ANALYSIS: Infowars Bankruptcy Strategy Spotlights Subchapter V

The Chapter 11–Subchapter V bankruptcy filing of three entities connected with Alex Jones and his conspiracy–oriented website Infowars on the eve of a damages trial raises questions about the use of Chapter 11 as a means of effectuating settlement in tort litigation.

On April 18, three Alex Jones/Infowars–related entities—InfoW LLC, IWHealth LLC, and Prison Planet TV LLC—filed bankruptcy in the U.S. Bankruptcy Court for the Southern District of Texas (case is referred to herein as the InfoW case). Neither Alex Jones nor Free Speech Systems LLC (FSS), which operates the Infowars website, filed a bankruptcy case.

While this ...