An asbestos bankruptcy trust was filed for in 1999 for H.K. Porter Company Inc., under the name H.K. Porter Asbestos 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.
Once the horrible effects of asbestos exposure became known to the United States public, people began hiring asbestos lawyers and suing the companies responsible for their illnesses, mesothelioma in particular. As the number of these lawsuits 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.
From 1985 to 1994, approximately twenty organizations filed for Chapter 11 bankruptcy protection to shield themselves from asbestos litigation.
Originally named Smith & Porter, the company was organized in 1866 as a manufacturer and repairer of locomotives. In 1939, while the demand for these products continued to decrease, it reestablished itself as H.K. Porter Company Inc. and began manufacturing and selling industrial products. In the 1950s, it began acquiring several companies that were involved in the manufacturing, sale, and/or distribution of goods that contained asbestos.
Its involvement with asbestos products made H.K. Porter liable in various lawsuits for asbestos-related injuries and death. After paying over $200 million to settle these claims, the company filed for protection under Chapter 11 of the US Bankruptcy Code. At this time the company had 73,000 claims already filed against it and forecasted that this number would reach at least 560,000. As part of the reorganization plan, in 1999, the court authorized H.K. Porter to establish a trust to help resolve all liabilities related to asbestos claims.
For more information on this Asbestos Bankruptcy Trust, visit the Trust web site at http://www.hkporterasbestostrust.org/ or call 609-466-0427Contact the asbestos lawyers at Clapper, Patti Schweizer & Mason for more information on the bankruptcy trust for H.K. Porter Company Inc., or if you have any other questions regarding mesothelioma.