Bloomberg Law
Free Newsletter Sign Up
Bloomberg Law
Welcome
Go
Free Newsletter Sign Up

Bestwall Bankruptcy Needs Urgent Review, Asbestos Victims Say

Aug. 30, 2019, 9:11 PM

A committee representing asbestos exposure victims said a federal appeals court should decide whether a Georgia-Pacific LLC affiliate is misusing bankruptcy laws to avoid litigating thousands of personal injury claims.

The official committee of asbestos claimants in the Chapter 11 case for Bestwall LLC said a North Carolina bankruptcy judge wrongfully refused to dismiss the company’s case from her court earlier this year. That refusal threatens the nation’s bankruptcy system and gives paper-product manufacturer Georgia-Pacific improper legal cover from asbestos liabilities it channeled into Bestwall, the committee said in an Aug. 29 court filing.

“The debtor is nothing more ...