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Using bankruptcy to pause lawsuits

Herlihy v. DBMP

Updated Nov 12, 2026

In brief

Where it stands
Petition Pending

Awaiting an order on the petition

No decision timeline until the Court agrees to hear the case.

What it’s about
Michael Herlihy and other plaintiffs ask whether DBMP’s bankruptcy, which they say followed a Texas Two-Step corporate split, was pursued in bad faith and justifies lifting the automatic stay (the pause on lawsuits).
What's at stake
The case concerns whether the pause on lawsuits against DBMP should be lifted for Herlihy and the other plaintiffs; the Supreme Court has not answered that question.

Summary: written with AI from the case record.

What it's about

The Supreme Court has distributed their petition for a conference but has not agreed to hear the case.

The dispute centers on DBMP's bankruptcy after a corporate split that the plaintiffs describe as a Texas Two-Step.

Question presented

Does a debtor’s pursuit of bankruptcy as part of a Texas Two-Step scheme lack good faith, such that “cause” exists to lift the automatic stay under 11 U.S.C. § 362(d)?

What happens next

The petition is set for the Court's Nov. 13, 2026 conference, where the next question is whether to hear the case. The conference distribution is not a grant of review or a promised decision date.

Documents

2

Orders

Key filings

Stored filings: 7View on supremecourt.gov

View the full docket on supremecourt.gov

Docket activity

17

  • New analysis added

    Nov 12, 2026 · Court records

  • AI analysis generated: Case Briefing

    Nov 12, 2026 · Generated

  • Case data updated: summary, question_presented, generation_metadata

    Nov 12, 2026 · Court records

  • Case data updated: question_presented, extraction_metadata

    Nov 12, 2026 · Court records

  • Case data updated: documents, description, proceeding_type

    Oct 30, 2026 · supremecourt.gov

Show 7 more

  • Case data updated: documents, description, proceeding_type

    Oct 28, 2026 · supremecourt.gov

  • Case data updated: documents, description, document_url, proceeding_type

    Oct 22, 2026 · supremecourt.gov

  • Case data updated: documents, description, document_url, proceeding_type

    Oct 22, 2026 · supremecourt.gov

  • Case data updated: documents, description, document_url, proceeding_type

    Oct 22, 2026 · supremecourt.gov

  • Case data updated: documents, description, document_url, proceeding_type

    Oct 22, 2026 · supremecourt.gov

  • Case data updated: documents, description, document_url, proceeding_type

    Oct 22, 2026 · supremecourt.gov

  • Case data updated: documents, description, document_url, proceeding_type

    Oct 13, 2026 · supremecourt.gov

Older entries are on the full docket.

Sources

Primary materials from the Court and the parties. Grounded in docket records and cited sources. Official filings and opinions remain authoritative.

Checked Nov 12, 2026Methodology

Court records and filings