When the current density in the center of a neutral sheet is increased to a critical value spontaneous current disruptions are observed. The release of stored magnetic field energy results in a large inductive voltage pulse which drops off inside the plasma in the form of a potential double layer. Particles are energized, microinstabilities are generated, the plasma is thinned, and the current flow is redirected. These laboratory observations qualitatively support recent models of magnetic substorms and solar flares.