A Bankruptcy Lawyer Promised to Pierce His Ear If He Saved 11,000 Jobs, Then Did It in Court
He made a joking pledge on day one, found a buyer within weeks, and the judge made sure he kept his word.
Momentum · Inside Kirkland & Ellis With One of Wall Street’s Top Lawyers | Joshua A. Sussberg, Partner at Kirkland & EllisIn open court, with the deal already closed, Joshua Sussberg got his ear pierced. He smiled for a second photo afterward, his new earring in place and a Claire's crown on his head.
Sussberg is a restructuring lawyer at Kirkland and Ellis, a large law firm, and he is usually hired when a company is in its darkest days. His job, as he puts it, is to bring calm to that chaos.
The story behind the earring began on the first day of the bankruptcy case for Claire's, a retailer he has called an iconic brand. Chapter 11, the part of American bankruptcy law for reorganizing a struggling business, had given the company protection while it looked for a way to survive. In court, Sussberg said he could not promise results and had no idea if a buyer could be found, but they were committed to "doing everything in our power, by hook or by crook, to get something done here" to save jobs and save the business.
That throwaway line became a promise to get his own ear pierced if he pulled it off. He said he did not really think a buyer could be found.
Then, within a couple of weeks, his team found a buyer. They closed a deal to sell Claire's to a new owner through the bankruptcy process, and the sale preserved 11,000 jobs. The judge made certain that he followed through on his promise, which he said he had intended to keep.
So the piercing went ahead in the courtroom.
Sussberg says that is the human side of restructuring work. Companies enter Chapter 11 when sales have slumped or they have borrowed too much, and his job is to try to keep people employed, get creditors at least some repayment, and leave a business standing on the other side. It works a lot of the time, he says, and sometimes it does not. This time, it did, and he has the earring and the crown to prove it.
Questions people ask
What does Claire's sell?
Claire's is a mall-based retailer aimed mostly at girls, tweens, and teens. It sells inexpensive jewelry, hair accessories, toys, and beauty products, and it is especially known for piercing ears in its stores. It has thousands of locations in the United States and abroad.
What is Chapter 11 bankruptcy?
Chapter 11 is a section of U.S. bankruptcy law that lets a struggling company keep operating while it reorganizes. The company gets temporary protection from creditors while it negotiates debts, sells assets, or finds a buyer. The goal is to emerge as a viable business, preserve jobs, and repay creditors at least in part.
Could the judge legally force him to pierce his ear?
No, a joking promise like that is not a court order and is not legally enforceable. Judges do have broad authority to manage their courtrooms, but this was about pride and credibility. Sussberg said he intended to follow through, and the judge simply made sure he did not wriggle out of it.