24-2109·BANKRUPTCY

Michael Herlihy v. DBMP, LLC

Affirmed

Status

Scheduled
Argued
Opinion Issued (current)

Question Presented

Whether "Texas Two-Step" restructuring, dividing business to protect the larger entity from creditors, is indicia of bad faith for purposes of bankruptcy stay.

Argument Date

October 22, 2025

Argument Time

9:30 a.m.

Panel

III

Courtroom

Blue Courtroom (Room 339)

Lower Court Judge

Bell

Panel

Judge Niemeyer

Judge King

Judge Harris

Citation

CaseMichael Herlihy v. DBMP, LLC, No. 24-2109 (4th Cir. Feb. 11, 2026)

PanelNiemeyer, King & Harris, JJ.

Arguing Counsel

Jonathan Ruckdeschel

per CA4 audio archive

C. Kevin Marshall

per CA4 audio archive

Panel That Day

3 of 3 cases argued October 22, 2025 before this panel have been decided.

Decided

24-1954

Frederick Allen v. Joshua Stein

Opinion Issued

Authored by Judge King

24-1969

APAC-Atlantic, Incorporated v. Owners Insurance Company

Opinion Issued

Authored by Judge Harris

24-2109· This case

Michael Herlihy v. DBMP, LLC

Opinion Issued

Authored by Judge Niemeyer

Opinions

Majority
by Niemeyer
February 11, 2026
Read opinion ↗
Dissent
by King
February 11, 2026
Read opinion ↗

Disposition

Affirmed

February 11, 2026