Asbestos Trust Funds: What Are They and How Do They Work?

Asbestos exposure is always dangerous. Breathing in just a small number of fibers can lead to scarring in your lungs. ⁽¹⁾

For some people, asbestos exposure leads to disability and death. You may be diagnosed with asbestosis or lung cancer. One of the worst diseases is mesothelioma, a highly aggressive cancer. ⁽²⁾ The overall median survival rate for mesothelioma is generally poor. ⁽³⁾

Treating these life threatening illnesses is a long and grueling process for everyone in the family. Diagnosis and treatment take a toll emotionally. Just getting a diagnosis may involve biopsies, X-rays, CT scans, MRIs, and PET scans. Treatment itself may involve multiple surgeries, chemotherapy, radiation, and immunotherapy. ⁽⁴⁾

Your life is disrupted, and the entire process is incredibly expensive. Worst of all, you can never undo the damage. Your family will lose a loved one, and you may likely face debt and an uncertain future.

Now is the time to seek an attorney with experience in asbestos exposure litigation. You and your family may be eligible for compensation through an asbestos trust fund.

In this blog, we provide information about asbestos trust funds. We also explain why hiring an experienced lawyer is a good idea to help you navigate getting the compensation you deserve.

What Are Asbestos Trust Funds?

When companies file for bankruptcy, they can set up an asbestos trust fund. The companies put money into the trust to pay asbestos exposure claims, so you don’t have to go to court against them.

If you have been diagnosed with mesothelioma or another asbestos exposure disease, contact an attorney. Attorneys know how asbestos trust funds operate. They can help you get compensation for your exposure.

These funds can help you pay for a variety of expenses, including funeral costs and lost wages. However, asbestos trust funds are not bottomless. You must file a claim as soon as possible to get the most money available.

Major Asbestos Trust Funds

Asbestos trust funds have not been around forever. The first company to establish an asbestos trust fund was Johns-Manville Corporation in the 1980s. At the time, Johns-Manville was the largest manufacturer of asbestos containing products. ⁽⁵⁾

Since then, many companies that exposed people to asbestos have filed for bankruptcy. If you do a Google search for a “list of asbestos trust funds” or “companies that have created asbestos trust funds,” these are some of the many companies that pop up:

• Armstrong World Industries.
• Celotex.
• Owens Corning.
• Babcock & Wilcox.
• Combustion Engineering.
• USG Corporation.
• Eagle-Picher.
• ASARCO.
• General Electric.

Law firms that handle asbestos litigation, such as Weitz & Luxenberg, are kept in the know. We have access to information the general public doesn’t have access to.

Weitz & Luxenberg Co-Founder Serves on Asbestos Bankruptcy Trusts

One of our co-founders, Perry Weitz has helped negotiate the creation of several asbestos bankruptcy trusts for victims of asbestos exposure. Currently, he serves on numerous trust advisory committees that oversee the process by which asbestos defendants, emerging from bankruptcy, set aside funds that are available to our clients and others. These trusts are worth billions of dollars.

The asbestos bankruptcy trusts Mr. Weitz was involved with resulted in more than $25 billion in settlement money from companies such as these:

• Halliburton.
• W.R. Grace.
• Kaiser Aluminum.
• Harbison Walker.
• Armstrong World Industries.
• Pittsburgh Corning.
• Babcock & Wilcox.
• Owens Corning.
• Pfizer.
• Burns & Roe.
• AC&S.
• U.S. Gypsum.
• U.S. Mineral.
• North American Refractories.
• A.P. Green.
• Honeywell.
• Kentile Floors.

Who Qualifies for Asbestos Trust Funds?

If you have been diagnosed with an asbestos-related illness, you may be eligible to receive compensation through an asbestos trust. Companies that manufactured products containing asbestos created bankruptcy trusts to handle the many personal injury lawsuits being filed against them.

However, each asbestos trust has different eligibility requirements. To receive financial compensation, you must meet those specific requirements.

Also, each trust has its own timeline and way of responding to claims for compensation. That’s where a knowledgeable mesothelioma attorney makes a huge difference.

Lawyers Can Help Determine Qualification for Asbestos Bankruptcy Trusts

Your attorney looks at your specific asbestos exposure and asbestos-related illness. This helps determine the trust funds you should apply to. You might be able to receive compensation from multiple asbestos trusts.

Your attorney can assist in helping you gather together relevant medical and work history records to confirm when and where you were exposed to asbestos. Skilled asbestos lawyers also do their best to help you receive the maximum financial compensation possible.

Asbestos trusts have complicated rules that an experienced attorney can navigate. In cases where a loved one with an asbestos-related illness has died, family members may be able to file on behalf of that person.

How to File a Claim with an Asbestos Trust Fund

Filing a claim can be complicated and full of red tape. Your first step in filing a claim with an asbestos trust is hiring an experienced asbestos attorney.

Your attorney helps you identify the businesses and products that exposed you to asbestos. It is also important that your lawyer gets to know you and assists you in your recalling details about your asbestos exposure.

Your attorneys determine where to submit your claim. They know how each asbestos trust operates. You may submit claims to more than one asbestos trust. Your attorneys handle any paperwork, which can be excessive, and communicate with the trust on your behalf. It’s what they are trained to do. They keep you informed and let you know how the process is going.

Unique Factors to Consider in Filing Asbestos Trust Fund Claims

Asbestos trust funds can be a faster way to receive compensation and resolve your legal claim. Asbestos claims with bankruptcy trusts might settle in just a few months, but litigated court cases could easily take years.

And, like the court system and just about every legal document out there, bankruptcy trusts can be incredibly tricky and cumbersome. Even basic information — such as where you live, where your asbestos exposure occurred, and where the asbestos trust was created — can all make a difference in how much money you qualify for.

There are several factors at play. Administrative costs can eat up a lot of the money available. Payments and payouts can be slow and unpredictable. ⁽⁶⁾

The amount of compensation from a bankruptcy trust can vary from trust to trust and person to person. Particularly with asbestos litigation, some trusts may be honorable and above board, while others may follow questionable business practices. ⁽⁷⁾

Payout structures and transparency can also be different from one trust to the next. In addition, funds can start to run low if a lot of people file claims through any individual asbestos trust. ⁽⁸⁾

Why You Should Consult with an Asbestos Attorney

If you or a loved one was diagnosed with an asbestos-related illness, you are already facing overwhelming challenges. Hiring an experienced asbestos litigation attorney can take a huge weight off your shoulders.

First and foremost, knowledgeable lawyers can help you and your family consider your legal options. They can explain your state’s laws and regulations.

One of those is your state’s statute of limitations. This rule of law tells you how long you have to file a claim for compensation. Your attorney can help you consider whether filing a lawsuit or a claim with an asbestos trust — or both — would be in your best interests.

You also want a law firm with a national presence. Firms with a national presence can file claims in multiple jurisdictions. This strategy increases your chances of receiving greater financial compensation.

Military Vets Can Benefit from Asbestos Trust Fund

If you were in the military, you probably were exposed to asbestos in more than one place. A law firm with a national presence can represent you in all of the states where you served. Also, your attorney can track down the multiple defendants who are responsible for your asbestos exposure.

Experienced lawyers help you gather together your medical and work history. They calculate damages — not only for your past expenses, but for your future expenses as well. Knowledgeable lawyers can help veterans obtain your VA benefits for your health care expenses and your financial needs.

Your Lawyers Help with Everything

Your asbestos attorneys are with you every step of the way. They assist you in gathering important documents and evidence, filing your legal documents, and preparing for your deposition.

Your attorneys are your advocates. They help you navigate your claim through the asbestos trust fund process. They make sure you receive the compensation you deserve. And they make sure the money gets into your bank account.

Taking the First Step Toward Justice with Weitz & Luxenberg

Asbestos is a well-known carcinogen. Some companies care more about their profits than safeguarding their employees or the public at large from asbestos.

When you are diagnosed with an asbestos-related disease, you need to file a lawsuit against the companies responsible. However, sometimes bankruptcy is a company’s only option to resolve claims. The company sets money aside in an asbestos trust fund.

If you or a loved one was diagnosed with an asbestos-related illness, we encourage you to contact the qualified asbestos lawyers at Weitz & Luxenberg for information.

Call us at (917) LAWYERS for an initial consultation. There is no charge for our services unless we recover financial compensation for you.

We can discuss your specific case. Depending on your circumstances, filing a claim with an asbestos trust fund could be one of your best legal options.