SCOTUS Declines Review of Diacetyl Liability Ruling

The U.S. Supreme Court (SCOTUS) has denied certiorari to petitioners alleging
that Aaroma Holdings LLC is liable for personal injury claims stemming from
the use of diacetyl by Emoral Inc., which declared bankruptcy in 2011 after
Aaroma bought its assets in 2010. Diacetyl Plaintiffs v. Aaroma Holdings LLC,
No. 14-71 (U.S., cert. denied November 3, 2014). The petitioners had argued
that freeing Aaroma from liability would create a loophole for companies
looking to avoid tort liability by encouraging them to sell assets before filing
for bankruptcy. Additional information about the certiorari petition appears in
Issue 532 of this Update.

Issue 544