Life Partners Files for Bankruptcy After Lawsuit Loss
This article is for subscribers only.
Life Partners Holdings Inc., which buys rights to life insurance death benefits and sells them to investors, filed for bankruptcy protection as it seeks to avoid legal claims including a $46 million judgment against it and its chief executive officer.
A subsidiary, Life Partners Inc., will continue to operate, Waco, Texas-based Life Partners said today in a statement distributed by Business Wire. The filing will also help the company avoid a Securities and Exchange Commission move to appoint a receiver, which could lead to a liquidation and make an appeal of the judgment impossible, the company said.