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Fall 2008 - Asbestos Bankruptcy Update

As part of our continued representation of clients suffering from asbestos disease, Lipsitz & Ponterio files claims against bankrupt asbestos companies.  Because these companies have declared bankruptcy, it is impossible to sue them.  The claims process thus becomes the only way for clients to recover money for their asbestos disease from exposure to asbestos-containing products manufactured or distributed by bankrupt companies.  (Even in instances where a lawsuit against viable companies is time-barred, very often bankruptcy claims can still be filed.)  Because there are very specific medical and product exposure guidelines for each Bankruptcy Trust,  not every client has a valid claim against every Trust. 

Among the recent activity in asbestos bankruptcy is the following:

Armstrong World Industries- This company manufactured asbestos-containing vinyl asbestos tile, pipe covering and insulation products. The Joint Plan of Reorganization was approved. A Proof of Claim form has been released by the Trust, and claims are currently being processed.
ASARCO, LLC- This company was responsible for mining raw asbestos, some of which was used in other products like gaskets. This case is unique in that it required the filing of Proof of Claim forms before the establishment of a Trust. Claims were submitted in Fall of 2006. Recently, ASARCO filed objections to certain claims that had been submitted. Judge Richard Schmidt is currently determining whether ASARCO has the right to object to the claims at this point in the process, as no formal Trust has yet been established. However, a Joint Plan of Reorganization was proposed in July of 2008, and is pending approval.    
Babcock & Wilcox- This company manufactured steam-generating boiler and refractory products. Often, these systems were used in power plants and manufacturing facilities. The Joint Plan of Reorganization was approved by Judge Sarah Vance on January 17, 2006. A Proof of Claim form has been released by the Trust, and claims are currently being processed. 
Combustion Engineering- This company manufactured and supplied boilers and boiler products, and manufactured pipe covering and block.  The Plan of Reorganization was approved by Judge Judith K. Fitzgerald on December 19, 2005. A Proof of Claim form has been released by the Trust, and claims are currently being processed. 
Federal Mogul- This company distributed asbestos-containing fireproofing and manufactured asbestos containing brakes, and is also affiliated with Turner & Newall, P.C. The 4th Amended Plan of Reorganization was proposed in Fall of 2006, and the Plan of Reorganization was approved by Judge Judith K. Fitzgerald on November 8, 2007. A Proof of Claim form should be released in the near future.
Dresser Industries (Harbison-Walker/Halliburton)- Harbison-Walker manufactured a wide variety of refractory products and heat resistant materials found in and around industrial ovens, kilns, furnaces and boilers. The Joint Plan of Reorganization was approved. A Proof of Claim form has been released by the Trust, and claims are currently being processed. 
Kaiser Aluminum- This company manufactured refractory products. The Second Amended Joint Plan of Reorganization was approved by Judge Judith K. Fitzgerald on February 6, 2006. A Proof of Claim form has been released by the Trust, and claims are currently being processed.
Owens Corning/Fibreboard- Owens Corning manufactured insulation products. Fibreboard manufactured a variety of cements, pipecovering and block insulation. The 6th Amended Joint Plan of Reorganization was approved by Judge Judith K. Fitzgerald on November 2, 2006. A Proof of Claim form has been released by the Trust, and claims are currently being processed. 
Pittsburgh Corning- This company manufactured an industrial thermal pipe insulation product. Currently, the Third Amended Plan has been filed and is under consideration by Judge Judith Fitzgerald. Until a Plan is accepted and approved by the Court, no Proof of Claim form will be released.
U.S. Gypsum/A.P. Green- U.S. Gypsum manufactured a wide variety of construction products, including plasters, ceiling tiles, joint compound, and pipe and block insulation. A.P. Green manufactured refractory and insulation products. The Joint Plan of Reorganization was approved by Judge Judith K. Fitzgerald on July 28, 2006. A Proof of Claim form has been released by the Trust, and claims are currently being processed.   
W.R. Grace- This company manufactured fireproofing and insulation compounds, including Monokote and Zonolite. Recently, claimants were required to file extensive Questionnaires detailing asbestos exposure, and Proof of Claim forms. The Trust is still in the process of determining how much money to allocate to each different claim level, and it is unclear when payment can be expected on W.R. Grace claims.     
 
 


Benefits of Pursuing Your Claim for Asbestos Now

Asbestos Related Diseases and Workers' Compensation Benefits

Fall 2008 - Asbestos Bankruptcy Update

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