Ellie Olson ’25 Wins the 2025 Nagareda Prize for Article on Mass-Tort Bankruptcies

Ellie Olson ’25 has won the 2025 Nagareda Prize for her note “Wealthy Corporate Debtors: Aligning the Bankruptcy Code with Modern Mass-Tort Bankruptcies.”

The award, sponsored by the Branstetter Litigation and Dispute Resolution Program, was announced by the program’s director, Edward Cheng,  who holds the Hess Chair in Law. The annual prize, which honors the late Richard Nagareda, the first director of the Branstetter Program, recognizes the best scholarly paper in the fields of litigation and dispute resolution written by a member of the current graduating class.

Olson’s note examines a corporate maneuver known as the “Texas Two-Step,” in which solvent companies voluntarily restructure to resolve mass tort claims through bankruptcy proceedings. She details the merits and difficulties of resolving such claims in the bankruptcy system, examines potential responses to mass tort bankruptcies, and proposes a new interpretation of the Bankruptcy Code.

“The Bankruptcy Code should… be interpreted to recognize that corporate defendants are entering bankruptcy as an alternative to litigation, rather than an alternative to insolvency, and require that tort claimants be made no worse off than they would fare in the tort system,” the note concludes. “Corporate defendants often claim that tort creditors will be better off pursuing their claims through bankruptcy than through the tort system. If this is true, the Bankruptcy Code should be interpreted to reflect this comparison as a formal protection for tort claimants.”

Inspiration for Olson’s note came from discussion of the Johnson & Johnson and Purdue Pharma bankruptcies in her Complex Litigation course. “I am incredibly honored to contribute to such a powerful legacy and strong tradition of scholarship in the field of litigation and dispute resolution,” she said. “I am grateful to my professors for sharing their knowledge about and passion for novel topics in this dynamic field.”

Olson serves as an Articles Editor on Vanderbilt Law Review and on the Moot Court Board, based on her placement in the 2L Moot Court Competition. After graduation, she will join Lieff, Cabraser, Heimann & Bernstein LLP in Nashville.