Garlock Sealing Files For Chapter 11 Bankruptcy

CHARLOTTE, N.C. - (Mealey's) Garlock Sealing Technologies on June 5 filed a voluntary petition for Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the Western District of North Carolina to establish a trust to resolve all current and future asbestos claims against it ( In re Garlock Sealing...

Judge Denies Quigley Company's Plan Of Reorganization

NEW YORK - (Mealey's) Finding that Pfizer Inc. manipulated creditor votes in seeking support for a plan of reorganization for its wholly owned subsidiary Quigley Co. Inc., a New York bankruptcy judge on Sept. 8 denied Quigley's plan of reorganization to resolve its asbestos liabilities ( In re...

Durabla Chapter 11 Case Continues; Dismissal Denied

WILMINGTON, Del. -- The Delaware bankruptcy judge overseeing Durabla Manufacturing Co.'s Chapter 11 case on Oct. 6 rejected a motion to dismiss the case made by a group of asbestos personal injury plaintiffs who maintain that the case was filed in bad faith and only to protect the company's president...

W.R. Grace, Insurers Reach $84 Million Settlement

WILMINGTON, Del. - (Mealey's) After a hearing Jan. 10, the bankruptcy judge overseeing W.R. Grace & Co.'s Chapter 11 case in a Delaware bankruptcy court approved an $84 million settlement between the company and a group of insurers to resolve asbestos-related liability coverage disputes ...

Bankruptcy Judge Recommends Approval Of W.R. Grace's Reorganization Plan

WILMINGTON, Del. - (Mealey's) A federal bankruptcy judge in Delaware on Jan. 31 resolved the last objections to W.R. Grace & Co.'s Chapter 11 joint plan of reorganization and recommended that the district court approve the plan ( In re: W.R. Grace & Co., et al. , No. 01-1139, D. Del....

Federal Judge Affirms Leslie Controls' Reorganization Plan

WILMINGTON, Del. - A Delaware federal judge on Feb. 7 affirmed an amended plan of reorganization in Leslie Controls Inc.'s Chapter 11 bankruptcy case ( In re: Leslie Controls, Inc. , No. 1:11-mc-00013, D. Del.). Judge Jerome B. Simandle issued an order in the U.S. District Court for the District...

General Motors' Asbestos Liability Set At $625 Million

NEW YORK -- A New York federal bankruptcy judge approved an agreement on Feb. 14 in General Motors Corp.'s Chapter 11 bankruptcy case that fixes the debtors' aggregate liability for asbestos personal injury claims at $625 million ( In re: Motors Liquidation Co., et al. , No. 09-50026, S.D. N...

Bankruptcy Judge Again Denies Confirmation Of Pittsburgh Corning's Reorganization Plan

PITTSBURGH - (Mealey's) Changes that Pittsburgh Corning Corp. (PCC) made to its Chapter 11 plan of reorganization following denial of plan confirmation in 2006 have not made the plan confirmable, though the plan's problems can still be fixed, a Pennsylvania federal bankruptcy judge held June...

9th Circuit: Insurers Have Standing To Object To Thorpe's Confirmed Reorganization Plan

SAN FRANCISCO - (Mealey's) Because Thorpe Insulation Co.'s Chapter 11 plan of reorganization could harm insurance companies, the plan is not "insurance neutral" and, therefore, the insurers have standing to object to it, the Ninth Circuit U.S. Court of Appeals held Jan. 24 in reversing...

Delaware Federal Judge Overrules Objections, Confirms W.R. Grace's Chapter 11 Plan

WILMINGTON, Del. - (Mealey's) A Delaware federal judge on Jan. 30 overruled all remaining objections to W.R. Grace & Co.'s Chapter 11 plan of reorganization and confirmed the plan, which includes establishment of a trust to pay asbestos personal injury claims having an estimated total value...

Asbestos Claims Against Quigley Parent Pfizer Allowed By 2nd Circuit

NEW YORK - (Mealey's) Personal injury suits seeking to hold Pfizer Inc. liable for asbestos-containing products manufactured by bankrupt subsidiary Quigley Co. Inc. under an "apparent manufacturer" theory of liability are not barred by an injunction issued in Quigley's Chapter 11 case...

Insurance Rights Can Be Assigned To Asbestos Trusts, 3rd Circuit Holds

PHILADELPHIA - (Mealey's) The U.S. Bankruptcy Code trumps anti-assignment provisions in insurance policies, the Third Circuit U.S. Court of Appeals held May 1 ( In re: Federal-Mogul Global Inc., et al. , Nos. 09-2230 and 09-2231, 3rd Cir.; 2012 U.S. App. LEXIS 8814). ( Opinion. Document #48-120529...

3rd Circuit Upholds Conversion Of Skinner Bankruptcy To Chapter 7

PHILADELPHIA - (Mealey's) A bankruptcy court has the authority to determine at the disclosure statement stage that a Chapter 11 reorganization plan is unconfirmable without first holding a confirmation hearing if it is obvious that the plan is patently unconfirmable, the Third Circuit U.S. Court...

Delaware Federal Judge Grants Debtor Access To Asbestos Claimant Information

WILMINGTON, Del. - (Mealey's) A Delaware federal judge on March 1 ruled that Chapter 11 debtor Garlock Sealing Technologies LLC can obtain documents filed by asbestos claimants' attorneys in nine other asbestos-related bankruptcy cases, finding that a bankruptcy judge erred and abused her discretion...

Bankruptcy Judge Sets Specialty Products' Asbestos Liability At $1.16 Billion

WILMINGTON, Del. -- (Mealey's) Former joint compound producer Bondex International Inc. and its related holding company Specialty Products Holding Corp. face an estimated $1.16 billion in pending and future asbestos personal injury claims, about double what the companies estimate their asbestos liabilities...

3rd Circuit Rejects Garlock’s Appeal Of Grace’s Plan For Lack Of Injury, Standing

PHILADELPHIA — (Mealey’s) Chapter 11 debtor Garlock Sealing Technologies Inc. does not have standing to object to fellow debtor W.R. Grace & Co.’s confirmed plan of reorganization because Garlock cannot show that it will be harmed by the plan, the Third Circuit U.S. Court of Appeals...

Garlock Sues Law Firms, Alleging Fraud Over Asbestos Claims

CHARLOTTE, N.C. — (Mealey’s) Chapter 11 debtor Garlock Sealing Technologies LLC filed four adversary complaints Jan. 9 in a North Carolina federal bankruptcy court against several law firms and attorneys, alleging conspiracy, fraud and violations of the Racketeer Influenced and Corrupt Organizations...

Bankruptcy Judge: Plaintiffs, Lawyers Covered Up Evidence In Garlock Mesothelioma Cases

CHARLOTTE, N.C. —(Mealey’s) Chapter 11 debtor Garlock Sealing Technologies LLC’s total estimated liability for present and future mesothelioma claims is only $125 million, not $1.2 billion as asbestos personal injury claimants argued, because Garlock’s history of settling mesothelioma...