> JJCI was funded to the tune of $2B. Slightly less than the $61.5B of liability, you'll agree

Your numbers are all wrong.

Here's a law firm's summary of all the judgments to date against J&J: https://www.sokolovelaw.com/product-liability/talcum-powder/...

These don't add up anywhere close to $10b, let alone $61.5b.

$61.5b is the amount that J&J ultimately agreed to pay the new company (LTL) that it spun off to take over the liabilities.

This is from the court that rejected the bankruptcy:

"we cannot agree LTL was in financial distress when it filed its Chapter 11 petition. The value and quality of its assets, which include a roughly $61.5 billion payment right against J&J and New Consumer, make this holding untenable."

https://www2.ca3.uscourts.gov/opinarch/222003p.pdf

My translation: "This new company can get up to $61.5b from J&J but says it's in financial straits. Bankruptcy denied."

I'm aware the Texas Two Step is used by companies to get out of paying what they legally owe. It's unclear to me if this particular case is a good example of that today because J&J has committed to paying at least $61.5b and that's much more than the judgements against them.

If in 20 years all the judgements end up being more like $80b and J&J says "Whoopsie, money's run out" then I guess we can call shenanigans.

I don't know what Matt Levine has said about the Texas Two Step outside of this case.

> JJCI re-filed bankruptcy proceedings three hours later

What did they change in their application? What happened to the new filing?