Transparency Sought in Management of Asbestos Bankruptcy Trusts

9/11/2013

As plaintiffs continue to receive a larger portion of their compensation for asbestos-related injuries from bankruptcy trusts, the debate over transparency in the management of those trusts grows louder. Professor S. Todd Brown of SUNY Buffalo Law School has authored "Bankruptcy Trusts, Transparency and the Future of Asbestos Litigation," a thoughtful analysis of the arguments on both sides of the aisle pertaining to how much information should be made available by bankruptcy trusts regarding claimants' alleged work histories and medical diagnoses. The article provides a useful historical context and discusses the latest events in the Garlock Sealing Technologies bankruptcy filing, new legislation in a few jurisdictions that require state court plaintiffs to disclose bankruptcy trust applications, and the proposed federal Furthering Asbestos Claim Transparency (FACT) Act. Professor Brown previously testified before the House Judiciary Committee's Subcommittee on Courts, Commercial and Administrative Law in May 2012 regarding FACT. The article is soon to be published in the Widener Law Journal, but for now can also be found at http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2307661. At Governo Law Firm we continue to monitor the development of how courts across the county are addressing the growing call for greater and timely production of plaintiffs' bankruptcy trust applications. Please contact David Governo at dgoverno@governo.com or Chuck Sheehan at csheehan@governo.com or call (617) 737-9045 if you have any questions or would like additional information regarding specific jurisdictions.


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