CHICAGO - A labor union representing 5,500 retirees and spouses, dependents and surviving spouses of retirees of Chapter 11 debtor The Budd Co. Inc. on Feb. 23 objected to the disclosure statement for Budd's plan of reorganization, saying it does not provide adequate information about several issues, including the treatment of retiree claims and future health care benefits (In re: The Budd Company, Inc., No. 14-11873, N.D. Ill. Bkcy.).
NEW YORK - Chapter 11 debtor Rapid-American Corp. and the three insurers that have not settled their coverage disputes with the debtor on Feb. 22 agreed to a briefing schedule and hearing date for Rapid-American's motions for summary judgment on the insurers' obligation to pay for asbestos personal injury claims (Rapid-American Corporation, et al. v. Travelers Casualty and Surety Company, et al., No. 15-01095, S.D. N.Y. Bkcy.).
WASHINGTON, D.C. - A law firm's study of asbestos personal injury claim evidence in the Chapter 11 case of Garlock Sealing Technologies LLC "shows widespread inconsistencies in the information single asbestos plaintiffs provide to the different" asbestos bankruptcy trusts, according to a Feb. 19 news release by the U.S. Chamber of Commerce's Institute for Legal Reform (ILR).
NEW ORLEANS - A Louisiana federal bankruptcy judge on Feb. 19 gave new Chapter 11 debtor Eagle Inc. three more months to file a plan of reorganization, an extension supported by one of the debtor's insurers, which said more information about Eagle's activities and plans is needed before terminating the debtor's exclusive right to file a reorganization plan (In re: Eagle, Inc., No. 15-12437, E.D. La. Bkcy.).
AUSTIN, Texas - The special deputy receiver (SDR) of an insurer in rehabilitation asked a Texas court on Feb. 16 to approve a nearly $9 million payment to an asbestos bodily injury trust (State of Texas v. Highlands Insurance Company, No. D-1-GV-03-004537, Texas, 53rd Dist., Travis Co.).
CHICAGO - An Illinois federal bankruptcy judge on Feb. 11 modified the automatic stay in the Chapter 11 case of The Budd Co. Inc. so 123 asbestos claimants can pursue their claims against Budd in the tort system; however, the bankruptcy judge then stayed his order to allow Budd to file arguments regarding the current state of its insurance coverage (In re: The Budd Company, Inc., No. 14-11873, N.D. Ill. Bkcy.).
WASHINGTON, D.C. - The U.S. Senate Judiciary Committee on Feb. 3 heard testimony from lawyers, a former judge and the wife a former congressman who died of mesothelioma during hearings on legislation addressing the need for transparency in asbestos trusts.
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 pursue its own fraud claims against the firms (Garlock Sealing Technologies LLC, et al. v. Shein Law Center, Ltd., et al., No. 14-137, Garlock Sealing Technologies LLC, et al. v. Simon Greenstone Panatier Bartlett, APLC, et al., No. 14-116, W.D. N.C.).
CORPUS CHRISTI, Texas - A Texas federal bankruptcy judge on Jan. 19 approved a request by the administrator for the plan of reorganization of reorganized ASARCO LLC to return up to $9 million in unused bankruptcy funding to the company (In re: ASARCO LLC, No. 05-21207, S.D. Texas Bkcy.).
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 to rule on the committee's bid to have the dispute decided in that venue (In re: The Budd Company, Inc., No. 14-11873, N.D. Ill. Bkcy.).
WILMINGTON, Del. - A Delaware federal bankruptcy judge on Jan. 19 closed the Chapter 11 case of The Flintkote Co.'s Canadian affiliate, which has merged into Flintkote as part of the companies' reorganization and no longer operates its business (In re: The Flintkote Co., No. 04-11300, D. Del. Bkcy.).
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: Reichhold Holdings US, Inc., et al., No. 14-12237, D. Del. Bkcy.).
CHARLOTTE, N.C. - The confirmation hearing for the Chapter 11 plan of reorganization of Garlock Sealing Technologies LLC has been pushed back two months, according to an amended case management order filed Jan. 13 in North Carolina federal bankruptcy court (In re: Garlock Sealing Technologies, LLC, et al., No. 10-31607, W.D. N.C. Bkcy.).
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 Future Holdings Corp. (EFH) (In re: Energy Future Holdings Corp., No. 15-1218, D. Del.).
NEW YORK - Saying that the defendants' reliance on a commentary demonstrates its relevance, a New York justice on Jan. 12 declined to quash the deposition of the author (In re: New York City Asbestos Litigation, All Weitz & Luxenberg Asbestos Cases, No. 040000/88, N.Y. Sup., New York Co.).
WASHINGTON, D.C. - The U.S. House of Representatives on Jan. 8 passed legislation its supporters claim will reduce fraud in the asbestos bankruptcy trust system and help ensure that federal class actions lawsuits enrich only truly injured individuals.
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 one of the debtor's parent companies (Mt. McKinley Insurance Company, et al. v. Pittsburgh Corning Corporation, Nos. 15-2954, 14-4329, 3rd Cir.).
CHARLOTTE, N.C. - A North Carolina federal bankruptcy on Dec. 31 partly granted a request by three asbestos plaintiffs' law firms for a protective order quashing subpoenas from Chapter 11 debtor Garlock Sealing Technologies LLC seeking claimant information to support Garlock's case in its plan of reorganization confirmation proceeding (In re: Garlock Sealing Technologies, LLC, et al., No. 10-31607, W.D. N.C. Bkcy.).
SAN FRANCISCO - A California federal judge on Dec. 21 added the asbestos trust created by the Chapter 11 reorganization of The Flintkote Co. as a plaintiff and two insurers as defendants in Flintkote's declaratory judgment action seeking to compel an insurer to enter into arbitration to determine the insurer's responsibility under an agreement with Flintkote to pay insurance proceeds for underlying asbestos claims (The Flintkote Company v. Aviva PLC, No. 15-cv-01638, N.D. Calif.; 2015 U.S. Dist. LEXIS 170383).
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 that cannot be granted on summary judgment, the asbestos claimants' committee says in a Dec. 18 opposition brief filed in North Carolina federal bankruptcy court (In re: Garlock Sealing Technologies, LLC, No. 10-31607, W.D. N.C. Bkcy.).
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 Holdings Corp., No. 14-10979, D. Del. Bkcy.).
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 the debtor's asbestos trust (Mt. McKinley Insurance Company, et al. v. Pittsburgh Corning Corporation, Nos. 15-2954, 14-4329, 3rd Cir.).
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 is estimated at 17.65 percent of its aggregate liability for mesothelioma claims, according to a stipulation and order signed Dec. 8 by a North Carolina federal bankruptcy judge (In re: Garlock Sealing Technologies, LLC, No. 10-31607, W.D. N.C. Bkcy.).
WEST PALM BEACH, Fla. - A Florida federal judge on Nov. 23 affirmed a bankruptcy court's decision in favor of a bank, ordering the debtors to surrender the property pursuant to a statement of intention (David A. Failla, et al. v. Citibank N.A., et al., No. 15-80328, S.D. Fla.; 2015 U.S. Dist. LEXIS 157832).
NEW YORK - The justice overseeing New York asbestos litigation issued an order to show cause Nov. 16 about why he should not quash a subpoena seeking to depose the author of a legal commentary published in Mealey's Asbestos Bankruptcy Report (In re: New York City Asbestos Litigation, All Weitz & Luxenberg Asbestos Cases, No. 040000/88, N.Y. Sup., New York Co.).