GSNeutralSupreme Court agrees to review Goldman Sachs arbitration appealnews
Medium materiality6/10
Supreme Court to Hear Goldman Sachs Bankruptcy Arbitration Bid
Nov 6, 2026, 2:59 PM EST1 sourcesAI-analyzed
Why it may matterVerify against the original reporting
The Court's review addresses enforceability of arbitration in bankruptcy and could change Goldman Sachs' litigation exposure and dispute-resolution costs if it narrows or removes arbitration as a forum for Section 362(k) claims; the ultimate financial impact depends on the Court's scope and ruling.
AI summary
What happened, with direct paths to the underlying reporting
The U.S. Supreme Court granted review of Goldman Sachs' bid to force arbitration instead of bankruptcy-court claims under Section 362(k), following a Fourth Circuit ruling against Goldman Sachs in a dispute by two Apple Card borrowers.
The U.S. Supreme Court agreed to review Goldman Sachs' request on whether bankruptcy courts can override arbitration agreements.
The court will clarify whether, and under what circumstances, a bankruptcy court can refuse to enforce an arbitration agreement for claims under Section 362(k) of the Bankruptcy Code.
Goldman Sachs lost in the U.S. Court of Appeals for the Fourth Circuit, where a majority found arbitration conflicts with the core purposes of the bankruptcy code.
The plaintiffs are two holders of Apple Card accounts issued by Goldman Sachs who challenged the bank's conduct under a Chapter 13 stay.
Case caption and docket: Goldman Sachs Bank USA v. Brown, U.S., No. 25-1408 (cert granted 11/6/26).
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