Victims and family members of those diagnosed with mesothelioma and ovarian cancer who blame their illnesses on asbestos-contaminated talc suffered a setback last week, when a federal bankruptcy judge in New Jersey approved a $535 million settlement involving former talc supplier Whittaker, Clark & Daniels. Overruling objections from those who argued the deal falls short of what victims are owed, Chief Judge Michael B. Kaplan decided the settlement is fair and reasonable.
Mesothelioma Claims Behind the Whittaker Bankruptcy
After roughly 2,700 people alleged the company’s talc was to blame for their mesothelioma and other illnesses, talc supplier Whittaker, Clark, and Daniels filed for Chapter 11 bankruptcy protection. The company had processed and distributed talc and other industrial minerals for decades, but in 2004, it sold its operating assets to chemical distributor Brenntag. In 2007, an insurance subsidiary of Berkshire Hathaway acquired the company.
The mesothelioma victims argued that they held the right to sue Brenntag as Whittaker’s corporate successor, but the U.S. Court of Appeals for the Third Circuit disagreed, ruling that those successor liability claims belong to the bankruptcy estate. That meant that only Whittaker could either pursue or settle the claims. That decision made the new settlement possible. It releases claims against Brenntag, other entities tied to Berkshire Hathaway, and DB US, a unit of German railway company Deutsche Bahn. Some had estimated those potential claims to be worth billions of dollars.
Mesothelioma Advocates Plan an Appeal
Along with the official talc claimants committee and a legal representative for future victims, mesothelioma patients and their survivors asked Judge Kaplan for permission to pursue claims against Brenntag and its affiliates in hopes of this larger recovery, but he denied the request. The group plans an appeal.
Mesothelioma can take 20 to 50 years to develop after asbestos exposure, so many people who encountered Whittaker’s talc may not yet know they are sick. That long latency makes the scope of any compensation fund critical, since the money needs to provide compensation for victims who have not yet been diagnosed.
If you or someone you love has been diagnosed with mesothelioma, it is important for you to know all of your rights. Contact the Patient Advocates at Mesothelioma.net today at 1-800-692-8608 to lear more.
