiman and Shell USA Head of Legal Travis Torrence for donations to the Texas Lawbook Foundation to support our coverage of pro bono, public service and diversity in the legal profession.
Editor’s note: The Lawbook misspelled Judge Hale’s first name in earlier editions. We apologize for the error.
SCOTUS Vacates Fifth Circuit Opinion in Citizen Journalist Case
The U.S. Court of Appeals for the Fifth Circuit’s win-loss record in cases reviewed by the U.S. Supreme Court is already in the red and it is only mid-October. The Supreme Court has vacated the Fifth Circuit opinion written by appellate Judge Edith Jones earlier this year that held that Laredo law enforcement officers who arrested a citizen-journalist in 2017 for asking for information deemed non-public cannot be sued for violating the First Amendment rights of the reporter because the officers have qualified immunity.
Secret Courthouse Romance, Ethics Investigations, Tens of Millions in Legal Fees: The SDTX Bankruptcy Scandal One Year Later
Houston Bankruptcy Judge David Jones’ voice was filled with emotion one year ago today in an interview with The Texas Lawbook. “I don’t know. I don’t know. I don’t know what is going to happen next. I just don’t know. I guess I have to resign.”
The Fifth Circuit had just published notice that it was investigating possible misconduct by Judge Jones over allegations that he had been involved in a multiyear secret romance with a former bankruptcy partner at Jackson Walker. The firm had been paid more than $20 million — fees often approved by Judge Jones — for its role in dozens of high-profile bankruptcies in which Jones served as judge or mediator. Jones officially resigned Oct. 15, 2023. The 365 days since have been pure chaos in the Houston bankruptcy courts, which is one of the three busiest courts in the nation for business bankruptcies.
“The whole thing is a mess, a complete fiasco,” said former UNT Dallas law dean Royal Furgeson. In a first-ever detailed timeline of the events of the past year and several years prior, The Lawbook documents a scandal about romance, secrecy, tens of millions of dollars in legal fees and ethical lapses that have engulfed the bankruptcy courts in Houston.
SDTX Bankruptcy Court Scandal Timeline
2011: David Jones leaves Houston law firm Porter Hedges after 19 years as a corporate bankruptcy lawyer to become a bankruptcy judge in the Southern District of Texas. Jones later hires
Lawyer for Foster Care Children Will Appeal Fifth Circuit Rejection
The lead lawyer for tens of thousands of foster care children in Texas said Sunday that he will appeal a decision handed down Friday by a federal appeals court removing the federal judge who has overseen the litigation for 13 years and whose orders have forced Texas officials to greatly improve how they investigate accusations of abuse in the state’s foster care system.
Houston trial lawyer Paul Yetter told The Texas Lawbook in an interview Sunday that he believes the opinion by the three-judge panel of the U.S. Court of Appeals for the Fifth Circuit focuses too much on procedure and not enough on specific evidence involving dozens of mentally challenged and disabled children in the foster care system who remain in serious danger because of the lack of attention from Texas officials.
Fifth Circuit Reverses Sanctions Against Texas in Foster Care Case, Removes Trial Judge
A three-judge panel of the U.S. Court of Appeals for the Fifth Circuit in a decision issued late Friday blasted the federal trial judge overseeing the litigation over the allegedly disgraceful conditions of the Texas foster care system for telling lawyers for the state of Texas that “doesn’t hurt” for state officials to “go over and above the minimum standards for protecting Texas children. The federal appeals court panel said that U.S. District Judge Janis Jack has made courtroom remarks that “implied bias” that “raise serious questions concerning … the appearance of justice.”
P.S. — ADL Honors Reasoners, Dallas Hispanic Bar Gala, Inns of Court Recognizes Gray Reed Partner
Two years ago, The Texas Lawbook created the full-time pro bono, public service and diversity writer position with a carrot-and-stick approach: Highlight the successes of Texas lawyers in these three critical areas to hopefully encourage others to do the same and to provide data and analysis about where lawyers and firms are falling short. To be sure, the sticks are being sharpened to address failures. But today, we have three successes to highlight.