"In May of 2007, the nation’s largest coal company—Peabody Holdings—spun off
its properties in West Virginia, Kentucky, Illinois, and Indiana to a new
company: Patriot Coal.
In October 2021, Johnson & Johnson spun off a company called LTL Management and
gave it one of their most iconic products.
What do these two things have in common? Corporate bankruptcy law. Corporations
are by their nature artificial structures set up to protect investors and
corporate executives from taking personal responsibility for their actions. But
there are some aspects of corporate bankruptcy law that turn that up to 11.
Because here’s how the rest of these two stories play out."
Via Kevin O'Brien, who wrote "Just one more [thing] wrong with the legal system
in the U.S."
*** Xanni ***
Chief Scientist, Xanadu
Partner, Glass Wings
Manager, Serious Cybernetics