Asbestos Trusts History
Asbestos trusts have over $30 Billion in compensation for victims of mesothelioma.
Asbestos Trusts History
Asbestos trust funds began during the 1970s, after many asbestos related illness cases started to surface across the USA. Officials needed a way to keep these companies in business while paying out many claims, as a result the concept of trust funds for asbestos related illness was created. Asbestos trusts ensure that all qualified victims of asbestos related injuries are compensated without going to trial and taking up the court’s time with an excessive amount of asbestos related lawsuits. In 1971 the John-Manville Corporation was sued for product liability by a man from Louisiana who developed cancer from one of the company’s asbestos products. He won, shortly after the USA was flooded with asbestos related lawsuits. Asbestos was still not officially banned in the USA and Canada until 1982. Some companies stopped using asbestos products in the 1970’s due to their knowledge of the harm it caused. Many of the companies and manufacturers of asbestos products that were being sued began to file for bankruptcy under Chapter 11, as a condition of this type of bankruptcy a requirement for trust funds that would compensate victims of asbestos illnesses. In the 1980s John-Manville set up the first trust, followed by several other companies.
Today, there are over $30 Billion in trust funds set up for those who have been diagnosed with an asbestos related illness.
Each trust will pay an injured party a sum. Victims of asbestos can apply to each trust that they have used their asbestos products. There are over 30 trusts, some pay Canadians and some do not, depending on where their products were sold, and the time period.
Filing a trust claim takes less time than a lawsuit, there is no trial. With an application to an asbestos trust you will need to show your proof of medical condition, usually in the form of a pathology report from your hospital, and evidence of when, where and how you were exposed to asbestos. You can only file claims against companies that exposed you to asbestos or the manufacturer of a product that exposed you to asbestos. There may be several companies involved in providing asbestos to your workplace, each company is responsible for the damages. We have experienced claim advisors that can pin down all of the companies and manufacturers that provided asbestos to your workplace.
Many trusts work under a percentage value, so claimants will get a certain percentage of the total compensation, not the full amount. The full amount is saved for later for all other asbestos victims. There is no way to tell how many people have an asbestos related illness, so money has to be saved for future victims that have asbestos related illnesses. When the trust fund has extinguished years from now, when every single claim has been paid, the leftover sums will be paid to the injured parties. Unfortunately most companies do not have enough funds to pay the full amount, and as a result the percentage values are offered. If companies paid the full amount of the claim, funds may not be available for future cases.