Judge Signals End to Giuliani's Bankruptcy: Legal Battles Set to Resume

A U.S. judge may end Rudy Giuliani's bankruptcy, allowing defamation and other lawsuits to proceed. Giuliani filed for bankruptcy after being ordered to pay $148 million for false claims about election workers. The court is deciding whether to dismiss the bankruptcy, appoint a trustee, or liquidate his assets.

A U.S. judge on Wednesday signaled the likely end of Rudy Giuliani's bankruptcy, a move that would enable defamation, sexual harassment, and other claims to proceed against Donald Trump's former lawyer. Judge Sean Lane indicated he would decide on competing requests regarding the bankruptcy's future on Friday.

Giuliani filed for bankruptcy in December following a court order to pay $148 million to two Georgia election workers he falsely accused of election fraud. The bankruptcy had paused collection on that judgment and frozen other lawsuits related to Giuliani's actions for Trump during the 2020 election.

Last week, Giuliani sought to convert his personal bankruptcy into a straightforward liquidation. Creditors have proposed either appointing a trustee to handle his finances or ending the bankruptcy altogether. Judge Lane suggested that dismissal would be the best option due to ongoing issues with Giuliani's financial transparency.

Dismissing the bankruptcy would allow creditors to resume lawsuits, while giving Giuliani more freedom to appeal the $148 million judgment. Lane had previously halted Giuliani's appeals during the Chapter 11 filing.