When asbestos companies go bankrupt, they must create funds to assist people affected by their products and suffering from mesothelioma. More than 100 companies have set aside approximately $30 billion for this purpose, ensuring there is sufficient money for all future individuals with asbestos-related illnesses who make claims.
Get a free legal consultation or call (800) 326-8900 today to learn if you may be eligible to receive asbestos trust fund compensation.
John Simmons, Chairman of Simmons Hanly Conroy
What Are Asbestos Trust Funds?
In the late 1900s, as the number of mesothelioma and asbestos lawsuits increased, many asbestos companies chose to file for bankruptcy to avoid paying for their wrongdoing. The bankruptcy laws at that time allowed these companies to reduce or eliminate their responsibility for future injury claims by creating asbestos trusts.
The courts then required bankrupt asbestos companies to set aside money in these trust funds to compensate individuals affected by the company’s asbestos products in the future.
Today, over 100 companies have established their own asbestos bankruptcy trusts. It is estimated that these trusts collectively hold more than $30 billion, which is designated to help victims of asbestos exposure and their families.
A few of these companies with asbestos trust funds are:
- Armstrong World Industries
- Babcock & Wilcox
- DII Industries
- Federal Mogul Corp.
- Flexitallic
- Johns-Manville Corporation
- National Gypsum
- Owens Corning Fibreboard
- Pittsburgh Corning Corp. (PCC)
- Turner & Newall
- United States Gypsum (USG)
- Western Asbestos Company
- W.R. Grace
How Do Asbestos Trust Funds Work?
If you have mesothelioma or another asbestos-related disease and were exposed to asbestos, you can submit your claims to the asbestos settlement trusts created by the bankrupt companies responsible for your asbestos exposure. The trusts will provide payment for these claims.
However, if the company has already declared bankruptcy and established an asbestos trust fund, you cannot file a lawsuit against them. In such cases, you can seek financial compensation by filing a claim with the asbestos trust fund.
Since many of the companies that went bankrupt were prominent players in the asbestos industry, if you have an asbestos-related illness, it’s possible that you may have one or more claims against existing or future trusts.
Filing a Trust Fund Claim
If you’re considering filing an asbestos trust fund claim, you need to prove that you were:
- Diagnosed with an asbestos-related illness
- Exposed to an asbestos-containing product from the bankrupt company
In addition, if you were exposed to multiple asbestos-containing products, you may qualify for compensation from multiple trusts. Different trusts have different requirements — like submitting medical records or work history records — to receive compensation.
The process of filing an asbestos trust fund claim generally follows these steps:
Step 1
Contact Asbestos Attorneys
As a national mesothelioma law firm, our experienced asbestos attorneys can help you understand the steps to file a mesothelioma trust fund claim, gather the evidence to prove your case, and determine which trusts you’re eligible to submit claims to.
Call (800) 326-8900 or fill out our contact form to determine your claim eligibility.
Step 2
Collection of Information
One of our team members will gather information about your potential claim. Based on your recollection of your work combined with company evidence, our attorneys will thoroughly investigate and pinpoint the exposure sites for you.
Step 3
Testimonies
Once exposure information has been determined, the person with mesothelioma or another person with knowledge of the exposure will sign affidavits stating he or she was exposed to the product or products.
Step 4
Review the Case
At this point, our team of mesothelioma attorneys and their staff will review exposure information and recommend either an expedited review or an individual review of the claim.
Expedited Review:Â Most trusts have determined a payout for those that meet basic requirements for approval of a claim; this means every claimant approved with the same disease gets the same award (money).
Individual Review:Â If our lawyers determine that you may be awarded more money based on the unique facts of your claim, they may recommend that you pursue an individual review. In this case, the trustee may award a higher amount than offered through the expedited review. This process can take longer, and it is possible the trustee may award less money than the expedited review.
Step 5
Liquidation
Once the claim is liquidated, the trust fund administrators will provide you with compensation.
Asbestos Trust Fund Payouts
Amounts awarded from the mesothelioma trust funds vary according to a number of specific factors in each case, including the:
- Asbestos-related illness you’ve been diagnosed with
- Extent of your exposure to asbestos
- Severity of this illness and its effect on your well-being
- Number of asbestos products you were exposed to by each company
- Payment percentages set up by the trust during reorganization
As a leading asbestos law firm, Simmons Hanly Conroy has the resources and experience to help victims of asbestos exposure nationwide get the compensation they deserve.
We’ve recovered over $8 billion for thousands of asbestos clients so far.
Get a free consultation today to see what legal actions may be available to you.
Asbestos Trust Fund List
| Company | Asbestos Trust Fund | Created |
|---|---|---|
| A.P. Green | APG Asbestos Trust | 2014 |
| ABB Lummus Global | ABB Lummus Global Inc. 425(g) Asbestos PI Trust | 2007 |
| A-Best Products | A-Best Asbestos Settlement Trust | 2006 |
| ACandS | ACandS Asbestos Settlement Trust | 2009 |
| API, Inc. | API, Inc. Asbestos Settlement Trust | 2006 |
| Armstrong World Industries | Armstrong World Industries Asbestos Personal Injury Settlement Trust | 2006 |
| ARTRA Group, Inc. | Artra 524(g) Asbestos Trust | 2007 |
| ASARCO, LLC | ASARCO LLC Asbestos Personal Injury Settlement Trust | 2009 |
| Asbestos Claims Management Corp. (ACMC) | NGC Bodily Injury Trust | 2003 |
| Babcock & Wilcox Co. | Babcock & Wilcox Company Asbestos Personal Injury Settlement Trust | 2006 |
How Simmons Hanly Conroy Handles Asbestos Trust Funds
Because several prominent companies in the asbestos industry went bankrupt, if you have suffered from an asbestos-related injury, there is a chance that you may have one or more claims against existing or upcoming trusts.
It’s important to note that your claims to the trust fund are managed separately from any lawsuits you may pursue against solvent (non-bankrupt) defendants. This separation is due to federal law, which prohibits asbestos-related lawsuits against the reorganized company or the trust.
Key points about asbestos trust funds:
- Many asbestos companies have filed for bankruptcy protection and reorganized.
- Trusts have been set up for current and future claimants harmed by asbestos exposure.
- You might have multiple bankruptcy claims, depending on your case.
- We have a dedicated bankruptcy department, led by senior attorneys.
- Your attorney will develop a legal strategy that includes bankruptcy claims and all sources of recovery.
Mesothelioma Case Study: How the Asbestos Bankruptcy Claims Process Works
A 75-year-old veteran of the U.S. Navy, who lives in the Midwest, worked as a pipeline inspector in the oil industry for 14 years. Recently, he was diagnosed with pleural mesothelioma and now wants to seek justice against the companies that knowingly exposed him to asbestos many years ago.
One of our attorneys who specializes in asbestos cases collects information about his potential claim related to mesothelioma. Initially, he was unsure about which specific products he was exposed to.
After conducting a thorough investigation, his legal team identifies several asbestos products that were responsible for his exposure during his time in the Navy and his subsequent work in the oil industry.
The veteran from the Midwest or someone who has knowledge of the exposure provides sworn statements, known as affidavits, confirming that he was exposed to asbestos-containing products such as pipes, valves, insulation, and other equipment.
Because the veteran had exposure to multiple products, his attorney at Simmons Hanly Conroy advises him to file claims with several asbestos trust funds. These trusts were established by the companies that manufactured the asbestos-containing products to which the veteran was exposed.
Results: The trusts review the veteran’s claims and determine his claims are eligible for compensation.
The Midwest Navy veteran receives a total of $2.4 million from asbestos bankruptcy claims. His legal team also files additional lawsuits against multiple solvent companies in the shipbuilding industry for his Navy exposures. The additional lawsuits bring his total compensation to more than $3 million.
His Asbestos Bankruptcy Claims Payouts
- $63,611 Pipe Company trusts
- $280,930Â Valves company trusts
- $345,351Â Asbestos company trusts
- $1,137,651 Insulation Company trusts
- $600,000Â Other trusts
Mesothelioma Lawsuit or Mesothelioma Trust Funds?
In certain situations, individuals may choose to pursue both a mesothelioma lawsuit and an asbestos trust claim. Speaking with an attorney who has expertise in asbestos litigation can assist you in understanding your legal choices and determining the best course of action.
Each state has its own laws that determine when trust claims can be filed and how compensation from asbestos trust funds can impact lawsuit settlements. Making a claim to a trust fund can influence the amount of compensation received from a lawsuit.
It’s important to keep in mind that asbestos exposure and mesothelioma can result from the negligence of multiple companies, and all responsible parties should be held accountable.
Collaborate with your mesothelioma lawyer to follow the proper procedures for filing claims against all parties at fault, including those who established asbestos trust funds and those who can still be pursued in court.
As a leading mesothelioma law firm, Simmons Hanly Conroy possesses the necessary experience to guide you through the complex legal system.
We have a dedicated bankruptcy department specifically focused on handling these types of claims, led by experienced senior attorneys who will support you throughout the processes of asbestos trust funds and lawsuits.
Call (800) 326-8900 or get a free legal consultation to learn more.
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