Mary Diana Moe, a resident of Libby, Montana, died of mesothelioma in December 2022. In response to a wrongful death claim filed by her estate, BNSF Railway argued that it was shielded from liability by federal law, but a Montana federal court has denied the company’s motion, allowing the case to proceed toward trial.
Mesothelioma Death Tied to Asbestos Contamination from BNSF Railyard
Like hundreds of other residents of Libby, Mary Diana Moe suffered significant exposure to asbestos. W.R. Grace operated vermiculite mines near Libby from 1963 until 1990, and BNSF operated a downtown Libby railyard that shipped the asbestos-contaminated vermiculite ore. This combination created significant asbestos contamination throughout the community over decades of mining and transport operations.
In 2024, a jury found BNSF strictly liable for the mesothelioma deaths of two other Libby residents and awarded $4 million in compensatory damages to each family. The Ninth Circuit reversed that verdict in February 2026, saying that the common carrier exception protected BNSF from strict liability claims related to its transportation of vermiculite. BNSF then filed motions for judgment on the pleadings in the Moe case and hundreds of other related Libby asbestos claims.
Ninth Circuit Ruling Offers Narrow Hope for Mesothelioma Claimants
Despite BNSF’s reliance on the Ninth Circuit ruling, U.S. District Judge Brian Morris denied the company’s motion, finding that the Ninth Circuit had not closed the door entirely on mesothelioma strict liability claims against BNSF. The court determined that claims regarding BNSF generating, handling, storing, and failing to control asbestos as part of its own business activities—rather than purely as a common carrier transporting vermiculite for W.R. Grace—present claims potentially outside the common carrier exception’s protection.
The court also noted that the Ninth Circuit left open a narrow window for mesothelioma plaintiffs to present evidence that BNSF profited or intentionally saved money by failing to clean its railyard, distinguishing that potential showing from the evidence presented in the previous claim. The court rejected all of BNSF’s federal preemption arguments. For Libby, Montana, victims and families whose lives were devastated by asbestos contamination from BNSF’s railyard operations, the ruling means their cases can continue advancing toward the justice they deserve.
If you or someone you love has been diagnosed with mesothelioma, the Patient Advocates at Mesothelioma.net are here to help. Contact us today at 1-800-692-8608 to learn about invaluable resources available to you.
