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U.S. Opposes O-I Glass Future Asbestos Claims Representative

March 5, 2020, 10:51 PM

The Justice Department’s bankruptcy watchdog objected to Paddock Enterprises LLC’s selection of a representative of future, unknown asbestos injury victims, arguing the appointment comes too soon and the candidate isn’t sufficiently independent.

Future claims representatives are common in Chapter 11 cases involving asbestos, because it can take as long as 40 years for asbestos-related injuries to manifest. A special trust is usually created to pay future claims, unknown during the bankruptcy.

James L. Patton Jr.'s appointment by Paddock, a bankrupt unit of glass manufacturing giant O-I Glass Inc., is premature, the trustee said Wednesday in its filing in the U.S. ...

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