Bankruptcy Rules for Disclosing Relationships: Explained

The fallout of a Texas bankruptcy judge’s ethics debacle has spread to a prominent Houston law firm following revelations that it failed to disclose allegations of a romantic relationship between one of its attorneys and the judge.

Disclosures of potential conflicts of interest among attorneys and other advisers is a routine element of large, corporate Chapter 11 cases. But their importance became more pronounced when Judge David R. Jones of the US Bankruptcy Court for the Southern District of Texas announced he would resign after admitting to a long-term relationship with bankruptcy attorney Elizabeth Freeman. Freeman previously worked at Jackson ...