Toys ‘R’ Us Creditor Trust, Directors Reach Sealed Settlement

Judge Keith Phillips approved a settlement Friday between the TRU Creditor Litigation Trust and former officers and directors of Toys “R” Us.

• The lawsuit was filed in May 2020 following the liquidation in bankruptcy of Toys “R” Us following its September 2017 Chapter 11 filing
• The suit contained allegations that officers and directors of the company at the time misled suppliers about the retailer’s dire financial condition while the company tried to stay afloat in bankruptcy and then stiffed them on more than $600 million of bills
• The cases are Toys “R” Us Inc., 17-34665, US Bankruptcy Court, Eastern ...