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Mealey's Bankruptcy - Stipulation Barring Attorney From Filing Claims With Trusts Valid, Judge Says

LOS ANGELES - A California federal bankruptcy judge did not abuse her discretion when enforcing a stipulation under which an attorney must stop filing claims with two asbestos personal injury trusts and transfer pending claims to other attorneys, a federal judge in the state ruled Sept. 3 (Michael J...

Mealey's Bankruptcy - Judge: Firm's Bid For Fees From Asbestos Trust Not A Bankruptcy Issue

ST. PAUL, Minn. - A Minnesota federal bankruptcy judge on Sept. 9 remanded to state court an adversary case in which a law firm is seeking fee payments from an asbestos trust, finding that there is no bankruptcy court jurisdiction for the assets of the trust or for the law firm's asserted lien on...

Mealey's Bankruptcy - Asbestos Claimants' Opposition Included In Energy Future Plan, Statement

WILMINGTON, Del. - Chapter 11 debtor Energy Future Holdings Corp.'s (EFH) disclosure statement for its fourth amended plan of reorganization, filed Sept. 18 in Delaware federal bankruptcy court, adds language about asbestos claims - including a statement from the asbestos creditors' committee...

Mealey's Bankruptcy - Lawyer Says Manville Trust Unlawfully Disallowed Submission Of His Claims

NEW YORK - The trustees of the asbestos trust established in the landmark Chapter 11 case of Johns-Manville Corp. abused their discretion and breached their fiduciary duties of impartiality and loyalty when they decided to disallow the submission of claims from a California attorney based on allegations...

Mealey's Bankruptcy - Law Firm For Asbestos Committee Appointed In Oakfabco Bankruptcy

CHICAGO - A federal bankruptcy judge on Sept. 22 authorized a newly formed asbestos claimants' committee in the recent Chapter 11 case of defunct boiler manufacturer Oakfabco Inc. to retain Illinois law firm FrankGecker LLP as the committee's counsel (In re: Oakfabco, Inc., No. 15-27062, N.D...

Mealey's Bankruptcy - Judge Rejects Garlock's Request For Information On Asbestos Settlement Payments

CHARLOTTE, N.C. - A North Carolina federal bankruptcy judge on Sept. 23 denied a discovery request by Chapter 11 debtor Garlock Sealing Technologies LLC for information from 13 law firms concerning settlement payments received by non-mesothelioma claimants after the targeted law firms and an asbestos...

Mealey's Bankruptcy - Some Plan Negotiations In Garlock Case Will Remain Confidential, Judge Says

CHARLOTTE, N.C. - Negotiations conducted after Jan. 16 between asbestos claimants and Chapter 11 debtor Garlock Sealing Technologies LLC on a plan of reorganization for the debtor will be kept confidential and out of the reach of discovery in the plan confirmation process based on a stipulation between...

Mealey's Bankruptcy - 3rd Circuit Dismisses Appeal Of Flintkote's Reorganization Plan

PHILADELPHIA - With the Chapter 11 plan of reorganization for The Flintkote Co. and Canadian affiliate Flintkote Mines Ltd. becoming effective and the plan being substantially consummated, the Third Circuit U.S. Court of Appeals on Oct. 8 dismissed an appeal of the plan confirmation by Flintkote's...

Mealey's Bankruptcy - Asbestos Plaintiffs Seek Judgment On Insurers' Suit To Halt State Court Cases

WILMINGTON, Del. - Personal injury lawsuits brought against former insurers of W.R. Grace & Co. in Montana state courts do not violate the channeling injunction set forth in Grace's confirmed Chapter 11 plan of reorganization, so the state court plaintiffs should be awarded summary judgment on...

Mealey's Bankruptcy - 3rd Circuit: Attorney Lacks Standing To Pursue Claims Against Asbestos Trusts

PHILADELPHIA - An asbestos plaintiffs' lawyer cannot pursue a declaratory judgment suit alleging that several asbestos personal injury trusts violated the terms of their respective distribution procedures by refusing to process his claims because he cannot show that he was harmed by the trusts'...

Mealey's Bankruptcy - Bankruptcy Judge Denies Committee's Request For Garlock Documents

CHARLOTTE, N.C. - A North Carolina federal bankruptcy judge on Nov. 6 denied a request by an asbestos claimants' committee to compel Chapter 11 debtor Garlock Sealing Technologies LLC to provide certain discovery sought in the committee's first request for production of documents directed to...

Mealey's Bankruptcy - Garlock, Asbestos Committee, FCR Spar Over Document Requests, Subpoenas

CHARLOTTE, N.C. - The asbestos claimants' committee in the Chapter 11 case of Garlock Sealing Technologies LLC should be ordered to produce "nonpublic" communications its members have made with claimants about Garlock's proposed plan of reorganization so the debtor can determine whether...

Mealey's Bankruptcy - New Fraud Evidence Must Be Considered For Pittsburgh Corning's Plan, Insurers Say

PITTSBURGH - A Pennsylvania federal court erred when it failed to consider that fraud occurred in asbestos claimant voting on Pittsburgh Corning Corp.'s Chapter 11 plan of reorganization and that the fraud was "inherently and critically tied to procurement of the confirmation order," two...

Mealey's Bankruptcy - Johns-Manville Trust: Attorney's Bid For Sanctions Flawed, Unsound

NEW YORK - A request by an asbestos personal injury attorney to impose sanctions against two attorneys representing an asbestos trust that filed a declaratory judgment action against him should be rejected and the trust should be awarded attorney fees because the request "amounts to a procedurally...

Mealey's Bankruptcy - Law Firm Counterattacks, Says Garlock Lied About Dangers Of Its Products

CHARLOTTE, N.C. - A Dallas-based asbestos plaintiffs' law firm accused by Chapter 11 debtor Garlock Sealing Technologies LLC of scheming to fraudulently induce Garlock into settling tort system cases denied the allegations and leveled its own fraud and racketeering charges against Garlock, saying...

Mealey's Bankruptcy - Asbestos Plaintiffs Say Amicus Brief From Grace Trust Should Be Rejected

WILMINGTON, Del. - The W.R. Grace & Co. asbestos trust should not be allowed to file an amicus curiae brief in an adversary case to determine whether asbestos personal injury lawsuits brought against former insurers of Grace in Montana state courts violate Grace's Chapter 11 plan of reorganization...

Mealey's Bankruptcy - Garlock, Committee Agree On Percentage To Figure Non-Mesothelioma Liability

CHARLOTTE, N.C. - Chapter 11 debtor Garlock Sealing Technologies LLC and the Official Committee of Asbestos Personal Injury Claimants agree on one issue in their heated battle over Garlock's $500 million plan of reorganization - that the debtor's liability for non-mesothelioma asbestos claims...

Mealey's Bankruptcy - 3rd Circuit Should Affirm Ruling Against Insurers, Pittsburgh Corning Argues

PHILADELPHIA - Chapter 11 debtor Pittsburgh Corning Corp. on Dec. 14 urged the Third Circuit U.S. Court of Appeals to reject an appeal of a plan of reorganization ruling filed by two insurance companies, saying asbestos claimants have waited long enough to receive compensation for their injuries from...

Mealey's Bankruptcy - Class Certification Denied For Energy Future Holdings' Future Asbestos Claimants

WILMINGTON, Del. - A Delaware federal bankruptcy judge on Dec. 16 rejected a request by three people who were exposed to asbestos but do not yet have an asbestos-related disease to represent a class of similar claimants in the Chapter 11 case of Energy Future Holdings Corp. (EFH) (In re: Energy Future...

Mealey's Bankruptcy - Garlock, FCR, Committee Duel In Summary Judgment Motions On Reorganization Plan

CHARLOTTE, N.C. - Chapter 11 debtor Garlock Sealing Technologies LLC's attempts to resolve its asbestos liabilities without using Section 524(g) of the U.S. Bankruptcy Code and to have the future claimants' representative (FCR) vote on its reorganization plan would amount to unprecedented relief...

Mealey's Bankruptcy - Pittsburgh Corning, Insurers Agree To Drop Appeals In 3rd Circuit

PHILADELPHIA - The last challenge to the bankruptcy reorganization of glass and insulation maker Pittsburgh Corning Corp. (PCC) ended Jan. 7 when the Third Circuit U.S. Court of Appeals dismissed appeals of two insurers after the insurers told the court they had "resolved certain claims" with...

Mealey's Bankruptcy - Unmanifested Asbestos Claims Subject Of Appeals In Energy Future Case

WILMINGTON, Del. - Three people who were exposed to asbestos but do not yet have an asbestos-related disease on Jan. 12 asked a Delaware federal court to decide on appeal whether a bankruptcy judge erred in rejecting their request to certify a class of similar claimants in the Chapter 11 case of Energy...

Mealey's Bankruptcy - Bankruptcy Judge Approves Reichhold Holdings' Plan Of Liquidation

WILMINGTON, Del. - A Delaware federal bankruptcy judge on Jan. 13 approved a plan of liquidation for Chapter 11 debtor Reichhold Holdings US Inc. under which asbestos personal injury claimants will have to pursue their claims against a liquidating trust and the debtor's insurance carriers (In re...

Mealey's Bankruptcy - Budd Claimants' Committee Moving Claims Objections To District Court

CHICAGO - The asbestos claimants' committee in the Chapter 11 case of The Budd Co. Inc. on Jan. 19 asked an Illinois federal bankruptcy judge to delay the deadline to respond to the debtor's latest objections to hundreds of asbestos personal injury claims in order to give a district court time...

Mealey's Bankruptcy - John Crane Levels Its Own Fraud, RICO Claims Against Law Firms, Attorneys

CHARLOTTE, N.C. - Frequent asbestos personal injury defendant John Crane Inc. on Jan. 25 sought permission in North Carolina federal court to intervene in two fraud and racketeering cases filed by Chapter 11 debtor Garlock Sealing Technologies LLC against plaintiff law firms and attorneys in order to...