Sorrento Defeats DOJ Effort to Move Bankruptcy Out of Texas (1)

A Texas judge ruled that Sorrento Therapeutics Inc. can keep its bankruptcy case in Houston following a dispute over the legitimacy of its connection to the Lone Star state.

Judge Christopher M. Lopez of the US Bankruptcy Court for the Southern District of Texas rejected an effort by the Justice Department’s bankruptcy watchdog, the US Trustee, to dismiss or transfer the case, finding the request was untimely. His ruling came after the US Trustee argued that the drug developer used a P.O. Box and bank account to improperly manufacture its ties to Texas in order to conduct its bankruptcy in ...