This is a summary of an article originally published by Law360. Read the full article here.

The Third Circuit upheld its ruling in favor of Whittaker Clark & Daniels Inc., affirming that the former talc supplier was authorized to file for Chapter 11 and that certain successor liability claims against Brenntag North America belong to the bankruptcy estate rather than individual personal injury claimants.

The unanimous panel reached the same conclusions after reconsidering its September 2025 decision, finding that Whittaker’s board retained the authority to initiate the bankruptcy case despite a South Carolina receivership. The court also affirmed that the disputed claims are property of the bankruptcy estate and may be pursued or settled by Whittaker.

The decision supports a proposed $535 million settlement that would resolve estate claims against several third parties, including Brenntag.

Whittaker is represented by Michael D. Sirota, Warren A. Usatine, Felice R. Yudkin, G. David Dean, Seth Van Aalten and Anthony De Leo of Cole Schotz PC.

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