India Continues to Deny Dangers of Asbestos

Despite all the evidence to the contrary, India continues to deny the dangers of asbestos. India’s $2 billion asbestos industry imports over 400,000 tons of asbestos a year, making it the world’s biggest importer of the deadly mineral.

The World Health Organization reports that 107,000 people die worldwide every year from exposure to asbestos, but India’s industry officials dismiss the WHO’s “claims” as rubbish, saying the statistics are meaningless. Even India’s top official in charge of hazardous materials and chairman of the Central Pollution Control Board denies there is any credible data showing that asbestos isn’t safe. Oddly enough, India banned the mining of asbestos some 30 years ago.

India can deny all they want, but it doesn’t change the fact that asbestos is indeed dangerous and deadly. Due to a lack of public awareness, poor record keeping, and poor enforcement of safety laws, it is hard to know how many of India’s citizens are getting sick. But as the country’s use of asbestos continues, the situation will only get worse.

Read more here.

Deaths Caused by Exposure to Asbestos Much Higher Than Previously Estimated

The  Environmental Working Group (EWG) is reporting that the number of deaths caused by asbestos related disease in the U.S. is much higher than previously believed. Extensive analysis done by EWG Action Fund concludes that approximately 15,000 Americans die every year from asbestos-related diseases, that’s 5,000 more than previous estimates of 10,000 a year.

EWG analyzed death records from the Centers for Disease Control for 1999 to 2013, identifying all deaths attributed solely or in part to mesothelioma or asbestosis, and found that the actual number of deaths caused by exposure to asbestos is likely much higher. Asbestos exposure is now being linked in many cases to ovarian cancer, abdominal cancers, colorectal and laryngital cancers.

According to the World Health Organization, more than 107,000 people around the world die every year from asbestos-related lung cancer, mesothelioma and asbestosis.

Read the full report here.

The Consequences of Hiring Unqualified Workers to Remove Asbestos

According to a November 19 press release issued by The U.S. Attorney’s Office for the Eastern District of Pennsylvania, a Philadelphia man was recently sentenced to three and a half years in prison for knowingly exposing day laborers to asbestos.

Gene Cornell Smith knew that the warehouse building he had purchased was full of asbestos. He had received quotes to have the cancer-causing materials removed by a certified asbestos abatement company. But, instead of paying the cost of having the materials removed in a way that would be safe to workers, neighbors and others in the vicinity, he directed his associate, Clarence Cole, to hire unqualified day laborers who ripped out the asbestos illegally. The laborers were not informed of the asbestos hazard, nor were they given protective equipment to prevent inhalation of the toxic mineral.

The job was ultimately shut down when a concerned citizen brought the matter to the attention of city officials. However, rather than hiring a qualified abatement contractor to remediate the building as he was ordered to do, Smith continued to have day laborers illegally remove and dispose of asbestos materials, allowing asbestos dust to be released to the outside air.  

Following a jury trial in Federal Court, Smith was convicted of conspiracy and five counts of violating the United States Clean Air Act. His associate Clarence Cole was sentenced to two years in prison. In addition, both were ordered to serve three years of supervised release and pay restitution of $451,936.80.

A November 6 article posted on the Salon website, addresses another incident in which undocumented workers in New Jersey were directed by Benjamin H. Realty Company to remove asbestos with their bare hands. Workers who protested these and other dangerous working conditions were fired. “The worst thing was the asbestos,” said Isaac Hernandez, who said he was “100% breathing this stuff in” in a tight crawl space without warning or proper equipment, and “we went with our clothes home, so not only were we exposed – our families were exposed.”

“Clearly, what happens is that when someone is undocumented they can be exploited and they frequently are,” said New Jersey Senator Robert Menendez, who is trying to change labor immigration laws in his state.

While we are seeing an increasing number of criminal and civil charges stemming from the hiring of unqualified workers to remove asbestos “on the cheap”, one can’t help but wonder how many thousands of times this occurs on any given day. With all the homes and buildings constructed in the “peak asbestos years”, from the 1930s through the 1970s, the opportunity for desperate workers to be exposed to asbestos at the hands of unscrupulous and exploitative employers will continue for decades. Not only are unknowing workers exposed to this dangerous pollutant, their families, the local area and the community at large are also exposed when asbestos is improperly removed.

Asbestos waste is toxic waste and needs to be treated as such. When asbestos is removed and handled improperly, chances are that is also being disposed of improperly.

Federal and State laws prohibit the improper removal and disposal of asbestos. These laws were enacted to protect workers and the public at large from exposure to deadly asbestos dust.

If you suspect asbestos is being improperly removed or disposed you should contact the Environmental Protection Agency’s (EPA) Asbestos Hotline: (800) 368-5888 to file a confidential complaint, or visit the EPA’s website.

For information on safe handling practices for asbestos, click here.

Asbestos Industry-Backed FACT Act Passed by House GOP’s—But Not Likely to Go Any Further

US News reports that on Wednesday, November 13, 2013 the House approved House Resolution 982, the Furthering Asbestos Claim Transparency Act (FACT Act) in a vote 221-199. The FACT Act is part of a national campaign being led by the American Legislative Exchange Council (ALEC) and National Chamber of Commerce to limit compensation paid to asbestos victims and delay justice.

There is good news though. According to the article, the Democratic-controlled Senate has no plans to take up the bill, and the White House on Tuesday said President Barack Obama would veto it. “The bill’s mandatory reporting and disclosure requirements would threaten asbestos victims’ privacy when they seek payment for injuries from an asbestos bankruptcy trust,” the White House said in a statement of administration policy opposing the bill.

On Tuesday, Linda Reinstein, Asbestos Disease Awareness Organization (ADAO) President/CEO and Co-Founder along with members of the Alliance for Justice, the American Association for Justice and the Asbestos Cancer Victims’ Rights Campaign, attended a House Staff briefing to oppose the bill and urge representatives to vote against the FACT Act.

This legislation is an invasion of privacy which seeks to require patients and their families to post personal financial information, information about their dependents and the last four digits of their Social Security numbers on a public website. The bill will not only limit justice received by victims, but will ultimately open them and their families up to potential identity theft.

It would also have claimants seek compensation through the asbestos trust system before going through their state court to seek damages against companies, some states already have this law in practice.

Supporters of the legislation claim that rampant fraud is occurring in the system, fraud for which they have no definitive proof. They say this fraud occurs when people file claims against one trust blaming it for their asbestos disease, then make the same claims to other trusts as well as to companies in court.

Mesothelioma and other asbestos-related diseases are not typically caused by a single exposure to asbestos. In almost all cases, the disease is caused by the cumulative effect of many, sometimes countless, exposures throughout a person’s lifetime. Accordingly, asbestos disease is almost always the result of exposures to a wide variety of asbestos products from a multitude of different manufacturers and suppliers. It has long since been established that these companies knew about the dangers of asbestos and kept it mum.

The asbestos company owners, such as the Koch brothers, who are behind the so-called FACT legislation, have distorted the facts in an effort to convince the public that persons claiming that their asbestos disease was caused by more than one manufacturer’s product are committing a fraud. In reality, it is the supporters of this legislation who are committing a fraud—a fraud which, not surprisingly, inures to the financial interests of asbestos companies at the expense of the financial and privacy interests of asbestos illness sufferers.

Here's what you can do to help right now:

Go to www.cancervictimsrights.org to connect with a community of people fighting this legislation and standing up for cancer victims.

Related links:

• Huffington Post Debunks Claims of Fraud by Supporters of the “Furthering Asbestos Claim Transparency Act”
• Susan Vento, Wife of Deceased Congressman and Mesothelioma Victim Bruce Vento, Expresses Her Strong Opposition to the So-Called “FACT Act”
• Wall Street Journal Continues to Side with Asbestos Companies on Allegations of Asbestos Trust Fraud

Veterans Day Surprise Coming From Congress?

Written by Susan Vento and Judy Van Ness

This article was originally posted November 10, 2013, on chillicothegazette.com

On Monday, Americans will observe Veterans Day. Some people will observe it with a day off from work or checking out the special Veterans Day sales at department stores. But the real meaning of the day should be to think about the great sacrifices of the men and women who deserve to be honored. Instead, these same honorable men and women might be dishonored by a Congressional vote next week on the Furthering Asbestos Claims Transparency Act.

Asbestos, a known human carcinogen that has killed millions of people during the past several decades, has not been banned in the U.S. It remains a threat to Americans in our homes, schools and workplaces, and about one-third of all victims are veterans. Disasters such as 9/11 and Superstorm Sandy exposed many more people to asbestos dangers. Meanwhile, experts estimate that about 10,000 people die in the U.S. every year as a result of exposure to asbestos.

We watched our husbands die from mesothelioma, caused by asbestos. Former Rep. Bruce Vento died from mesothelioma 13 years ago, after being exposed to asbestos in three different worksites while working his way through college to become a junior high science teacher on the east side of St. Paul, Minn. Richard Van Ness died Aug. 30, 2012. His exposure began while serving in the forward engine room on the USS Charles R. Ware destroyer (1968-1971). Both men served their country with distinction and died needlessly. This makes us do everything we can to fight for other victims and families.

The FACT Act is a cruel twist on a cruel disease, one that blames the victims for whatever meager compensation they might receive for lives cut dramatically short. It blames families that have to watch loved ones struggle to take their final breaths and smears them by saying they get too much. It is no more than blatant catering to the highly-financed interests of the asbestos industry, the American Legislative Exchange Council, the National Chamber of Commerce and Georgia Pacific, owned by the Koch brothers. It is not about transparency at all.

Instead, the FACT Act would require the unbelievable disclosure on a public website of asbestos victims’ personal information, including the last four digits of their Social Security numbers, financial information, information about their children and other sensitive data that could subject victims and their families to identity theft and possible criminal victimization. The bill is completely lopsided — asbestos companies have no such “transparency” requirements. It passed the U.S. House Judiciary Committee 17-14 in the spring with the committee refusing to hear from victims and families who will be affected by the bill's exposure of their personal information.

The bill’s supporters mistakenly claim it is needed to prevent fraud by asbestos victims when filing claims to company trusts and accuse the asbestos victims of ripping off the system. The asbestos company trusts were structured to enable the companies responsible for the lethal poisoning of workers to use bankruptcy reorganization to continue operating.

The Government Accountability Office analyzed many company trusts and found no evidence of fraud. Instead, a recent newspaper investigation of claims found only 0.35 percent of “anomalies” and those included clerical errors by the claims administrators of the company trusts.

If anyone is getting ripped off, it’s the asbestos victims and their families. The Rand Institute found the median payment is 25 cents on the dollar to asbestos victims, with some payments as low as 1.1 percent of the claim filed. H.R. 982 victimizes all asbestos victims, including veterans, exposing them to identity theft and further harm.

Susan Vento, widow of former Rep. Bruce F. Vento, D-Minn., and Judy Van Ness, widow of Richard Van Ness, are with the Asbestos Cancer Victims’ Rights Campaign.

Recent Study Reveals Treatment Factors Associated With Long Term Survival for Peritoneal Mesothelioma

Malignant peritoneal mesothelioma is a cancer which, like pleural mesothelioma, is caused by exposure to asbestos. Instead of attacking the pleura that surrounds the lung, this type of mesothelioma attacks the lining which surrounds the organs of the abdomen. Peritoneal mesothelioma is very rare, accounting for only approximately 500 of the 2,500 to 3,000 cases of mesothelioma diagnosed per year.

Prior studies have revealed that treatment utilizing cytoreductive surgery to remove all visible tumor in combination with intraoperative or perioperative high-dose regional chemotherapy to kill any remaining tumor cells offers the best prognosis and has become the standard of care in treating peritoneal mesothelioma.

In an effort to identify the factors that contribute to long term survival, an analysis of 211 cases of peritoneal mesothelioma from 1992 and 2010 was performed by doctors at the University of Maryland School of Medicine.

Patients treated with cytoreductive surgery and hyperthermic intraoperative peritoneal chemotherapy showed median survival of 38.4 months, with 41% surviving at least 5 years, and 26% surviving to 10 years. The use of the chemotherapy agent Cisplatin resulted in prolonged survival in all patient groups over the use of mitomycin-C which in the past was the most common agent used.

Women tended to respond better to the treatment than men. Age and completeness of resection or tumor removal also contributed to the most favorable response. Ultimately, the stage of the disease played a key role in patients’ response to treatment.

Peritoneal mesothelioma tends to offer a better prognosis than pleural mesothelioma due to the location of the disease which is surgically more accessible, but if left untreated is just as aggressive as pleural mesothelioma. Patients exhibiting the longest survival rate had regular post treatment follow-up and additional treatment at the onset

of any recurrence of the disease.

Read the full abstract here.

Peritoneal patient profiles:

• Tammy Jordan - 13 Year Survivor
• Michael Winkelman - 11 Year Survivor
• Paul Zygielbaum - 10 Year Survivor
• Sue Huff - 7 Year Survivor
• Tom Bradford - 5 Year Survivor

The Hunt for A Cure: W&C responds to WSJ article

The Wall Street Journal, which is in the business of putting asbestos trial lawyers out business, contacted me over a year ago. They wanted to run an article about my donations to medical research.

As a journalist myself in college, it didn’t take long for me to figure out their angle. They wanted to show that somehow my practice of sponsoring medical research, as opposed to spending oodles on TV and Google ads, was “fishy” if not “rotten.”

The result of that year long quest appeared today in the crusty WSJ under the byline of reporter Dionne Searcey. The title: “Mesothelioma Doctors, Lawyers Hunt for Valuable Asbestos Cases.” 

Right away you get a feel for the slant. We are “hunters.”  Now, I’ve gotten to know Ms. Searcey fairly well and my guess is she didn’t write the headline.  Contrary to the splenetic anti-lawyer bias of the WSJ’s editorial board,  Ms. Searcey actually went the extra mile to check her facts, question her own biases, and listen to contrary points of view. To her credit, she even previewed with me the accuracy of the quotes she attributed to me and others.  In sum, she has shown a degree of professionalism I did not expect from her employer, and I respect her methods greatly.

But I wanted to clarify just a few points.

First, we wouldn't be in this mess if the asbestos industry hadn’t created it.  Nor would we be fussing about the ethics of sponsoring medical research if the asbestos industry itself had not steadfastly and stupidly refused to clean up their horrific mess.

Second, if the parties responsible for the asbestos cancer mess won’t clean it up, who will? The Federal government has not invested in medical research commensurate with the size of the problem, their responsibility (for Navy vets, meso is a “service connected disability) or their own fault. Meanwhile, the number of people diagnosed with meso is “too small” for Big Pharma to justify any serious investment. The labor unions are broke. If not the patients and their advocates, who will step up? 

Third, if money curries favor, from a strict profits and losses perspective, why hasn’t the asbestos industry donated to research?  A few years ago, Dr. Cameron was invited to speak to 600 asbestos defense lawyers, insurance adjusters and company reps.  He talked about the medical and ethical benefits of sponsoring research. How much did they pony up? Zero. Now, that’s “disgraceful.”

The asbestos industry is notorious for corrupting the medical and scientific literature with false and deceptive articles they paid for designed to prove to juries that asbestos is as benign as mother’s milk. If anyone knows how to curry favor with money, it’s the asbestos industry.

It simply boggles my mind that the industry, after 50 years of wasting tens of billions of dollars on phony research and medical mercenary “experts,” still has yet to see the economic benefits from finding a cure.  Put lawyers like me out of business! Save asbestos-tainted companies from bankruptcy! Spare millions of people agony, misery and death! It makes dollars and sense.

Fourth, the only “stakeholders” that really don’t want to see a cure for mesothelioma are the legions of “bill to kill” defense lawyers. They get paid by the hour. It’s in their economic interest to drag out tedious, life-sucking litigation, as the John Johnson case sadly but clearly demonstrates.

That said, over the past 25 years, I have met several honorable defense lawyers who agree with me that their clients should indeed invest in a cure.  They agree with me that they should find a way to resolve meritorious cases early before racking up thousands and thousands in legal fees. And they agree that it makes no sense at this late date for asbestos defendants to invest in crackpot “experts” to gin up junk science to bamboozle juries, when the money should instead be invested in cleaning up their horrific mess. 

We are quick to forgive in this country.  People, like corporations, make mistakes. What’s unforgivable is the perpetuation of that mistake by stubbornly refusing to own up to it.

Finally, maybe I’m wrong about the “benefits” of keeping meso patients alive. Unfortunately, as long as certain states limit or eliminate the damages available in wrongful death cases, then the bad guys will indeed have an economic incentive to hasten their victim’s demise.  It’s no secret that here in California the asbestos companies generally settle wrongful death claims for far, far less than they do for living claims.  The law encourages this wicked behavior.  In this dark and dusty light, it’s no wonder the bad guys don’t invest in a cure.

My firm’s motto has always been: “Asbestos Lawyers for Life.”  Yes, it’s in my firm’s interest to help my clients live long and prosper.  The day that in this great country we hold in contempt efforts to cure cancer but applaud and reward the cancer creators, well, that’s a day I’d rather put off, and I don’t think I’m alone.

RGW

5/6/13

Hunters for Justice and a Cure for Meso: The John Johnson "Fight Meso" Family, sponsors of the Dana Point Grand Prix

Canada Drops Opposition to Chrysotile Addition to List of Controlled Hazardous Substances

The United Nation’s list of Controlled Hazardous Substances is maintained by an international treaty made up of representatives from around the world known as the Rotterdam Convention. The Convention’s purpose is to set standards of protocol for the regulation of global trade of hazardous materials in an effort to protect human health and the environment.

Chrysotile has been on the list of considered additions to the list of Controlled Hazardous Substances since the Convention’s first meeting in 2004. However, in order for chrysotile to be added, the vote needs to be unanimous among the represented countries. The addition of chrysotile has been strongly opposed by countries with large stakes in the asbestos industry including Brazil, Canada, China, India, Kazakhstan and Russia. Inclusion does not imply that the substance has been banned, but that its import, export and use is severely regulated.

India withdrew its objection to the addition of chrysotile at the 2011 Rotterdam Convention, but Canada, which was exporting thousands of tons of chrysotile asbestos to other countries, objected on the basis that it was a propaganda ploy by groups wishing to benefit from the trade of replacement products such as cellulose and ceramic.

That same year the last operating asbestos mine in Canada ceased operations and the Canadian government committed to lend the mine $58 million to restart production. But in 2012, the newly elected government announced it would not honor the commitment. The new Ministry also announced that it would no longer oppose the addition of chrysotile to the list of Controlled Hazardous Substances.

The sixth meeting of the Rotterdam Convention runs from April 28 to May 10, 2013 in Geneva, Switzerland. While it is unlikely that other countries in opposition will follow suit, Canada’s change in stance is an important step toward placing of public health above corporate gains.

Chrysotile asbestos is a fibrous magnesium silicate mineral that is the most abundant variety of asbestos found on earth. The largest known natural deposits of chrysotile are located in Quebec, Canada and the Ural Mountains in Russia. Chrysotile is most commonly exported to developing countries which have failed to implement proper safety regulations to protect citizens.

Due to the unyielding of vested corporate interests, the danger of chrysotile asbestos continues to remain a contentious topic. However, in February 2013, the World Health Organization and the International Agency for Research on Cancer called for an end to all uses of asbestos reiterating all forms of asbestos are carcinogenic and can cause asbestosis, lung cancer and mesothelioma.

Avid Surfer and Former Drywaller Awarded $26.6 Million by Los Angeles Jury

San Pedro, CA, March 20, 2013—Asbestos cancer litigation law firm Worthington & Caron, P.C. today announced a verdict in the case of a 62 year-old former drywaller diagnosed with mesothelioma, a cancer caused by asbestos. The Los Angeles Superior Court jury that heard the case returned its verdict Tuesday, awarding $26.6 million to Mike and his wife.

Mike testified that he worked as a drywaller in northern Southern California from 1967, while he was still attending Madison High School, through 1993—with frequent breaks for extended surfing trips to Hawaii and Mexico. He worked at countless residential and commercial jobsites during the construction “boom” that occurred in north county in the 1970s, the same time that cancer-causing asbestos was used in many construction products including joint compound, fire-rated drywall, caulk, stucco, roofing mastic and asbestos cement pipe.

“With all the trades working on top of each other trying to finish one job and move on to the next, it was always dusty,” Mike recalled, “It wasn’t until I became a lead maintenance mechanic at UC San Diego and attended a class on job safety in 2003 that I learned that so many of the materials used on the jobs back then contained asbestos.” 

The case (LASC case # BC486980) was filed on June 20, 2012 by Worthington & Caron and co-counsel Simon, Greenstone, Panatier & Bartlett. Over 30 defendants were named in the case. Settlements were reached with a number of defendants prior to trial. Stucco manufacturer, Highland Stucco and Lime Products, Inc., the sole remaining defendant at trial, argued that other companies and even Mike himself were responsible for his exposure to asbestos. But the jury ultimately assessed blame on Highland for its role in subjecting Mike and other members of the public to its dangerous products.

“I was surprised to learn at trial just how much asbestos was in stucco,” Mike stated, “even though I rarely worked hands-on with the stuff, I was exposed to dust when the bags were dumped into large mixers and when we had to scrape off areas of over-spray that came into the homes through windows and doors.”

Mike is grateful for the jury’s award and for the hard work of his legal team, but would gladly trade it for the return of his health. Prior to his diagnosis in May 2012, Mike enjoyed his job at UCSD and had no plans of retiring. He also continued to indulge his life-long passion for surfing, hitting the waves on the iconic surf breaks of north county in Southern California two or more times a week.

After receiving his diagnosis, Mike sought treatment with thoracic surgeon Dr. Robert Cameron, Director of the Comprehensive Mesothelioma Program at the UCLA Medical Center in Los Angeles. Mike underwent the lung-sparing pleurectomy/decortication surgery performed by Dr. Cameron in July 2012. Thereafter, he underwent six weeks of radiation under the direction of UCLA radiation oncologist Dr. Michael Selch. “I was one of the first patients to get radiation with UCLA’s new Tomo-Therapy equipment”, Mike said, “Dr. Cameron and his team are on the cutting edge when it comes to treating meso. There are world-renown medical centers in Southern California, but for mesothelioma, the experts are at UCLA." 

Mike recognizes that asbestos companies like Highland have historically refused to support research into cures for mesothelioma, “they would rather pay attorneys to blame guys like me who were exposed to their products for causing our own illness!” Mike vows to support mesothelioma research conducted at the Pacific Meso Center under the direction Dr. Robert Cameron: “I’ve personally benefitted from Dr. Cameron’s research supported by patients before me affected by this disease. Now it’s my turn. With a little luck, I’ll be around long enough to benefit from the research they do with my support."

“Ored to Death” – The Daily Show Takes on the Canadian Asbestos Industry

In a recent blog we addressed efforts on the part of mining interests, with support from the Canadian government, to re-open the world’s largest asbestos mine in the city of Asbestos, Quebec. Although the sale of asbestos is prohibited in Canada, the consortium plans to sell the deadly fiber to India and other developing countries.

This story also caught the attention of Comedy Central Network’s “Daily Show”, hosted by Jon Stewart. In this segment which aired on May 12, correspondent Asif Mandvi visits the town of Asbestos and interviews mine and city officials who ridiculously adhere to the position that the chrysotile fiber removed from the mine is “relatively” safe despite the weight of scientific evidence to the contrary.

Mandvi manages to maintain his comedic shtick during an interview with mine owner Bernard Coulumbe up to the point where Mr. Coulumbe states that it’s ok to sell asbestos to India because “they are used to pollution.” At which point Mandvi, who is Indian, breaks character and exclaims: “that’s really f***ed up…selling them things that are going to kill them…that’s my family over there!”

Marilyn Bertrand

 The callous statements from the Canadian mine and city officials interviewed by Mandvi remind us of a 1998 exchange between Roger Worthington and University of Quebec Occupational Hygienist, Dr. Bruce Case. The exchange was precipitated by an article “The Serpent in the Rock”  authored by Mr. Worthington about a woman named Marilyn Bertrand who was diagnosed with mesothelioma at the age of 42. Marilyn recalled sleeping with a “furry” asbestos rock that she would snuggle with in her bed at night as a child. The asbestos rock was given to her by her brother who worked at a Quebec asbestos mine.

In response to the article, Dr. Chase felt compelled to send Mr. Worthington a letter defending the Quebec asbestos mines from what he termed “false allegations” concerning the link between mesothelioma and the chrysotile fiber mined from the Quebec asbestos mines. Dr. Chase went so far as to warn Mr. Worthington: “I strongly suggest, for your own protection, that you remove this page from your site.” Click here to see the full dialogue, which includes Mr. Worthington’s recounting of the history of U.S. and Canadian asbestos companies’ efforts to cover up and suppress medical data on the health dangers of asbestos. 

We applaud Assif Mandvi and the Daily Show for bringing public attention to the latest chapter in the Canadian asbestos industry’s deadly charade.

Asbestos Bankruptcy Trust Update for October 22, 2010

Leslie Controls on the Fast Track to having its “Pre-Packaged” Bankruptcy Plan Approved­Could Begin Paying Claims by Early 2011

Leslie Controls, Inc., a wholly-owned subsidiary of CICOR International, Inc., filed for Chapter 11 bankruptcy protection in July 2010 citing overwhelming liabilities for current and future asbestos injury claims.

Since the early 1900’s, Leslie was a major manufacturer of industrial water heaters and steam control systems. Leslie was a large supplier of valves and other steam equipment to the United States Navy during World War I and World War II. Leslie’s products, which were often equipped with asbestos gaskets, insulation and packing, were responsible for exposing thousands of Americans to harmful asbestos fibers.

Upon filing for Chapter 11, Leslie received temporary immunity from all pending and future lawsuits brought by asbestos illness victims. Leslie will be entitled to permanent immunity upon certification of its bankruptcy plan by the bankruptcy court and approval by a Federal District Court. The one consolation to asbestos injury victims is the requirement that Leslie’s bankruptcy plan provide for the funding of a trust and a system for compensating claimants based on factors including the severity of their illness.

Leslie made substantial progress toward its emergence from bankruptcy when it obtained the asbestos claimant votes necessary for approval of its bankruptcy plan earlier this month. For the plan to be affirmed by the courts, bankruptcy law requires approval by at least 75 percent of current asbestos claimants. The vote on Leslie’s plan was completed on September 27, 2010, and on October 8, 2010 the balloting agent reported to the U.S. Bankruptcy Court that more than 75 percent of claimants had voted in favor of the plan.

Based on the progress to date, CIRCOR is targeting the plan’s affirmation by the courts and Leslie’s emergence from bankruptcy for the fourth quarter of 2010. Accordingly, it is conceivable that Leslie’s bankruptcy trust could begin processing claims by early 2011.

If the trust begins paying injury claims within a year of Leslie’s filing for bankruptcy, this would rank as one of the faster completions of this process among all asbestos bankruptcy trusts. By comparison, of the nine other companies which currently have proposed bankruptcy trusts pending approval, one has been in bankruptcy for over ten years, two over nine years, and another two over six years.

Leslie’s progress can be attributed to its use of a “Pre-packaged” bankruptcy plan. As compared to other bankruptcies, where the company files and thereafter begins negotiating a plan of reorganization with creditors, a pre-packaged approach involves negotiating a plan before the company files bankruptcy. Under a pre-packaged approach, the company is able to negotiate with creditors under less formal conditions, often behind closed doors, and deliver a plan of reorganization satisfying applicable rules at the same time the company files bankruptcy.

Check back often to Mesothelioma Bytes for breaking news about the Leslie Trust and other active and pending asbestos bankruptcy trusts.

Also, for information on how asbestos bankruptcy trusts came to exist, how trust claims are processed and the current status and future outlook of these trusts, see our comprehensive guide to asbestos bankruptcy trusts entitled: “Asbestos Bankruptcy Trusts: The Good, The Bad And The Ugly.”

Beware of “Madison Avenue” Meso Lawyers

Nowhere to Hide

It’s late at night, you’re dozing off with the TV on, the screen goes dark and is soon filled with words in white lettering, as an all too serious narrator begins reading: “If you or a loved one was diagnosed with mesothelioma, call the number on your screen now…”

Now it’s morning, you’re settling in with a cup of coffee, your eyes are on the newspaper but you’re listening to CNN when, once again, the all too familiar voice beckons: “If you or a loved one was diagnosed with mesothelioma, call the number on your screen now…”

Now you’re up and dressed. Before leaving the house, you flip over to the Weather Channel for a quick check of the forecast, but before you can get your “Local Weather on the 8’s”, you’re forced to once again endure the barely human voice: “If you or a loved one was diagnosed with mesothelioma, call the number on your screen now…”

You’re at an intersection waiting for the “Walk” signal when your view is eclipsed by a large bus pulling over at a nearby bus-stop. On the back of the bus is a large rectangular sign with the image of a man with a weathered face and stoic expression, wearing a hard-hat, next to which you see the text: “If you or a loved one was diagnosed with mesothelioma, call 1-800…”
These days there’s no escaping “Madison Avenue” meso lawyers and their seemingly limitless advertising budgets.

“Scorched Earth” Campaign for Meso Victims

So who are these “Madison Avenue” meso lawyers who are saturating our airwaves, billboards and bus placards with their distasteful attempts to reach the one out of every 103,000 Americans who will be diagnosed with mesothelioma this year?

Typically, they are national firms which, curiously enough, don’t even specialize in the handling of mesothelioma cases. Instead, many of these firms handle a wide array of cases including pharmaceutical cases, tobacco cases, securities fraud cases, Chinese drywall cases, mold cases, medical malpractice cases and various forms of class action cases. Many of the firms have only recently jumped on the “mesothelioma bandwagon,” adding these cases to their diverse practices.

Talk the Talk and Walk the Walk

Any law firm with a large marketing budget can hire an advertising firm to produce a slick (usually not-so-slick) TV commercial and run demographic studies on the times and channels to run the commercials where they will have the best chance of reaching their “market.” But does possessing the so-called savvy to market legal services the same way others market “male enhancement” products qualify a law firm to represent a family struggling with mesothelioma?

In order to effectively represent a family afflicted with mesothelioma, a law firm must have the knowledge and experience necessary to quickly educate the family about the full extent of their medical options and assist them in getting prompt attention from the physicians who have developed an expertise in the treatments they are interested in (See our article “Should Lawyers Advise Their Clients on Treatment Options” Published in Asbestos Magazine).

Because of a mesothelioma patient’s limited life expectancy, efforts must be made to bring the case to trial as soon as the court will allow. These efforts, not surprisingly, are met with great resistance from defense attorneys whose billable rates incentivize them to make the case drag on as long as possible so that the mesothelioma patient never sees his or her day in court. Again, meeting and overcoming these unique challenges requires attorneys who are experienced and have a proven track record in handling mesothelioma cases.

Are “Madison Avenue” meso lawyers up to these challenges?

Can a family struggling with mesothelioma afford to risk that they’re not?

Click here for the full article.

California City Ignores Dangers of Asbestos, Approves Mountain Biking Facility on Asbestos-Rich Soil

Last month, the San Luis Obispo, California City Council approved a donor agreement with a mountain biking group to develop a recreation facility in a city-owned area with soil type rich with asbestos.

The group, Central Coast Concerned Mountain Bikers, hopes to build a bicycle skills course in the Stenner Springs Natural Reserve, a 363-acre area four miles north of San Luis Obispo. Much of the landscape of Stenner Springs is made up of serpentine soil, a type of material which state and federal governments have designated as a source of naturally occurring asbestos. Asbestos is known to cause lung cancer and mesothelioma, a cancer of the linings of the lungs that is nearly always fatal.

Though serpentine soil is relatively common in California, scientists and government regulators have recently stepped up efforts to study the effects of naturally occurring asbestos in dust and warn people of the danger.

In a study released in 2009 by the University of California Department of Agriculture and Natural Resources, dust from serpentine soil is cited as a potential cause of cancer. The study says, “People may inhale or swallow dust containing asbestos fibers. These fibers can cause cancer and other diseases by remaining in the lungs or traveling to the lining of the lungs or the abdominal cavity.”

The California Air Resources Board identified asbestos as a toxic air contaminant with no safe threshold level in 1986.

“In general, people are not aware of the dangers of serpentine soil,” said Toby O’Geen, a soil scientist at the University of California, Davis. “I wouldn’t make a trail over it unless they import trail material. If they are laying down bicycle trails over crushed rock and soil and don’t put down a layer of topsoil, the risk may be much higher.” He added: “There’s no way to know how much of a problem you have unless you take samples.”

According to Neil Havlik, natural resources manager for the city of San Luis Obispo, the city hasn’t tested for asbestos at the site. Havlik said the state air resources board only requires asbestos testing when a grading project is larger than an acre. “My guess is there is asbestos there, but it’s far below the threshold,” Havlik said, adding that the construction of the bicycle skills park won’t require much below-ground work. “Asbestos is a concern in certain circumstances,” he explained. “Our expectation in this particular project is that the ground disturbance is very minor.”

However, according to the environmental impact study that’s part of the project report, one of the few potentially significant environmental impacts of the project is “substantial soil erosion or the loss of topsoil.” Due to a fire in the area in 1994, the mineral soil under the future location of the bicycle skills area has been exposed, Havlik said during the council meeting.

According to the 2009 asbestos study: “No one knows how many fibers are needed to cause lung cancer or other diseases. Heavy and frequent occupational exposures are more likely to cause the disease than are nonoccupational exposures; however, a lifetime of exposure to low levels is also recognized as a potential hazard. Environmental health scientists have suggested that children have a higher risk of exposure than adults in the same environment due to their faster breathing rates, time spent outdoors, and greater time for disease to develop.”

The 84-page report detailing the city’s plans for the Stenner Springs area mentions asbestos only twice: “Serpentine carries the risk of asbestos. Be sure to patrol erosion areas, as these areas are subject to asbestos.”

Both the study and the federal government’s Agency for Toxic Substances and Disease Registry advise people living or working near naturally occurring asbestos to “walk, run, hike, and bike only on paved trails and pave over unpaved walkways, driveways, or roadways that may have asbestos-containing rock or soil.” They also advise that recreational activity in serpentine soil in outdoor areas be restricted to “outdoor areas with a ground covering such as wood chips, mulch, sand, pea gravel, grass, asphalt, shredded rubber, or rubber mats.”