Category Archives: Bankruptcy

Rhode Island Court Allows Discovery of Bankruptcy Trust Filings

In Sweredoski v. Alfa Laval Inc. (No. 2011-1544, R.I. Super., Providence Plantation), a Rhode Island Superior Court reversed its prior holding and found that plaintiff’s bankruptcy trust filings were discoverable, albeit for a limited purpose.  In November 2013, Judge Alice B. Gibney denied defendant Crane Co.’s motion to compel the filings but ordered an in camera review of the filings to determine whether they may lead to discoverable evidence. Crane moved for reconsideration. Upon reconsideration, plaintiff argued that the bankruptcy filings were not discoverable…

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Judge Sets Garlock’s Future Liabilities at $125 Million; Garlock Sues Plaintiffs’ Firms for Fraud

Garlock Sealing Technologies has been awaiting a U.S. Bankruptcy Court’s determination as to how much money will they will need to place in trust for future asbestos claimants since its bankruptcy trial concluded in August 2013. As previously reported by Risky Business, Garlock filed for Chapter 11 bankruptcy protection in 2010, seeking the formation of an asbestos trust to assume all future liability related to its manufacture of asbestos-containing gaskets. Garlock proposed putting $125 million into that trust; a number of asbestos plaintiffs’ firms,…

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Garlock’s Bankruptcy Trial Closes – Only Decision on Value of Future Liability Remains

In 2010, Garlock Sealing Technologies filed for Chapter 11 bankruptcy protection seeking the formation of an asbestos trust to assume any future liability related to its manufacture of asbestos-containing gaskets. The case, filed in the U.S. Bankruptcy Court for the Western District of North Carolina, finally went to trial in July and wrapped up after three weeks of testimony. Now, one key decision rests in the hands of Judge George Hodges – how much money will Garlock need to place in trust for future…

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