Judge Voids $2.3 Million GLS Bankruptcy Litigation Funding Deal

A Texas bankruptcy judge has voided GLS Capital’s $2.3 million LFA in the bankruptcy of 14 restaurant-related entities and called for the replacement of the bankruptcy trustee, who was being financed by GLS Capital, writing that the LFA was “an abuse of discretion” and harmful to creditors and trust beneficiaries. GLS Capital plans to appeal, while the bankruptcy trustee has already taken steps to do so.