Customers’ objections to the collapsed firm FTX’s use of its preferred lawyers, white shoe law firm Sullivan & Cromwell, were overruled by the judge overseeing its bankruptcy in the United States on Friday. “There is no evidence of any conflict here,” Judge John Dorsey said, noting that even potential conflicts do not disqualify Sullivan & Cromwell and that, even if they did, FTX had hedged against the risk by detaining another firm as conflict counsel. The decision came after a hearing on two customers’ objections to Sullivan & Cromwell’s pre-bankruptcy representation of FTX and its failure to disclose that some of FTX’s former highest ranking legal officers previously worked for the firm.
