'It Is a Problem.' Judiciary Panel Chews Over Recusal Disclosure Suggestion
In a letter to the committee last year, Judge Ralph Erickson said judges invested in Berkshire Hathaway could be unaware that a company in a case before them is a subsidiary of the conglomerate and that their recusal might be necessary.
March 28, 2023 at 07:18 PM
5 minute read
What You Need to Know
- The civil rules committee said it will assign a subcommittee to further research Erickson's suggestion.
- At issue is whether parties should be required to disclose 'grandparent' corporations.
- One member said the D.C. Circuit has a rule that addresses the problem.
A judiciary committee will further look into federal appellate Judge Ralph Erickson's suggestion to tweak current recusal disclosure procedures, stemming from his concern that those on the bench who have holdings in Berkshire Hathaway may face conflict-of-interest issues.
The Committee on Civil Rules decided Tuesday to do more research on whether corporations named in lawsuits should be required to share its parent organization as well as "grandparent" organizations that own stake in the parent. Currently, the latter isn't required, and Erickson has said that judges can be unaware they have a financial interest in a case as a result, especially if they hold stock in conglomerates like Berkshire Hathaway or Citigroup that have controlling interest in many smaller companies.
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