Asbestos Trust Funds
Nationwide, over 58 companies have put aside more than $30 billion in asbestos trusts to compensate injured workers and their families. These companies have acknowledged their disregard for worker safety and have been compelled during bankruptcy proceedings to create asbestos trust funds.
Chapter 11 bankruptcy allows struggling businesses to reorganize their finances and continue operating to maximize profits. For companies facing asbestos litigation, it is a way to stop legal proceedings and protect the company from future liabilities. U.S. Bankruptcy Code requires companies involved in asbestos litigation and seeking bankruptcy protection must establish asbestos bankruptcy trusts.
Similar to filing an asbestos lawsuit, claimants are required to provide evidence of asbestos exposure. In many cases, evidence points to negligence from several companies. At-fault companies that have filed for bankruptcy protection can be held responsible through trusts while other companies can be sued in court. It is not uncommon for one claimant to have claims on several companies.
Trust Fund Claim Process
- File a Claim – The claimant submits supporting documentation regarding the injury.
- Claim Review – Trustees review the claim for accuracy to determine if the claimant meets the medical requirements.
- Claim Liquidation – Claimants are offered a financial settlement amount that can be negotiated.
- Payment Disbursement – In some cases, large settlement amounts can be broken into payments.
Get Help Filing a Trust Fund Claim Now!
Highest Funded Asbestos Trusts
Asbestos trust funds were created by negligent companies that knowingly exposed their workers to asbestos. These funds were established to make sure that all victims of commercial asbestos use are compensated for their injuries. The highest funded asbestos trusts are as follows:
Have your questions answered by a patient advocate now.
- Dixon, Lloyd et al. Asbestos Bankruptcy Trusts and Tort Compensation. Retrieved From http://www.rand.org/pubs/monographs/MG1104.html
- FundingUniverse. Johns Manville Corporation History. Retrieved From http://www.fundinguniverse.com/company-histories/johns-manville-corporation-history/
- U.S. Government Accountability Office. “Asbestos Injury Compensation: The Role and Administration of Asbestos Trusts.” Retrieved from http://www.gao.gov/products/GAO-11-819
- Environmental Working Group. “When Bankruptcy Means ‘Business as Usual.’ Retrieved from http://www.ewg.org/asbestos/facts/fact2.php