In Re Johns-Manville Corp.
This case involves appeals from a District Court's Opinion and Order concerning a Bankruptcy Court's Clarifying Order and Findings related to the Johns-Manville Corporation's asbestos bankruptcy. The original 1986 injunction barred direct suits against Manville's insurers, including Travelers. Subsequently, various plaintiff groups filed direct actions against Travelers, leading to settlements that the Bankruptcy Court approved. Objecting Insurers and Objecting Claimants appealed this approval, challenging the Bankruptcy Court's subject matter jurisdiction and the fairness of the settlement. The District Court affirmed the Bankruptcy Court's jurisdiction to enjoin direct action suits and approve the settlements, considering these suits as indirect attempts to recover from Manville's insurance policies. However, the District Court vacated the "gate-keeping" provision of the Clarifying Order, finding it exceeded the Bankruptcy Court's jurisdiction. The motions to dismiss the appeals were denied.