Thursday, August 12th, 2010
This week bankruptcy Judge Robert Gerber granted permission to creditors to request documents from General Motors (GM) in an effort to estimate the cost of asbestos claims against the company.
The effects of asbestos exposure are still being felt today as many former industrial, construction and shipyard workers are becoming diagnosed with mesothelioma and other asbestos-related conditions. Mesothelioma is an aggressive cancer almost exclusively caused by asbestos exposure. Unfortunately, the average mesothelioma life expectancy is four to 18 months once a patient is diagnosed.
Motors Liquidation Co. is the company left to settle liability claims from GM’s Chapter 11 bankruptcy and reorganization. This company plans to create a trust with funds set aside for future tort claims, allowing it to exit bankruptcy. The estate estimated their asbestos liability amounted to $648 million, but a committee of creditors estimated the company may encounter claims five to 10 times more than the calculated $648 million.
GM has long faced mesothelioma and other asbestos-related claims due to their previous use of asbestos fibers in some of their products, such as brake linings. Those who worked with asbestos-contaminated products in GM factories (in addition to auto mechanics who replaced these contaminated brakes) experienced exposure that placed them at an increased risk of developing asbestos-related diseases such as mesothelioma, asbestosis and lung cancer.
The creditors stated they needed more information from GM regarding their claimants (such as their age, diagnosis and work history) to achieve a more accurate estimate of the liability costs associated with mesothelioma cancer.
Currently there is no cure for malignant mesothelioma. The cancer is highly resistant to modern treatments, although a combination of therapies can improve life expectancy for those patients diagnosed early enough to qualify for aggressive treatment. Research is ongoing across the globe and a limited number of mesothelioma survivors show that progress is being made in the treatment of mesothelioma.
Additional information on mesothelioma may be found through the Mesothelioma Center.
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