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    Mealey's Bankruptcy - Insurer Loses Bid For Judgment On Liquidating Trust's Payment Claims

    OAKLAND, Calif. - An asbestos personal injury liquidating trust properly submitted proposals to an insurer regarding the payment of allowed claims that triggered the insurer's policies and did not violate two debtors' plan of reorganization by allocating to the insurer 100 percent of the liquidated value of each approved unpaid claim, a California federal bankruptcy judge held Nov. 21 (In re CFB Liquidating Corporation, f/k/a Chicago Fire Brick Co., et al., No. 01-45483, [Barry A. Chatz, as Trustee for the CFB/WFB Liquidating Trust v. Continental Casualty Company, No. 15-4136] N.D. Calif. Bkcy.; 2016 Bankr. LEXIS 4034).

    Mealey's Bankruptcy - Judge Vetoes Eagle's Disclosure Statement, Sets Hearing On Dismissal Of Case

    NEW ORLEANS - A Louisiana federal bankruptcy judge on Nov. 18 rejected the disclosure statement for the plan of reorganization of Chapter 11 debtor Eagle Inc. and ordered the company to show why the case should not be dismissed for failure to file a disclosure statement or a feasible reorganization plan (In re: Eagle, Inc., No. 15-12437, E.D. La. Bkcy.).

    Mealey's Bankruptcy - Kaiser Gypsum Wards Off Asbestos Claimants' Attempt To Transfer Case

    CHARLOTTE, N.C. - A North Carolina federal bankruptcy judge, in a Nov. 22 minute order, denied a request by five asbestos personal injury claimants to transfer the recent Chapter 11 case of former gypsum plaster and wallboard manufacturer Kaiser Gypsum Co. Inc. to the U.S. District Court for the Western District of Washington (In re Kaiser Gypsum Company, Inc., at al., No. 16-31602, W.D. N.C. Bkcy.).

    Mealey's Bankruptcy - Liquidator Asks Court To Approve Settlement Of Asbestos Claims

    CONCORD, N.H. - The liquidator of an insolvent insurer asked a New Hampshire court on Nov. 21 to approve a $13.8 million settlement agreement with a bankrupt company's asbestos personal injury trust (In the Matter of the Liquidation of The Home Insurance Company, No. 03-E-0106, N.H. Sup., Merrimack Co.).

    Mealey's Bankruptcy - Plaintiffs Appeal Ruling That Claims Against W.R. Grace Insurers Are Barred

    WILMINGTON, Del. - Twenty-seven asbestos disease sufferers on Nov. 14 asked a Delaware federal court to decide if a bankruptcy judge erred in finding that their state law personal injury claims against insurers of Chapter 11 debtor W.R. Grace & Co. are barred by an injunction in W.R. Grace's plan of reorganization (Continental Casualty Company, et al. v. Jeremy B. Carr, et al., No. 16-1010, D. Del.).

    Mealey's Bankruptcy - John Crane Says Law Firm's Arguments For Dismissal Don't Hold Water

    CHICAGO - Asbestos personal injury law firm Simon Greenstone Panatier Bartlett provides no basis in three motions for an Illinois federal court to dismiss fraud, conspiracy and racketeering allegations leveled by John Crane Inc. (JCI), and the claims are sufficiently pleaded to survive the motions, JCI says in a Nov. 11 response brief (John Crane Inc. v. Simon Greenstone Panatier Bartlett, et al., No. 16-5918, N.D. Ill.).

    Mealey's Bankruptcy - Judge: Honeywell, Ford Can Use Asbestos Claimants' Data From 9 Bankruptcies

    WILMINGTON, Del. - Honeywell International Inc. and Ford Motor Co. can access asbestos claimants' data in nine Chapter 11 cases, but only to investigate fraud in the claims process, and the information cannot be used for lobbying efforts, a Delaware federal bankruptcy judge held Nov. 8 (In re W.R. Grace & Co., et al., No. 01-01139; In re Owens Corning, No. 00-3837; In re Armstrong World Industries, Inc., No. 00-4471; In re USG Corp., No. 01-2094; In re US Minerals Products Company, No. 01-2471; In re Kaiser Aluminum Corp., No. 02-10429; In re ACandS, Inc., No. 02-12687; In re Combustion Engineering, Inc., No. 03-10495; In re The Flintkote Company, No. 04-11300, D. Del. Bkcy.).

    Mealey's Bankruptcy - Insurers Dispute Debtor's Attempt To Vacate Policy Exhaustion Finding

    NEW YORK - A bid by Chapter 11 debtor Rapid-American Corp. to vacate a finding that it has not paid a sufficient amount for asbestos claims to reach the level of excess coverage provided under three insurance policies should be rejected because the debtor is improperly trying to reargue the issue with a revised legal strategy, insurers assert in separate Oct. 18 response briefs in New York federal bankruptcy court (Rapid-American Corporation, et al. v. Travelers Casualty and Surety Company, et al., No. 15-01095, S.D. N.Y. Bkcy.).

    Mealey's Bankruptcy - Only 2 Claims Against W.R. Grace Insurers Survive Summary Judgment

    WILMINGTON, Del. - Two claimants in Libby, Mont., seeking to hold insurers of W.R. Grace & Co. liable for their asbestos injuries can pursue negligence and bad faith claims in state court against an insurer based on workers' compensation policies not covered by W.R. Grace's Chapter 11 reorganization; however, similar claims in other state court actions are barred by an injunction in W.R. Grace's case channeling asbestos claims to a trust for resolution, a Delaware federal bankruptcy judge ruled Oct. 17 (In re: W.R. Grace & Co., et al., No. 01-01139 [Ralph Hutt and Carl Osborn v. Maryland Casualty Company, No. 14-50867], [Continental Casualty Company, et al. v. Jeremy B. Carr, et al., No. 15-50766], D. Del. Bkcy.).

    Mealey's Bankruptcy - Asbestos Claims Force Kaiser Gypsum, Affiliate Into Chapter 11

    CHARLOTTE, N.C. - Former gypsum plaster and wallboard manufacturer Kaiser Gypsum Co. Inc. filed a Chapter 11 petition Sept. 30 in North Carolina federal bankruptcy court along with cement company affiliate Hanson Permanente Cement Inc. (HPCI) to resolve thousands of asbestos personal injury claims filed against the debtors (In re Kaiser Gypsum Company, Inc., at al., No. 16-31602, W.D. N.C. Bkcy.).

    Mealey's Bankruptcy - Judge Upholds Denial Of Class Certification For Unmanifested Asbestos Claims

    WILMINGTON, Del. - A Delaware federal judge on Sept. 28 affirmed a bankruptcy court's denial of class certification for holders of possible future asbestos injury claims against Chapter 11 debtor Energy Future Holdings Corp., holding that the court did not abuse its discretion in finding that the proposed class would not be superior to individual litigation (Michael Cunningham, et al. v. Energy Future Holdings Corp., No. 15-1218, D. Del.; 2016 U.S. Dist. LEXIS 133167).

    Mealey's Bankruptcy - Judge Dismisses Appeal Of Future Claimants Of Energy Future's Failed Plan

    WILMINGTON, Del. - A Delaware federal judge on Sept. 26 dismissed an appeal by potential asbestos claimants of the plan of reorganization for Chapter 11 debtor Energy Future Holdings Corp. (EFH) after finding that the plan is null and void because it was never consummated (Shirley Fenicle, et al. v. Energy Future Holdings Corp., et al., No. 15-1183, D. Del.; 2016 U.S. Dist. LEXIS 131217).

    Mealey's Bankruptcy - Specialty Products, Bondex Get More Time To Resolve Tax Claims

    WILMINGTON, Del. - A Delaware federal bankruptcy judge on Sept. 16 gave reorganized Chapter 11 debtors Specialty Products Holding Corp. and affiliate Bondex International Inc. three more months to object to non-asbestos claims so the debtors can continue negotiating resolutions for several tax claims (In re: Specialty Products Holding Corp., et al., No. 10-11780, D. Del. Bkcy.).

    Mealey's Bankruptcy - Eagle Files Plan While Insurer Seeks Dismissal Of Case For Bad Faith

    NEW ORLEANS - Former gasket and insulation distributor Eagle Inc. filed a Chapter 11 plan of reorganization and disclosure statement Sept. 13 in Louisiana federal bankruptcy court, a day after one of its insurers sought to have the debtor's case dismissed, saying the bankruptcy petition was filed in bad faith and Eagle has no reasonable chance of being rehabilitated (In re: Eagle, Inc., No. 15-12437, E.D. La. Bkcy.).

    Mealey's Bankruptcy - Asbestos Claimants Appeal Energy Future's Plan Confirmation

    WILMINGTON, Del. - Three asbestos personal injury claimants on Sept. 12 appealed a Delaware federal bankruptcy court's recent confirmation of the first of two plans of reorganization for Chapter 11 debtor Energy Future Holdings Corp. (EFH) to federal court (In re: Energy Future Holdings Corp., et al., No. 14-10979, D. Del. Bkcy.).

    Mealey's Bankruptcy - G-I Holdings Wins Summary Judgment On Claims By New York Housing Authority

    NEWARK, N.J. - The New York City Housing Authority (NYCHA) cannot pursue asbestos property damage claims against former Chapter 11 debtor G-I Holdings Inc. because the authority's allegations fail to meet the required elements for indemnity or restitution, a New Jersey federal bankruptcy judge held Sept. 9 in awarding G-I summary judgment (In re: G-I Holdings, Inc., et al., Nos. 01-30135 and 01-38790, D. N.J. Bkcy.; 2016 Bankr. LEXIS 3314).

    Mealey's Bankruptcy - 3rd Circuit Panel Will Not Rehear Appeal Of Pollution Claims Against Flintkote

    PHILADELPHIA - A two-judge panel of the Third Circuit U.S. Court of Appeals on Sept. 8 declined to reconsider its decision rejecting an appeal by a corporate property owner seeking to hold Chapter 11 debtor The Flintkote Co. liable for pollution at an old New Jersey manufacturing site (8 E. Frederick Place LLC v. The Flintkote Co., et al., No. 15-2886, 3rd Cir.).

    Mealey's Bankruptcy - Bankruptcy Judge Splits $20 Million Fee Award Evenly Among 4 Law Firms

    NEW YORK - A $20 million attorney fee fund from a settlement between an insurer and asbestos claimants should be divided equally among four law firms that negotiated the settlement based on the language and meaning of the agreement, a New York federal bankruptcy judge held Aug. 26 (In re: Johns-Manville Corporation, et al. [Eric Bogdan and the Bogdan Law Firm v. Bevan & Associates, LPA, Inc., et al., No. 15-01023] No. 82-11656, S.D. N.Y. Bkcy.; 2016 Bankr. LEXIS 3145).

    Mealey's Bankruptcy - Hearing Set On Honeywell's Bid For Asbestos Claimant Data In 9 Bankruptcies

    WILMINGTON, Del. - A Delaware federal bankruptcy judge will hold a hearing in October on a request by Honeywell International Inc. for access to asbestos claimants' data in nine Chapter 11 cases, including W.R. Grace & Co.'s bankruptcy proceedings, and in the meantime will contact a retired judge about appointing her to referee the dispute, according to an Aug. 23 docket entry (In re: W.R. Grace & Co., et al., No. 01-01139, D. Del. Bkcy.).

    Mealey's Bankruptcy - Bankruptcy Judge Disallows Asbestos Claims Against Specialty Products, Bondex

    WILMINGTON, Del. - A Delaware federal bankruptcy judge on Aug. 18 disallowed 13 asbestos personal injury claims against reorganized Chapter 11 debtors Specialty Products Holding Corp. and affiliate Bondex International Inc., ruling that the claims are barred by an injunction channeling the claims to the debtors' asbestos trust (In re: Specialty Products Holding Corp., et al., No. 10-11780, D. Del. Bkcy.).

    Mealey's Bankruptcy - New York Housing Agency Seeks Rehearing On Claims Against G-I Holdings

    NEW YORK - The New York City Housing Authority (NYCHA) on Aug. 1 asked a Third Circuit U.S. Court of Appeals panel to rehear its recent decision rejecting the authority's bid to force former Chapter 11 debtor G-I Holdings Inc. to remove asbestos-containing building materials from apartment buildings, saying the Third Circuit should "reaffirm its commitment to carefully balance bankruptcy's goal of a clean start with environmental law's goal of protecting public health" (In re: G-I Holdings Inc., f/k/a GAF Corporation, et al. [New York City Housing Authority v. G-I Holdings, Inc.], No. 15-2164, 3rd Cir.; 2016 U.S. App. LEXIS 13108).

    Mealey's Bankruptcy - Asbestos Claimants' Law Firm Approved In Eagle Case, But At Reduced Rates

    NEW ORLEANS - A Louisiana federal bankruptcy judge on Aug. 1 allowed the asbestos claimants' committee in the Chapter 11 case of Eagle Inc. to replace its counsel with an out-of-state law firm but capped the firm's hourly fee amount after an Eagle insurer protested the requested change (In re: Eagle, Inc., No. 15-12437, E.D. La. Bkcy.).

    Mealey's Bankruptcy - 2nd Circuit Panel Revives Ignition Switch Claims Against General Motors

    NEW YORK - People who were allegedly injured as a result of defective General Motors ignition switches in automobiles made before its 2009 bankruptcy can now sue the company, a Second Circuit U.S. Court of Appeals panel ruled July 13 (In Re: Motors Liquidation Company, Nos. 15-2844, 15-2847 and 15-2848, 2nd Cir.; 2016 U.S. App. LEXIS 12848).

    Mealey's Bankruptcy - Specialty Products, Bondex Object To Asbestos Claims Against Reorganized Debtors

    WILMINGTON, Del. - Reorganized Chapter 11 debtors Specialty Products Holding Corp. and affiliate Bondex International Inc. filed their first omnibus objection to asbestos personal injury claims July 6 in Delaware federal bankruptcy court, saying the claims are now the responsibility of the debtors' asbestos trust (In re: Specialty Products Holding Corp., et al., No. 10-11780, D. Del. Bkcy.).

    Mealey's Bankruptcy - Ford, Honeywell Seek To Mine Asbestos Claimant Data For Evidence Of Fraud

    WILMINGTON, Del. - Ford Motor Co. on July 6 joined in two motions filed in Delaware federal bankruptcy court by Honeywell International Inc. seeking access to asbestos claimants' data in the Chapter 11 cases of W.R. Grace & Co. and The Flintkote Co. to review the information for evidence of fraud in the tort system by asbestos plaintiffs and their attorneys (In re: W.R. Grace & Co., et al., No. 01-01139, D. Del. Bkcy.; In re: The Flintkote Co., No. 04-11300, D. Del. Bkcy.).