Preheat the oven to 350 degrees Fahrenheit. Heat 1 tablespoon olive oil in a large skillet over medium-high heat. Season 4 bone-in, skin-on chicken thighs with 2 teaspoons Italian seasoning, ½ teaspoon salt, and ¼ teaspoon ground black pepper.
Cook the chicken skin-side down for each side of the chicken for 3-4 minutes until browned and crispy, then transfer the skillet into the oven. Bake for 18-22 minutes until the chicken reaches 165 degrees Fahrenheit on a thermometer. Remove the chicken to a plate and set aside.
Heat 1 tablespoon olive oil in the same skillet, then add 8 ounces sliced white mushrooms. Cook for 3-4 minutes over medium heat, stirring frequently until softened.
Add 6 slices cooked and chopped bacon, 1 ½ cups heavy cream, 1 tablespoon fresh thyme, 1 teaspoon garlic powder, ½ teaspoon salt, and ¼ teaspoon pepper to the skillet. Bring to a simmer, and continue to cook until the sauce starts to thicken, about 4-5 minutes.
Add the chicken back to the skillet and cook for 2-3 minutes until the chicken is fully heated through. Serve immediately.
Notes
Leftover and Make Ahead Instructions
Fridge: Store leftovers in an airtight container for up to 5 days.
Reheat: Microwave in 30-second intervals.
Freezer: I don't recommend freezing this, since the mushrooms, bacon, and chicken skin will all lose their texture once thawed.
Make Ahead: You may sear the chicken a few hours ahead of time and keep it in the refrigerator in an airtight container; just be sure the chicken reaches 165ºF in the oven before adding it to the sauce.