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.
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.
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.