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November 10, 2025 - Announcements + Recognitions

Bankruptcy + Reorganizations Group Leads First-Ever Talc Bankruptcy Confirmed with Section 524(g) Injunction

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Robinson+Cole’s Bankruptcy + Reorganizations group played a pivotal role as counsel to the Tort Claimant's Committee in the landmark Chapter 11 case involving Presperse, a subsidiary of Sumitomo Corporation of America (SCOA). Presperse, a supplier of chemical compounds to the cosmetics industry, faced significant tort liability resulting from its provision of cosmetic talc to end use manufacturers. The company filed for bankruptcy in September 2024 as part of a pre-negotiated plan.

Robinson+Cole represented the pre-petition committee, which along with the Future Claimants’ Representative (FCR), negotiated a comprehensive plan with Presperse and SCOA. The confirmed plan included:

  • $49 million in cash contributions
  • Assignment of all available insurance to a Section 524(g) trust to satisfy talc liabilities

This case is the first talc-driven bankruptcy to be confirmed with a Section 524(g) channeling injunction, establishing a groundbreaking precedent in mass tort bankruptcy law.

During the proceedings, the Committee participated in multiple mediations with The Hartford, one of the Debtor’s insurers, resulting in an $8 million settlement.

The plan received unanimous support from voting claimholders. It was approved by the Bankruptcy Court and affirmed by the District Court in July 2025. The Plan became effective in August 2025.

The matter was led by Bankruptcy + Reorganizations group partners Mark A. Fink and Natalie D. Ramsey, with support from Laurie Krepto, Peter Knight, and Jenna Scoville.