Barretts Minerals is one of many companies whose talc has been blamed for causing mesothelioma, ovarian cancer, and other asbestos-related diseases. Three years ago, the company filed for Chapter 11 bankruptcy protection from personal injury claims filed against it, and now, mesothelioma claimants say the money needed to compensate them has run out.
Mesothelioma Victims Say Talc Company is “Administratively Insolvent”
A committee representing victims with claims against Barretts says the mesothelioma-related bankruptcy process has already cost the company $100 million in professional fees, and that the company’s cumulative net loss is more than $155 million so far. They’ve filed a motion with the court saying that Barretts is administratively insolvent and will not be able to cover the estimated $87 million needed to address the talc liability questions. Over the summer, Barretts’ parent company, Minerals Technology, Inc., told both the district court and the bankruptcy court that it would cover Chapter 11 costs, but with the company failing to file for approval for a new loan, the committee is asserting that the enormous losses meet the Bankruptcy Code’s standard for dismissing a case for cause.
What’s holding everything up is the question of whether the company’s talc contained enough asbestos to have raised a risk of mesothelioma. In May 2025, U.S. Bankruptcy Judge Marvin Isgur decided to slow the case down by referring science-based questions to the district court. In addition to asking about the volume of asbestos, his questions went to the type of asbestos the talc contained. The bankruptcy process is on pause until an answer is received from U.S. District Judge George Hanks Jr., and victims’ compensation is likely to be based on his ruling.
Talc Company Proposes Settlement for Mesothelioma Victims
There are nearly 900 mesothelioma lawsuits filed against Barretts, which began mining talc in Dillon, Montana, in 1943. The company has denied that its talc contained asbestos and purchased real estate in Texas before filing for bankruptcy using a strategy known as a Texas Two-Step that takes advantage of the state’s highly protective bankruptcy laws. Its parent company has proposed a plan that would establish a $450 million settlement fund for victims. It would waive $100 million of its own claims and establish an injunction that channels asbestos claims away from the company. It would also release any estate claims Barretts might have against its parent.
The mesothelioma victims’ committee originally filed to have the bankruptcy filing dismissed in 2024, arguing that the filing was submitted in bad faith. It has now submitted that argument again, asserting that the debtors and MTI have left the estates in ruins and that the law requires a remedy. For mesothelioma victims and their families, a dismissal would end the bankruptcy’s freeze on hundreds of pending lawsuits against the company.
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 more.
