Supreme Court Review Could Set Major Precedent
In its August appeal, Highland pressed the justices to reverse the Fifth Circuit, claiming that the ruling undermines essential protections that keep post-bankruptcy professionals from being buried under endless litigation. Dondero and affiliated companies — including NexPoint Advisors LP — have urged the court to reject the petition, arguing that the plan’s injunction unlawfully shields insiders from accountability.
The Supreme Court’s decision to solicit input from the Solicitor General signals growing judicial interest in clarifying the balance between legitimate gatekeeping and overreach in Chapter 11 reorganizations — a balance that could reshape how courts nationwide manage high-stakes bankruptcy cases.
Legal Teams and Case Details
Highland is represented by Roy T. Englert Jr., Brandon L. Arnold, Paul Brzyski, and Shikha Garg of Herbert Smith Freehills Kramer LLP, along with Jeffrey N. Pomerantz, John A. Morris, and Gregory V. Demo of Pachulski Stang Ziehl & Jones LLP.
NexPoint Advisors is represented by Jonathan F. Mitchell of Mitchell Law PLLC, and Michael J. Edney, J. Pierce Lamberson, and Nicholas S. Drews of Hunton Andrews Kurth LLP.
The case is Highland Capital Management LP v. NexPoint Advisors LP et al., case number 25-119, before the U.S. Supreme Court.
