No Delay for Weinstein Victims Trust Plan

With the motion denied, it's likely the Joint Chapter 11 Plan of Liquidation for The Weinstein Co. Holdings as laid out in bankruptcy court will now move forward, as the four appellants — who have sexual misconduct claims against Harvey Weinstein — were the only parties to object to the plan. Federal Judge Maryellen Noreika wrote the releases that spurred the appeal give a chance for those who have made sexual misconduct claims against Harvey Weinstein, including the four appellants, to get meaningful payment, as opposed to likely getting nothing in a Chapter 7 liquidation.

The liquidation plan includes a global settlement, which would release nonconsensual third-party insurers and former officers and directors in exchange for insurers providing $35.2 million, nearly half of which would be set aside in a trust to pay those with sexual misconduct claims. In exchange for their release, the proposed plan requires insurers, officers and directors to waive potential indemnity claims or reimbursement for defense costs. On Dec. 18, the appellants objected to the plan, arguing it didn't meet Third Circuit standards because releasing those parties wasn't necessary for a reorganization and that the bankruptcy court made errors in its factual findings.