Interestingly, the argument for is textual. The argument against is pragmatic. (Both argue history, in my opinion, unconvincingly. They’re talking past each other on release vs discharge, a delineation neither side bothers to delve into.) The dividing line defies easy summary. (Gorsuch, Thomas, Alito, Barrett and Jackson concurring, Kavanaugh, Roberts, Sotomayor and Kagan dissenting.)
And here's the language: "any other appropriate provision"
The Sacklers: the law says we can take away other people's rights to sue us as part of a bankruptcy settlement.
SC: Yeah, no, the text doesn't say that.
As the dissent notes, third-party releases are part of the law. The turn is on whether the Sacklers are having third-party liabilities discharged versus released.
The solution may be in re-drafting the Plan so it’s more clearly a release. That might mean the Sacklers can be sued for fraud, but not other things.
What is the difference between a discharge and release as it relates to the §1123(b)(6) “any other appropriate provision” power this case is about? You seem to have clarity the Court’s members couldn’t find.
Gets called out for over-simplifying the case.
You, now: What is the difference between a discharge and release as it relates to the §1123(b)(6) “any other appropriate provision” power this case is about?
Indeed. Maybe next time, stop pretending there isn't more to it.
It seems to come down to whether the sentence "[A chapter 11 bankruptcy plan may] include any other appropriate provision not inconsistent with the applicable provisions of this title" means "A plan can contain anything anyone can imagine as reasonable as long as it isn't expressly forbidden" or "A plan can contain other types of provisions that follow the same general theme as the concrete list given just before this sentence".
The Sacklers argued that the law says they can take away other peoples rights to sue them, since the law says these bankruptcy plans can include "anything", and the majority opinion of SCOTUS was that that's not the right way to read the law.