One of the most frustrating issues faced by mesothelioma and asbestos-related lung cancer victims seeking justice has been the inability to seek compensation from foreign asbestos companies. In the past, these companies have relied on a series of strategies to keep their assets out of reach of the American justice system, but a recent decision by the South Carolina Supreme Court promises a major change in how international claims are handled.
Decision in International Lung Cancer Case to Have Major Impact on Mesothelioma Victims
The South Carolina Supreme Court’s decision in the case of John A. Tibbs and his wife represents a significant shift for both the lung cancer victim and for countless mesothelioma and asbestos victims impacted by the actions of companies outside of the United States. The Tibbs had filed suit to hold Cape Intermediate Holdings Limited responsible for its sales of the raw asbestos that caused his lung cancer. They asked for a court-appointed receiver to pursue ESAB Corp. for asbestos liabilities through veil-piercing theories tied to the English company.
The original lawsuit named numerous defendants, including Cape Intermediate Holdings Limited (CIHL), alleging that exposure to asbestos provided by Cape Asbestos Company caused Mr. Tibbs’ lung cancer. The company is said to have sold more than 95% of the type of asbestos commonly used in industry and on U.S. Navy ships from the early 1950s through the late 1970s. The case involved significant confusion about which of several “Cape” entities should be held responsible, but the parties ultimately agreed that CIHL, as successor to Cape Asbestos Company, was the correct defendant in the case. The trial court had previously appointed a receiver for Cape in a related asbestos case, but was faced with the defendants’ motions to dismiss for lack of personal jurisdiction. This led to appeals and an eventual remand to ensure the receivership complied with established legal guidelines.
Court’s Decision Allows Lung Cancer Victim to Pursue Justice from International Asbestos Company
In its ruling in the asbestos lung cancer case, the Supreme Court of South Carolina affirmed that the trial court did have jurisdiction in the case, and that appointment of a pre-judgment receiver was justified specifically because CIHL’s conduct was intended to defeat or hinder mesothelioma and asbestos claimants rather than on the purported basis of insolvency. The Court modified the order to limit the receiver’s authority to collect insurance assets and pursue related claims responsive to the Tibbs plaintiffs, while clarifying that foreign court decisions did not control personal jurisdiction determinations in South Carolina.
The receiver will be pursuing claims alleging that ESAB and other entities are the alter ego of Cape, a company long tied to mesothelioma and asbestos litigation across the United States. According to a representative for the Tibbs family, “Cape Asbestos was responsible for almost all of the amphibole asbestos imported into the United States. … This opinion allows the court-appointed receiver to move forward in proving that case.”
Decision Represents Victory for Mesothelioma and Lung Cancer Victims of Foreign Asbestos Companies
Beyond the immediate case involving the Tibbs, the court’s ruling raises broader questions about mesothelioma and lung cancer litigation exposure for multinational corporations. The decision means mesothelioma and lung cancer victims pursuing claims tied to Cape Asbestos’s decades of asbestos sales now have a clearer legal path to hold ESAB Corp. accountable, despite having strategically buried assets and identification within complex corporate structures spanning multiple countries.
If you or someone you love has been diagnosed with mesothelioma or another asbestos-related cancer, the Patient Advocates at Mesothelioma.net are here to help. Contact us today at 1-800-692-8608 to learn more.
