Asbestos Bankruptcy Trust for W.R. Grace Co.
W.R. Grace Co.WRG Asbestos Personal Injury Trust
Filed 2001
An asbestos bankruptcy trust was filed for in 2001 for W.R. Grace Co., 7500 Grace Drive Columbia MD 21044 under the name WRG Asbestos Personal Injury Trust. Asbestos bankruptcy trusts are typically set up so that people who become victims of asbestos exposure can potentially obtain financial compensation for any illness incurred as a result of such exposure, including mesothelioma.
As the devastating results of asbestos exposure became known to the United States public, people began hiring asbestos lawyers and suing the companies responsible for their illnesses. Lawsuits for mesothelioma diagnoses became particularly prevalent. As the number of these claims increased, it became necessary for the manufacturers and distributors of asbestos products to file for bankruptcy and reorganize their debts in a way that would allow them to pay off their liabilities. Part of this process involved setting up trusts to settle the claims.
Approximately 20 companies filed for protection under Chapter 11 of the US Bankruptcy Code as a result of asbestos litigation between 1985 and 1994. One of these organizations was W.R. Grace.
In April 2001, the company, and 61 of its domestic affiliates, filed for bankruptcy protection as a result of the massive amount of asbestos personal injury lawsuits against it. W.R. Grace's liability stemmed from its sale of Zonolite, a vermiculite based product. In its pure form, vermiculite is not toxic. However, from 1919 to 1990, over 70% of this mineral sold came from an asbestos contaminated mine in Libby, Montana.
At the time of the bankruptcy filing, W.R. Grace had received 325,000 claims and already paid out $1.9 billion. Many of these lawsuits came from the small mining town of Libby where 30% of the town had an asbestos-related disease.
For more information on this Asbestos Bankruptcy Trust, visit the Trust web site at http://www.grace.com/About/Reorganization/documents/Exhibit2.pdfContact the asbestos lawyers at Clapper, Patti Schweizer & Mason for more information on the bankruptcy trust for W.R. Grace Co., or if you have any other questions regarding mesothelioma.