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Asbestos Bankruptcy Code

Goldberg Segalla

Asbestos Bankruptcy Trusts Announce Intent to Destroy Data and Documents

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Earlier this year, at least four asbestos bankruptcy trusts including WR Grace, Babcock & Wilcox, Pittsburgh Corning and Owens Corning, issued notices regarding their intent to destroy data and documents submitted by...more

Hinshaw & Culbertson - Insights for Insurers

How the U.S. Supreme Court's Rulings on Kaiser and Purdue Pharma Affect Insurers' Rights and Interests in Chapter 11 Cases

On June 6, 2024, the United States Supreme Court issued its decision on an insurer’s standing in its policyholders’ Chapter 11 bankruptcy proceeding in Truck Exchange v. Kaiser Gypsum Co., 144 S. Ct. 1414 (2024). The decision...more

Goldberg Segalla

SCOTUS Recognizes Insurer’s Right to Object to Asbestos Bankruptcy Plans

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The U.S. Supreme Court on June 6 unanimously held in Truck Insurance Exchange v. Kaiser Gypsum Company Inc. that insurers with financial responsibility for bankruptcy claims are a “party in interest” that may object to a...more

McGuireWoods LLP

Shifting Gears on Insurer Participation in Chapter 11 Proceedings: U.S. Supreme Court Rejects Longstanding “Insurance Neutrality”...

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Last week’s Privilege Point described an opinion requiring a corporate party’s witness to disclose communications with his Latham & Watkins lawyers, because he confirmed with that firm his own “commercial understanding” about...more

Kennedys

Insurer deemed “party in interest” in insureds’ Chapter 11 case

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The US Supreme Court ruled that an insurer with financial responsibility for bankruptcy claims is a “party in interest” under Bankruptcy Code §1109(b) that “may raise and may appear and be heard on any issue” in a Chapter 11...more

Goldberg Segalla

U.S. Supreme Court Holds that Insurers are Parties in Interest in Bankruptcy Proceedings and Can Object to Reorganization Plans

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Companies faced with numerous mass tort claims, such as asbestos claims, often seek bankruptcy protection. Reorganization plans may include § 524(g) channeling injunctions in which insurance assets are put into a trust to pay...more

White and Williams LLP

Supreme Court Endorses Broad Insurer Standing in Bankruptcy Reorganizations

The Supreme Court reversed the Fourth Circuit Court of Appeals in favor of insurance companies in a unanimous decision written by Justice Sotomayor. In short, the United States Supreme Court held today that insurers facing...more

Epstein Becker & Green

A Day for Specialists - SCOTUS Today

Another Three-for Thursday at the Supreme Court, with none of the decisions a landmark but each of utmost relevance to legal specialists and technicians in the fields of bankruptcy, estate taxation, and Indian affairs....more

Hinshaw & Culbertson - Insights for Insurers

Two Cases Directly Impacting Insurers are Currently Pending Before the United States Supreme Court

Rulings by the United States Supreme Court profoundly impact insurers as businesses and corporate citizens. Additionally, decisions from the U.S. Supreme Court can also influence claims and policyholders' liabilities for...more

White and Williams LLP

Supreme Court Agrees to Consider Standing of Insurers in Chapter 11 Cases

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The United States Supreme Court agreed today to review a Fourth Circuit decision that denied an insurer standing to object to an asbestos producer’s Chapter 11 reorganization plan, on the basis that the insurer’s interests...more

Holland & Hart LLP

Georgia-Pacific Ruling Furthers Texas Two-Step Challenges

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The U.S. Court of Appeals for the Fourth Circuit recently approved injunctive relief as part of a strategy for settling mass tort claims through the Chapter 11 bankruptcy case of Bestwall LLC, an entity created by...more

Maron Marvel

3rd Circuit Rejects Johnson & Johnson’s Effort To Set Up Subsidiary In Bankruptcy Court To Resolve Talc Asbestos Claims

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On January 30, 2023, the Third Circuit dismissed Johnson & Johnson (J&J)’s subsidiary LTL’s Chapter 11 bankruptcy petition because the facts did not support the financial distress required for the entity’s good faith filing...more

Goldberg Segalla

Bankruptcy Stay Applies to Direct Actions against Insurers in “Limited Circumstances” where Numerous Asbestos Claims are Pending

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U.S. District Court, Middle District of Louisiana, October 19, 2022 - The plaintiffs brought a wrongful death and survival action for damages related to the death of their decedent in 2019. Decedent had a forty-five year...more

Jones Day

Third Circuit Sets Standard for Appointment of Future Claims Representatives in Asbestos Bankruptcy Cases

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Unlike professionals retained in a chapter 11 case by trustees, debtors, or official committees, the Bankruptcy Code provides little guidance regarding the appointment of a representative for "future claimants" in a chapter...more

Kramer Levin Naftalis & Frankel LLP

Third Circuit Remands W.R. Grace Decision Concerning Plan Channeling Injunction and Insurance Providers, Providing Additional...

In the wake of asbestos bankruptcies brought on by mass tort liabilities, reorganization plan structures, like that in Johns-Mansville, often funneled asbestos-related claims into a settlement trust, while a “channeling...more

WilmerHale

Third Circuit Weighs In on Scope of Section 524(g)(4) Injunction

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Summary: A recent Third Circuit decision has clarified the scope of the third-party injunction, including injunctions in favor of insurers that resolve insurance coverage in asbestos bankruptcy cases, that may be issued under...more

Steptoe & Johnson PLLC

PA Superior Court Answers Question of Whether Fair Share Act Applies to Strict Liability Asbestos Claims

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On December 28, 2017, the Pennsylvania Superior Court published an anticipated ruling on whether the Pennsylvania Fair Share Act, 42 Pa. C.S. 7102, applies to strict liability claims in the context of an alleged...more

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