Personal Injury Law

Wisconsin Bill Could Limit Asbestos Lawsuits

By asbestoshub

There is a little-known provision sliding through the state budged in Wisconsin which some fear will stop recovery of damages for asbestos cancer.

The proposal, which has not had any public hearing, would limit plaintiffs? ability to sue companies that merged with smaller companies before 1972.

Supporters of the provision say it is narrowly written to wipe away liability for the Crown Cork and Seal Co. of Philadelphia, which has plants Wisconsin and which has paid out huge damages for buying a company that had previously made asbestos.

Opponents worry the bill could affect lawsuits against more companies than just Crown Cork.

In defense of the legislation, a Crown lobbyist insists the company has already passed similar legislation in 10 states but no company besides Crown has used the provisions to defend itself from lawsuits.

In 1963, Crown bought Mundet Cork Co., a company that had previously made asbestos, for $7 million, McIntosh said. Since then, the company has paid $500 million to asbestos victims.

The proposal is intended to protect companies such as Crown that merged with an asbestos maker by limiting their legal liability in asbestos cases to the present day value of the company that actually made the asbestos. In Crown?s case, the present day value of Mundet would be about $60 million, meaning that Crown would no longer be liable in Wisconsin for any damages under the proposal.

Is that fair?

Full post as published by Asbestos HUB on June 30, 2009 (boomark / email).