A.H. Robins bankruptcy

A.H. Robins was a pharmaceutical company that filed for bankruptcy in 1997 due to overwhelming claims related to its product, the Dalkon Shield, an intrauterine device linked to serious health issues. The company faced thousands of lawsuits from women who suffered complications, leading to significant financial liabilities. To manage these claims and provide compensation, A.H. Robins sought protection under Chapter 11 bankruptcy, allowing it to reorganize while also establishing a trust fund to handle the settlement payments to claimants. This process aimed to resolve the legal and financial challenges while allowing the company to continue operating.