/raid1/www/Hosts/bankrupt/CAR_Public/091211.mbx
C L A S S A C T I O N R E P O R T E R
Friday, December 11, 2009, Vol. 11, No. 245
Headlines
AIR TRANSPORT: ABX's Motion to Dismiss Complaint Still Pending
AMBY BABY: Recalls 24,000 Amby Baby Motion Beds
ATLAS MINING: Settlement of Securities Suit Pending in Idaho
BAYER HEALTHCARE: First MRI-Related Drug Test Trial in Jan. 2010
BORDERS GROUP: Continues to Face Ex-Employee's Suit in Calif.
BORDERS GROUP: Rudd Has Until Dec. 15 to File Amended Complaint
CALPINE CORP: Fairness Hearing on Jan. 8; Claims Due by Feb. 2
CANDAIAN RECORDING: Music Giants Sued for Copyright Infringement
CAREER EDUCATION: Sanford-Brown Case Management Hearing Dec. 15
CHILDREN'S PLACE: Settlement in "Fong" Suit Gets Preliminary Nod
CHILDREN'S PLACE: Settlement in "Ruggiero" Suit Pending in Ohio
CUTERA INC: Agrees to Pay $950,000 to Resolve Junk Fax Litigation
DELL INC: To Pay $40 Million to Settle Texas Securities Suit
DIAMOND FOODS: Appeal to Nixed Claims in Calif. Lawsuit Pending
EVENFLO CO: Recalls 79,000 ExerSaucer(R) Activity Centers
FIRST DATA: January Hearing Set on Plea to Dismiss Amended Suit
FRANKLIN ELECTRONIC: Files Motion to Dismiss Amended Complaint
GOODMAN CO: Renewed Recall of 30,000 Heat Pump Units
HEARTLAND: N.J. Securities Litigation Dismissed with Prejudice
KINDER MORGAN: "Heimann" Suit Settlement Gets Final Approval
KINDER MORGAN: Parties in Two Consolidated Suits in Discovery
LIMITED BRANDS: IBEW Local 697 Pension Fund Files Suit in Ohio
MARSH & MCLENNAN: Notice of Proposed ERISA Litigation Settlement
MDL 1791: Feds Challenged in Bid to Dismiss Wiretapping Suit
MICROSOFT CORP: Disgruntled Sidekick Users Sue in Cook County
NORTHWEST BANCORP: Notice of ATM Fee Class Action Settlement
NPC INTERNATIONAL: Continues to Defend Suit Over FLSA Violations
ORGANIC COMPLEXION: N.J. Suit Says "Buy One Get Two" is Deceptive
PEPSI BOTTLING: Preliminary Settlement of Investor Suits Approved
PREDICTOMOBILE: Sued, with NextWeb, for Bogus Billings
ROYAL BANK: Investors' Suit May Be Transferred from U.S. to U.K.
SIMON & SCHUSTER: Recalls 142,000 Monday the Bullfrog Plush Books
SOLVAY PHARMACEUTICAL: Calif. Court Approves Estratest Settlement
STAPLES INC: To Defend Overtime-Related Lawsuits
T-MOBILE USA: N.J. Judge Enjoins Request for Fees in Calif. Case
UNITED STATES: Inks $1.4 Bil. Indian Trust Accounts Settlement
UPS SUPPLY: Settles 660-Employee Overtime Suit for $12.8 Million
New Securities Fraud Cases
CANADIAN SUPERIOR: Coughlin Stoia Files Complaint in S.D.N.Y.
Asbestos Litigation
ASBESTOS ALERT: Cambria Contracting Fined for Safety Violations
ASBESTOS ALERT: Waxport Fined for Merthyr Tydfil Repair Breaches
ASBESTOS UPDATE: RMT & Homrich Settle Wis. Asbestos Violations
ASBESTOS UPDATE: Electrician Files Lawsuit v. HM Prison Service
ASBESTOS UPDATE: Hopkins's Trial to Continue Until February 2010
ASBESTOS UPDATE: Panolam Ind. Unit Subject to Exposure Lawsuits
ASBESTOS UPDATE: Kaanapali Land, DC Still Facing Exposure Cases
ASBESTOS UPDATE: ArvinMeritor Records $61M Liability at Sept. 30
ASBESTOS UPDATE: Maremont Facing 26T Pending Claims at Sept. 30
ASBESTOS UPDATE: ArvinMeritor Records $16Mil Rockwell Liability
ASBESTOS UPDATE: James Hardie Cites $62.7M Adjustment in 2nd-Q.
ASBESTOS UPDATE: James Hardie Pays AUD28.8M for Claims at 2nd-Q.
ASBESTOS UPDATE: James Hardie Cites $100M Liability at Sept. 30
ASBESTOS UPDATE: Sears Holdings Corp. Subject to Exposure Cases
ASBESTOS UPDATE: Exposure Actions Ongoing v. Rockwell Automation
ASBESTOS UPDATE: Soprito Case v. Wilshire, Others Filed July 31
ASBESTOS UPDATE: Congoleum Records $44.79 Mil. Current Liability
ASBESTOS UPDATE: Colonial Party to 11 Hilco Actions at Sept. 30
ASBESTOS UPDATE: Universal Supply Faces Eight Claims at Sept. 30
ASBESTOS UPDATE: One Injury Action v. RAL Supply Group Dismissed
ASBESTOS UPDATE: Argo Cites $130M Gross A&E Reserves at Sept. 30
ASBESTOS UPDATE: Colfax Faces 26,391 Unresolved Claims at Oct. 2
ASBESTOS UPDATE: Colfax Reserves $455.6Mil for Claims at Oct. 2
ASBESTOS UPDATE: G-I Holdings' Amended Plan Affirmed on Nov. 17
ASBESTOS UPDATE: Cabot Corporation Involved in AO Exposure Cases
ASBESTOS UPDATE: Pending Cases v. Met-Pro Surge to 97 at Oct. 31
ASBESTOS UPDATE: Target Corporation Subject to EPA NESHAP Probe
ASBESTOS UPDATE: 13 Cases Filed in Madison During Nov. 23 to 27
ASBESTOS UPDATE: Akron to Get US$1.9M for Landmark Bldg. Cleanup
ASBESTOS UPDATE: Cleanup at Potsdam's Civic Center Costs $50,000
ASBESTOS UPDATE: Hampshire Boilermaker's Death Linked to Hazard
ASBESTOS UPDATE: 29 Cases Filed in Madison During Nov. 16 to 20
ASBESTOS UPDATE: MoD Settles w/ Bath Dockyard Worker for GBP65T
ASBESTOS UPDATE: Lafayette High Closed on Dec. 5 Due to Asbestos
ASBESTOS UPDATE: U.K. Gov't. to Decide on Future Cancer Payouts
ASBESTOS UPDATE: J & C Pleads Guilty to False Inspection Reports
ASBESTOS UPDATE: Maitland City to Remove Asbestos From Town Hall
ASBESTOS UPDATE: Quebec's Health Officials Seek Ban on Asbestos
ASBESTOS UPDATE: Asbestos Found at Suncor Energy Plant in Canada
ASBESTOS UPDATE: Asbestos Uncovered in Davenport, Iowa Building
ASBESTOS UPDATE: Jakubek Convicted for Bribery on Cleanup at WTC
ASBESTOS UPDATE: CEGB Worker's Death Related to Hazard Exposure
ASBESTOS UPDATE: Southcote Engineer's Death Linked to Exposure
ASBESTOS UPDATE: J. C. Penney Has $43M A&E Liability at Oct. 31
ASBESTOS UPDATE: Foster Wheeler's Bid in Crowder Lawsuit Denied
ASBESTOS UPDATE: Appeal Court Reverses Judgment in Merrill Case
ASBESTOS UPDATE: Looney, Pauley Actions Filed on Nov. 6 in W.Va.
ASBESTOS UPDATE: DNR Calls for Suit on Mo. Fire District Breach
ASBESTOS UPDATE: A.M. Best Says 2008 A&E Losses Hit Lowest Level
ASBESTOS UPDATE: Congoleum's Disclosure Hearing Adjourned Dec. 7
ASBESTOS UPDATE: Grupo Mexico's Unit Completes Bid to Buy ASARCO
ASBESTOS UPDATE: Asbestos Uncovered in Clarence Valley's Gravel
ASBESTOS UPDATE: Traces of Asbestos in Carpet Underlay in Perth
ASBESTOS UPDATE: Former Brick Factory in Mexico, Mo., Has Hazard
ASBESTOS UPDATE: Youngstown School Abatement to Cost $1.25 Mil.
ASBESTOS UPDATE: Bethlehem Instructors Claim Exposure to Hazards
ASBESTOS UPDATE: Lisbon, N.Y., Schools Cleanup to Cost $297,864
ASBESTOS UPDATE: Asbestos Report to Cost Corpus Christi $5,000
ASBESTOS UPDATE: $9.2 Mil. More for Salinas Courthouse Repairs
ASBESTOS UPDATE: Dunn Building in W.Va. to be Closed for Cleanup
*********
AIR TRANSPORT: ABX's Motion to Dismiss Complaint Still Pending
--------------------------------------------------------------
ABX Air, Inc.'s motion to dismiss a complaint alleging violations
of the Racketeer Influenced and Corrupt Practices Act remains
pending in the U.S. District Court for the Southern District of
Ohio, according to Air Transport Services Group Inc.'s Nov. 12,
2009, Form 10-Q filing with the U.S. Securities and Exchange
Commission for the quarter ended Sept. 30, 2009.
ABX is a subsidiary of Air Transport.
On Dec. 31, 2008, a former ABX employee filed a complaint against
ABX, a total of four current and former executives and managers
of ABX, Garcia Labor Company of Ohio, and three former executives
of the Garcia Labor companies.
The case was filed as a putative class action against the
defendants, and asserts violations of the Racketeer Influenced
and Corrupt Practices Act.
The complaint, which seeks damages in an unspecified amount,
alleges that the defendants engaged in a scheme to hire illegal
immigrant workers to depress the wages paid to hourly wage
employees during the period from December 1999 to January 2005.
On Jan. 23, 2009, ABX and the four current and former executives
and managers of ABX filed an answer denying the allegations
contained in the complaint.
On July 24, 2009, ABX and the current and former executives of
ABX filed a motion to dismiss the complaint, which motion is
currently pending.
Air Transport Services Group Inc. -- http://www.atsginc.com/--
is a holding company whose principal subsidiaries include three
independently United States-certificated airlines and an aircraft
leasing company. The three airlines, ABX Air, Inc. (ABX), Capital
Cargo International Airlines, Inc. (CCIA), and Air Transport
International, LLC (ATI), primarily transport cargo within the
United States and include operations in Europe, Central America,
South America, and Asia. ATSG's leasing subsidiary, Cargo
Aircraft Management, Inc. (CAM), leases aircraft to ATSG's
airlines and to external customers. During the year ended
December 31, 2008, the Company operated three segments: DHL, ACMI
Services and CAM. The Company's other business operations include
aircraft maintenance and modification services, aircraft part
sales, equipment leasing and maintenance, mail handling for the
United States Postal Service (USPS), specialized services for
aircraft fuel management and freight logistics.
AMBY BABY: Recalls 24,000 Amby Baby Motion Beds
-----------------------------------------------
The U.S. Consumer Product Safety Commission, in cooperation with
Amby Baby USA, of Minneapolis, Minn., announced a voluntary
recall of about 24,000 Amby Baby Motion Beds. Consumers should
stop using recalled products immediately unless otherwise
instructed.
The side-to-side shifting or tilting of the hammock can cause the
infant to roll and become entrapped or wedged against the
hammock's fabric and/or mattress pad, resulting in a suffocation
hazard.
Amby Baby is aware of two infant suffocation deaths in the Amby
Baby hammock. In June 2009, a 4-month-old girl in Lawrenceville,
Ga died in a baby hammock and in August 2009, a 5-month-old boy
from Gresham, Ore.
The Amby Baby Motion Bed consists of a steel frame and a fabric
hammock which are connected by a large spring and metal crossbar.
There is only one model of the hammock available which can be
identified by a label sewn onto the hammock stating: "Amby -
Babies Love It, Naturally." Pictures of the recalled product are
available at:
http://www.cpsc.gov/cpscpub/prerel/prhtml10/10056.html
The recalled product was manufactured in China and sold at
Ambybaby.com and other Internet retailers from January 2003
through October 2009 for about $250.
Consumers should immediately stop using the Amby Baby motion
beds/hammocks and contact Amby Baby USA for a free repair kit.
Parents and caregivers are urged to find an alternative, safe
sleeping environment for their baby. For additional information,
contact Amby Baby USA toll-free at (866) 544-9721 between 9:00
a.m. and 5:00 p.m., Eastern time, Monday through Friday or visit
the firm's Web site at http://www.ambybaby.com/
ATLAS MINING: Settlement of Securities Suit Pending in Idaho
------------------------------------------------------------
The final approval of the proposed settlement of a class action
styled In Re Atlas Mining Company Securities Litigation, Case No.
07-cv-00428, remains pending in the U.S. District Court for the
District of Idaho, according to the company's Nov. 13, 2009, Form
10-Q filing with the U.S. Securities and Exchange Commission for
the quarter ended Sept. 30, 2009.
The company, certain of its directors and former officers and
employees, its prior auditor, Chisolm, Bierwolf & Nilson, LLC,
and Nano Clay and Technologies, Inc., its defunct, wholly owned
subsidiary, are defendants in a class action filed on Oct. 11,
2007.
The Class Action was filed on behalf of purchasers of the
company's publicly traded common stock during the period Jan. 19,
2005 through Oct. 8, 2007.
The First Amended Complaint alleges that the company damaged
purchasers by making material misstatements in publicly
disseminated press releases and Securities and Exchange
Commission filings regarding the extent of the halloysite deposit
on Company property, the availability and quality of halloysite
for sale, and claimed sales of halloysite.
The Complaint also alleges that the company improperly
manipulated reported earnings with respect to purported
halloysite sales and misrepresentations by the individual
defendants as to its financial statements.
The plaintiffs seek remedies under Section 10(b) of the
Securities and Exchange Act and Rule 10b-5 thereunder and for
violations of Section 20(a) of the Exchange Act.
On July 2, 2009, the company entered into a Settlement Agreement
with the lead plaintiffs in the class action.
Under the terms of the Class Action Settlement Agreement the
company will pay plaintiffs $1,250,000, which includes fees to
plaintiff's counsel, to be funded by the proceeds of an insurance
policy issued by Navigators Insurance Co., in exchange for
release of all claims against company, Nano Clay & Technologies,
Inc., and William T. Jacobson, Robert Dumont, Ronald Price and
Barbara Suveg.
The company will also fund up to $75,000 to fund expenses in
connection with notification to class members.
The Class Action Settlement Agreement is the settlement agreement
contemplated by the Memorandum of Understanding described in its
prior response and the terms of it are consistent with the terms
of such MOU. The Settlement Agreement is subject to a number of
conditions including successful completion of confirmatory due
diligence by the lead plaintiffs and final court approval.
Atlas Mining Company -- http://www.atlasmining.com/-- is a
natural resources company engaged in the acquisition,
exploration and development of its resource properties in the
states of Idaho and Utah. The company also provides contract
mining services and specialized civil construction services for
mine operators, exploration companies and the construction and
natural resources industries through its trade name Atlas
Fausett Contracting (AFC). AFC performs site evaluation,
feasibility studies, trouble-shooting and consultation prior to
the undertaking of exploration and mine development. The
company also operates in timber industry. The company contracts
its logging to a qualified logger when it is selling the timber.
Its property consists primarily of pine, fir and larch. The
company's major mining properties include Shoshone County,
Idaho, and Juab County, Utah.
BAYER HEALTHCARE: First MRI-Related Drug Test Trial in Jan. 2010
----------------------------------------------------------------
Kate Moser at The Recorder reports that early signs of how each
side could fare at trial in hundreds of lawsuits over contrasting
agents that allegedly cause nephrogenic systemic fibrosis are
expected to come out of a San Francisco courtroom.
On Monday a suit against Bayer Healthcare Pharmaceuticals was
assigned to trial, to begin in January, in front of San Francisco
Superior Court Judge Curtis Karnow. Plaintiff Peter Gerber's
suit, which accuses Bayer of negligently designing, testing and
marketing Magnevist, a drug used to help doctors read MRIs, is
one of hundreds of suits in California and elsewhere alleging
that diagnostic drugs containing gadolinium have caused
nephrogenic systemic fibrosis. And according to Gerber's lawyer,
his suit is the first to be scheduled for trial.
Mr. Gerber contends he contracted NSF, a disease that causes
hardening of the skin and connective tissues, after he was
injected with Magnevist.
"When you have a case of NSF, it's pretty much a certainty that
person was exposed to one of these agents," said Mr. Gerber's
lawyer:
Lawrence J. Gornick, Esq.
LEVIN SIMES KAISER & GORNICK
44 Montgomery Street, 36th Floor
San Francisco, CA 94104
Telephone: (415) 646-7160
Bayer is represented by:
Rodney M. Hudson, Esq.
DRINKER BIDDLE
50 Fremont St.
San Francisco, CA 94105-2235
Telephone: (415) 591-7545
A spokeswoman for Bayer told Ms. Moser the company does not
comment on pending litigation.
The company had been served with about 350 lawsuits involving
Magnevist as of Oct. 15, according to a recent financial report
it published for stockholders.
Sales of Magnevist were about $246 million in the first nine
months of 2009, according to that report, and the drug is among
the company's best-selling pharmaceutical products.
Magnevist is a contrast agent used to improve magnetic resonance
imaging. In 2007 the U.S. Food and Drug Administration requested
that gadolinium-based agents such as Magnevist carry boxed
warnings about the risk of contracting nephrogenic systemic
fibrosis for patients with kidney problems.
Roughly 20 to 30 California NSF lawsuits have been consolidated
before San Francisco Superior Court Judge Richard Kramer, Mr.
Gornick said. Most of the lawsuits involving these contrast
agents have been filed in federal court, though, and consolidated
in In re Gadolinium Contrast Dyes Products Liability Litigation,
MDL No. 1909; Master Docket No. 08-dg-50000 (N.D. Ohio) (Polster,
J). Two major defendants are Bayer and General Electric Co., he
added, though Mr. Gerber's suit names only the former.
Additional information about the MDL proceeding is available at:
http://www.ohnd.uscourts.gov/Clerk_s_Office/MDL_Cases/MDL_Cases.html
Mr. Gerber's case was given an expedited trial date because he is
over 70 and in bad health, according to Mr. Gornick, who serves
on the national gadolinium litigation plaintiffs steering
committee. Mr. Kramer already had a trial set for the time
period Gerber was entitled to, so he assigned the trial to Judge
Karnow's department, Mr. Gornick added.
A joint meeting of Food and Drug Administration committees on
kidney and cardiovascular drugs was set to meet Tuesday to
discuss safety considerations with gadolinium-based contrast
agents.
Mr. Gornick said Bayer has made a motion to exclude all evidence
from the committee meeting. "They apparently don't think the
evidence coming out of that hearing is good for them, but we'll
have to see," he said.
Levin Simes Kaiser & Gornick is handling about 50 lawsuits
dealing with nephrogenic systemic fibrosis. Other big players on
the plaintiff side, Mr. Gornick told Ms. Moser, are:
Steven J. Skikos, Esq.
SKIKOS, CRAWFORD, SKIKOS, JOSEPH & MILLICAN
625 Market Street, 11th Floor
San Francisco, CA 94105-3302
Telephone: (415) 546-7300
- and -
Ramon R. Lopez, Esq.
LOPEZ MCHUGH LLP
100 Bayview Circle, Suite 5600
Newport Beach, CA 92660
Telephone: (949) 737-1501
BORDERS GROUP: Continues to Face Ex-Employee's Suit in Calif.
-------------------------------------------------------------
Borders Group, Inc., continues to face a complaint filed by three
former employees, according to the company's Dec. 4, 2009, Form
10-Q filing with the U.S. Securities and Exchange Commission for
the quarter ended Oct. 31, 2009.
In February 2009, three former employees, individually and on
behalf of a purported class consisting of all current and former
employees who work or worked as General Managers in Borders
stores in the State of California at any time from Feb. 19, 2005,
through Feb. 19, 2009, have filed an action against the company
in the Superior Court of California for the County of Orange.
The complaint alleges, among other things, that the individual
plaintiffs and the purported class members were improperly
classified as exempt employees and that the company violated the
California Labor Code by failing to:
(i) pay required overtime and
(ii) provide meal periods and rest periods, and
(iii) that those practices also violate the California
Business and Professions Code.
The relief sought includes damages, restitution, penalties,
injunctive relief, interest, costs, and attorneys' fees and such
other relief as the court deems proper.
Borders Group, Inc. -- http://www.borders.com/-- through its
subsidiaries, operates book, music and movie superstores, and
mall-based bookstores. The company's operating subsidiaries
include Borders, Inc. (Borders), Walden Book Company, Inc.
(Waldenbooks) and Borders Australia Pty Limited. The company's
operates in three segments: Borders Superstores, Waldenbooks
Specialty Retail stores and International stores. At Jan. 31,
2009, it operated 518 superstores under the Borders name,
including 515 in the United States and three in Puerto Rico. The
company also operated 386 mall-based and other small format
bookstores, including stores operated under the Waldenbooks,
Borders Express and Borders Outlet names, as well as Borders-
branded airport stores. On June 10, 2008, the company sold all
of the outstanding shares of Borders Australia Pty Limited,
Borders New Zealand Limited and Borders Pte. Ltd. to companies
affiliated with A&R Whitcoulls Group Holdings Pty Limited.
BORDERS GROUP: Rudd Has Until Dec. 15 to File Amended Complaint
---------------------------------------------------------------
Amanda Rudd, as plaintiff, has until Dec. 15, 2009, to file an
amended complaint after the U.S. District Court for the Southern
District of California granted Borders Group, Inc.'s motion to
dismiss the complaint, according to the company's Dec. 4, 2009,
Form 10-Q filing with the U.S. Securities and Exchange Commission
for the quarter ended Oct. 31, 2009.
In March 2009, Amanda Rudd, on behalf of herself and a putative
class consisting of all other customers who received Borders gift
cards from March 2005 to March 2009, filed an action in the
Superior Court for the State of California, County of San Diego
alleging that the company sells gift cards that are not
redeemable for cash in violation of California's Business and
Professionals Code Section 17200, et seq.
The complaint seeks disgorgement of profits, restitution,
attorney's fees and costs and an injunction.
The company has removed the case to the U.S. District Court for
the Southern District of California.
On Nov. 25, 2009, the Court entered an order granting the
company's motion to dismiss the complaint in its entirety without
prejudice.
The Court's order expressly permits the plaintiff to file an
amended complaint by Dec. 15, 2009.
The order further provides that if the plaintiff fails to timely
file an amended complaint, the Clerk of the Court will be
directed to enter judgment dismissing the complaint without
prejudice.
Borders Group, Inc. -- http://www.borders.com/-- through its
subsidiaries, operates book, music and movie superstores, and
mall-based bookstores. The company's operating subsidiaries
include Borders, Inc. (Borders), Walden Book Company, Inc.
(Waldenbooks) and Borders Australia Pty Limited. The company's
operates in three segments: Borders Superstores, Waldenbooks
Specialty Retail stores and International stores. At Jan. 31,
2009, it operated 518 superstores under the Borders name,
including 515 in the United States and three in Puerto Rico. The
company also operated 386 mall-based and other small format
bookstores, including stores operated under the Waldenbooks,
Borders Express and Borders Outlet names, as well as Borders-
branded airport stores. On June 10, 2008, the company sold all
of the outstanding shares of Borders Australia Pty Limited,
Borders New Zealand Limited and Borders Pte. Ltd. to companies
affiliated with A&R Whitcoulls Group Holdings Pty Limited.
CALPINE CORP: Fairness Hearing on Jan. 8; Claims Due by Feb. 2
--------------------------------------------------------------
A hearing will be held on January 8, 2010 to determine whether
the proposed $43 million settlement should be approved by the
Court in Hawaii Structural Ironworkers Pension Trust Fund v.
Calpine Corporation, et al., Case No. 1-04-CV-021465 (Calif.
Super. Ct., Santa Clara Cty.), as fair, reasonable and adequate,
on behalf of purchasers of Calpine common stock between April 24,
2002 and March 3, 2003, issued pursuant to, or traceable to, the
Prospectus utilized in Calpine's April 24, 2002, public offering.
Additional information is available from Gilardi & Co. LLC at
http://www.gilardi.com/pdf/calpinenot.pdfand http://is.gd/5h2d5
The Plaintiff Class is represented by:
Ellen Gusikoff Stewart, Esq.
COUGHLIN STOIA GELLER RUDMAN & ROBBINS LLP
655 West Broadway, Suite 1900
San Diego, CA 92101
Calpine is represented by:
Mark E. McKane, Esq.
KIRKLAND & ELLIS
555 California Street
San Francisco, CA 94104
The Individual Defendants are represented by:
John C. Tang, Esq.
LATHAM & WATKINS LLP
140 Scott Drive
Menlo Park, CA 94025
The Underwriter Defendants are represented by:
David R. Gelfand, Esq.
MILBANK, TWEED, HADLEY & McCLOY LLP
One Chase Manhattan Plaza
New York, NY 10005
CANDAIAN RECORDING: Music Giants Sued for Copyright Infringement
----------------------------------------------------------------
The Vancouver Sun reports that Canada's recording-industry giants
face a massive class-action lawsuit, in what could be the largest
copyright-infringement case in Canadian history.
The estate of Chet Baker, the renowned jazz musician who died in
1988, is the lead plaintiff in the suit filed in October 2008
against the main members of the Canadian Recording Industry
Association:
-- Warner Music Canada,
-- Sony BMG Music Canada,
-- EMI Music Canada, and
-- Universal Music Canada.
The artists decided to turn to the courts after decades of
frustration with what they call in the suit "(the recording
companies') reckless, high-handed and arrogant conduct aggravated
by their clandestine disregard for copyright interests of the
class members."
The claims arise from a long-standing practice of the Canadian
recording industry, described in the lawsuit as "exploit now, pay
later, if at all," writes Michael Geist, who holds the Canada
Research Chair in Internet and e-commerce law at the University
of Ottawa, in his blog. It involves the use of works that are
often included in compilation CDs (e.g., the top dance tracks of
2009) or live recordings. The record labels create, press,
distribute, and sell the CDs, but do not obtain the necessary
copyright licences.
"The infringer has effectively already admitted owing at least
$50 million, and the full claim could exceed $6 billion," Mr.
Geist writes at http://www.michaelgeist.ca/content/view/4596/135/
A copy of the Amended Fresh as Amended Statement of Claim dated
Aug. 14, 2008, in The Estate of Chesney Henry "Chet" Baker, Jr.,
and Chet Baker Enterprises LLC v. Sony BMG Music (Canada), Inc.,
et al., Court File No. CV 0800360651 00CP (Ont. Super. Ct. J.),
is available at http://is.gd/5gRvG
The Plaintiff is represented by:
David B. Williams, Esq.
Jonathan J. Foreman, Esq.
HARRISON PENSA LLP
450 Talbot Street
London, ON N6A 4K3
CANADA
- and -
Paul J. Bates, Esq.
Bernadette Chung, Esq.
BATES BARRISTERS
34 King Street East, 12th Floor
Toronto, ON M5C 2X8
CANADA
- and -
David Fewer, Esq.
Philippa Lawson, Esq.
CANADIAN INTERNET POLICY & PUBLIC INTEREST CLINIC
University of Ottawa, Faculty of Law
57 Louis Pasteur Street
Ottawa, ON K1N 6N5
CANADA
CAREER EDUCATION: Sanford-Brown Case Management Hearing Dec. 15
---------------------------------------------------------------
Amelia Flood at The Madison County Record reports that a case
management conference is set next week in a pending class action
suit over alleged misrepresentation at a careers college.
Lead plaintiffs Jenna Lilley, Jessica Lilley, Candace Lindsey and
Ashley Cunningham are suing Career Education Corp. and Sanford
Brown College Inc. for allegedly misrepresenting their medical
assistant program to potential students in order to benefit
financially.
The conference and hearing over several pending motions is slated
to begin at 9:00 a.m. on Dec. 15, 2009.
The pending motions include a defendants' motion for protective
order and a plaintiffs' motion to compel.
Madison County Circuit Judge Barbara Crowder is presiding.
The proposed class action is based on claims of violation of the
Illinois Consumer Fraud and Deceptive Business Practices Act,
fraud, and other allegations.
The suit seeks unspecified damages, pre-judgment interest,
attorney's fees and costs.
The plaintiffs are represented by Corey Sullivan of St. Louis.
The defendants are represented by Randal Mullendore of St. Louis.
The case is Madison case number 08-L-113.
CHILDREN'S PLACE: Settlement in "Fong" Suit Gets Preliminary Nod
----------------------------------------------------------------
The Superior Court of California, County of Los Angeles, gave its
preliminary approval to the tentative settlement on a putative
class action suit by Joy Fong against The Children's Place Retail
Stores, Inc., according to the company's Dec. 4, 2009, Form 10-Q
filing with the U.S. Securities and Exchange Commission for the
quarter ended Oct. 31, 2009.
On or about July 12, 2006, Ms. Fong, a former Disney Store
manager in the San Francisco district, filed a lawsuit against
the company and its subsidiary Hoop Retail Stores, LLC in the
Superior Court of California, County of Los Angeles.
The lawsuit alleges violations of the California Labor Code and
California Business and Professions Code and sought class action
certification on behalf of Ms. Fong and other individuals
similarly situated.
The company filed its answer on Aug. 11, 2006 denying any and all
liability, and on Jan. 14, 2007, Ms. Fong filed an amended
complaint, adding Disney as a defendant.
Effective as of March 26, 2008, the prosecution of this lawsuit
against Hoop was stayed under the automatic stay provisions of
the U.S. Bankruptcy Code by reason of Hoop's petition for relief
filed that same day.
The case is currently proceeding against the other defendants
and, on Dec. 18, 2008, the Court granted the plaintiff's motion
for class certification on the misclassification claim.
The company has reached a tentative settlement in the amount of
$600,000, which was preliminarily approved by the Court on Oct.
6, 2009.
The Children's Place Retail Stores, Inc. --
http://www.childrensplace.com/-- is a specialty retailer of
children's apparel and accessories, ages newborn to 14 years old.
The company designs, contract to manufacture and sells
merchandise under the The Children's Place brand name. The
company offers current fashion trends in a color palette as
coordinated outfits specifically designed for children.
CHILDREN'S PLACE: Settlement in "Ruggiero" Suit Pending in Ohio
---------------------------------------------------------------
A tentative settlement on a action suit by Meghan Ruggiero
against The Children's Place Retail Stores, Inc., is pending,
according to the company's Dec. 4, 2009, Form 10-Q filing with
the U.S. Securities and Exchange Commission for the quarter ended
Oct. 31, 2009.
On or about Sept. 28, 2007, Meghan Ruggiero filed a complaint
against the company and its subsidiary, Hoop Retail Stores, LLC,
in the U.S. District Court, Northern District of Ohio on behalf
of herself and other similarly situated individuals.
The lawsuit alleges violations of the Fair and Accurate Credit
Transactions Act and seeks class certification, an award of
statutory and punitive damages, attorneys' fees and costs, and
injunctive relief.
The plaintiff filed an amended complaint on Jan. 25, 2008.
Effective as of March 26, 2008, the prosecution of this lawsuit
against Hoop was stayed under the automatic stay provisions of
the U.S. Bankruptcy Code by reason of Hoop's petition for relief
filed that same day.
On March 2, 2009, the Court granted the plaintiff's motion to
dismiss the company as a defendant and to replace the company
with its subsidiary, The Children's Place Services Company, LLC.
On Oct. 8, 2009, the parties reached a tentative settlement in
the amount of $300,000, and the parties are negotiating the terms
of the settlement agreement.
The Children's Place Retail Stores, Inc. --
http://www.childrensplace.com/-- is a specialty retailer of
children's apparel and accessories, ages newborn to 14 years old.
The company designs, contract to manufacture and sells
merchandise under the The Children's Place brand name. The
company offers current fashion trends in a color palette as
coordinated outfits specifically designed for children.
CUTERA INC: Agrees to Pay $950,000 to Resolve Junk Fax Litigation
-----------------------------------------------------------------
Cutera, Inc., has agreed to pay $980,000 into a settlement fund
to resolve junk fax claims asserted in Bridgeport Pain Control
Center, Ltd. v. Cutera, Inc., et al., Case No. 08-cv-01116 (N.D.
Ill.) (Hibbler, J.).
A copy of the Notice of Proposed Class Action Settlement is
available at:
http://www.edcombs.com/CM/Notices/Website%20Notice%20and%20Claim%20Form.pdf
Coverage of this litigation appeared in the Class Action Reporter
on Dec. 4, 2008.
The Plaintiff is represented by:
Cathleen M. Combs, Esq.
EDELMAN, COMBS, LATTURNER & GOODWIN, LLC
120 South LaSalle Street, 18th Floor
Chicago, IL 60603
Phone: 312-739-4200
The Defendant is represented by:
Eric Stephen Mattson, Esq.
SIDLEY AUSTIN LLP
One South Dearborn Street
Chicago, IL 60603
Phone: 312-853-7000
Brisbane, California-based Cutera -- http://www.cutera.com--
describes itself as a leading provider of laser and other energy-
based aesthetic systems for practitioners worldwide. Since 1998,
Cutera has been developing innovative, easy-to-use products that
enable physicians and other qualified practitioners to offer safe
and effective aesthetic treatments to their patients.
DELL INC: To Pay $40 Million to Settle Texas Securities Suit
------------------------------------------------------------
Dell, Inc., has entered into a written settlement agreement
whereby it would pay $40 million to the proposed class and the
plaintiff would dismiss the pending consolidated securities fraud
class-action lawsuit against it, according to the company's Dec.
3, 2009, Form 10-Q filing with the U.S. Securities and Exchange
Commission for the quarter ended Oct. 30, 2009.
Four putative securities class actions filed between Sept. 13,
2006, and Jan. 31, 2007, in the Western District of Texas, Austin
Division, against Dell and certain of its current and former
officers were consolidated as In re Dell Securities Litigation,
and a lead plaintiff was appointed by the court.
The lead plaintiff asserted claims under sections 10(b), 20(a),
and 20A of the Securities Exchange Act of 1934 based on alleged
false and misleading disclosures or omissions regarding Dell's
financial statements, governmental investigations, internal
controls, known battery problems and business model, and based on
insiders' sales of Dell securities.
This action also included Dell's independent registered public
accounting firm, PricewaterhouseCoopers LLP, as a defendant.
On Oct. 6, 2008, the court dismissed all of the plaintiff's
claims with prejudice and without leave to amend.
On Nov. 3, 2008, the plaintiff appealed the dismissal of Dell and
the officer defendants to the Fifth Circuit Court of Appeals.
The appeal has been fully briefed, and oral argument on the
appeal was heard by the Fifth Circuit Court of Appeals on Sept.
1, 2009.
On Nov. 20, 2009, the parties to the appeal entered into a
written settlement agreement whereby Dell would pay $40 million
to the proposed class and the plaintiff would dismiss the pending
litigation.
The parties have requested that the Fifth Circuit remand the
matter to the district court to review the settlement.
The settlement is subject to certain conditions, including
preliminary approval by the district court, notice to the
proposed class, opt-outs from the proposed class not exceeding a
specified percentage, and final approval by the district court.
Until these conditions to the settlement have been satisfied,
there can be no assurance that the settlement will become final.
If the settlement does not become final, Dell will continue its
defense of the appeal before the Fifth Circuit.
The suit is In re Dell, Inc. Securities Litigation, Case No.
06-cv-00726 (W.D. Tex.)(Sparks, J.)
Representing the plaintiffs are:
James M. Hughes, Esq.
Lauren S. Antonino, Esq.
Motley Rice LLC
P.O. Box 1792, 28 Bridgeside Blvd.
Mount Pleasant, SC 29465
Phone: 843-216-9000
Fax: 843-216-9290
E-mail: jhughes@motleyrice.com
E-mail: lantonino@motleyrice.com
DIAMOND FOODS: Appeal to Nixed Claims in Calif. Lawsuit Pending
---------------------------------------------------------------
The plaintiffs' appeal to the San Joaquin County Superior Court
in California's ruling striking the class allegations in a
complaint against Diamond Foods, Inc., over walnut deliveries
remains pending.
In March 2008, a former grower and an organization named Walnut
Producers of California filed suit against the company in San
Joaquin County Superior Court claiming, among other things,
breach of contract relating to alleged underpayment for walnut
deliveries for the 2005 and 2006 crop years.
The plaintiffs purport to represent a class of walnut growers
who entered into contracts with the company.
In May 2008, the company argued a motion in front of the judge
in the case requesting, among other things, that all class
action allegations be struck from the plaintiffs' complaint.
In August 2008, the court granted the company's motion.
The plaintiffs have appealed the court's ruling striking the
class allegations from the complaint.
No further updates were reported in the company's Dec. 3, 2009,
Form 10-Q filing with the U.S. Securities and Exchange Commission
for the quarter ended Oct. 31, 2009.
Diamond Foods, Inc. -- http://www.diamondfoods.com/-- is a food
company specializing in processing, marketing and distributing
culinary, in-shell, ingredient nuts and snack products. The
company's products are sold in over 60,000 retail locations in
the United States and in over 100 countries. Diamond sells
products to approximately 1,250 customers, including over 140
international customers. In general, it sells directly to
retailers, particularly large national grocery store and drug
store chains, and indirectly through wholesale distributors to
independent and small regional retail grocery store chains and
convenience stores. It also sells its products to mass
merchandisers, club stores, convenience stores and through other
retail channels. As of July 31, 2009, the Company had four
product lines: culinary; snack; in-shell, and ingredient/food
service.
EVENFLO CO: Recalls 79,000 ExerSaucer(R) Activity Centers
---------------------------------------------------------
The U.S. Consumer Product Safety Commission and Health Canada, in
cooperation with Evenflo Co. Inc., of Miamisburg, Ohio, announced
a voluntary recall of more than 70,000 Evenflo ExerSaucer(r) 1-2-
3 Tea for Me(tm) Activity Learning Centers -- about 66,000 in the
United States and 13,660 in Canada. Consumers should stop using
recalled products immediately unless otherwise instructed.
The candle flame attached to the top of the cake toy can detach,
posing a choking hazard to young children.
Evenflo has received 11 reports of the toy flames detaching.
Five of the incidents occurred in the United States and six in
Canada. No injuries have been reported.
This recall involves Evenflo ExerSaucer(r) 1-2-3 Tea for Me(tm)
activity learning centers. The tea party themed toys have a two-
tier cake that is light blue, dark pink and yellow. Models
included in the recall are 6161834 and 6161920. The model
numbers are printed on the packaging and on a label located on
the underside of the base of the product. The recommended age
for use of this product is 4 months to walking. Pictures of the
recalled product are available at:
http://www.cpsc.gov/cpscpub/prerel/prhtml10/10057.html
The recalled product was manufactured in China and sold at Toys
"R" Us and juvenile product stores nationwide from December 2007
through March 2009 for about $70.
Consumers should immediately remove the cake toy from the product
and contact Evenflo to receive a free replacement toy. The
ExerSaucer(r) may continue to be used without the cake toy. For
additional information, contact Evenflo at (800) 233-5921 between
8:00 a.m. and 5:00 p.m., Eastern time, Monday through Friday, or
visit the firm's Web site at http://safety.evenflo.com/
Health Canada's press release concerning this recall is available
at:
http://cpsr-rspc.hc-sc.gc.ca/PR-RP/recall-retrait-eng.jsp?re_id=900
FIRST DATA: January Hearing Set on Plea to Dismiss Amended Suit
---------------------------------------------------------------
A hearing on the motion of First Data Corp., its subsidiary
Concord EFS, Inc., and various financial institutions, to dismiss
a third amended antitrust class action complaint has been set for
Jun. 22, 2010, according to the company's Nov. 13, 2009, Form 10-
Q filing with the U.S. Securities and Exchange Commission for the
quarter ended Sept. 30, 2009.
A class-action complaint was filed on July 2, 2004, by
plaintiffs claiming that the defendants violated antitrust laws
by conspiring to artificially inflate foreign ATM fees that were
ultimately charged to ATM cardholders.
Plaintiffs seek a declaratory judgment, injunctive relief,
compensatory damages, attorneys' fees, costs and such other
relief as the nature of the case may require or as may seem just
and proper to the court.
Five similar suits were filed and served in July, August and
October 2004 (referred to collectively as the "ATM Fee Antitrust
Litigation").
On Aug. 3, 2007, Concord EFS, Inc. filed a motion for summary
judgment seeking to dismiss plaintiffs' per se claims, arguing
that there are procompetitive justifications for the ATM
interchange.
On March 24, 2008, the Court entered an order granting the
defendants' motions for partial summary judgment finding that
the claims raised in this case would need to be addressed under
a "Rule of Reason" analysis.
On Feb. 2, 2009, the Plaintiffs filed a Second Amended
Complaint. On April 6, 2009, the defendants filed a Motion to
Dismiss the Second Amended Complaint.
On Sept. 4, 2009, the Court entered an order dismissing the
Second Amended Complaint and, on Oct. 16, 2009, the Plaintiffs
filed a Third Amended Complaint.
The defendants anticipate filing a motion to dismiss the Third
Amended Complaint by Nov. 13, 2009 and the Court has scheduled a
hearing for this motion on Jan. 22, 2010.
First Data Corp. -- http://www.firstdatacorp.com/-- operates
electronic commerce, payment services and customer account
management businesses. FDC has four main business segments:
First Data Commercial Services Segment, First Data Financial
Institution Services Segment, First Data International Segment
and Integrated Payment Systems Segment, and a fifth segment,
known as All Other and Corporate.
FRANKLIN ELECTRONIC: Files Motion to Dismiss Amended Complaint
--------------------------------------------------------------
Franklin Electronic Publishers, Inc., has filed a Motion to
Dismiss the First Amended Complaint by Capgrowth Group in the
Superior Court of New Jersey, Burlington County, according to the
company's Nov. 13, 2009, Form 10-Q filing with the U.S.
Securities and Exchange Commission for the quarter ended
Sept. 30, 2009.
On June 8, 2009 a purported class action suit was filed by
Capgrowth Group in the Superior Court of New Jersey naming as
defendants the company and its directors.
The Complaint, filed just days after public disclosure of the
Saunders Group's initial offer to purchase all the outstanding
shares of the company, alleges a breach by the defendant
directors of their fiduciary duties of good faith, loyalty, fair
dealing and due care to the plaintiff.
On Sept. 23, 2009, the defendants filed a Motion to Dismiss the
lawsuit, stating, in substance, that the purported class action
was premature and not ripe for adjudication, that pursuant to
Pennsylvania law fiduciary duties are owed by directors to the
company and not directly to shareholders, and that individual
shareholders such as Capgrowth Group are owed no duty in their
individual capacity, and therefore cannot sue in their individual
capacity.
On Oct. 9, 2009, plaintiff filed a First Amended Complaint which
added a derivative count to its lawsuit. On the same date it
also forwarded a demand to the board of directors of the company
to take appropriate legal action against the individual members
of the Board.
The defendants have withdrawn their Motion to Dismiss the initial
Complaint and have filed a Motion to Dismiss the First Amended
Complaint.
Franklin Electronic Publishers, Incorporated --
http://www.franklin.com-- designs, develops, publishes and
distributes electronic information on handheld devices, memory
media cards and via Internet downloads. Franklin also designs,
develops and licenses to third parties, linguistic technology,
such as spelling error and detection software in 36 languages,
for use in application software, electronic products and on the
Internet. The company owns or has licenses to publish in
electronic format more than 100 reference titles, including
monolingual and bilingual dictionaries, such as Merriam-
Webster's Collegiate Dictionary, the Holy Bible, entertainment-
oriented publications (such as The Official Scrabble Dictionary)
and its own multi-language speaking and non-speaking
translators. In addition, it owns or has licenses to distribute
in electronic format, either directly or through third parties,
more than 52,000 titles, including reference works and general
literature, via Internet download.
GOODMAN CO: Renewed Recall of 30,000 Heat Pump Units
----------------------------------------------------
The U.S. Consumer Product Safety Commission, in cooperation with
Goodman Company, LP, of Houston, Texas, announced a voluntary
recall of about 30,000 Packaged Terminal Air Conditioner/Heat
Pump (PTACs) Units. The CPSC indicates these units were
previously recalled in August 2008.
The power cords on the PTACs can overheat, posing a burn or fire
hazard.
Goodman has received eleven reports of smoke or fire associated
with the PTAC's power cords. No injuries have been reported.
The recall includes 5.0 kW Amana-brand, Comfort-Aire-brand and
Century-brand Packaged Terminal Air Conditioner units with model
numbers PTxxx3x50xx (Amana) and EKTxxx-150x (Comfort-Aire and
Century) and serial numbers 0702112056 through 0804237539. The
model and serial numbers are located on the control board plate
found under the PTAC unit's front cover. A picture of the
recalled product is available at:
http://www.cpsc.gov/cpscpub/prerel/prhtml10/10058.html
The recalled units were manufactured in the United States and
sold by Goodman and heating and cooling equipment dealers
nationwide from February 2007 through June 2008 for between $700
and $1,000.
Consumers should contact Goodman to receive a free replacement
power cord. Commercial and institutional owners will be
contacted directly and will install the power cord. For
additional information regarding Amana-brand units, contact
Goodman at (800) 366-0339 between 8:00 a.m. and 5:00 p.m.,
Central time, Monday through Friday; for Comfort-Aire and
Century-brand units call (877) 442-4482 between 8:00 a.m. and
5:00 p.m., Eastern time, Monday through Friday; or visit
http://www.regcen.com/ptaccordfor all products.
HEARTLAND: N.J. Securities Litigation Dismissed with Prejudice
--------------------------------------------------------------
Heartland Payment Systems(R) (NYSE: HPY), a leading provider of
credit/debit/prepaid card processing, payroll, check management
and payment services, reports that on December 7, 2009, the
United States District Court for the District of New Jersey,
granted Heartland's motion to dismiss the consolidated
shareholder class action, titled In Re Heartland Payment Systems,
Inc. Securities Litigation, which had been filed against
Heartland, Robert O. Carr, Heartland's Chairman and Chief
Executive Officer and Robert H.B. Baldwin, Jr., Heartland's
President and Chief Financial Officer. The case, which arose out
of the breach to the company's processing system previously
disclosed by the Company on January 20, 2009, was dismissed in
its entirety with prejudice.
As reported in the Class Action Reporter on August 20, 2009, and
earlier, four securities class action complaints were filed in
the U.S. District Court for the District of New Jersey:
-- Davis v. Heartland Payment Systems, Inc.,
Robert O. Carr and Robert H. B. Baldwin, Jr.,
Case No. 09-cv-01043 (filed March 6, 2009);
-- Ivy v. Heartland Payment Systems, Inc.,
Robert O. Carr and Robert H. B. Baldwin, Jr.,
Case No. 09-cv-01264 (filed March 19, 2009);
-- Ladensack v. Heartland Payment Systems, Inc.,
Robert O. Carr and Robert H. B. Baldwin, Jr.,
Case No. 09-cv-01632 (filed April 3, 2009); and
-- Morr v. Heartland Payment Systems, Inc.,
Robert O. Carr and Robert H. B. Baldwin, Jr.,
Case No. 09-cv-01818 (filed April 16, 2009).
consolidated, and an Amended Consolidated Complaint was filed in
August 2009.
About Heartland Payment Systems(R)
Heartland Payment Systems, Inc., a NYSE company trading under the
symbol HPY, delivers credit/debit/prepaid card processing,
payroll, check management and payment solutions to more than
250,000 businesses nationwide.
Heartland is the founding supporter of The Merchant Bill of
Rights, a public advocacy initiative that educates merchants
about fair credit and debit card processing practices. For more
information, visit www.heartlandpaymentsystems.com and
www.MerchantBillOfRights.com.
KINDER MORGAN: "Heimann" Suit Settlement Gets Final Approval
------------------------------------------------------------
The Eight Judicial District Court, Union County New Mexico,
entered a final judgment approving the settlement entered into by
the parties in a class action against Kinder Morgan CO2 Co.,
according to the company's Nov. 13, 2009, Form 10-Q filing with
the U.S. Securities and Exchange Commission for the quarter ended
Sept. 30, 2009.
The class action is captioned, J. Casper Heimann, Pecos Slope
Royalty Trust and Rio Petro LTD, individually and on behalf of
all other private royalty and overriding royalty owners in the
Bravo Dome Carbon Dioxide Unit, New Mexico similarly situated v.
Kinder Morgan CO2 Company, L.P., Case No. 04-26-CL.
The purported class action against Kinder Morgan CO2 alleges that
it failed to pay the full royalty and overriding royalty on the
true and proper settlement value of compressed carbon dioxide
produced from the Bravo Dome Unit during the period beginning
Jan. 1, 2000.
The complaint purports to assert claims for violation of the New
Mexico Unfair Practices Act, constructive fraud, breach of
contract and of the covenant of good faith and fair dealing,
breach of the implied covenant to market, and claims for an
accounting, unjust enrichment, and injunctive relief. The
purported class is comprised of current and former owners, during
the period January 2000 to the present, who have private property
royalty interests burdening the oil and gas leases held by the
defendant, excluding the Commissioner of Public Lands, the United
States of America, and those private royalty interests that are
not unitized as part of the Bravo Dome Unit.
The case was tried to a jury in the trial court in September
2008. The plaintiffs sought $6.8 million in actual damages as
well as punitive damages. The jury returned a verdict finding
that Kinder Morgan CO2 did not breach the settlement agreement
and did not breach the claimed duty to market carbon dioxide.
The jury also found that Kinder Morgan CO2 breached a duty of
good faith and fair dealing and found compensatory damages of
$300,000 and punitive damages of $1.2 million.
On Oct. 16, 2008, the trial court entered judgment on the
verdict.
On Jan. 6, 2009, the district court entered orders vacating the
judgment and granting a new trial in the case. Kinder Morgan CO2
filed a petition with the New Mexico Supreme Court, asking that
court to authorize an immediate appeal of the new trial orders.
In a 2-to-1 decision, the New Mexico Supreme Court denied Kinder
Morgan CO2's petition for immediate review of the new trial
orders.
The district court scheduled a new trial to occur beginning on
Oct. 19, 2009,
On Sept. 10, 2009, the parties signed a settlement agreement
providing for a payment of $3.2 million to the class, a new
royalty methodology pursuant to which future royalties will be
based on a price formula that is tied in part to published crude
oil prices, and a dismissal with prejudice of all claims.
On Oct. 22, 2009, the trial court entered final judgment
approving the settlement.
Kinder Morgan Management, LLC -- http://www.kindermorgan.com/--
is a limited partner in Kinder Morgan Energy Partners, L.P., and
manages and controls its business and affairs pursuant to a
delegation of control agreement. As of Dec. 31, 2007, the
Company owned approximately 29.2% of Kinder Morgan Energy
Partners, L.P.'s limited partner interests. Kinder Morgan
Energy Partners, L.P. is the owner and operator of an
independent refined petroleum products pipeline system in the
U.S. The Company's voting shares are owned by Kinder Morgan,
G.P., Inc., of which Knight Inc. owns all the outstanding common
equity. Kinder Morgan G.P., Inc. is the general partner of
Kinder Morgan Energy Partners, L.P. Kinder Morgan, Inc., is an
energy transportation and storage company in North America,
operating, either for itself or on behalf of Kinder Morgan
Energy Partners, L.P. On April 30, 2007, the Company acquired
the Trans Mountain pipeline system from Knight Inc.
KINDER MORGAN: Parties in Two Consolidated Suits in Discovery
-------------------------------------------------------------
The parties in two consolidated class actions resulting from
Kinder Morgan, Inc.'s going private transaction are currently
engaged in consolidated discovery, according to the company's
Nov. 13, 2009, Form 10-Q filing with the U.S. Securities and
Exchange Commission for the quarter ended Sept. 30, 2009.
Kinder Morgan merged with a wholly owned subsidiary of Kinder
Morgan Holdco LLC, with Kinder Morgan, Inc. continuing as the
surviving legal entity and subsequently renamed Knight Inc. The
company's name was changed back to Kinder Morgan, Inc. on July
15, 2009.
Beginning on May 29, 2006, the day after the proposal for the
Going Private transaction was announced, and in the days
following, eight putative Class Action lawsuits were filed in
Harris County (Houston), Texas and seven putative Class Action
lawsuits were filed in Shawnee County (Topeka), Kansas against,
among others, Kinder Morgan, Inc., its Board of Directors, the
Special Committee of the Board of Directors, and several
corporate officers.
By order of the Harris County District Court dated June 26, 2006,
each of the eight Harris County cases were consolidated into the
Crescente v. Kinder Morgan, Inc. et al case, Cause No. 2006-
33011, in the 164th Judicial District Court, Harris County,
Texas, which challenges the proposed transaction as inadequate
and unfair to Kinder Morgan, Inc.'s public stockholders.
On Sept. 8, 2006, interim class counsel filed their Consolidated
Petition for Breach of Fiduciary Duty and Aiding and Abetting in
which they alleged that Kinder Morgan, Inc.'s board of directors
and certain members of senior management breached their fiduciary
duties and the Sponsor Investors aided and abetted the alleged
breaches of fiduciary duty in entering into the merger agreement.
They sought, among other things, to enjoin the merger, rescission
of the merger agreement, disgorgement of any improper profits
received by the defendants, and attorneys' fees.
Defendants filed Answers to the Consolidated Petition on Oct. 9,
2006, denying the plaintiffs' substantive allegations and denying
that the plaintiffs are entitled to relief.
By order of the District Court of Shawnee County, Kansas dated
June 26, 2006, each of the seven Kansas cases were consolidated
into the Consol. Case No. 06 C 801; In Re Kinder Morgan, Inc.
Shareholder Litigation; in the District Court of Shawnee County,
Kansas, Division 12.
On Aug. 28, 2006, the plaintiffs filed their Consolidated and
Amended Class Action Petition in which they alleged that Kinder
Morgan's board of directors and certain members of senior
management breached their fiduciary duties and the Sponsor
Investors aided and abetted the alleged breaches of fiduciary
duty in entering into the merger agreement. They sought, among
other things, to enjoin the stockholder vote on the merger
agreement and any action taken to effect the acquisition of
Kinder Morgan and its assets by the buyout group, damages,
disgorgement of any improper profits received by the defendants,
and attorney's fees.
In late 2006, the Kansas and Texas Courts appointed the Honorable
Joseph T. Walsh to serve as Special Master in both consolidated
cases "to control all of the pretrial proceedings in both the
Kansas and Texas Class Actions arising out of the proposed
private offer to purchase the stock of the public shareholders of
Kinder Morgan, Inc."
On Nov. 21, 2006, the plaintiffs in In Re Kinder Morgan, Inc.
Shareholder Litigation filed a Third Amended Class Action
Petition with Special Master Walsh. This Petition was later
filed under seal with the Kansas District Court on Dec. 27, 2006.
Following extensive expedited discovery, the Plaintiffs in both
consolidated actions filed an application for a preliminary
injunction to prevent the holding of a special meeting of
shareholders for the purposes of voting on the proposed merger,
which was scheduled for Dec. 19, 2006.
On Dec. 18, 2006, Special Master Walsh issued a Report and
Recommendation concluding, among other things, that "plaintiffs
have failed to demonstrate the probability of ultimate success on
the merits of their claims in this joint litigation."
Accordingly, the Special Master concluded that the plaintiffs
were "not entitled to injunctive relief to prevent the holding of
the special meeting of Kinder Morgan, Inc. shareholders scheduled
for Dec. 19, 2006."
Plaintiffs moved for class certification in January 2008.
In August, September and October 2008, the Plaintiffs in both
consolidated cases voluntarily dismissed without prejudice the
claims against those Kinder Morgan, Inc. directors who did not
participate in the buyout, including the dismissal of the members
of the special committee of the board of directors, Kinder
Morgan, Inc. and Knight Acquisition, Inc.
In addition, on November 19, 2008, by agreement of the parties,
the Texas trial court issued an order staying all proceedings in
the Texas actions until such time as a final judgment shall be
issued in the Kansas actions. The effect of this stay is that
the consolidated matters will proceed only in the Kansas trial
court.
In February 2009, the parties submitted an agreed upon order
which has been entered by the Kansas trial court certifying a
class consisting of "All holders of Kinder Morgan, Inc. common
stock, during the period of August 28, 2006, through May 30,
2007, and their transferees, successors and assigns. Excluded
from the class are defendants, members of their immediate
families or trusts for the benefit of defendants or their
immediate family members, and any majority-owned affiliates of
any defendant."
The parties agreed that the certification and definition of the
above class was subject to revision and without prejudice to
defendants' right to seek decertification of the class or
modification of the class definition.
Kinder Morgan Management, LLC -- http://www.kindermorgan.com/--
is a limited partner in Kinder Morgan Energy Partners, L.P., and
manages and controls its business and affairs pursuant to a
delegation of control agreement. As of Dec. 31, 2007, the
Company owned approximately 29.2% of Kinder Morgan Energy
Partners, L.P.'s limited partner interests. Kinder Morgan
Energy Partners, L.P. is the owner and operator of an
independent refined petroleum products pipeline system in the
U.S. The Company's voting shares are owned by Kinder Morgan,
G.P., Inc., of which Knight Inc. owns all the outstanding common
equity. Kinder Morgan G.P., Inc. is the general partner of
Kinder Morgan Energy Partners, L.P. Kinder Morgan, Inc., is an
energy transportation and storage company in North America,
operating, either for itself or on behalf of Kinder Morgan
Energy Partners, L.P. On April 30, 2007, the Company acquired
the Trans Mountain pipeline system from Knight Inc.
LIMITED BRANDS: IBEW Local 697 Pension Fund Files Suit in Ohio
--------------------------------------------------------------
Limited Brands, Inc., is facing a class action suit filed by the
International Brotherhood of Electrical Workers Local 697 Pension
Fund, according to the company's Dec. 4, 2009, Form 10-Q filing
with the U.S. Securities and Exchange Commission for the quarter
ended Oct. 31, 2009.
On Nov. 6, 2009, a class action styled International Brotherhood
of Electrical Workers Local 697 Pension Fund v. Limited Brands,
Inc. et al., was filed against the company and certain of its
officers in the U.S. District Court for the Southern District of
Ohio on behalf of a purported class of all persons who purchased
or acquired shares of Limited Brands common stock between Aug.
22, 2007 and Feb. 28, 2008.
Limited Brands, Inc. -- http://www.limitedbrands.com/-- is a
specialty retailer of women's intimate and other apparel, beauty
and personal care products and accessories under various trade
names. The company sells its merchandise through the retail
stores in the United States and Canada, which are primarily mall-
based, and through its Websites and catalogues. As of Jan. 31,
2009, the company conducted business in two segments: Victoria's
Secret and Bath & Body Works. During the fiscal year ended Jan.
31, 2009 (fiscal 2008), the Victoria's Secret segment operated
1,043 stores in the United States and 322 stores in Canada. The
Bath & Body Works operated 1,638 stores in the United States
during fiscal 2008.
NORTHWEST BANCORP: Notice of ATM Fee Class Action Settlement
------------------------------------------------------------
NOTICE OF CLASS ACTION SETTLEMENT
This notice may affect your rights.
Please read carefully.
IN THE UNITED STATES DISTRICT COURT
WESTERN DISTRICT OF PENNSYLVANIA
IN RE: DRAGOTTA v. NORTHWEST )
BANCORP d/b/a NORTHWEST SAVINGS ) CASE NO.: 09-CV-632
BANK )
SUMMARY NOTICE OF CERTIFIED CLASS ACTION SETTLEMENT
A settlement has been proposed in a class action lawsuit
filed by Matthew Dragotta ("Plaintiff'), on behalf of all members
of the class against Northwest Bancorp, Inc. d/b/a Northwest
Savings Bank ("NSB") asserting that NSB violated certain
requirements of the Electronic Funds Transfer Act ("EFTA").
WHO IS INCLUDED? All non-Northwest Savings Bank customers
who were charged a transaction fee at seven (7) ATMs operated by
Northwest Savings Bank between May 21, 2008 and June 30, 2009,
MAY BE ELIGIBLE TO RECEIVE A SETTLEMENT CHECK, as set forth
below. If you qualify, you may send in a claim form to get
benefits, or you can exclude yourself from the settlement, or
object to it. The seven (7) ATMs are located at: (1) 414 Beaver
Road, Sewickley, PA 15143; (2) 151 Pittsburgh Road, Butler, PA
16001; (3) 1919 Minno Drive, Johnstown, PA 15905; (4) 1091
Eichelberger Street, Hanover, PA 17331; (5) 325 Center Street,
Chardon, OH 44024; (6) 2981 Delaware Avenue, Kenmore, NY 14217;
(7) 3517 Union Road, Cheektowaga, NY 14225. If you believe you
are a member of the class, you may view the Full Notice and print
a claim form online at http://www.carlsonlynch.com/or you can
request a copy of the Full Notice and Claim Form by calling Class
Counsel at 1-800-467-5241, or e-mailing Class Counsel at:
bcarlson@carlsonlynch.com
WHAT DOES THE SETTLEMENT PROVIDE? Under the terms of the
settlement, NSB has created a settlement fund in the amount of
$23,588, which represents $1.00 per non-customer transaction at
the seven (7) ATMs during the relevant time period. Eligible
class members who submit a timely and valid claim are eligible to
receive up to a maximum amount of $75.00 from the settlement
fund; A Full Notice describing the Settlement in more detail is
available at the website above. WHAT ARE YOUR OTHER OPTIONS? If
you do not want to be legally bound by the settlement, you must
exclude yourself by January 22, 2010, or you won't be able to
sue, or continue to sue, NSB about the legal claims in this case.
If you exclude yourself, you can't get a Settlement Check from
this settlement. If you stay in the settlement, you may object to
it by January 22, 2010. The Full Notice contains important
information regarding the rights, obligations, requirements, and
deadlines for class members to participate in the Settlement, to
exclude themselves from the Settlement, or to object. If you wish
to communicate with class counsel identified above, you may do so
by writing to:
R. Bruce Carlson, Esq.
CARLSON LYNCH LTD
231 Melville Lane
P.O. Box 367
Sewickley, PA 15143
Alternatively, you may call the offices of the firm at its toll
free number 1-800-467-5241.
IF YOU HAVE ANY QUESTIONS OR CONCERNS, ADDRESS ALL INQUIRIES
IN THE MANNER SET FORTH ABOVE. THE COURT AND THE CLERK WILL NOT
ANSWER LEGAL QUESTIONS FROM INDIVIDUAL CLAIMANTS. BY ISSUING THIS
NOTICE, THE COURT EXPRESSES NO OPINION AS TO THE MERITS OF ANY
CLAIMS OR DEFENSES ASSERTED IN THIS CIVIL ACTION. PLEASE DO NOT
CONTACT THE COURT.
MARSH & MCLENNAN: Notice of Proposed ERISA Litigation Settlement
----------------------------------------------------------------
UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
In re Marsh ERISA Litigation ) Master File No.: 04 cv 8157
TO ALL MEMBERS OF THE FOLLOWING CLASS:
ALL CURRENT OR FORMER PARTICIPANTS IN OR BENEFICIARIES OF
THE MARSH & MCLENNAN COMPANIES, INC. STOCK INVESTMENT PLAN
(WHICH IS REFERRED TO HEREIN AS THE "PLAN"), WHOSE
INDIVIDUAL PLAN ACCOUNT(S) INCLUDED INVESTMENTS IN MARSH &
MCLENNAN COMPANIES, INC. ("MMC") STOCK AT ANY TIME DURING
THE PERIOD JULY 1, 2000 AND JANUARY 31, 2005, INCLUSIVE (THE
"CLASS PERIOD") AND ALL BENEFICIARIES, ALTERNATE PAYEES,
REPRESENTATIVES, AND SUCCESSORS-IN-INTEREST OF ANY SUCH
PERSON (COLLECTIVELY, THE "SETTLEMENT CLASS").
PLEASE READ THIS NOTICE CAREFULLY.
THIS IS A COURT-ORDERED LEGAL NOTICE.
THIS IS NOT A SOLICITATION.
A proposed Settlement has been preliminarily approved by a
federal court in the above-captioned class action lawsuit
alleging breaches of fiduciary duties under the Employee
Retirement Income Security Act of 1974, as amended ("ERISA"), in
connection with the Plan identified above. The terms of the
Settlement are contained in a Stipulation and Agreement of
Settlement, dated November 9, 2009 (the "Settlement Agreement"),
a copy of which is available at www.marshERISAsettlement.com or
by contacting Plaintiffs' Lead Counsel identified below.
Capitalized terms used in this Publication Notice and not defined
herein have the meanings assigned to them in the Settlement
Agreement.
The proposed Settlement provides for a payment of $35
million to settle all claims against all Defendants. Under the
proposed Settlement, the proceeds, net of expenses described in
the Settlement Agreement (which include notice and administrative
expenses, Court-approved attorneys' fees and expenses and Named
Plaintiff case contribution awards, taxes and other costs related
to the Settlement Fund administration), will be paid to the Plan
and allocated to the Plan account(s) of members of the Settlement
Class whose Plan account(s) suffered losses as the result of
investing in MMC stock during the Class Period in accordance with
a Plan of Allocation as approved by the Court.
If you qualify, you will receive such an allocation. You do
not need to submit a claim or take any other action unless you
wish to object to the Settlement. The United States District
Court for the Southern District of New York (the "Court")
authorized this Notice.
THE COURT WILL HOLD A HEARING AT 10:00 A.M. ON JANUARY 29,
2010, TO DECIDE WHETHER TO APPROVE THE SETTLEMENT.
ADDITIONAL INFORMATION CONCERNING THE PROPOSED SETTLEMENT,
INCLUDING THE NOTICE OF CLASS ACTION SETTLEMENT THAT HAS BEEN
MAILED TO SETTLEMENT CLASS MEMBERS THAT EXPLAINS HOW CLASS
MEMBERS CAN OBJECT TO THE SETTLEMENT AND THE SETTLEMENT
AGREEMENT, IS AVAILABLE AT WWW.MARSHERISASETTLEMENT.COM. IN
ADDITION, PLAINTIFFS' LEAD COUNSEL HAS ESTABLISHED A TOLL-FREE
NUMBER, (800) 332-9084, AND EMAIL ADDRESS,
EMAIL@MARSHERISASETTLEMENT.COM, TO ASSIST IN ANSWERING QUESTIONS
REGARDING THE SETTLEMENT. YOU MAY ALSO CONTACT PLAINTIFFS' LEAD
COUNSEL AT:
Lynn Lincoln Sarko, Esq.
Ron Kilgard, Esq.
Cari Laufenberg, Esq.
KELLER ROHRBACK L.L.P.
1201 Third Avenue, Suite 3200
Seattle, WA 98101
Fax: (206) 623-3384
Please direct questions to Plaintiffs' Lead Counsel and not
to the Court.
DATED: DECEMBER 8, 2009 By Order of the Court
MDL 1791: Feds Challenged in Bid to Dismiss Wiretapping Suit
------------------------------------------------------------
Annie Youderian at Courthouse News Service reports that the
government can't use national security to justify its illegal
wiretapping program, class-action attorneys argued in their bid
to block the government from using the state secrets privilege to
have the case dismissed.
"The United States instituted a massive, criminal, domestic
spying program that monitors millions of telephone and Internet
communications of ordinary Americans," class counsel argued in a
memo opposing the government's motion to dismiss filed in In re
National Security Agency Telecommunications Records Litigation,
MDL No. 1791; Master Docket No. 06-cv-1791 (N.D. Calif.) (Walker,
J.).
The sweeping surveillance program was allegedly implemented under
the previous Bush administration, in response to the Sept. 11
terrorist attacks.
The plaintiffs say the Obama administration, like its
predecessor, wants the case dismissed on the basis that revealing
details of the surveillance would endanger national security.
"In defendants' view, any illegal conduct, any unconstitutional
conduct -- no matter how many people if affects, no matter how
violative it is of fundamental rights -- cannot be stopped, or
even revealed, so long as revelation of the conduct might harm
national security," according to the memo filed in San Francisco
Federal Court (original emphasis). "That is not, and cannot be,
the law."
The plaintiffs rejected the government's claim to sovereign
immunity under the Foreign Intelligence Surveillance Act as a
"rehash of arguments already rejected by the Court."
"Even worse is the President's limitless assertion of power," the
memo states.
"A secret program by the Executive to put a camera in every
American's bedroom could not be revealed, if to reveal it might
harm national security. A secret program by the Executive to
abduct and torture Americans could not be revealed, challenged,
much less stopped, if to reveal it might harm national security.
The Executive simply offers no limiting principle -- none -- for
its breathtaking extension of the state secrets privilege"
The Plaintiffs ask the Court to dismiss the government's motion
in its entirety.
The Plaintiffs are represented by:
Illann M. Maazel, Esq.
Matthew D. Brinckerhoff, Esq.
EMERY CELLI BRINCKERHOFF & ABADY LLP
75 Rockefeller Plaza, 20th Floor
New York, NY 10019
Telephone: 212-763-5000
MICROSOFT CORP: Disgruntled Sidekick Users Sue in Cook County
-------------------------------------------------------------
The Chicago Sun-Times reports that a class action lawsuit has
been filed against Microsoft by disgruntled Sidekick users who
lost all their mobile data a few months ago.
According to the suit, filed Tuesday in Cook County Circuit
Court, Terrence Taraszka, Katie Taraszka, Adam Beckelman and
Michael Guerrero -- and others like them -- lost e-mail and text
messages, contact information, phonebooks, calendars, notes, and
favorite internet addresses stored in their Sidekick mobile
phones when Microsoft and Danger, Inc.'s data servers failed on
Oct. 2, 2009.
Microsoft was upgrading its storage network and failed to backup
Sidekick files, resulting in the lost data, which was never
recovered, the suit said.
The one-count suit -- claiming negligence -- seeks an unspecified
amount plus legal fees.
NPC INTERNATIONAL: Continues to Defend Suit Over FLSA Violations
----------------------------------------------------------------
NPC International, Inc., continues to defend a purported class-
action lawsuit alleging violations of the Fair Labor Standards
Act, according to the company's Nov. 13, 2009, Form 10-Q filing
with the U.S. Securities and Exchange Commission for the quarter
ended Sept. 29, 2009.
On May 12, 2009, a lawsuit against the company, entitled Jeffrey
Wass, et al. v. NPC International, Inc., Case No. 2:09-CV-2254-
JWL-KGS, was filed in the U.S. District Court for the District of
Kansas.
An Amended Complaint, entitled Jeffrey Wass and Mark Smith, et
al. v. NPC International, Inc., was filed on July 2, 2009.
Plaintiffs have brought the action individually and on behalf of
similarly situated employees who work or previously worked as
delivery drivers for NPC.
The Amended Complaint states that the lawsuit is brought as a
collective action under the Fair Labor Standards Act to recover
unpaid wages and excessive deductions owed to plaintiffs and
similarly situated workers employed by NPC in 28 states, and as a
class action under Colorado law on behalf of one of the
plaintiffs and all other similarly situated workers employed by
NPC in Colorado to recover unpaid minimum wages and excess
payroll deductions and certain costs relating to uniforms and
special apparel.
The Amended Complaint alleges among other things that NPC
deprived plaintiffs and other NPC delivery drivers of minimum
wages by providing insufficient reimbursements for automobile and
other job-related expenses incurred for the purposes of
delivering NPC's pizza and other food items.
With respect to the claim under the FLSA, the Amended Complaint
seeks compensatory damages, liquidated damages, attorneys' fees
and costs, and pre-judgment and post-judgment interest.
With respect to the claim under Colorado law, the Amended
Complaint seeks compensatory damages, costs of litigation, and
pre-judgment and post-judgment interest.
For more details, contact:
George A. Hanson, Esq.
STUEVE SIEGEL HANSON LLP
460 Nichols Road Suite 200
Kansas City, MO 64112
Phone: 816-714-7100X115
Fax: 816-714-7101
- and -
Mark A. Potashnick, Esq.
WEINHAUS & POTASHNICK
11500 Olive Blvd., Suite 133
St. Louis, MO 63141
Phone: 314-997-9150
Fax: 314-997-9170
ORGANIC COMPLEXION: N.J. Suit Says "Buy One Get Two" is Deceptive
-----------------------------------------------------------------
Courthouse News Service reports that Organic Complexion inflates
the prices of the stuff it pushes in a deceptive "buy one get one
free" campaign, according to a class action in Bergen County
Court, Hackensack, N.J.
PEPSI BOTTLING: Preliminary Settlement of Investor Suits Approved
-----------------------------------------------------------------
Phil Milford at Bloomberg News reports that Pepsi Bottling Group
Inc. and PepsiAmericas Inc. won preliminary approval to settle In
re The Pepsi Bottling Group Inc. Shareholders Litigation, Case
No. 4526 (Del. Ch. Ct.), and In re PepsiAmericas Inc.
Shareholders Litigation, Case No. 4530 (Del. Ch. Ct.), filed by
investors challenging a buyout bid by PepsiCo Inc., the world's
largest snack maker.
PepsiCo, based in Purchase, New York, made offers for the
remaining shares in its two largest bottlers in April. Six
pension funds sued, seeking more money in the $7.8 billion deal,
which may close next year. They agreed to settle the case, in
part, for $7.75 million in legal fees, court papers reviewed by
Bloomberg News show.
Delaware Chancery Court Judge Leo Strine Jr. said in a ruling
last week that he will consider whether the settlement is "fair,
reasonable, adequate and in the best interests" of the bottlers'
stockholders at an April 12 hearing.
"It's premature to comment because we have not yet officially
settled" pending court approval, said Dave DeCecco, a PepsiCo
spokesman, told Bloomberg News. Mary Viola, a PepsiAmericas
spokeswoman in Minneapolis, didn't immediately return Bloomberg's
voice or e-mail messages seeking comment on settlement.
Under the settlement pact, the companies agreed to allow
shareholders' lawyers to review additional information about the
buyout, according to a Nov. 25 court filing. They also will
reduce the potential Pepsi Bottling breakup fee to $115 million
from $165.3 million and cut the PepsiAmericas breakup fee to $50
million from $71.6 million.
PREDICTOMOBILE: Sued, with NextWeb, for Bogus Billings
------------------------------------------------------
Courthouse News Service reports that PredictoMobile and NextWeb
Media are the latest companies to be accused of billing people
for "services" they didn't order and don't want, in a class
action in Dane County Court, Madison, Wisc.
A copy of the Complaint in Walker v. PredictoMobile, LLC, and
NextWeb Media, LLC, Case No. 09CV5954 (Wisc. Cir. Ct., Dane
Cty.), is available at:
http://www.courthousenews.com/2009/12/07/CellBills.pdf
The Plaintiff is represented by:
Frank Jablonski, Esq.
PROGRESSIVE LAW GROUP LLC
354 W. Main Street
Madison, WI 53703
Telephone: 608-258-8511
ROYAL BANK: Investors' Suit May Be Transferred from U.S. to U.K.
----------------------------------------------------------------
Ben Roberts at ISJ.tv reports that the class action lawsuit by
two UK pension funds against Royal Bank of Scotland launched in a
U.S. court last March could be testified in Britain following new
plans from the plaintiffs' law firm.
Coughlin Stoia Geller Rudman and Robbins, the California firm
that is representing the Merseyside and North Yorkshire council
schemes in claims of misleading information from the bank,
revealed in a confidential client communication reported by
Responsible-Investor.com that only domestic investors could sue
RBS in the US. See http://www.responsible-investor.com/home/article/rbs/
US attorneys are working with Cherie Blair, Q.C. wife of former
UK Prime Minister, Tony Blair, about transferring the lawsuit to
the High Court in London.
The funds maintain that they were misled as to the exposure of
the bank to sub-prime mortgages, causing significant losses to
scheme members when the bank was bailed out by the UK government
in October 2008. The bank is currently 70% owned by the taxpayer.
Moving the case to British shores could prove a landmark for the
UK legal system. Class actions - whereby a group of plaintiffs
collectively bring a claim to court for common injury of the same
defendant - are predominantly US phenomena, with traditionally no
legal facility in the UK.
However, the Queen's speech last month relaxed rules to allow UK
investors to claim from financial institutions.
The two funds are joined in the lawsuit -- otherwise know as a
'representative action' -- by MN Services, a Dutch pension fund
investment firm, and more pension schemes are said to be
considering joining the action.
In May a US judge dismissed the case on the grounds that
plaintiffs would have had to have bought shares in RBS on the New
York Stock Exchange, and instead gave class action status to a
similar claim against the bank by the Massachusetts Pension
Reserves Investment Management Board and Mississippi Public
Employees' Retirement System.
Coughlin is best known for having secured USD7 billion in
compensation for investors mis-represented in the Enron scandal.
It has confirmed that a class action might be possible to launch
in the UK, and that all plaintiffs will have control of their
individual participation.
SIMON & SCHUSTER: Recalls 142,000 Monday the Bullfrog Plush Books
----------------------------------------------------------------
The U.S. Consumer Product Safety Commission, in cooperation with
Simon & Schuster Inc., of New York, N.Y., announced a voluntary
recall of about 142,000 Monday the Bullfrog Plush Books.
Consumers should stop using recalled products immediately unless
otherwise instructed.
The plastic eye on the frog can detach, which may pose a choking
hazard to young children.
Simon & Schuster has received reports of three plastic eyes that
detached after use and one unit that was packaged with a detached
eye. No injuries have been reported.
Monday the Bullfrog is a plush puppet bullfrog with a board book
attached to the frog's mouth. It was sold in clear plastic
packaging, and the book is marked with ISBN numbers 10:
1416912312 and 13: 9781416912316 printed inside the mouth of the
bullfrog. A picture of the recalled product is available at
http://www.cpsc.gov/cpscpub/prerel/prhtml10/10059.html
The recalled items were manufactured in China and sold at
bookstores and retailers nationwide and online from January 2006
through November 2009 for about $18.
Consumers should immediately place the product out of a child's
reach and contact Simon & Schuster for a free replacement
product. For more information, call Simon & Schuster at
(800) 732-9531 between 8:30 a.m. and 5:00 p.m., Eastern time,
Monday through Friday or visit the company's Web site at
http://kids.simonandschuster.com/
SOLVAY PHARMACEUTICAL: Calif. Court Approves Estratest Settlement
-----------------------------------------------------------------
On December 2, 2009, the Los Angeles Superior Court granted final
approval to the Settlement in Alexanger, et al. v. Solvay
Pharmaceuticals, Inc., Case No. BC 300364 (Calif. Super. Ct., Los
Angeles Cty.). Claims from Settlement Class members must be
postmarked no later than February 12, 2010.
Pursuant to the Settlement Solvay has paid $30 million into a
Settlement Fund which will be used to pay (1) claims for any
person or Third Party Payor who paid any part of the cost of
Estratest, purchased in California at any time since August 7,
1999, (2) costs of administration, notice, reasonable attorneys'
fees and costs and (3) incentive awards to Class representatives.
The Court also approved the payment of $9 million to the
plaintiffs' lawyers, which is 30% of the settlement amount, and
represents a multiplier of 1.6 of the hourly-based lodestar
amounts the lawyers billed.
Gilardi & Co. LLC hosts and maintains a Web site at:
http://www.estratestlitigation.com/
to share information about this matter.
STAPLES INC: To Defend Overtime-Related Lawsuits
------------------------------------------------
Staples, Inc., intends to defend overtime-related class action
lawsuits, according to the company's Nov. 30, 2009, Form 10-Q
filing with the U.S. Securities and Exchange Commission for the
quarter ended Oct. 31, 2009.
The company faces several class action lawsuits filed in various
states, where the plaintiffs allege the company failed to comply
with federal and state overtime laws and that it failed to pay
them overtime.
The complaints generally seek unspecified monetary damages.
Staples, Inc. -- http://www.staples.com/-- is an office products
company. Staples, Inc. and its subsidiaries are engaged in
providing a range of office products, including supplies,
technology, furniture and business services. The company
operates three business segments: North American Delivery, North
American Retail, and International Operations.
T-MOBILE USA: N.J. Judge Enjoins Request for Fees in Calif. Case
----------------------------------------------------------------
Mary Pat Gallagher at the New Jersey Law Journal reports that a
federal judge in New Jersey has nixed an attempt by lawyers
unhappy with their fees from a $13.5 million class action
settlement with T-Mobile to re-litigate the issue in California
state court.
U.S. District Judge Jose Linares on Tuesday granted T-Mobile's
motion to block what it called an attempted "do-over" on the fees
that would violate the national settlement, undermine his
jurisdiction and waste court resources.
The lawyers, who are non-class counsel in a suit over the $200 T-
Mobile charges for opting out of a cell phone plan before the end
of the contract, wanted about 80 percent of the $4.5 million in
fees awarded in the settlement of Milliron v. T-Mobile USA, Inc.,
Case No. 08-cv-4149 (D. N.J.), which Judge Linares approved Sept.
10.
The lawyers, dubbed the "California Counsel," claimed their work
on similar state court suits against T-Mobile in California and
Florida paved the way for the national settlement. The attorneys,
hailing from California, New York, New Jersey and other states,
include Bramson, Plutzik, Mahler & Birkhaeuser of Walnut Creek,
Calif.; Scott Bursor of New York; Lite DePalma Greenberg & Rivas
of Newark; and Pinilis Halpern of Morristown, N.J.
Judge Linares awarded them a combined $720,000, or 16 percent of
the fee award, based on the proportion of the nationwide class
residing in California. He left it for class counsel to decide on
how to distribute the rest of the fee pot.
The California counsel appealed that decision to the U.S. Court
of Appeals for the Third Circuit. They also obtained permission
from the California court, on Oct. 26, to file a fee application
there.
But Judge Linares on Tuesday enjoined all attorneys of record in
the California case "and all other persons acting in concert with
them . . . from making or pursuing an application for attorney
fees in connection with their work in [Vaughan v. T-Mobile USA,
Case No. RG03108118 (Calif. Super. Ct., Alameda Cty.)]."
The Anti-Injunction Act generally prohibits federal courts from
staying state court proceedings, but Judge Linares said the act's
re-litigation exception applied.
He noted that the settlement approved in September released all
claims in the Vaughan case, including those for attorney fees,
and also provided that any legal-fee claims not submitted to
class counsel by a certain date would be deemed waived. In
addition, the California counsel did not object to or oppose the
settlement at the final approval hearing but argued that the
deal, including the $4.5 million in fees, was fair and
reasonable, Judge Linares said.
The lawyers are making the same arguments in the California court
as they made during the approval process, he noted. "California
counsel's attempt to enlarge the size of the pot by seeking
additional fees directly from the Defendant in California state
court would interfere with this Court's September 10, 2009 Order
directing both the total amount of the award, as well as the
specific allocation of fees," he wrote.
The California counsel claim they spent more than 6,000 hours and
laid the groundwork for the settlement in New Jersey by fending
off two T-Mobile defenses, pre-emption and arbitration.
In 2005, the Cellular Telephone & Internet Association, a trade
group that includes T-Mobile, filed a petition with the Federal
Communications Commission for an expedited ruling that would have
blocked the application of state law to invalidate the early
termination fees challenged in the class action.
The petition was withdrawn in June 2009, after what the
California counsel claim was their extensive participation in the
FCC proceedings. The California counsel also defeated a motion to
compel arbitration.
They also pointed to their success in litigation against other
phone companies over termination fees. They settled a case with
Verizon for $21 million. They won class certification in cases
against Sprint, AT&T and Cingular, and in the Sprint case, they
secured a ruling that flat-rate early termination fees are
illegal.
They also talked settlement with T-Mobile before class counsel
were appointed, demanding $49 million and getting a $5 million
counteroffer. T-Mobile never responded to their lowered demand
for $40 million but eventually settled the Milliron case instead.
Despite those successes, Judge Linares rejected their request for
80 percent of the fees in September, saying giving them what they
asked for "would wreak havoc on the practice of class action
litigation." It would allow lawyers who successfully litigated
one state court case to "thereby put a stake in the ground with
respect to fees collected on similar claims in different
jurisdictions," providing a disincentive for lawyers to sue in
other jurisdictions. "In the end, T-Mobile would be forced to
settle with the [California counsel] or not settle at all," Judge
Linares wrote.
It would also reward the lawyers with fees in this case for work
done in other cases against other defendants and interfere with
class counsel's reaping the benefits of the settlement they
obtained, Judge Linares added.
"We respectfully disagree with the ruling, which we believe
doesn't take into account, among other things, the unique aspects
of California law that would apply to the fee applications we
would like to bring in the California state court," Alan Plutzik,
Esq., at Bramson Plutzik told Ms. Gallagher
Mr. Bursor did not return Ms. Gallagher's call for comment, nor
did Nadeem Faruqi, Esq., whose firm, Faruqi & Faruqi in New York,
claimed a $652,550 lodestar for its state-court work.
Class counsel Lindsey Taylor, Esq., of Carella Byrne Bain
Gilfillan Cecchi Stewart & Olstein in Roseland, declined comment,
as does T-Mobile's lawyer, Neal Potischman, Esq., of Davis Polk &
Wardwell in Menlo Park, Calif. Gavin Rooney, Esq., of Roseland's
Lowenstein Sandler, is the company's local counsel.
Many of the same plaintiffs lawyers are also litigating
termination fee claims in New Jersey against other cell phone
carriers. On Jan. 16, Judge Linares granted a motion by Sprint
enjoining them from pursuing summary judgment motions in
California state court to avoid any obstruction to a pending
settlement before him in Larson v. AT&T Mobility, Case No.
07-cv-5325 (D. N.J.).
UNITED STATES: Inks $1.4 Bil. Indian Trust Accounts Settlement
--------------------------------------------------------------
Jordan Weissmann at The National Law Journal reports that after
more than a decade of litigation, U.S. officials announced
Tuesday that the federal government has agreed to pay $1.4
billion to settle claims that it grossly mismanaged Indian trust
accounts asserted in Cobell, et al. v. Kempthorne, et al., Case
No. 96-cv-01285 (D.C.) (Robertson, J.).
The potential settlement, which must still be approved by
Congress and the courts, would bring to a close the long-running
Cobell Indian trust case, and would result in payments to roughly
300,000 individual Indian trust accounts. It would also create a
program to consolidate ownership of Indian trust lands.
The class action, brought in 1996 by Elouise Cobell, alleged that
the Interior Department had been failing for more than a century
to properly disburse payments from a trust fund set up to manage
revenues from Indian land. Cobell had originally sought $58
billion in the case, but last year, Judge James Robertson of the
U.S. District Court for the District of Columbia said the
government was only liable for $455.6 million.
Attorney General Eric Holder Jr. urged Congress to act quickly to
approve the settlement. "Between the settlement and the trust
reform measures that the secretary is announcing today, this
administration is taking concrete steps to redefine the
government's relationship with Native Americans," Mr. Holder
said.
The settlement was announced on Dec. 8 at a joint press
conference with Interior Secretary Ken Salazar and Justice
Department officials.
"This is an historic, positive development for Indian country and
a major step on the road to reconciliation following years of
acrimonious litigation between trust beneficiaries and the United
States," Secretary Salazar said. "Resolving this issue has been a
top priority of President Obama, and this administration has
worked in good faith to reach a settlement that is both honorable
and responsible. This historic step will allow Interior to move
forward and address the educational, law enforcement, and
economic development challenges we face in Indian Country."
"Over the past thirteen years, the parties have tried to settle
this case many, many times, each time unsuccessfully," said
Attorney General Eric Holder. "But today we turn the page. This
settlement is fair to the plaintiffs, responsible for the United
States, and provides a path forward for the future."
Under the negotiated agreement, litigation will end regarding the
Department of the Interior's performance of an historical
accounting for trust accounts maintained by the United States on
behalf of more than 300,000 individual Indians. A fund totaling
$1.4 billion will be distributed to class members to compensate
them for their historical accounting claims, and to resolve
potential claims that prior U.S. officials mismanaged the
administration of trust assets.
In addition, in order to address the continued proliferation of
thousands of new trust accounts caused by the "fractionation" of
land interests through succeeding generations, the settlement
establishes a $2 billion fund for the voluntary buy-back and
consolidation of fractionated land interests. The land
consolidation program will provide individual Indians with an
opportunity to obtain cash payments for divided land interests
and free up the land for the benefit of tribal communities.
By reducing the number of individual trust accounts that the U.S
must maintain, the program will greatly reduce on-going
administrative expenses and future accounting-related disputes.
In order to provide owners with an additional incentive to sell
their fractionated interests, the settlement authorizes the
Interior Department to set aside up to 5 percent of the value of
the interests into a college and vocational school scholarship
fund for American Indian students.
The settlement has been negotiated with the involvement of the
U.S. District Court for the District of Columbia. It will not
become final until it is formally endorsed by the court. Also,
Congress must enact legislation to authorize implementation of
the settlement. Because it is a settlement of a litigation
matter, the Judgment Fund maintained by the U.S. Departments of
Justice and Treasury will fund the settlement.
"While we have made significant progress in improving and
strengthening the management of Indian trust assets, our work is
not over," said Salazar, who also announced he is establishing a
national commission to evaluate ongoing trust reform efforts and
make recommendations for the future management of individual
trust account assets in light of a congressional sunset provision
for the Office of Special Trustee, which was established by
Congress in 1994 to reform financial management of the trust
system.
The class action case, which involves several hundred thousand
plaintiffs, was filed by Elouise Cobell in 1996 in the U.S.
District Court for the District of Columbia and has included
hundreds of motions, dozens of rulings and appeals, and several
trials over the past 13 years. The settlement funds will be
administered by the trust department of a bank approved by the
district court and distributed to individual Indians by a claims
administrator in accordance with court orders and the settlement
agreement.
Interior currently manages about 56 million acres of Indian trust
land, administering more than 100,000 leases and about $3.5
billion in trust funds. For fiscal year 2009, funds from leases,
use permits, land sales and income from financial assets,
totaling about $298 million were collected for more than 384,000
open Individual Indian Money accounts and $566 million was
collected for about 2,700 tribal accounts for more than 250
tribes. Since 1996, the U.S. Government has collected over $10.4
billion from individual and tribal trust assets and disbursed
more than $9.5 billion to individual account holders and tribal
governments.
The land consolidation fund addresses a legacy of the General
Allotment Act of 1887 (known as the "Dawes Act"), which divided
tribal lands into parcels between 40 and 160 acres in size,
allotted them to individual Indians and sold off all remaining
unallotted Indian lands. As the original holders died, their
intestate heirs received an equal, undivided interest in the
lands as tenants in common. In successive generations, smaller
undivided interests descended to the next generation.
Today, it is common to have hundreds -- even thousands -- of
Indian owners for one parcel of land. Such highly fractionated
ownership makes it extremely difficult to use the land
productively or to provide beneficial use for any individual.
Absent serious corrective action, an estimated 4 million acres of
land will continue to be held in such small ownership interests
that very few individual owners will ever derive any meaningful
financial benefit from that ownership.
Additional information is available at http://www.cobellsettlement.com/
which is hosted by The Garden City Group.
If you believe you are an Individual Indian Money Account Holder
or heir of an IIM Account Holder, or have an interest in
individual Indian trust land but have not been receiving
information on your account or trust land from the government you
should register at https://cert.tgcginc.com/iim/register.php to
receive the official Court-approved notice that will be sent out
if the Congress and the Court agree that the process for
approving the Settlement should go forward.
UPS SUPPLY: Settles 660-Employee Overtime Suit for $12.8 Million
----------------------------------------------------------------
Law.com reports that The Recorder reports that a California
federal judge late last week advanced a mediated settlement for
delivery drivers who claimed in Labrie, et al. v. UPS Supply
Chain Solutions, Inc., Case No. 08-cv-03182 (N.D. Calif.)
(Hamilton, J.), they were denied benefits and overtime because
they were misclassified as independent contractors. The
Honorably Phyllis J. Hamilton preliminarily approved the $12.8
million settlement in the class action involving about 660
potential class members. The plaintiffs will ask for up to $1.7
million in attorney fees for California firm Leonard Carder.
New Securities Fraud Cases
CANADIAN SUPERIOR: Coughlin Stoia Files Complaint in S.D.N.Y.
-------------------------------------------------------------
Coughlin Stoia Geller Rudman & Robbins LLP commenced a class
action proceeding in the United States District Court for the
Southern District of New York on behalf of purchasers of the
common stock of Canadian Superior Energy Inc. (AMEX:SNG) between
January 14, 2008, and February 17, 2009, inclusive (the "Class
Period"), seeking to pursue remedies under the Securities
Exchange Act of 1934. Canadian Superior is not named in this
action as a defendant as it sought protection under Canadian
bankruptcy and reorganization laws and has since reorganized.
If you wish to serve as lead plaintiff, you must move the Court
no later than 60 days from today. If you wish to discuss this
action or have any questions concerning this notice or your
rights or interests, please contact plaintiff's counsel,
Samuel H. Rudman, Esq., or David A. Rosenfeld, Esq., of Coughlin
Stoia at 800/449-4900 or 619/231-1058, or via e-mail at
djr@csgrr.com. If you are a member of this Class, you can view a
copy of the complaint as filed or join this class action online
at http://www.csgrr.com/cases/canadiansuperior/
Any member of the putative class may move the Court to serve as
lead plaintiff through counsel of their choice, or may choose to
do nothing and remain an absent class member.
The complaint charges certain of Canadian Superior's former
executives with violations of the Exchange Act. Canadian Superior
engages in the exploration for, acquisition, development, and
production of petroleum and natural gas, and liquefied natural
gas projects primarily in western Canada, offshore Nova Scotia,
offshore Trinidad and Tobago, the United States, and North
Africa.
The complaint alleges that, throughout the Class Period,
defendants failed to disclose material adverse facts about the
Company's true financial condition, business and prospects. On
August 16, 2007, Canadian Superior and Challenger Energy jointly
issued a press release announcing that BG International Limited
entered into a farm-in agreement and joint operating agreement
with Canadian Superior to participate in the exploration drilling
and development of the Intrepid Block 5(c).
Specifically, the complaint alleges that defendants failed to
disclose: (i) that the discovered reserves for Intrepid Block
5(c) were below the economic threshold for development; (ii) that
Canadian Superior had notified BG of its intention to commence a
corporate sale in November 2008 so that it could overcome the
financial constraints that were preventing it from meeting its
funding obligations under the Joint Operating Agreement; (iii)
that Canadian Superior had violated the terms of the Joint
Operating Agreement with BG, thus potentially endangering its
interest in the Joint Venture; (iv) that Canadian Superior failed
to timely pay Maersk, the drilling operator, and potentially
other contractors, thereby jeopardizing the operation of the
Joint Venture; and (v) as a result of the foregoing, defendants
lacked a reasonable basis for their positive statements about the
Company, its prospects and earnings growth.
On February 12, 2009, Canadian Superior issued a press releasing
announcing the "appointment, upon the application of BG of an
interim Receiver of its participating interest in Intrepid Block
5(c). Pursuant to the Court Order, the Receiver, in conjunction
with BG, will operate the property and conduct the flow testing
of the Endeavour well which Canadian Superior believes will
validate its operations to date." In response this announcement,
shares of the Company's stock fell $0.40 per share, or 44%, from
a close of $0.90 per share on February 11, 2009, the last trading
date before the announcement, to close at $0.50 per share, on
extremely heavy trading volume.
On February 17, 2009, Canadian Superior announced that it had
received a demand letter from the Canadian Western Bank for
repayment of all amounts outstanding under Canadian Superior's
$45 million credit facility with the bank by February 23, 2009.
The Company also announced that it was in discussions with
alternative lenders. In response to this announcement, shares of
the Company's stock fell $0.16 per share, or 30%, from a close of
$0.54 per share on February 13, 2009, the last trading date
before the announcement, to close at $0.38 per share, on
extremely heavy trading volume.
Plaintiff seeks to recover damages on behalf of all purchasers of
Canadian Superior common stock during the Class Period. The
plaintiff is represented by Coughlin Stoia, which has expertise
in prosecuting investor class actions and extensive experience in
actions involving financial fraud.
Coughlin Stoia, a 190-lawyer firm with offices in San Diego, San
Francisco, Los Angeles, New York, Boca Raton, Washington, D.C.,
Philadelphia and Atlanta, is active in major litigations pending
in federal and state courts throughout the United States and has
taken a leading role in many important actions on behalf of
defrauded investors, consumers, and companies, as well as victims
of human rights violations. The Coughlin Stoia Web site at
http://www.csgrr.com/has more information about the firm.
Asbestos Litigation
ASBESTOS ALERT: Cambria Contracting Fined for Safety Violations
---------------------------------------------------------------
The U.S. Department of Labor's Occupational Safety and Health
Administration, on Nov. 30, 2009, issued citations to Cambria
Contracting Inc. for 11 alleged willful violations of the OSHA
construction asbestos standard for failing to train and protect
its workers at a Buffalo jobsite, according to an OSHA press
release dated Nov. 30, 2009.
The Lockport, N.Y., demolition contractor faces a total of
US$484,000 in proposed penalties.
Acting Assistant Secretary for OSHA Jordan Barab said, "These
significant penalties reflect the fact that this employer, an
asbestos contractor with extensive knowledge of the OSHA
standards that govern asbestos removal and handling, chose not to
follow these standards and put its workers, including young,
inexperienced college students, in harm's way."
OSHA found that several Cambria Contracting workers, who were
cleaning up debris at the former AM&A department store warehouse
on Washington Avenue, had not been trained in asbestos hazards
and how to protect themselves. The workers also lacked proper
respirators and protective clothing, and had not been informed of
the presence of asbestos at the site.
In addition, the employer failed to determine the asbestos
exposure level and to establish a regulated work area for
asbestos removal and handling. It also did not use vacuums with
HEPA filters to collect debris but used methods to move debris
with asbestos-containing material that typically can cause
asbestos to be released into the air.
Robert Kulick, OSHA's New York regional administrator said, "This
employer knew that training and other safeguards, which are well-
known in the industry, were required, yet chose not to provide
them. That is unacceptable and needlessly placed the health of
these workers at risk."
Arthur Dube, OSHA's Buffalo area director said, "Asbestos is well
recognized as a health hazard since inhalation of asbestos fibers
may lead to lung cancer and other diseases. As exposures
frequently occur during renovation and demolition work, we
strongly urge contractors to ensure that their workers are
adequately trained and protected against asbestos hazards."
Cambria Contracting has 15 business days from receipt of its
citations and proposed penalties to comply, meet with OSHA or
contest the findings before the independent Occupational Safety
and Health Review Commission.
The inspection was conducted by OSHA's Buffalo Area Office;
telephone 716-551-3053.
COMPANY PROFILE:
Cambria Contracting Inc.
5105 Lockport Road
Lockport, N.Y. 14094
Office: 716-625-6690
Fax: 716-625-6693
Toll Free: 1-888-6555-8880
Description:
The Company is a contractor for decommissioning, demolition,
quality remediation, and site preparation services.
ASBESTOS ALERT: Waxport Fined for Merthyr Tydfil Repair Breaches
----------------------------------------------------------------
Waxport Ltd was fined for failing to conduct proper assessments
for the presence of asbestos before a major office refurbishment
in Merthyr Tydfil, Wales, according to a Health and Safety
Executive press release dated Dec. 8, 2009.
Waxport Ltd of Mottingham Road, Edmonton, London pleaded guilty
to breaches of Regulation 4(8) and 4(9) of the Control of
Asbestos Regulations 2006 at Merthyr Tydfil Magistrates' Court
yesterday. They were fined GBP1,000 and ordered to pay costs of
GBP8,416.43.
The Company, which owned Oldway House, an office block in the
center of Merthyr Tydfil, had previously been issued with advice
from a licensed asbestos contractor advising them complete an
asbestos survey before carrying out major refurbishment work in
the building in April 2007.
Waxport commissioned another company to carry out the
refurbishment work, and advised them that asbestos was no longer
present or had been encapsulated in the building. As a result,
work commenced and asbestos was disturbed with work only stopping
when a site worker identified the substance.
HSE Inspector, Dean Baker, said, "The dangers of asbestos are
very well known, but Waxport Ltd failed to carry out a proper
risk assessment putting their own staff, contractors and other
people working in the building at risk of being exposed to
airborne fibers.
"The Company was required to have a comprehensive asbestos
management plan in place identifying where asbestos was located
but they failed to do this. In this case, an asbestos survey was
only carried out after the incident occurred.
"Working on or near damaged asbestos-containing materials or
breathing in high levels of asbestos fibers, which may be many
hundreds of times that of environmental levels could increase
workers' chances of getting an asbestos-related disease."
ASBESTOS UPDATE: RMT & Homrich Settle Wis. Asbestos Violations
-------------------------------------------------------------
Madison, Ill.-based RMT Inc. and Detroit-based Homrich Inc. have
settled with the State of Wisconsin over charges of breaching
asbestos removal rules when demolishing the old Aldrich Chemical
building in downtown Milwaukee, as part of the Marquette
Interchange reconstruction, The Daily Reporter reports.
RMT and Homrich will pay a combined US$60,000 in penalties to
settle charges filed by the Wisconsin Department of Justice. Each
company will pay US$30,000.
In 2002, the Wisconsin Department of Transportation bought the
Aldrich Chemical building because the structure was in the
footprint of the Marquette Interchange reconstruction project.
WisDOT contracted with RMT to inspect the building and oversee
its demolition. RMT hired Homrich to demolish the building. The
demolition project took place between October 2005 and April
2006.
According to the state lawsuit, Wisconsin Department of Natural
Resources inspectors visited the project several times and found
various violations of asbestos remediation rules. According to
the lawsuit, the inspectors saw workers in the driveway outside
of the building using heavy equipment to crush debris that
contained asbestos.
According to the suit, DNR inspectors found areas of the building
that had not been cleared of asbestos but had been approved for
demolition. They also found asbestos-containing material mixed
with other construction debris.
The state also charged Premium Abatement Contracting LLC, of
Brownstown, Mich., with violating state asbestos rules during the
demolition project.
The state sued over the violations in Milwaukee County Circuit
Court on Nov. 11, 2009 and settled the case on Nov. 20, 2009.
ASBESTOS UPDATE: Electrician Files Lawsuit v. HM Prison Service
---------------------------------------------------------------
Terence Clare, a retired electrician from Pontesbury, England,
filed a lawsuit against his former employer, HM Prison Service
for asbestos-related damages, The Shropshire Star reports.
The 73-year-old Mr. Clare launched the legal battle for
compensation of up to GBP150,000. He has malignant mesothelioma.
Mr. Clare claims he was exposed to asbestos dust and fibers when
he worked at HMP Holloway in London from 1976 to 2000, according
to a High Court writ.
ASBESTOS UPDATE: Hopkins's Trial to Continue Until February 2010
----------------------------------------------------------------
Madison County Circuit Judge Barbara Crowder will continue the
trial of an asbestos malpractice lawsuit, involving Hopkins
Goldenberg P.C. as a defendant, until February 2010, The Madison
St. Clair Record reports.
Judge Crowder heard motions in the suit on Nov. 20, 2009. She
also took a motion for partial summary judgment filed Hopkins
under advisement. The firm Hopkins Goldenberg no longer exists.
John Hopkins, Esq., has a law practice in Edwardsville, Ill. Mark
Goldenberg, Esq., is partner at Goldenberg, Heller, Antognoli &
Rowland in Edwardsville, Ill.
Plaintiff Judy Buckles' legal malpractice complaint stems from a
case she filed over her deceased husband's mesothelioma. Mrs.
Buckles settled it for US$750,000. She contends her lawyers did
not secure an adequate settlement.
Mrs. Buckles had sued other attorneys involved in that litigation
along with the Goldenberg firm. Those defendants have since been
dismissed.
Mrs. Buckles' suit against her attorneys was originally filed in
2001. It was re-filed three years ago.
In Hopkins Goldenberg's motion for partial summary judgment, the
firm cited the testimony of Buckles' family and other evidence
that she had found the settlement of her asbestos-related case
satisfactory.
Roy Dripps, Esq., represents Mrs. Buckles. John Papa, Esq.,
represents Hopkins Goldenberg.
ASBESTOS UPDATE: Panolam Ind. Unit Subject to Exposure Lawsuits
---------------------------------------------------------------
Panolam Industries International, Inc.'s subsidiary, Nevamar
Holding Corp., is subject to asbestos-related exposure lawsuits.
During 2006, Nevamar was named a defendant in numerous workers'
compensation claims filed on behalf of current and former
employees at the Hampton, S.C., facility alleging injury in the
course of employment due to alleged exposure to asbestos and
unidentified chemicals.
Under the ownership of Westinghouse Electric Corporation, the
Hampton facility manufactured asbestos-based products until 1975.
In 2004 and 2005, Nevamar, Westinghouse and International Paper
Company (IP) settled 10 workers' compensation claims related to
alleged asbestos exposure.
Under a 2005 agreement with IP, Nevamar's liability for workers
compensation claims related to alleged exposure to asbestos
brought by employees hired before July 1, 2002, was capped at 15
percent of any damages it shares with IP until Nevamar has paid
an aggregate of US$700,000 at which point the Company would have
no responsibility for any additional shared damages.
On Nov. 21, 2008, the Company entered into a settlement agreement
with IP to settle all of these workers' compensation claims for a
cash sum including any related claims that are filed by any
person who was previously employed, was currently employed or
became employed by Nevamar on or before Dec. 31, 2008 for a cash
payment in an amount that had been fully reserved for by the
Company.
Employees hired by Nevamar after Dec. 31, 2008 and who file
claims related to alleged exposure to asbestos are not covered by
this settlement agreement. The Company paid the settlement amount
in November 2008.
Panolam Industries International, Inc. designs, manufactures, and
distributes decorative laminates in the United States and Canada.
Its products are used in commercial and residential indoor
surfacing applications, including kitchen and bath cabinets,
furniture, store fixtures and displays, and other specialty
applications. The Company is based in Shelton, Conn.
ASBESTOS UPDATE: Kaanapali Land, DC Still Facing Exposure Cases
---------------------------------------------------------------
Kaanapali Land, LLC, as successor by merger to other entities,
and D/C Distribution Corporation, a Company subsidiary, have been
named as defendants in personal injury actions allegedly based on
exposure to asbestos.
While there are a few such cases that name the Company, there are
a substantial number of cases that are pending against D/C on the
U.S. mainland (primarily in California). Cases against the
Company are allegedly based on its prior business operations in
Hawaii and cases against D/C are allegedly based on sale of
asbestos-containing products by D/C's prior distribution business
operations primarily in California.
On Feb. 15, 2005, D/C was served with a lawsuit entitled American
& Foreign Insurance Company v. D/C Distribution and Amfac
Corporation, Case No. 04433669 filed in the Superior Court of the
State of California for the County of San Francisco, Central
Justice Center. No other purported party was served.
In the eight-count complaint for declaratory relief,
reimbursement and recoupment of unspecified amounts, costs and
for such other relief as the court might grant, plaintiff alleged
that it is an insurance company to whom D/C tendered for defense
and indemnity various personal injury lawsuits allegedly based on
exposure to asbestos containing products.
Plaintiff alleged that because none of the parties have been able
to produce a copy of the policy or policies in question, a
judicial determination of the material terms of the missing
policy or policies is needed.
Plaintiff sought a declaration: of the material terms, rights,
and obligations of the parties under the terms of the policy or
policies; that the policies were exhausted; that plaintiff was
not obligated to reimburse D/C for its attorneys' fees in that
the amounts of attorneys' fees incurred by D/C have been incurred
unreasonably; that plaintiff was entitled to recoupment and
reimbursement of some or all of the amounts it has paid for
defense and/or indemnity; and that D/C breached its obligation of
cooperation with plaintiff. D/C filed an answer and an amended
cross-claim.
In addition, D/C believed that it was entitled to amounts from
plaintiffs for reimbursement and recoupment of amounts expended
by D/C on the lawsuits previously tendered. In order to fund such
action and its other ongoing obligations while such lawsuit
continued, D/C entered into a Loan Agreement and Security
Agreement with the Company, in August 2006, whereby the Company
provided certain advances against a promissory note delivered by
D/C in return for a security interest in any D/C insurance policy
at issue in this lawsuit. In June 2007, the parties settled this
lawsuit with payment by plaintiffs in the amount of US$1,618,000.
Because D/C was substantially without assets and was unable to
obtain additional sources of capital to satisfy its liabilities,
D/C filed with the U.S. Bankruptcy Court, Northern District of
Illinois, its voluntary petition for liquidation under Chapter 7
of the U.S. Bankruptcy Code in July 2007, Case No. 07-12776.
The deadline for filing proofs of claim against D/C with the
bankruptcy court passed in October 2008. Prior to the deadline,
the Company filed claims that aggregated about US$26.8 million,
relating to both secured and unsecured intercompany debts owed by
D/C to the Company.
In addition, a personal injury law firm based in San Francisco
that represents clients with asbestos-related claims, filed
proofs of claim on behalf of about 700 claimants.
Kaanapali Land, LLC's operations are in two business segments:
Agriculture and Property. The Agriculture segment grows seed corn
and soybeans under contract and leases or provides harvesting
rights to a third party on certain lands cultivated in or used
for the processing of coffee. The Property segment develops land
for sale and negotiates bulk sales of undeveloped land. The
Company is based in Chicago.
ASBESTOS UPDATE: ArvinMeritor Records $61M Liability at Sept. 30
----------------------------------------------------------------
ArvinMeritor, Inc.'s long-term asbestos-related liabilities were
US$61 million as of Sept. 30, 2009, compared with US$64 million
as of Sept. 30, 2008, according to the Company's annual report
filed with the Securities and Exchange Commission on Nov. 19,
2009.
The Company's current asbestos-related liabilities were US$16
million as of Sept. 30, 2009, compared with US$15 million as of
Sept. 30, 2008.
The Company's long-term asbestos-related recoveries were US$47
million as of Sept. 30, 2009, compared with US$44 million as of
Sept. 30, 2008.
The Company's current asbestos-related recoveries were US$8
million as of Sept. 30, 2009, the same as for the period ended
Sept. 30, 2008.
ArvimMeritor, Inc. supplies integrated systems, modules and
components to original equipment manufacturers (OEMs) and the
aftermarket for the commercial vehicle, transportation and
industrial sectors. The Company is based in Troy, Mich.
ASBESTOS UPDATE: Maremont Facing 26T Pending Claims at Sept. 30
---------------------------------------------------------------
ArvinMeritor, Inc.'s subsidiary, Maremont Corporation, faced
26,000 pending asbestos-related claims at Sept. 30, 2009,
compared with 35,000 pending claims at Sept. 30, 2008.
Maremont manufactured friction products containing asbestos from
1953 through 1977, when it sold its friction product business.
Arvin Industries, Inc., a predecessor of the Company, acquired
Maremont in 1986.
Maremont and many other companies are defendants in suits brought
by individuals claiming personal injuries as a result of exposure
to asbestos-containing products. Although Maremont has been named
in these cases, in the cases where actual injury has been
alleged, very few claimants have established that a Maremont
product caused their injuries.
Maremont's reserves for pending asbestos claims were US$61
million as of Sept. 30, 2009, compared with US$53 million as of
Sept. 30, 2008.
Maremont's asbestos-related insurance recoveries were US$43
million as of Sept. 30, 2009, compared with US$36 million as of
Sept. 30, 2008.
ArvimMeritor, Inc. supplies integrated systems, modules and
components to original equipment manufacturers (OEMs) and the
aftermarket for the commercial vehicle, transportation and
industrial sectors. The Company is based in Troy, Mich.
ASBESTOS UPDATE: ArvinMeritor Records $16Mil Rockwell Liability
---------------------------------------------------------------
ArvinMeritor, Inc., at both Sept. 30, 2009 and Sept. 30, 2008,
recorded a US$16 million liability for defense and indemnity
costs associated with Rockwell Automation, Inc. asbestos-related
claims.
The Company, along with many other companies, has been named as a
defendant in lawsuits alleging personal injury as a result of
exposure to asbestos used in certain components of Rockwell
products many years ago. Liability for these claims was
transferred to the Company at the time of the spin-off of the
automotive business to Meritor from Rockwell in 1997.
Currently there are thousands of claimants in lawsuits that name
the company, together with many other companies, as defendants. A
significant portion of the claims do not identify any of
Rockwell's products or specify which of the claimants, if any,
were exposed to asbestos attributable to Rockwell's products, and
past experience has shown that most of the claimants will likely
never identify any of Rockwell's products.
Rockwell maintained insurance coverage that management said it
believes covers indemnity and defense costs, over and above self-
insurance retentions, for most of these claims. The Company has
initiated claims against these carriers to enforce the insurance
policies. The Company expects to recover some portion of defense
and indemnity costs it has incurred to date, over and above self-
insured retentions, and some portion of the costs for defending
asbestos claims going forward.
Accordingly, the Company has recorded an insurance receivable
related to Rockwell legacy asbestos-related liabilities of US$12
million at Sept. 30, 2009 and US$16 million at Sept. 30, 2008.
The decrease in the receivable at Sept. 30, 2009 is primarily
related to revised estimates associated with the recovery from
insurers of costs incurred to date.
ArvimMeritor, Inc. supplies integrated systems, modules and
components to original equipment manufacturers (OEMs) and the
aftermarket for the commercial vehicle, transportation and
industrial sectors. The Company is based in Troy, Mich.
ASBESTOS UPDATE: James Hardie Cites $62.7M Adjustment in 2nd-Q.
---------------------------------------------------------------
James Hardie Industries N.V.'s asbestos adjustments were US$62.7
million during the 2nd-quarter of fiscal year 2010, according to
a Company press release dated Nov. 25, 2009.
During the half of fiscal year 2010, the Company recorded
adjustments of US$182.5 million.
Since the Asbestos Injuries Compensation Fund (AICF) was
established in 2007, the Company has contributed AUS302 million
to the fund. In fiscal year 2010, contributions to the AICF were
restricted by the decline in the Company's cash flow as a result
of the unprecedented downturn in the U.S. housing markets.
On April 23, 2009, the Company and the New South Wales (NSW)
Government were advised by the AICF that its Board had determined
that it was reasonably foreseeable that, within two years, the
available assets of the AICF were likely to be insufficient to
fund the payment of all reasonably foreseeable liabilities.
On Nov. 7, 2009, the NSW Government and the Australian Government
advised that the Australian Government will loan up to AUD160
million to the NSW Government to contribute towards a standby
loan facility of up to AUD320 million that the NSW Government
will make available to the AICF.
The proposed standby loan facility will enable the AICF to meet a
short-term funding shortfall, and to continue to make payments in
full.
The Company will now work with the AICF, the NSW Government and
the Australian Government to finalize the terms and documentation
of the proposed standby loan facility. Acknowledging the standby
loan facility, the Company reiterated its commitment to the
Amended and Restated Final Funding Agreement (Amended FFA)
negotiated between the Company, the AICF and the NSW Government.
Furthermore, based on its fiscal year results to date, the
Company anticipates that it will make a contribution to the AICF
in 2010 in accordance with the Amended FFA.
James Hardie Industries N.V. uses cellulose-reinforced fiber
cement to create products for residential and commercial
construction, including siding (Hardiplank), external cladding,
walls, fencing, and roofing. The Company also makes fiber-
reinforced concrete (FRC) pipe through its Hardie Pipe business.
The Company is based in Amsterdam, The Netherlands.
ASBESTOS UPDATE: James Hardie Pays AUD28.8M for Claims at 2nd-Q.
----------------------------------------------------------------
James Hardie Industries N.V. paid AUD28.8 million for the quarter
ended Sept. 30, 2009 and AUD56.1 million for the half year ended
Sept. 30, 2009 for asbestos claims, according to a Company
report, on Form 6-K, filed with the Securities and Exchange
Commission on Nov. 25, 2009.
The payments were in line with the actuarial expectation of
AUD28.6 million for the quarter ended Sept. 30, 2009 and AUD 57.1
million for the half year ended Sept. 30, 2009.
The number of new claims of 126 for the quarter ended Sept. 30,
2009 and 286 for half year ended Sept. 30, 2009 was lower than
new claims of 159 for the quarter ended Sept. 30, 2008 and 310
for the half year ended Sept. 30, 2008.
The number of claims settled of 141 for the quarter ended Sept.
30, 2009 and 300 for the half year ended Sept. 30, 2009 is lower
than claims settled of 144 for the quarter ended Sept. 30, 2008
and 320 for the half year ended Sept. 30, 2008.
The average claim settlement for the half year ended Sept. 30,
2009 of AUD176,433 is AUD1,533 higher than the same period in
2008 and broadly in line with the actuarial expectation for the
half year.
James Hardie Industries N.V. uses cellulose-reinforced fiber
cement to create products for residential and commercial
construction, including siding (Hardiplank), external cladding,
walls, fencing, and roofing. The Company also makes fiber-
reinforced concrete (FRC) pipe through its Hardie Pipe business.
The Company is based in Amsterdam, The Netherlands.
ASBESTOS UPDATE: James Hardie Cites $100M Liability at Sept. 30
---------------------------------------------------------------
James Hardie Industries N.V.'s current asbestos liability was
US$100 million as of Sept. 30, 2009, compared with US$78.2
million as of March 31, 2009, according to a Company report, on
Form 6-K, filed with the Securities and Exchange Commission on
Nov. 25, 2009.
Workers' compensation (under current liabilities) was US$700,000
as of Sept. 30, 2009, compared with US$600,000 as of March 31,
2009.
Long-term asbestos liability was US$1.491 billion as of Sept. 30,
2009, compared with US$1.206 billion as of March 31, 2009. Long-
term workers' compensation was US$94.3 million as of Sept. 30,
2009, compared with US$73.8 million as of March 31, 2009.
Asbestos-related restricted cash and cash equivalents were
US$45.8 million as of Sept. 30, 2009, compared with US$45.4
million as of March 31, 2009. Restricted short-term investments
were US$45.3 million as of Sept. 30, 2009, compared with US$52.9
million as of March 31, 2009.
Current asbestos insurance receivable was US$16.1 million as of
Sept. 30, 2009, compared with US$12.6 million as of March 31,
2009. Workers' compensation (under current assets) was US$700,000
as of Sept. 30, 2009, compared with US$600,000. Deferred income
taxes (under current assets) were US$15.8 million as of Sept. 30,
2009, compared with US$12.3 million as of March 31, 2009.
Long-term asbestos-related insurance receivable was US$184.7
million as of Sept. 30, 2009, compared with US$149 million as of
March 31, 2009. Long-term workers' compensation was US$94.3
million as of Sept. 30, 2009, compared with US$73.8 million as of
March 31, 2009. Deferred income taxes were US$410.1 million as of
Sept. 30, 2009, compared with US$333.2 million as of March 31,
2009.
James Hardie Industries N.V. uses cellulose-reinforced fiber
cement to create products for residential and commercial
construction, including siding (Hardiplank), external cladding,
walls, fencing, and roofing. The Company also makes fiber-
reinforced concrete (FRC) pipe through its Hardie Pipe business.
The Company is based in Amsterdam, The Netherlands.
ASBESTOS UPDATE: Sears Holdings Corp. Subject to Exposure Cases
---------------------------------------------------------------
Sears Holdings Corporation continues to be involved and subject
to legal proceedings, which include asbestos exposure
allegations.
These claims may seek compensatory, punitive or treble damage
claims (potentially in large amounts) or as well as other types
of relief.
No other asbestos-related matters were disclosed in the Company's
quarterly report filed with the Securities and Exchange
Commission on Nov. 20, 2009.
Sears Holdings Corporation is a broadline retailer with 2,297
full-line and 1,233 specialty retail stores in the United States
operating through Kmart and Sears and 388 full-line and specialty
retail stores in Canada operating through Sears Canada Inc., a 73
percent-owned unit. The Company is based in Hoffman Estates, Ill.
ASBESTOS UPDATE: Exposure Actions Ongoing v. Rockwell Automation
----------------------------------------------------------------
Rockwell Automation, Inc. and its subsidiaries continue to be
defendants in lawsuits alleging personal injury as a result of
exposure to asbestos that was used in certain components of the
Company's products many years ago, according to the Company's
quarterly report filed with the Securities and Exchange
Commission on Nov. 18, 2009.
Currently there are thousands of claimants in lawsuits that name
the Company as defendants, together with hundreds of other
companies. In some cases, the claims involve products from
divested businesses, and the Company is indemnified for most of
the costs.
However, the Company has agreed to defend and indemnify asbestos
claims associated with products manufactured or sold by its Dodge
mechanical and Reliance Electric motors and motor repair services
businesses prior to their divestiture by the Company, which
occurred on Jan. 31, 2007.
The Company is also responsible for half of the costs and
liabilities associated with asbestos cases against Rockwell
International Corporation's (RIC) divested measurement and flow
control business.
Historically, the Company has been dismissed from the vast
majority of these claims with no payment to claimants.
The Company has maintained insurance coverage that it said it
believes covers indemnity and defense costs, over and above self-
insured retentions, for claims arising from its former Allen-
Bradley subsidiary. Following litigation against Nationwide
Indemnity Company and Kemper Insurance, the insurance carriers
that provided liability insurance coverage to Allen-Bradley, the
Company entered into separate agreements on April 1, 2008 with
both insurance carriers to further resolve responsibility for
ongoing and future coverage of Allen-Bradley asbestos claims.
In exchange for a lump sum payment, Kemper bought out its
remaining liability and has been released from further insurance
obligations to Allen-Bradley. Nationwide administers the Kemper
buyout funds and has entered into a cost share agreement with the
Company to pay the substantial majority of future defense and
indemnity costs for Allen-Bradley asbestos claims once the Kemper
buyout funds are depleted.
The Company said it believes that these arrangements will
continue to provide coverage for Allen-Bradley asbestos claims
throughout the remaining life of the asbestos liability.
Rockwell Automation, Inc. provides industrial automation power,
control and information solutions that help manufacturers achieve
a competitive advantage for their businesses. The Company is
based in Milwaukee.
ASBESTOS UPDATE: Soprito Case v. Wilshire, Others Filed July 31
---------------------------------------------------------------
Wilshire Enterprises, Inc. says that, on or about July 31, 2009,
James Robert Soprito, individually and as successor-in-interest
to Josephine Soprito, as Decedent; Cindy Maguglin and Donna Tryon
(collectively, "Plaintiffs"), filed a Complaint for Damages in
the Superior Court of the State of California for the County of
San Francisco against numerous defendants, including the Company.
Plaintiffs seek damages based on claims of wrongful death,
negligence, strict liability, enterprise liability, and premises
liability. These claims are based on the allegation that Mrs.
Soprito and others suffered injuries as a result of exposure to
asbestos materials at certain unspecified times in the past.
The Company sold its oil and gas business in 2004 and does not
believe it should be named as a party in the case. The Company
has been granted an extension of time to answer, move or
otherwise respond to the Complaint pending the Plaintiff's
evaluation of materials submitted by the Company in support of
its position that it should not be named as a party.
In addition, the purchase and sale agreement under which the
Company sold its oil and gas business requires the purchaser to
idemnify the Company for certain environmental liabilities
relating to the properties sold.
Wilshire Enterprises, Inc. invests in and operates commercial
real estate and land. The Company owns multifamily, retail, and
office properties and land tracts in Arizona, Florida, New
Jersey, and Texas. The Company is based in Newark, N.J.
ASBESTOS UPDATE: Congoleum Records $44.79 Mil. Current Liability
----------------------------------------------------------------
Congoleum Corporation's current asbestos-related liabilities
were US$44,792,000 as of Sept. 30, 2009, compared with
US$50,022,000 million as of Dec. 31, 2008, according to the
Company's quarterly report filed with the Securities and Exchange
Commission on Nov. 13, 2009.
The Company's current asbestos-related liabilities were
US$46,909,000 as of June 30, 2009. (Class Action Reporter, Sept.
11, 2009)
The Asbestos Claimants' Committee, the Bondholders' Committee and
the Company, on Oct. 22, 2009, jointly filed a revised plan of
reorganization (Second Amended Joint Plan) and disclosure
statement. (Class Action Reporter, Oct. 30, 2009)
During the first nine months of 2009, the Company paid US$6.3
million in fees and expenses related to implementation of its
planned reorganization under the Bankruptcy Code and the Coverage
Action.
Based on its reorganization plans, the Company has made provision
in its financial statements for the minimum estimated cost to
effect its plan to settle asbestos liabilities through
confirmation of a plan that complies with section 524(g) of the
Bankruptcy Code. The Company recorded charges aggregating about
US$51.3 million in years prior to 2007.
Congoleum Corporation makes flooring products for residential and
commercial use, including resilient sheet flooring (linoleum or
vinyl flooring), do-it-yourself vinyl tile, and commercial
flooring. The Company markets its products through distributors
in more than 40 North American locations and directly to large
market retailers. The Company is based in Mercerville, N.J.
ASBESTOS UPDATE: Colonial Party to 11 Hilco Actions at Sept. 30
---------------------------------------------------------------
Colonial Commercial Corp. says that, as of Sept. 30, 2009, there
were 11 plaintiffs in asbestos lawsuits relating to alleged sales
of asbestos products, or products containing asbestos, by Hilco,
Inc.
The Company says that, as of June 30, 2009, there were 20
plaintiffs in asbestos lawsuits relating to alleged sales of
asbestos products, or products containing asbestos, by Hilco
(Class Action Reporter, Aug. 21, 2009)
The Company understands that Hilco and many other companies have
been sued in the Superior Court of New Jersey (Middlesex County)
by plaintiffs filing lawsuits alleging injury due to asbestos.
As of Sept. 30, 2009, there existed 15 plaintiffs in these
lawsuits relating to alleged sales of asbestos products, or
products containing asbestos, by Hilco. Subsequent to Sept. 30,
2009, four plaintiffs have had their actions dismissed, one
plaintiff has had its action settled and one plaintiff filed an
action against Hilco, which results in 11 remaining plaintiffs in
these lawsuits.
Of the existing plaintiffs as of Sept. 30, 2009, one filed an
action in 2009, eight filed actions in 2007, two filed actions in
2006, one filed an action in 2005, two filed actions in 2004, and
one filed an action in 2003.
There are 195 other plaintiffs that have had their actions
dismissed and 14 other plaintiffs that have settled as of Sept.
30, 2009 for a total of US$3,359,500. There has been no judgment
against Hilco.
Colonial Commercial Corp. distributes heating, ventilating and
air conditioning equipment (HVAC), parts and accessories, climate
control systems, appliances, and plumbing and electrical fixtures
and supplies, primarily in New Jersey, New York, Massachusetts
and portions of eastern Pennsylvania, Connecticut and Vermont.
The Company is based in Hawthorne, N.J.
ASBESTOS UPDATE: Universal Supply Faces Eight Claims at Sept. 30
----------------------------------------------------------------
Colonial Commercial Corp.'s subsidiary, Universal Supply Group,
Inc., as of Sept. 30, 2009, faced asbestos cases with eight
plaintiffs.
Universal Supply, as of June 30, 2009, faced asbestos cases with
13 plaintiffs. (Class Action Reporter, Aug. 21, 2009)
In the past, Universal was named by 36 plaintiffs. Of these, 11
filed actions in 2007, six filed actions in 2006, 11 filed
actions in 2005, five filed actions in 2001, one filed an action
in 2000, and two filed actions in 1999.
About 26 plaintiffs naming Universal have had their actions
dismissed and, of the total US$3,359,500 of settled actions, two
plaintiffs naming Universal have settled for US$26,500. No money
was paid by Universal in connection with any settlement.
Colonial Commercial Corp. distributes heating, ventilating and
air conditioning equipment (HVAC), parts and accessories, climate
control systems, appliances, and plumbing and electrical fixtures
and supplies, primarily in New Jersey, New York, Massachusetts
and portions of eastern Pennsylvania, Connecticut and Vermont.
The Company is based in Hawthorne, N.J.
ASBESTOS UPDATE: One Injury Action v. RAL Supply Group Dismissed
----------------------------------------------------------------
Colonial Commercial Corp. says that, as of Sept. 30, 2009, a
plaintiff in an asbestos injury lawsuit had its action against
Company subsidiary, The RAL Supply Group, Inc., dismissed.
The Company's RAL subsidiary and other companies had been sued in
the Supreme Court of New York (Orange County) by a plaintiff
filing a lawsuit on or about July 30, 2008 alleging injury due to
asbestos.
Colonial Commercial Corp. distributes heating, ventilating and
air conditioning equipment (HVAC), parts and accessories, climate
control systems, appliances, and plumbing and electrical fixtures
and supplies, primarily in New Jersey, New York, Massachusetts
and portions of eastern Pennsylvania, Connecticut and Vermont.
The Company is based in Hawthorne, N.J.
ASBESTOS UPDATE: Argo Cites $130M Gross A&E Reserves at Sept. 30
----------------------------------------------------------------
Argo Group International Holdings, Ltd.'s gross asbestos and
environmental loss reserves were US$130 million as of Sept. 30,
2009, compared with US$149.8 million as of Sept. 30, 2008.
The Company's gross loss reserves for A&E claims were US$152.3
million as of June 30, 2009, compared with US$149.5 million as of
June 30, 2008. (Class Action Reporter, Sept. 11, 2009)
Net A&E loss reserves were US$99.6 million as of Sept. 30, 2009,
compared with US$131.1 million as of Sept. 30, 2008.
The Company's net loss reserves for A&E claims were US$111.9
million as of June 30, 2009, compared with US$134.4 million as of
June 30, 2008. (Class Action Reporter, Sept. 11, 2009)
Included in losses and loss adjustment expenses for the nine
months ended Sept. 30, 2009 was US$6.1 million in unfavorable
reserve development for prior accident years resulting from the
settlement of one large asbestos claim in the first quarter of
2009, coupled with US$2.2 million related to the workers
compensation reserve discount.
Argo Group International Holdings, Ltd. is engaged in writing
property and casualty insurance and reinsurance. The Company has
four ongoing reporting segments: Excess and Surplus Lines,
Commercial Specialty, Reinsurance and International Specialty.
The Company is based in Pembroke, Bermuda.
ASBESTOS UPDATE: Colfax Faces 26,391 Unresolved Claims at Oct. 2
----------------------------------------------------------------
Colfax Corporation faced 26,391 unresolved asbestos-related
claims during the nine months ended Oct. 2, 2009, compared with
36,607 claims during the nine months ended Sept. 26, 2008.
Two of the Company's subsidiaries are each one of many defendants
in lawsuits that claim personal injury as a result of exposure to
asbestos from products manufactured with components that are
alleged to have contained asbestos. The manufactured products
that are alleged to have contained asbestos were provided to meet
the specifications of the subsidiaries' customers, including the
U.S. Navy.
Of the 26,391 pending claims, about 4,800 of those claims have
been brought in various federal and state courts in Mississippi;
about 3,100 of those claims have been brought in the Supreme
Court of New York County, N.Y.; about 200 of those claims have
been brought in the Superior Court, Middlesex County, N.J.; and
about 1,100 claims have been filed in state courts in Michigan
and the U.S. District Court, Eastern and Western Districts of
Michigan.
The remaining pending claims have been filed in state and federal
courts in Alabama, California, Kentucky, Louisiana, Pennsylvania,
Rhode Island, Texas, Virginia, the U.S. Virgin Islands and
Washington.
To date, the majority of settled claims have been dismissed for
no payment.
During the nine months ended Oct. 2, 2009, the Company recorded
2,512 claims filed and 11,478 claims resolved. During the nine
months ended Sept. 26, 2008, the Company recorded 3,282 claims
filed and 4,229 claims resolved.
The Company recorded a US$11.6 million pretax charge in the third
quarter of 2009, which was comprised of an increase to its
asbestos-related liabilities of US$111.3 million offset by
expected insurance recoveries of US$99.7 million.
For one of the subsidiaries, on Oct. 14, 2009, the Delaware Court
of Chancery ruled that asbestos-related costs should be allocated
among excess insurers using an "all sums" allocation (which
allows an insured to collect all sums paid in connection with a
claim from any insurer whose policy is triggered, up to the
policy's applicable limits) and that the subsidiary has rights to
excess insurance policies purchased by a former owner of the
business.
Based upon this ruling mandating an "all sums" allocation, as
well as the language of the underlying insurance policies and the
determination that defense costs are outside policy limits, the
Company as of Oct. 2, 2009, increased its future expected
recovery percentage from 67 percent to 90 percent of asbestos-
related costs following the exhaustion in the future of its
primary and umbrella layers of insurance and recorded a pretax
gain of US$17.3 million.
Presently, this subsidiary is having all of its liability and
defense costs covered in full by its primary and umbrella
insurance carrier, whose coverage may exhaust as early as the
first quarter of 2010.
In 2003, the other subsidiary brought legal action against a
number of its insurers and its former parent to resolve a variety
of disputes concerning insurance for asbestos bodily injury
claims asserted against it.
For this subsidiary it was determined by court ruling in the
fourth quarter of 2007, that the allocation methodology mandated
by the New Jersey courts will apply. Based upon this ruling and
upon a series of other favorable rulings regarding interpretation
of certain policy provisions related to deductibles, the number
of occurrences, the Company expects to recover about 88.5 percent
of all liability and defense costs.
Certain insurance carriers have agreed to settle with this
subsidiary by reimbursing the subsidiary for amounts it paid for
liability and defense costs as well as entering into formal
agreements detailing the payments of future liability and defense
costs in an agreed to allocation.
In addition, a number of non-settling insurance carriers have
paid significant amounts for liability and defense costs paid by
the subsidiary in the past and continue to pay a share of costs
as they are incurred. Presently, certain insurers are paying
about 22.7 percent of costs for current asbestos-related
liability and defense costs as they are incurred.
Colfax Corporation manufactures positive displacement industrial
pumps and valves used in oil & gas, power generation, commercial
marine, global naval and general industrial markets. The Company
is based in Richmond, Va.
ASBESTOS UPDATE: Colfax Reserves $455.6Mil for Claims at Oct. 2
---------------------------------------------------------------
Colfax Corporation has established reserves of US$455.6 million
and as of Oct. 2, 2009 and US$357.3 million as of Dec. 31, 2008
for the probable and reasonably estimable asbestos-related
liability cost it believes the subsidiaries will pay through the
next 15 years.
The Company has established reserves of US$348.5 million as of
July 3, 2009. (Class Action Reporter, Aug. 21, 2009)
The Company has also established recoverables of US$410.4 million
as of Oct. 2, 2009 and US$304 million as of Dec. 31, 2008 for the
insurance recoveries that are deemed probable during the same
time period.
Net of these recoverables, the Company's expected cash outlay on
a non-discounted basis for asbestos-related bodily injury claims
over the next 15 years was US$45.2 million as of Oct. 2, 2009 and
US$53.3 million as of Dec. 31, 2008.
In addition the Company has recorded a receivable for liability
and defense costs it had previously paid in the amount of US$35
million as of Oct. 2, 2009 and US$36.4 million as of Dec. 31,
2008 for which insurance recovery is deemed probable.
Legal costs related to the subsidiaries' action against their
asbestos insurers was US$1.8 million for the three months ended
Oct. 2, 2009 and US$8.8 million for the nine months ended Oct. 2,
2009, compared with US$5.1 million for the three months ended
Sept. 26, 2008 and US$12.3 million for the nine months ended
Sept. 26, 2008.
Colfax Corporation manufactures positive displacement industrial
pumps and valves used in oil & gas, power generation, commercial
marine, global naval and general industrial markets. The Company
is based in Richmond, Va.
ASBESTOS UPDATE: G-I Holdings' Amended Plan Affirmed on Nov. 17
---------------------------------------------------------------
Building Materials Corporation of America says that, on Nov. 17,
2009, its indirect parent G-I Holdings Inc.'s Eighth Amended
Joint Plan of Reorganization became effective.
With the effectiveness of the Eighth Amended Joint Plan, all of
the actions have been resolved and all "protected parties" (as
defined in the Eighth Amended Joint Plan), including the Company
and its subsidiaries, have been released from any liability with
respect to Asbestos Claims.
In connection with its formation, the Company contractually
assumed and agreed to pay the first US$204.4 million of
liabilities of G-I Holdings Inc. for asbestos-related bodily
injury claims relating to the inhalation of asbestos fiber
contained in products sold by G-I Holdings or its predecessors
(Asbestos Claims).
As of March 30, 1997, the Company paid all of its assumed
liabilities for Asbestos Claims. G-I Holdings has agreed to
indemnify the Company against any other existing or future
Asbestos Claims if asserted against the Company. In January 2001,
G-I Holdings filed a voluntary petition for reorganization under
Chapter 11 of the U.S. Bankruptcy Code due to Asbestos Claims.
On Feb. 2, 2001, the U.S. Bankruptcy Court for the District of
New Jersey issued a temporary restraining order enjoining any
existing or future claimant from bringing or prosecuting an
Asbestos Claim against the Company. By oral opinion on June 22,
2001, and written order entered Feb. 22, 2002, the Bankruptcy
Court converted the temporary restraints into a preliminary
injunction prohibiting the bringing or prosecution of any such
Asbestos Claims against the Company.
On Feb. 7, 2001, G-I Holdings filed an action in the U.S.
Bankruptcy Court for the District of New Jersey seeking a
declaratory judgment that the Company has no successor liability
for Asbestos Claims against G-I Holdings and that it is not the
alter ego of G-I Holdings (BMCA Action).
One of the parties to this matter, the Official Committee of
Asbestos Claimants (creditors' committee), subsequently filed a
counterclaim against the Company seeking a declaration that the
Company has successor liability for Asbestos Claims against G-I
Holdings and that it is the alter ego of G-I Holdings. By order
dated May 30, 2008, the District Court dismissed the BMCA Action
without ruling on the merits of the Company's position that it
has no successor liability for Asbestos Claims.
On or about Feb. 8, 2001, the creditors' committee filed a
complaint in the U.S. Bankruptcy Court, District of New Jersey
against G-I Holdings and the Company. The complaint requested
substantive consolidation of BMCA with G-I Holdings or an order
directing G-I Holdings to cause BMCA to file for bankruptcy
protection.
On July 7, 2004, the Bankruptcy Court entered an order
authorizing the creditors' committee to commence an adversary
proceeding against the Company and others challenging, as a
fraudulent conveyance, certain transactions entered into in
connection with the Company's formation in 1994, in which G-I
Holdings caused to be transferred to the Company all of its
roofing business and assets and in which the Company assumed
certain liabilities relating to those assets, including a
specified amount of liabilities for Asbestos Claims (1994
transaction).
The District Court entered an order on June 21, 2006 affirming in
part and vacating in part the Bankruptcy Court's July 7, 2004
order.
A Joint Plan of Reorganization of G-I Holdings was filed with the
Bankruptcy Court on Aug. 21, 2008, and a First Amended Joint Plan
of Reorganization of G-I Holdings was filed with the Bankruptcy
Court on Oct. 30, 2008. Thereafter, more amendments to the Joint
Plan of Reorganization were filed, culminating with the Eighth
Amended Joint Plan of Reorganization (Eighth Amended Joint Plan),
which was filed on Oct. 5, 2009.
On Nov. 12, 2009, the Bankruptcy Court and the Honorable Garrett
E. Brown, Jr., Chief Judge of the District Court for the District
of New Jersey, jointly entered an Order Confirming Eighth Amended
Joint Plan of Reorganization of G-I Holdings and ACI Inc. under
Chapter 11 of the Bankruptcy Code.
Building Materials Corporation of America manufactures and
markets asphalt and polymer-based roofing products and
accessories for the residential and commercial roofing markets.
The Company also makes specialty building products and
accessories for the professional and do-it-yourself remodeling
and residential construction industries. The Company is based in
Wayne, N.J.
ASBESTOS UPDATE: Cabot Corporation Involved in AO Exposure Cases
----------------------------------------------------------------
Cabot Corporation is still party to cases, including asbestos-
related, in connection with a safety respiratory products
business that a subsidiary acquired from American Optical
Corporation (AO) in an April 1990 asset purchase transaction.
The subsidiary manufactured respirators under the AO brand and
disposed of that business in July 1995. In connection with its
acquisition of the business, the subsidiary agreed, in certain
circumstances, to assume a portion of AO's liabilities, including
costs of legal fees together with amounts paid in settlements and
judgments, allocable to AO respiratory products used prior to the
1990 purchase by the Company subsidiary.
In exchange for the subsidiary's assumption of certain of AO's
respirator liabilities, AO agreed to provide to the subsidiary
the benefits of: (i) AO's insurance coverage for the period prior
to the 1990 acquisition and (ii) a former owner's indemnity of AO
holding it harmless from any liability allocable to AO
respiratory products used prior to May 1982.
Generally, these respirator liabilities involve claims for
personal injury, including asbestosis, silicosis and coal
worker's pneumoconiosis, allegedly resulting from the use of
respirators that are claimed to have been negligently designed or
labeled.
Neither the Company, nor its past or present subsidiaries, at any
time manufactured asbestos or asbestos-containing products.
Moreover, not every person with exposure to asbestos giving rise
to an asbestos claim used a form of respiratory protection. At no
time did this respiratory product line represent a significant
portion of the respirator market.
In addition, other parties, including AO, AO's insurers, and
another former owner and its insurers (collectively, the "Payor
Group"), are responsible for significant portions of the costs of
these liabilities, leaving the Company's subsidiary with a
portion of the liability in some of the pending cases.
The subsidiary transferred the business to Aearo Corporation in
July 1995. The Company agreed to have the subsidiary retain
certain liabilities allocable to respirators used prior to the
1995 transaction so long as Aearo paid, and continues to pay, the
Company an annual fee of US$400,000.
Aearo can discontinue payment of the fee at any time, in which
case it will assume the responsibility for and indemnify the
Company against the liabilities allocable to respirators
manufactured and used prior to the 1995 transaction. The Company
anticipates that it will continue to receive payment of the
US$400,000 fee from Aearo and thereby retain these liabilities
for the foreseeable future. The Company has no liability in
connection with any products manufactured by Aearo after 1995.
As of Sep. 30, 2009, there were about 52,000 claimants in pending
cases asserting claims against AO in connection with respiratory
products.
The Company has a reserve for these matters of US$13 million on a
net present value basis (US$23 million on an undiscounted basis)
at Sept. 30, 2009.
Cabot Corporation is a specialty chemicals and performance
materials company. Its products are rubber and specialty grade
carbon blacks, fumed metal oxides, tantalum and related products,
inkjet colorants, aerogels and cesium formate drilling fluids.
The Company is based in Boston.
ASBESTOS UPDATE: Pending Cases v. Met-Pro Surge to 97 at Oct. 31
----------------------------------------------------------------
A total of 97 asbestos cases were pending against Met-Pro
Corporation (with a majority of those cases pending in New York,
Mississippi and North Carolina) as of Oct. 31, 2009, compared
with 55 cases pending as of Jan. 31, 2009.
As of July 31, 2009, there were a total of 70 asbestos cases
pending against the Company (with most of the cases pending in
New York, Mississippi and North Carolina). (Class Action
Reporter, Sept. 11, 2009)
Beginning in 2002, the Company and/or one of its business units
began to be named as one of many defendants in asbestos-related
lawsuits filed predominantly in Mississippi on a mass basis by
large numbers of plaintiffs against a large number of industrial
companies including, in particular, those in the pump and fluid
handling industries.
The Company and/or the business unit have been dismissed from or
settled a number of these cases. The sum total of all payments
through Oct. 31, 2009 to settle these cases was US$540,000, all
of which has been paid by the Company's insurers including legal
expenses, except for corporate counsel expenses, with an average
cost per settled claim, excluding legal fees, of about US$32,000.
For the nine-month period ended Oct. 31, 2009, about 58 new cases
were filed against the Company, and the Company was dismissed
from 14 cases and settled two cases.
Most of the pending cases have not advanced beyond the early
stages of discovery, although a number of cases are on schedules
leading to, or are scheduled for trial.
Met-Pro Corporation manufactures and sells product recovery and
pollution control equipment for purification of air and liquids,
fluid handling equipment for corrosive, abrasive and high
temperature liquids, and filtration and purification products.
The Company is based in Harleysville, Pa.
ASBESTOS UPDATE: Target Corporation Subject to EPA NESHAP Probe
---------------------------------------------------------------
Target Corporation is the subject of an ongoing Environmental
Protection Agency (EPA) investigation for alleged asbestos-
related violations of the Clean Air Act, according to the
Company's quarterly report filed with the Securities and Exchange
Commission on Dec. 4, 2009.
In March 2009, the EPA issued a Finding of Violation (FOV)
related to alleged violations of the CAA, specifically the
National Emission Standards for Hazardous Air Pollutants (NESHAP)
promulgated by the EPA for asbestos.
The FOV pertains to the remodeling of 36 Target stores that
occurred between Jan. 1, 2003 and Oct. 28, 2007. The EPA FOV
process is ongoing and no specific relief has been sought to date
by the EPA.
The Company anticipates that any resolution of this matter will
be in the form of monetary penalties that are likely to exceed
US$100,000.
Target Corporation is a discount chain that operates about 1,700
Target and SuperTarget stores in 48 states, as well as an online
business called Target.com. The Company is based in Minneapolis.
ASBESTOS UPDATE: 13 Cases Filed in Madison During Nov. 23 to 27
---------------------------------------------------------------
During the week of Nov. 23, 2009 through Nov. 27, 2009, about 13
new asbestos-related lawsuits were filed in Madison County
Circuit Court, Ill., The Madison St. Clair Record reports.
These cases are:
-- (Case No. 09-L-1271) Scott Carruthers of Idaho claims his
deceased father, Robert Carruthers, developed mesothelioma
after his work as a pipefitter. Amy E. Garrett, Esq., and
Sean M. Keane, Esq., of Simmons, Browder, Gianaris, Angelides
and Barnerd in East Alton, Ill., will represent Mr.
Carruthers.
-- (Case No. 09-L-1281) David B. and Sherley Caudill of Arkansas
claim Mr. Caudill developed mesothelioma after his work as a
mechanic at Caudill's Garage, as a laborer at Arizona Citrus
Growers, as a laborer for Arizona Auto Parts Supply, as a
mechanic and construction laborer, as a mechanic for the
Arizona Highway Department in Arizona, as an electrician for
Russellville Electronics, as a home remodeler and as a
shadetree mechanic. Randy L. Gori, Esq., of Gori, Julian and
Associates in Edwardsville, Ill., will represent the
Caudills.
-- (Case No. 09-L-1282) Rebecca Croucher of New York claims the
deceased Arleen Besser developed mesothelioma after her work
as a secretary for more than a decade and as a home improver.
Richard L. Saville Jr., Esq., Ethan A. Flint, Esq., Andrew J.
Balcer, Esq., and Jessica L. Benton, Esq., of Saville and
Flint in Alton, Ill., will represent Ms. Croucher.
-- (Case No. 09-L-1279) Lester and Mary Davis of Florida claim
Mr. Davis developed mesothelioma after his work in the U.S.
Coast Guard, as a delivery man at Dellwood Dairy and as a
plant operator at Houston Independent School District. Randy
L. Gori, Esq., and Barry Julian, Esq., of Gori, Julian and
Associates in Edwardsville, Ill., will represent the Davises.
-- (Case No. 09-L-1278) Debra Granger of Indiana claims her
deceased father, Eugene Marietta, developed mesothelioma
after his work as a home constructor, as a shadetree
mechanic, as a worker wrapping pipes with insulation, as the
owner of a drive thru movie business, as the owner and
operator of a floral shop, as realtor and as the owner and
operator of weight loss centers. Randy L. Gori, Esq., of
Gori, Julian and Associates in Edwardsville, Ill., will be
representing Mrs. Granger.
-- (Case No. 09-L-1284) Willard and Emma K. Johnson of Illinois
claim Mr. Johnson developed lung cancer after his work as a
machine repairman for Barber-Colman Company, as a member of
the U.S. Navy and as a machine repairman. Elizabeth V.
Heller, Esq., and Robert Rowland, Esq., of Goldenberg,
Heller, Antognoli and Rowland in Edwardsville, Ill., will
represent the Johnsons.
-- (Case No. 09-L-1273) Rita Lanham-Benson of Tennessee claims
her deceased husband, S. Dewayne Lanham, developed
mesothelioma after his work as a facility manager and home
remodeler from. Robert Phillips, Esq., Perry J. Browder,
Esq., and Rosalind M. Robertson, Esq., of Simmons, Browder,
Gianaris, Angelides and Barnerd in East Alton, Ill., will be
representing Mrs. Benson.
-- (Case No. 09-L-1280) Paul and Judith Napierala of Wisconsin
claim Mr. Napierala developed mesothelioma after his work as
an electrician. Randy L. Gori, Esq., and Barry Julian, Esq.,
of Gori, Julian and Associates of Edwardsville, Ill., will be
representing the Napieralas.
-- (Case No. 09-L-1274) Kathryn Peil of Minnesota claims her
deceased husband, James R. Peil Sr., developed as a laborer
and home remodeler. Robert Phillips, Esq., Perry J. Browder,
Esq., and Rosalind M. Robertson, Esq., of Simmons, Browder,
Gianaris, Angelides and Barnerd in East Alton, Ill., will be
representing Mrs. Peil.
-- (Case No. 09-L-1277) Joseph and Joan Schneider of Michigan
claim Mr. Schneider developed mesothelioma after his work as
a laborer, assembly line worker, owner and operator of a
lawnmower and chainsaw service shop and co-owner and co-
operator of a residential insulation company. Timothy F.
Thompson Jr., Esq., and Ryan J. Kiwala, Esq., of Simmons,
Browder, Gianaris, Angelides and Barnerd in East Alton, Ill.,
will represent the Schneiders.
-- (Case No. 09-L-1272) Lula Shoff of Arizona, a laborer and
assembly line worker, claims lung cancer. Robert Phillips,
Esq., Perry J. Browder, Esq., and Rosalind M. Robertson,
Esq., of Simmons, Browder, Gianaris, Angelides and Barnerd in
East Alton, Ill., will represent Ms. Shoff.
-- (Case No. 09-L-1275) Diane Welstad of Nevada claims her
deceased father, Robert Wilcoxson, developed mesothelioma
after his work as a mechanic, machinist and home remodeler.
Robert Phillips, Esq., Perry J. Browder, Esq., and Rosalind
M. Robertson, Esq., of Simmons, Browder, Gianaris, Angelides
and Barnerd in East Alton, Ill., will be representing Mrs.
Welstad.
-- (Case No. 09-L-1276) Kenneth R. and Rita Wilson of Illinois
claim Mr. Wilson developed mesothlioma after his work as a
service station worker, a member of the U.S. Navy and a
general laborer. Richard L. Saville Jr., Esq., Ethan A.
Flint, Esq., Andrew J. Balcer, Esq., and Jessica L. Benton,
Esq., of Saville and Flint in Alton, Ill., will represent the
Wilsons.
ASBESTOS UPDATE: Akron to Get US$1.9M for Landmark Bldg. Cleanup
----------------------------------------------------------------
The City of Akron, Ohio, is set to get US$1.9 million from the
Clean Ohio Revitalization Fund (CORF) to remove asbestos from the
historic Landmark Building, Mesothelioma reports.
The Ohio Department of Development operates CORF, which is a
competitive program operating across the state to provide
communities with grants (up to US$3 million total) to remediate
brownfield properties.
The Landmark Building cleanup is being funded under Round 8,
whose applications were due in July 2009, with projects awarded
in November 2009.
The funding, announced Nov. 20 through Governor Ted Strickland's
office, will provide asbestos remediation to the 12-story
downtown office building, located at 156 S. Main Street.
The building dates from 1923, and is listed on the National
Register of Historic Places, an official list of U.S. cultural
resources whose age and former use warrants preservation.
When the building is fully remediated, developer Main Street
Partners LLC plans for a repurposing into upscale lofts on the
upper floors, a restaurant at ground level, and retail stores,
entertainment venues and office space strategically located.
There will also be apartments near Lock 3 Park, a green space
within the city alongside the former Ohio-Erie Canal, and the
Akron Civic Theater.
The total cost of the project is estimated at US$10 million, with
the city chipping in half that cost. When completed, the
development is expected to provide US$135,000 per year in new
property taxes and an additional US$30,000 in income taxes, as
well as 50 temporary jobs.
Main Street Partners is also interested in rehabilitating six
other buildings in the area, where asbestos has already been
removed, at a cost to the city of about US$800,000. Akron
approved the development in 2008.
The city purchased the six buildings for US$3.55 million in the
late 1990s, and sold them to Main Street Partners for US$1 each
after remediation. The city had also bought the Landmark building
for US$2.9 million, and subsequently sold it to Landmark for
US$1.3 million.
The US$1.9 million for Akron is about 6.7 percent of the total
released by CORF for 16 environmental cleanup projects around the
state. The total fund disbursement was US$28 million.
ASBESTOS UPDATE: Cleanup at Potsdam's Civic Center Costs $50,000
----------------------------------------------------------------
Asbestos abatement was completed at the Potsdam Civic Center in
Potsdam, N.Y., at the cost of US$50,000, the Mesothelioma &
Asbestos Awareness Center reports.
The project included cleanup in the basement, courtroom and
office area of the building, says Village Administrator Michael
D. Weil. However, he was quick to add that some additional work
remains. Although the asbestos is gone, the upstairs courtroom is
still closed off to fix the ceiling.
Mr. Weil explained that the building is still not completely free
of asbestos, with a few pockets of the material still lurking in
the basement and in other "various areas." The most recent round
of air quality tests show that no asbestos fibers are present in
the air.
According to Mr. Weil, 109 samples were taken earlier in December
2009 to test for dangerous levels of airborne asbestos.
ASBESTOS UPDATE: Hampshire Boilermaker's Death Linked to Hazard
---------------------------------------------------------------
An inquest heard that the death of Patrick O'Brien Glasspool, an
81-year-old former boilermaker from Woolston, Hampshire, England,
was linked to workplace exposure to asbestos, ThisIsHampshire.net
reports.
Mr. Glasspool died of lung cancer on July 28, 2009. A claim was
in place for asbestos related lung disease.
However, consultant pathologist Dr. Sanjay Jogai said that in his
opinion asbestos did not contribute to Mr. Glasspool's lung
cancer.
Giving a narrative verdict Southampton Coroner Keith Wiseman
said, "Mr. Glasspool died from lung cancer. There were clear
indications of exposure to asbestos but fiber test results showed
levels below those associated with asbestos related lung cancer."
ASBESTOS UPDATE: 29 Cases Filed in Madison During Nov. 16 to 20
---------------------------------------------------------------
During the week of Nov. 16, 2009 through Nov. 20, 2009, about 29
new asbestos-related lawsuits were filed in Madison County
Circuit Court, Ill., The Madison St. Clair Record reports.
These cases are:
-- (Case No. 09-L-1209) Franklin and Ruby Baker of Alabama claim
Mr. Baker developed lung cancer after his work as a carpenter
for the Local 1209 and as a mechanic at Nitrate City Garage.
Elizabeth V. Heller, Esq., and Robert Rowland, Esq., of
Goldenberg, Heller, Antognoli and Rowland in Edwardsville,
Ill., will represent the Bakers.
-- (Case No. 09-L-1242) Timmy and Kimberly Black of Missouri
claim Mr. Black developed mesothelioma after his work as an
assembler, timekeeper, maintenance worker and landscaper.
Nicholas J. Angelides, Esq., and Taylor L. Kerns, Esq., of
Simmons, Browder, Gianaris, Angelides and Barnerd in East
Alton, Ill., will represent the Blacks.
-- (Case No. 09-L-1244) Jesse and Charlene Brewer of Indiana
claim Mr. Brewer developed mesothelioma after his work as a
laborer, maintenance man and roofer. Timothy F. Thompson Jr.,
Esq., of Simmons, Browder, Gianaris, Angelides and Barnerd in
East Alton, Ill., will represent the Brewers.
-- (Case No. 09-L-1234) Elizabeth Butler of Texas claims her
deceased husband, V.J. Butler, developed mesothelioma after
his work as a concrete laborer, owner and operator. Amy E.
Garrett, Esq., and Sean M. Keane, Esq., of Simmons, Browder,
Gianaris, Angelides and Barnerd in East Alton, Ill., will
represent Mrs. Butler.
-- (Case No. 09-L-1264) Paul Carter of Alabama claims his
deceased mother, Pauline Carter, developed mesothelioma. Mrs.
Carter was exposed to asbestos fibers through her husband,
who worked for United States Steel. Randy L. Gori, Esq., and
Barry Julian, Esq., of Gori, Julian and Associates in
Edwardsville, Ill., will represent Mr. Carter.
-- (Case No. 09-L-1259) Harry Cheatham of Texas, a service
station attendant, laborer, crane operator, plumber,
electrician's helper and maintenance worker, claims
mesothelioma. Richard L. Saville, Esq., Ethan A. Flint, Esq.,
Stephen C. Jones, Esq., Andrew J. Balcer, Esq., and Jessica
L. Benton, Esq., of Saville and Flint in Alton, Ill., will
represent Mr. Cheatham.
-- (Case No. 09-L-1249) Elmer C. Curran of Missouri, a Navy
Seaman, machinist and plasterer, claims mesothelioma. The
O'Brien Law Firm will represent Mr. Curran.
-- (Case No. 09-L-1256) Ira K. Eastman of Tennessee claims his
brother-in-law, Herman A. Bell, developed mesothelioma after
his work in the U.S. Navy, at Owens-Illinois and as a boiler
technician. Goldenberg, Heller, Antognoli and Rowland will
represent Mr. Eastman.
-- (Case No. 09-L-1254) Daniel and Nancy Foster of Texas allege
Mr. Foster developed mesothelioma after his work as a boiler
tender. Gori, Julian and Associates in Edwardsville, Ill.,
will represent the Fosters.
-- (Case No. 09-L-1246) Peter and Susan L. Friedman of Michigan
claim Mr. Friedman developed mesothelioma after his work as a
plumber and pipefitter. Randy L. Gori, Esq., of Gori, Julian
and Associates in Edwardsville, Ill., will represent the
Friedmans.
-- (Case No. 09-L-1245) Harvey Gilroy of Oklahoma, a laborer, x-
ray technician, operator and owner, claims mesothelioma.
Timothy F. Thompson Jr., Esq., and Stephanie A. Lyons, Esq.,
of Simmons, Browder, Gianaris, Angelides and Barnerd in East
Alton, Ill., will represent Mr. Gilroy.
-- (Case No. 09-L-1231) Lisa and Tom Gonneville of Maine claim
Mrs. Gonneville developed mesothelioma after her work as a
clerk and day care provider. Amy E. Garrett, Esq., and Sean
M. Keane, Esq., of Simmons, Browder, Gianaris, Angelides and
Barnerd in East Alton, Ill., will represent the Gonnevilles.
-- (Case No. 09-L-1262) Jack Hair of South Carolina claims the
deceased Keith Hair developed mesothelioma after his work in
the U.S. Navy. Richard L. Saville Jr., Esq., Ethan A. Flint,
Esq., and Stephen C. Jones, Esq., of Saville and Flint in
Alton, Ill., will represent Mr. Hair.
-- (Case No. 09-L-1267) Herbert Austin and Carolton D. Harper of
Alabama claim Mr. Harper developed lung cancer after his work
as a brick mason for Bob Bunn Masonry, as a textile worker
for Printed Fabrics, as a combat engineer, as a brick mason
for Buddy Rogers Masonry, as a brick mason for Horace Johnson
Masonry and as a brick mason for Austin Harper Masonry.
Elizabeth V. Heller, Esq., and Robert Rowland, Esq., of
Goldenberg, Heller, Antognoli and Rowland in Edwardsville,
Ill., will represent the Harpers.
-- (Case No. 09-L-1243) Janet Harvey of Louisiana claims her
deceased decedent, Durwood Herbert, developed mesothelioma
after his work as a laborer at Exxon Mobil and in the U.S.
Army. Richard L. Saville Jr., Esq., Ethan A. Flint, Esq., and
Stephen C. Jones, Esq., of Alton, Ill., will represent Ms.
Harvey.
-- (Case No. 09-L-1253) Gwedolyn Joseph of Texas claims her
deceased mother, Viola Joseph, developed mesothelioma after
her work as a cashier and laborer. Simmons, Browder,
Gianaris, Angelides and Barnerd in East Alton, Ill., will
represent Ms. Joseph.
-- (Case No. 09-L-1263) Clarissa Leipprandt of Michigan claims
the deceased Martin Leipprandt developed mesothelioma after
his work as a farmer and welder. Richard L. Saville Jr.,
Esq., Ethan A. Flint, Esq., and Stephen C. Jones, Esq., of
Saville and Flint in Alton, Ill., will represent Ms.
Leipprandt.
-- (Case No. 09-L-1225) Michael Linnane of Pennsylvania, a
driver throughout the United States, claims mesothelioma.
Brian J. Cooke, Esq., and Drew Sealey, Esq., of Simmons,
Browder, Gianaris, Angelides and Barnerd will represent Mr.
Linnane.
-- (Case No. 09-L-1226) Robert and Leona Medler of New York
claim Mr. Medler developed mesothelioma after his work as a
laborer and operator. Timothy F. Thompson Jr., Esq., Ryan J.
Kiwala, Esq., and Stephanie A. Lyons, Esq., of Simmons,
Browder, Gianaris, Angelides and Barnerd in East Alton, Ill.,
will represent the Medlers.
-- (Case No. 09-L-1265) Michael and Patricia Misk of Illinois
claim Mr. Misk developed mesothelioma after his work as a
draftsman at the Vap-Air Division of Varpok Heating, as a
detailer at Pioneer Engineering, as a senior draftsman at
Admiral Corporation, as a junior designer at Stenographic
Machine and as a mechanical engineer. Randy L. Gori, Esq.,
and Barry Julian, Esq., of Gori, Julian and Associates in
Edwardsville, Ill., will represent the Misks.
-- (Case No. 09-L-1241) Joseph A. Montanaro of Missouri, a
sailor, midshipman and pilot, claims mesothelioma. Andrew
O'Brien, Esq., Christopher Thoron, Esq., Christina J.
Nielson, Esq., Bartholomew J. Baumstark, Esq., and Gerald J.
FitzGerald, Esq., of O'Brien Law Firm in St. Louis, will
represent Mr. Montanaro.
-- (Case No. 09-L-1235) Jerry Moore of Illinois, a machinist
mate, material handler, material foreman, plant manager,
fireman, water tender, marine oiler, marine striker and
security therapy aide, claims lung cancer. Amy E. Garrett,
Esq., of Simmons, Browder, Gianaris, Angelides and Barnerd in
East Alton, Ill., will represent Mr. Moore.
-- (Case No. 09-L-1247) Cynthia Riley of Missouri claims her
deceased husband, James Riley, developed lung cancer after
his work at Kingsford Charcoal, as a welder at Kemco Tool &
Die, as a bus driver for special school district, as a welder
at Affiliated Hospital Products, as a welder at Heflin Stool,
as a fitter, welder and leadman at Marathon Steel, as a
driver at Swift Transportation, as a driver at Emerson
Transportation, as a driver at Express I, as a driver at U.S.
Express and as a driver at Delta Express. Randy L. Gori,
Esq., and Barry Julian, Esq., of Gori, Julian and Associates
in Edwardsville, Ill., will represent Mrs. Riley.
-- (Case No. 09-L-1268) Robert H. and Brenda G. Ryder of Alabama
claim Mr. Ryder developed lung cancer after his work as a
millwright for Eichleay Corporation in Henderson, Ky., as an
equipment setter and laborer for Machias Power Plant, as a
heavy equipment operator for Blue Rock Industries, as a
laborer for FA Tucker, as a laborer for H.E. Sargent, as a
laborer operator for Lincoln Pulp and Paper Co., as a
sandblaster and painter at Eastern Fine Paper, as a roofer
and construction worker for Gerard and Sons Roofing Co., and
as a turbine, paper machine and steel worker,. Elizabeth V.
Heller, Esq., and Robert Rowland, Esq., of Goldenberg,
Heller, Antognoli and Rowland in Edwardsville, Ill., will
represent the Ryders.
-- (Case No. 09-L-1258) Charles J. Smith Jr. of Colorado claims
his deceased father, Charles J. Smith Sr., developed
mesothelioma after his work as a truck driver, bus driver and
laborer. Simmons, Browder, Gianaris, Angelides and Barnerd in
East Alton, Ill., will represent Mr. Smith.
-- (Case No. 09-L-1250) John D. Steele of Nebraska, a farmer and
machinist, claims mesothelioma. Andrew O'Brien, Esq.,
Christopher Thoron, Esq., Christina J. Nielson, Esq.,
Bartholomew J. Baumstark, Esq., and Gerald J. FitzGerald,
Esq., of the O'Brien Law Firm in St. Louis, will represent
Mr. Steele.
-- (Case No. 09-L-1260) John Thompson of California claims his
deceased father, Western Thompson, developed mesothelioma
after his work as a mechanic, aircraft mechanic, owner and
truck driver. Amy E. Garrett, Esq., and W. Brent Copple,
Esq., of Simmons, Browder, Gianaris, Angelides and Barnerd in
East Alton, Ill., will represent Mr. Thompson.
-- (Case No. 09-L-1232) Marcella Trout of Texas claims her
recently daughter, Marcy Campbell, developed mesothelioma.
Mrs. Campbell was exposed to asbestos fibers through her
father, who worked as an electrician and maintenance
electrician. Amy E. Garrett, Esq., and W. Brent Copple, Esq.,
of Simmons, Browder, Gianaris, Angelides and Barnerd in East
Alton, Ill., will represent Mrs. Trout.
-- (Case No. 09-L-1266) James R. Walton of Illinois, a boiler
operator for Caterpillar and a maintenance supervisor at
Morris Hospital, claims mesothelioma. Elizabeth V. Heller,
Esq., and Robert Rowland, Esq., of Goldenberg, Heller,
Antognoli and Rowland in Edwardsville, Ill., will represent
Mr. Walton.
ASBESTOS UPDATE: MoD Settles w/ Bath Dockyard Worker for GBP65T
---------------------------------------------------------------
The Ministry of Defence agreed to pay Alan Cox, an 85-year-old
dockyard worker from Weston, Bath, England, GBP65,000 in an out-
of-court-settlement for Mr. Cox's asbestos-related injuries, The
Bath Chronicle reports.
Mr. Cox was diagnosed with asbestosis in 2007 after suffering
from pneumonia. He also has the right to return for further
damages should his health deteriorate.
Mr. Cox's solicitor, Brigitte Chandler of Charles Lucas &
Marshall said Mr. Cox was one of thousands of former ship and
dockyard employees who had been exposed to asbestos.
Mr. Cox worked for the MoD at Chatham in Kent for three years
from 1940 before joining the Royal Air Force. He returned to the
dockyards to complete an apprenticeship before transferring to
the Director General Ships Department of what was then known as
the Admiralty in Bath.
In 1957, Mr. Cox transferred to the Rosyth Dockyard in Scotland
where he was exposed to asbestos during the two years he worked
on the modernization of HMS Caesar, which saw him checking the
removal of the substance from pipes and boilers.
Mr. Cox returned to work in Bath in 1975 and then retired from
the MoD in 1984. He had been a keen walker but can no longer walk
long distances.
An MoD spokeswoman said, "When compensation claims are received
they are considered on the basis of whether or not the Ministry
of Defence has a legal liability to pay compensation."
ASBESTOS UPDATE: Lafayette High Closed on Dec. 5 Due to Asbestos
----------------------------------------------------------------
The Lafayette High School in Brooklyn, N.Y., on Dec. 5, 2009,
closed due to an asbestos scare, Mesothelioma Cancer News
reports.
NYDailyNews.com reported that a scheduled SAT test was also
cancelled due to the fear of contamination from construction
issues.
Michael Mulgrew, the United Federation of Teachers President, was
quoted as saying, "There is no excuse for the Department of
Education to fail to maintain the strictest oversight of its
contractors and to ensure that our buildings meet the highest
safety standards."
An Education Department spokesman, Will Havemann, is further
quoted in the report as stating of the reason for the closing,
"Though air tests released Saturday morning indicated that
conditions at Lafayette High School were safe, the College Board
decided to cancel Saturday morning's SAT."
ASBESTOS UPDATE: U.K. Gov't. to Decide on Future Cancer Payouts
---------------------------------------------------------------
The House of Lords in England, in what is to be landmark ruling,
will debate on the future of mesothelioma and asbestos cancer
court cases, Asbestos.net reports.
In a 2007 test case, the court ruled that patients with pleural
plaques would no longer receive compensation from lawsuits filed
against responsible parties. Now, they are set to make a formal
decision.
Medical experts are trying to show the government that pleural
plaques, along with asbestosis and mesothelioma, take a physical
and a mental toll on a patient, making them eligible to receive
compensation for their disease.
According to the World Health Organization, former long-term
asbestos exposure results in nearly 90,000 deaths each year
worldwide, and may claim as many as 10 million lives before its
use is completely banned.
Activists for the asbestos compensation cause in the United
Kingdom urge lawmakers in the United States and Canada to look
into a compensation program for mesothelioma victims in their
countries as well, and hope that the U.K.'s decision will spark
movement around the world.
ASBESTOS UPDATE: J & C Pleads Guilty to False Inspection Reports
----------------------------------------------------------------
Acting U.S. Attorney Michael Reap said that, on Dec. 8, 2009,
Calvin Burks, owner of J & C Environmental Services Inc. of St.
Louis, pleaded guilty making a false asbestos inspection report
on a building to be demolished in St. Louis, the St. Louis
Business Journal reports.
The 57-year-old Mr. Burks pleaded guilty to one felony count of
making false statements before U.S. District Judge Carol Jackson.
He now faces a maximum penalty of 10 years in prison and/or fines
up to US$250,000 when he is sentenced on March 9, 2010.
Mr. Burks conducts asbestos inspections in the St. Louis
metropolitan area. According to court documents, from about April
2008 through May 2009, Mr. Burks performed more than 100 asbestos
inspections of buildings in the city of St. Louis that were to be
demolished.
According to court documents, about 108 of the inspection reports
Mr. Burks provided to the demolition contractors and/or building
owners contained sample analysis, which were on letterhead of
Precision Analysis Testing Laboratory in St. Louis, even though
Precision Analysis had not conducted the asbestos analysis or
testing.
Mr. Burks copied the Precision Analysis letterhead from a
previous job and falsified the additional information provided in
the reports, including the sample analysis of suspect asbestos
material, the court documents said.
Mr. Burks charged about US$150 for the fraudulent inspections and
sampling analysis, which were then relied on by building
contractors and owners when submitting asbestos NESHAP (National
Emission Standards for Hazardous Air Pollutants) notification of
demolition and renovation to the city of St. Louis, court records
show.
According to court documents, based on this notification, the
city subsequently issued a demolition permit authorizing the
demolition of a property at 6257-6259 Gravois.
ASBESTOS UPDATE: Maitland City to Remove Asbestos From Town Hall
----------------------------------------------------------------
The Council in the City of Maitland in Wales, Australia, is set
to remove asbestos roofing from its century-old town hall
building, ABC News reports.
When the work starts early in the New Year, council meetings will
have to be relocated and it will also be timed to coincide with
the school holidays so students at the nearby St. Mary's high
school are not affected.
Mayor Peter Blackmore said, "Particularly when it's been
highlighted, the dangers of asbestos, and we want to remove any
dangers of the people using the town hall. At anytime there we
can have hundreds of people there in that facility so it's
important now that we comply with current regulations."
ASBESTOS UPDATE: Quebec's Health Officials Seek Ban on Asbestos
---------------------------------------------------------------
Certain public health officials in the province of Quebec,
Canada, signed a petition regarding the area's asbestos industry,
Mesothelioma reports.
The petition, directed at the Canadian Health Minister Leona
Aglukkaq, requests that she have the government cease its
financial backing for the excavation, utilization and exportation
of asbestos.
The letter also addresses officials in Ottawa and asks them to
set up a register of all buildings carrying asbestos and to
produce a nationwide watchdog scheme to track the progress of
patients diagnosed with asbestos-related diseases.
The growing worries in Canada over their support of the asbestos
industry have mostly been the concerns of the English-speaking
areas of the country. Quebec residents have made any statements
against the continuing manufacture and export of the lethal,
carcinogenic material. Presently, Quebec is the only province
that still has functioning asbestos mines.
Dr. Pierre Gosselin, a researcher at the National Public Health
Institute of Quebec, signed the petition. He said that the idea
of criticizing the asbestos industry, or the government support
that it receives, was considered "taboo" in the French-speaking
province.
For decades, the asbestos mines have been one of the largest
employers in the province. Dr. Gosselin noted that several people
from the province who have spoken out against the asbestos
industry have suffered "severe backlash."
However, Dr. Gosselin also noted that the overwhelming amount of
medical evidence pointing to asbestos as the cause for such
diseases as mesothelioma has begun to shift public attention
toward the health issues involved with handling asbestos.
Fernand Turcotte, emeritus professor at the Laval University
Medical School in the provincial capital of Quebec City, also
signed the petition.
Public health officials, university professors, doctors and other
health workers created the petition in light of a report on the
increased incidence of asbestos-related cancers in the Quebec
community of Thetford Mines.
ASBESTOS UPDATE: Asbestos Found at Suncor Energy Plant in Canada
----------------------------------------------------------------
Asbestos was found during maintenance on a furnace at the Suncor
Energy facility in Alberta, Canada, Mesothelioma & Asbestos
Awareness Center reports.
The Canadian government's Occupation Health and Safety division
will investigate the asbestos incident. Suncor spokesman Dany
Laferriere says the asbestos was present within insulation
materials.
Mr. Laferriere said, "When we uncovered what was confirmed to be
asbestos insulation, first of all, we stopped work. Certainly we
have no evidence at this time that there was an actual exposure
to ambient asbestos, but we do take the health and safety very
seriously so we requested at that time that the workers who were
working in the area go for a health check."
All workers who came into contact with the material were wearing
protective gear.
According to Chris Chodan, an OH&S spokesman, one inspector has
visited the site, and deeper investigation into the matter will
continue.
Mr. Chodan said the investigation will determine if the asbestos
at the site was disturbed or friable, as well as how many people
were exposed.
ASBESTOS UPDATE: Asbestos Uncovered in Davenport, Iowa Building
---------------------------------------------------------------
The discovery of asbestos in the Forrest Block building in
Davenport, Iowa, prompted the developer, Restoration St. Louis,
to seek a US$1.8 million bridge loan from the City to complete
their project, Mesothelioma.com reports.
Restoration St. Louis was working on the century-old building in
October 2009, but was forced to stop work when asbestos was
uncovered that had not been previously detected by either the
City-hired Stanley Consultants or Restoration St. Louis'
environmental abatement contractor.
Forrest Block has been vacant for many years, and Restoration St.
Louis was hoping to turn it into 22 apartments, a project that
would likely cost US$3.5 million.
According to Alan Guard, the City's finance director, when
asbestos was uncovered, the bank backing the project pulled out
pending further environmental testing.
Mr. Guard says that because the project is funded in part by the
City, the building has a strict deadline for completion in
December 2010. He said, "This is a timing issue. This is a
company that can get this done and they have the financial
wherewithal to make sure the city gets paid."
Fifth Ward Alderman Bill Lynn said, "We're not a bank. On the
surface it looks good. But we can't loan private companies money
incessantly."
Seventh Ward Alderman Barney Barnhill said, "That building will
be an anchor in that area and a real architectural gem. We know
Restoration St. Louis is a good firm. I feel comfortable with the
bridge loan."
ASBESTOS UPDATE: Jakubek Convicted for Bribery on Cleanup at WTC
----------------------------------------------------------------
A Manhattan jury convicted Mark Jakubek, a former Port Authority
of New York and New Jersey field operations manager, for taking
bribes to allow an asbestos-cleanup company to overcharge for
work on the World Trade Center cleanup.
Mr. Jakubek and a former colleague were convicted on charges that
include enterprise corruption, the State's version of
racketeering.
The 50-year-old Mr. Jakubek and his former colleague, 61-year-old
Anthony Fontanetta, face mandatory prison terms of at least a
year after being convicted in the first trial from the five-year-
old indictment. Ten other people have pleaded guilty.
No sentencing date has been set, but they are due in court for a
status update Jan. 20, 2010.
Mr. Jakubek was hailed for helping rescue people from an elevator
during the 2001 terror attacks. Two years later, he pleaded
guilty in a separate bribery case.
In 2004, Mr. Jakubek and Mr. Fontanetta were accused of taking
sports and concert tickets and other bribes to let Specialty
Service Contracting Inc. get away with padding its bills.
The Company worked for the Port Authority at John F. Kennedy
International Airport, as well as on artifacts from the trade
center site, which the authority also owns.
The Manhattan District Attorney's office said the firm stole more
than US$60,000 through the ground zero cleanup project and
millions of dollars overall.
Hired in February 2002 to clean up crushed police cars, pieces of
steel and other objects recovered from the destroyed twin towers,
the Company inflated equipment expenses and plumped up its
payroll with no-show workers, the Manhattan district attorney's
office said. One man was in jail on a day he was listed as
working, prosecutors said.
According to prosecutors, two of Specialty Services' co-owners
and eight other people have pleaded guilty to various charges.
The remaining defendants, including a third Specialty Services
owner, have denied the charges.
Defense lawyers argued that Mr. Jakubek and Mr. Fontanetta, an
engineer, did not know about the billing practices. Mr. Jakubek
was fired during the investigation. Mr. Fontanetta has been
suspended without pay.
On Sept. 11, 2001, Mr. Jakubek and some co-workers were rushing
down the stairs from their World Trade Center offices when they
heard screams coming from an elevator. He played a major part in
rescuing the two people trapped inside.
Mr. Jakubek pleaded guilty in a federal bribery case in 2003,
admitting he had taken nearly US$20,000 in kickbacks to speed
payments to contractors after the terror attacks.
Mr. Jakubek's lawyer in that case suggested his behavior was due
in part to trauma from Sept. 11, 2001, though prosecutors said
his corruption began before the attacks. He served about a year
in prison.
ASBESTOS UPDATE: CEGB Worker's Death Related to Hazard Exposure
---------------------------------------------------------------
An inquest heard that that death of Roy Holt, who worked for the
Central Electricity Generating Board at a factory near
Birmingham, England, was linked to exposure to asbestos, the
Herald Express reports.
As part of his work, Mr. Holt, who died on July 29, 2009 and
having been diagnosed with mesothelioma in June 2009, packed
metal samples into asbestos cords and wool before firing them
into large furnaces. The work was done to test resistance of
materials.
Mr. Holt, who died aged 72, was originally from Nottinghamshire.
He moved to Dartmouth to retire and lived with his wife Judith in
Thurlestone Gardens.
Former colleague Tom Rowberry, who worked with Mr. Holt on large
rigs at the CEGB plants in the Midlands between 1963 and 1966,
told the inquest that asbestos was used as an insulator.
Recording a verdict of industrial illness-related death, Torbay
Coroner Ian Arrow said, "Mr. Holt died as a result of exposure to
asbestos during his work."
ASBESTOS UPDATE: Southcote Engineer's Death Linked to Exposure
--------------------------------------------------------------
At the Berkshire Civic Center on Dec. 1, 2009, an inquest heard
that the death of Leonard Large, an engineer from Southcote,
Reading, England, was linked to exposure to asbestos, getreading
reports.
Mr. Large suffered a heart attack in January 2008, when the
asbestos exposure was diagnosed. He was asked to note any jobs
where he may have been exposed to asbestos.
Berkshire Coroner Peter Bedford revealed Mr. Large worked as a
laborer at a gas company, as an engineer involved with aircrafts,
and handled car parts in another job.
Mr. Large died at his home on Aug. 16, 2009 from mesothelioma at
the age of 81.
A post-mortem examination revealed a tumor in the lung that had
spread close to the heart, although no asbestos fibers were
found.
Mr. Bedford recorded Mr. Large died from an industrial disease of
malignant mesothelioma.
ASBESTOS UPDATE: J. C. Penney Has $43M A&E Liability at Oct. 31
---------------------------------------------------------------
J. C. Penney Company, Inc., as of Oct. 31, 2009, estimated its
total potential asbestos and environmental liabilities to range
from US$41 million to US$52 million and recorded its best
estimate of US$43 million in other liabilities in the
Consolidated Balance Sheet as of that date.
This estimate covered potential liabilities primarily related to
underground storage tanks, remediation of environmental
conditions involving our former Eckerd drugstore locations and
asbestos removal in connection with approved plans to renovate or
dispose of the Company's facilities.
As of Aug. 1, 2009, the Company estimated its total potential A&E
liabilities to range from US$41 million to US$52 million and
recorded its best estimate of US$45 million in other liabilities
in the Consolidated Balance Sheet as of that date. (Class Action
Reporter, Sept. 18, 2009)
J. C. Penney Company, Inc.'s subsidiary, J. C. Penney
Corporation, is a department store, catalog, and e-commerce
retailer. The retailer runs more than 1,090 JCPenney department
stores throughout the United States and Puerto Rico. The Company
is based in Plano, Tex.
ASBESTOS UPDATE: Foster Wheeler's Bid in Crowder Lawsuit Denied
---------------------------------------------------------------
The U.S. District Court, Southern District of Indiana, Terre
Haute Division, denied Foster Wheeler LLC's motion to strike and
dismiss Paragraph 27 of Dennis and Suzanne Crowder's asbestos-
related complaint.
The case is styled Dennis Crowder and Suzanne Crowder, Plaintiffs
v. Foster Wheeler, LLC, DAP, Inc., General Electric Company,
Georgia-Pacific Corp., Honeywell International Inc., IMO
Industries Inc., Ingersoll-Rand Company, John Crane, Inc.,
Metropolitan Life Insurance Company, Owens-Illinois, Inc., Union
Carbide Corp., Viacom, Garlock Sealing Technologies, LLC, and CBS
Corp., Defendants.
U.S. Magistrate Judge William G. Hussman, Jr. entered judgment in
Case No. 2:09-cv-251-WTL-WGH on Sept. 18, 2009.
The Crowders filed a Complaint in Marion County Superior Court on
April 17, 2009, alleging that Defendants exposed Mr. Crowder to
asbestos-containing products.
On Aug. 7, 2009, Foster Wheeler filed a Notice of Removal. The
Company then filed a Motion to Strike and Dismiss Paragraph 27 of
Plaintiffs' Complaint.
ASBESTOS UPDATE: Appeal Court Reverses Judgment in Merrill Case
---------------------------------------------------------------
The Court of Appeal, Second District, California, reversed the
ruling of the Superior Court of Los Angeles County, which favored
Richard and Tamara Merrill in asbestos litigation filed against
Leslie Controls, Inc. and Elliott Company.
The case is styled Richard Merrill et al., Plaintiffs and
Appellants v. Leslie Controls, Inc., Defendant and Appellant;
Elliott Company, Defendant and Respondent.
Judges Croskey, Aldrich, and Kitching entered judgment in Case
No. B200006 on Sept. 25, 2009.
On May 10, 2006, the Merrills filed a complaint for personal
injury arising from Mr. Merrill's exposure to asbestos from
defendants' asbestos and/or asbestos-containing products aboard
U.S. Navy vessels. The complaint named more than 30 defendants,
including Leslie Controls and Elliott Company.
Leslie Controls and Elliott Company filed motions for summary
judgment and for summary adjudication of Mrs. Merrill's cause of
action for loss of consortium. The trial court denied Leslie
Controls's motion for summary judgment, but granted its motion
for summary adjudication of Mrs. Merrill's loss of consortium
cause of action.
The trial court granted Elliott Company's motion for summary
judgment and also granted Elliott Company's motion for summary
adjudication of Mrs. Merrill's loss of consortium cause of
action.
Before the verdict, the Merrills and 16 defendants settled, with
the settling defendants agreeing to pay plaintiffs US$5,518,000.
After a trial, the jury found in favor of three remaining
defendants, but found against Leslie Controls.
The jury found that the failure-to-warn and design defects, and
the negligence, of Leslie Controls were a substantial
contributing factor in causing Mr. Merrill's malignant
mesothelioma, and found total damages suffered by Mr. Merrill to
be US$5,691,124. The jury allocated 15 percent of the total fault
that caused Mr. Merrill's injury to Leslie Controls. The judgment
on special verdict entered on March 23, 2007, ordered that Mr.
Merrill recover US$1,218,565 from Leslie Controls.
On May 16, 2007, the trial court denied the motions by Leslie
Controls for judgment notwithstanding the verdict and for a new
trial. In a notice of appeal filed on June 14, 2007, Mrs. Merrill
appealed from the order granting summary adjudication for Leslie
Controls on Mrs. Merrill's loss of consortium cause of action,
and the Merrills appealed from the order granting summary
judgment to Elliott Company.
On July 5, 2007, Leslie Controls filed a notice of appeal from
the March 23, 2007 judgment.
Mr. Merrill served in the U.S. Navy from 1959 to 1979. During his
naval service, he served on four U.S. Navy ships. All of the
ships had Leslie Controls valves, and could not operate without
them. Later in his naval career, he became an instructor in the
Naval Engineering Officer's School in San Diego, where he taught
junior officers the principles of a steam system.
At the time he was honorably discharged, Mr. Merrill was a Senior
Chief Machinist's Mate. He testified that during his U.S. Navy
service, he never saw a warning concerning the hazards of
asbestos on the equipment he worked on, and the Navy never gave
any warning that he knew of.
The judgment in favor of Mr. Merrill is reversed. The orders
granting summary judgment for Elliott Company and granting
summary adjudication for Leslie Controls were affirmed. Costs on
appeal were awarded in favor of Elliott Company and Leslie
Controls.
Simon, Eddins & Greenstone (Brian P. Barrow, Esq.) represented
Plaintiffs and Appellants.
Gordon & Rees, Esq., James G. Scadden, Esq., Don Willenburg;
Munger, Tolles & Olson, Mark H. Epstein, Esq., Paul J. Watford,
Esq., and Julie D. Cantor, Esq., represented Leslie Controls,
Inc.
Walsworth, Franklin, Bevins & McCall (Michael T. McCall, Esq.,
Thomas G. Scully, Esq., and Sean P. Martin, Esq.) represented
Elliott Company.
Crowell & Moring (Steven P. Rice, Esq., William Anderson, Esq.,
and Natalia R. Medley, Esq.) represented The Coalition for
Justice, Inc. on behalf of Leslie Controls, Inc.
ASBESTOS UPDATE: Looney, Pauley Actions Filed on Nov. 6 in W.Va.
----------------------------------------------------------------
On Nov. 6, 2009 in Kanawha Circuit Court, W.Va., William Bruce
and Ruth Ellen Looney sued 74 defendant corporations and Michael
S. and Linda Pauley sued 40 defendant corporations in separate
asbestos lawsuits, The West Virginia Record reports.
Mr. Looney and Mr. Pauley claim they were exposed to asbestos
products of the defendants while working at various job sites
over many years.
On Nov. 17, 2007, Mr. Looney was diagnosed with asbestosis. He
claims he never smoked. On March 19, 2009, Mr. Pauley was
diagnosed with lung cancer but claims he smoked one pack per day
for 49 years.
According to both suits, the defendants are being sued for
negligence, contaminated buildings, breach of expressed/implied
warranty, strict liability, intentional tort, conspiracy,
misrepresentations, and post-sale duty to warn.
Both couples are suing for trials by jury to resolve all issues
concerning their asbestos-related cases.
They are being represented by Cindy J. Kiblinger, Esq., of James
F. Humphreys & Associates, and Victoria Antion, Esq., of Motley
Rice represent the Looney and Pauley couples.
ASBESTOS UPDATE: DNR Calls for Suit on Mo. Fire District Breach
---------------------------------------------------------------
The Missouri Department of Natural Resources and its Air
Conservation Commission urged the attorney general to sue
Northeast Ambulance and Fire District Chief Joseph L. Washington
for alleged violations regarding asbestos at a fire district
building, the St. Louis Post-Dispatch reports.
The DNR accuses Mr. Washington, while in his former position as
fire board president, of violations regarding improper removal
and disposal of asbestos-containing floor tile from the
district's building in Beverly Hills.
Mr. Washington is scheduled for trial in federal court on Dec. 14
on five counts of violating the Clean Air Act. Those charges also
stem from asbestos removal at the district building.
ASBESTOS UPDATE: A.M. Best Says 2008 A&E Losses Hit Lowest Level
----------------------------------------------------------------
A.M. Best Company revised its view of the U.S. property/casualty
industry's ultimate asbestos and environmental (A&E) losses
downward to US$117 billion from US$121 billion, according to an
A.M. Best Company press release dated Dec. 7, 2009.
Asbestos exposures now are estimated at US$75 billion, up from
US$65 billion, and environmental losses at US$42 billion, down
from US$56 billion.
These totals reflect A.M. Best's review of statutory annual
statement Footnote 32 data for year-end 2008, supplemented with
proprietary A.M. Best data:
-- The industry posted significantly lower A&E losses in 2008-
down nearly 50 percent and increased its aggregate funding
for those liabilities by nearly US$5 billion over the past
two years.
-- Through 2008, the industry's incurred-to-date losses for A&E
liabilities totaled more than US$66 billion for asbestos
exposures and nearly US$35 billion for environmental costs,
net of reinsurance and adjusted for two companies'
significant loss portfolio transfers in 2002 and 2005.
-- The increase in asbestos estimates reflects ongoing, elevated
levels of annual incurred losses, as well as a subtle shift
of losses away from products liability claims to more costly
non-products claims against more peripheral defendants.
-- Also affecting asbestos losses is a growing proportion of
settlements in more serious cases, principally related to
mesothelioma, which is increasing the average values of such
claims.
-- The reduction in environmental loss estimates reflects a
steady decline in incurred losses since 1999, while the
industry's "mega" losses relating to the petrochemical
industry largely have been settled.
-- Paid losses remained consistently high over the past five
years, averaging over US$3 billion a year for asbestos and
under US$1 billion a year for environmental.
-- Nearly 70 percent of the industry's 2008 A&E incurred losses
were concentrated among 10 insurer groups, while 10 insurers
also drove 70 percent of the industry's asbestos losses, and
10 insurer groups generated about 85 percent of incurred
environmental losses.
-- Total A&E net loss reserves declined eight percent, composed
of a seven percent decrease for asbestos and an 11 percent
decline for environmental.
-- In 2008, the three-year survival ratio, a key measure of an
insurer's A&E reserve adequacy, stood at 8.1 times for the
total industry on asbestos claims, down from 9.5 times in
2007, as two insurers in the commercial lines segment
recorded upticks in paid losses.
ASBESTOS UPDATE: Congoleum's Disclosure Hearing Adjourned Dec. 7
----------------------------------------------------------------
In a Congoleum Corporation press release dated Dec. 9, 2009, the
Company reported that it asked the U.S. District Court for the
District of New Jersey to adjourn the hearing on the disclosure
statement with respect to the pending Second Amended Joint Plan
of Reorganization scheduled for Dec. 7, 2009 until a date in the
first two weeks of January 2010 to be determined by the District
Court.
The District Court presides over the Company's bankruptcy case.
The request was made jointly with the other plan proponents, the
Official Committee of Bondholders and the Asbestos Claimants'
Committee, and the request was granted by the District Court. A
revised hearing date has not yet been set.
Roger S. Marcus, Chairman of the Board, commented, "We are
actively engaged in settlement negotiations with the insurers
that have not previously settled their coverage disputes with us.
If successful, the terms of any further settlements will be
described in the disclosure statement.
"Given the progress that has been made in recent weeks, we and
the other plan proponents felt it was prudent to delay briefly
the hearing to allow time for the negotiations to run their
course and permit the disclosure statement to reflect their
outcome. We are encouraged by these developments and continue to
hope that we could see a plan confirmed in the first half of
2010."
Congoleum Corporation manufactures resilient flooring, serving
both residential and commercial markets. Its sheet, tile and
plank products are used in remodeling, manufactured housing, new
construction and commercial applications. The Company is based in
Mercerville, N.J.
ASBESTOS UPDATE: Grupo Mexico's Unit Completes Bid to Buy ASARCO
----------------------------------------------------------------
Grupo Mexico, S.A.B. DE C.V. announced Dec. 9, 2009 that its
subsidiary, Americas Mining Corp. (AMC), has consummated its
bankruptcy plan for ASARCO LLC, reuniting ASARCO with its parent
company, according to a GMEXICO press release dated Dec. 9, 2009.
The reintegration follows U.S. District Court Judge Andrew S.
Hanen's decision in November 2009 to approve GMEXICO's full
payment reorganization plan for ASARCO, concluding the company's
four-year Chapter 11 proceeding.
Jorge Lazalde, ASARCO Inc. vice president and general counsel,
said, "Today marks the beginning of a new chapter for ASARCO and
Grupo Mexico.
"With ASARCO now able to operate free of its burdensome asbestos
and environmental liabilities, which will be fully satisfied
under our plan, we believe the combined entity will create one of
the world's strongest and most competitive copper producers. We
look forward to working closely with our employees and local
communities to realize the full potential of ASARCO's high-
quality operations and valuable assets. We are grateful for this
outcome and to all who helped make it possible."
The court-approved plan called for AMC to make a US$2.2 billion
cash contribution to ASARCO for distribution to creditors,
additionally disburse to creditors an estimated US$1.4 billion in
cash on hand from ASARCO's balance sheet and guarantee ASARCO's
issuance of a one-year promissory note for US$280 million payable
to the asbestos creditors.
To finance the plan, a syndicate of internationally recognized
financial institutions has provided US$1.5 billion in financing
to AMC. GMEXICO contributed an additional US$700 million to fund
the $2.2 billion cash contribution on the closing date.
The completion of the bankruptcy plan results in the return of
full management and control of ASARCO to AMC. The completion of
the bankruptcy plan also releases AMC and GMEXICO from all
bankruptcy-related claims.
ASBESTOS UPDATE: Asbestos Uncovered in Clarence Valley's Gravel
---------------------------------------------------------------
Asbestos was found in gravel that has been used for road and
bridge works on Clarence Valley Council in New South Wales,
Australia, ABC News reports.
Stuart McPherson, Clarence Valley Council's general manager, says
gravel from its Ewingar Quarry is regularly tested because of its
proximity to the disused Baryulgil asbestos mine.
Mr. McPherson says he was notified about the positive result. He
says more tests are being carried out to determine the extent of
the risk.
Mr. McPherson said, "We're concerned obviously about the welfare
of the council staff who were involved in working with the
material if it contains asbestos and we're obviously concerned
about residents and visitors using the roads where there may be a
risk."
Richie Williamson, Clarence Valley Council mayor, says the gravel
has already been used in road and bridge works, and the council
is now trying to determine the exact locations.
Meanwhile, Catherine Cusack, NSW Opposition's spokeswoman for the
Environment says the discovery should be investigated by the
State Ombudsman. She says asbestos is a widespread problem that
has been mismanaged for too long.
Ms. Cusack said, "It highlights yet another form of problem that
we're having in asbestos and people being unwittingly exposed. I
mean the most common form of exposure is in demolition work, and
we seem to still be struggling with the safe disposal from
demolition, but the problem of disused mines, how they were
closed down how they were sealed off, record keeping appears to
be poor."
ASBESTOS UPDATE: Traces of Asbestos in Carpet Underlay in Perth
---------------------------------------------------------------
The Western Australia Health Department confirmed the presence of
asbestos in carpet underlay samples taken from a home in Perth,
Australia, ABC News reports.
It is believed some underlay made before the 1970s may have
included recycled hessian from bags previously used to transport
and store asbestos.
The Department began testing samples from a number of older
houses across Perth after concerns were raised several years ago.
The Department is warning people who are replacing or removing
old carpets to ensure they take appropriate precautions and avoid
inhaling any dust.
ASBESTOS UPDATE: Former Brick Factory in Mexico, Mo., Has Hazard
----------------------------------------------------------------
A former brickmaking plant in Mexico, Mo., which is contaminated
with asbestos, may open again in the coming years, Mesothelioma &
Asbestos Awareness Center reports.
A former employee of A.P. Green Brickmakers hopes to revive
Mexico's economy by restarting the brick-making industry in
Mexico.
Frank Cordie of Mid America Brick and Structural Clay Products,
LLC hopes to decontaminate, clean and renovate the former factory
and make it suitable for operations once again. Funding for the
project comes from a US$1.3 million dollar remediation tax credit
from the Department of Economic Development's Brownfield
Redevelopment Program.
In the next 18 months, the building must undergo asbestos
abatement, which is required under the law, and extensive
renovations.
ASBESTOS UPDATE: Youngstown School Abatement to Cost $1.25 Mil.
---------------------------------------------------------------
An engineering estimate for asbestos abatement at the vacant
Princeton School on Hillman Street in Youngstown, Ohio, states
that the school cleanup will cost about US$1,250,000, Vindy.com
reports.
The Youngstown school board has voted to seek bids for asbestos
removal from Princeton and the vacant Adams School on Cooper
Street in preparation for their eventual demolition.
The engineering estimate for Adams is US$500,000.
Once the asbestos is removed, the board will seek bids to
demolish the buildings. The board also has agreed to pay Strollo
Architects US$9,000 to prepare the Princeton demolition bid
documents. Olsavsky Jaminet Architects is getting US$10,200 to do
the demolition documents for Adams.
Princeton is still occupied temporarily by Alpha School of
Excellence, which will move into the new Wilson Middle School
being built on Gibson Street and scheduled to open next fall.
The work is part of a US$190 million school rebuilding program,
and the Ohio School Facilities Commission is picking up 80
percent of the costs.
Thirteen schools are being replaced or renovated and expanded.
Wilson is the last of them. The number being demolished is 17.
ASBESTOS UPDATE: Bethlehem Instructors Claim Exposure to Hazards
----------------------------------------------------------------
Teachers at the Bethlehem Area Vocational-Technical School in
Bethlehem, Pa., asserted that they and their students were
exposed to asbestos during work on a house, Mesothelioma.com
reports.
They also claimed that the school conspired to keep the incident
hushed up. Instructors Richard M. Crosby and Heath Bullard, along
with student Anthony E. Smith, have shared their story with
reporters.
These three men, along with between 50 to 100 students and other
workers worked for two months in the asbestos-laden home,
according to attorney John Karoly Jr.
Mr. Crosby claims that the school's administration knew about the
asbestos exposure in the school-owned home, and has made attempts
to hush up teachers.
The administration has also allegedly threatened to fire both Mr.
Crosby and Mr. Bullard for telling the truth about the incident.
ASBESTOS UPDATE: Lisbon, N.Y., Schools Cleanup to Cost $297,864
---------------------------------------------------------------
The Lisbon Central School Board of Education affirmed asbestos
floor tile abatement in 15 elementary classrooms and the
elementary corridor for an estimated cost of US$297,864, the
Watertown Daily Times reports.
While more additions to the project will be decided at the next
board meeting, representatives from Bernier, Carr & Associates of
Watertown, N.Y., asked the board to pick from a list of possible
projects so they could begin preparations.
Pamela S. Beyor of Bernier Carr said, "If we are going to do this
we want to get started right away. We can't wait until the middle
of January."
Rick W. Tague, also of Bernier Carr, told the board that a swift
decision would allow construction companies more time to work
with an empty school.
ASBESTOS UPDATE: Asbestos Report to Cost Corpus Christi $5,000
--------------------------------------------------------------
Corpus Christi, Tex., City Manager Angel Escobar estimates that
an asbestos report for the City's Memorial Coliseum should cost
around US$5,000, Mesothelioma reports.
Civil engineers with the City will formulate ideas on how best to
take down the aging Memorial Coliseum. Meanwhile, attorneys for
the City are discussing and agreement with the National Swim
Center Corp. that could potentially keep the facility open.
In order to proceed with the demolition efforts, city officials
will employ an asbestos specialist to scrutinize the facility and
compose a study describing where most of the asbestos is situated
and estimate the expenses involved in carrying out cleanup and
removal techniques that can both satisfy federal and state
environmental regulations and maintain worker safety during the
process.
Mr. Escobar also said that the City's own engineers will examine
options concerning how the building can best be torn down. The
city engineers' report should cost the city about US$50,000.
If the city council reaches an agreement with National Swim
Center, then the demolition plans will be abandoned. In both 2003
and 2007, the city paid for architects and structural engineering
firms to examine the site and come up with some concept designs
that would either allow for reuse of the facility or to determine
the costs involved in demolishing the site.
Corpus Christi Mayor Joe Adame moved for the city council to
knock down the old building and put up new housing and retail
development on the site. The council voted down the mayor's
motion, but did vote in favor of examining both the demolition
and swim center proposals.
The council will then examine the reports from both sides of the
issue, and then vote on which option to exercise on Jan. 12,
2010.
ASBESTOS UPDATE: $9.2 Mil. More for Salinas Courthouse Repairs
--------------------------------------------------------------
The renovation of the north wing of the Monterey County Superior
Court in Salinas, Calif., will get and additional US$9.2 million
that county officials say it will take to finally complete the
project, which has been held up by the presence of asbestos, The
Monterey County Herald reports.
On Dec. 8, 2009, the Board of Supervisors approved without
discussion additional funding for the north wing project, with
the money coming out of an account earmarked for the east and
west wing upgrades.
Now estimated to cost about US$71.6 million, the four-story,
96,000-square-foot north wing is expected to be finished by the
end of April 2009, more than five years after the project began.
Originally intended to be a modernization, the project was
initially delayed because of an asbestos release into the
building's ventilation system, an incident that prompted criminal
charges, litigation, a hazardous materials cleanup, and a
revision of the project to include a full-scale renovation of the
building's interior.
County Public Works Director Yazdan Emrani said the extra money
will pay for a series of cost overruns accrued since the
renovation project restarted, largely because of continued
discoveries of asbestos and other hazardous materials in the
building. Other costs are attributed to spotty project
coordination and changes to the project plans that included
adding another courtroom.
Mr. Emrani said work crews have continued to uncover "hot spots"
of asbestos and other hazardous materials in the building as
recently as last summer, despite a "clean letter" from an
environmental monitoring contractor that declared the building 99
percent free of asbestos in February 2008. That letter, Mr.
Emrani said, led the county to believe construction could begin
again.
In an attempt to improve project oversight, Mr. Emrani said, the
county hired Mill Construction in November 2009 to tighten up the
budget and schedule. The project is being managed by Turner
Construction.
Instead of renovating the other wings, Mr. Emrani suggested the
county could consider constructing a new "law" building for the
District Attorney's Office, the Probation Department and other
county offices.
However, he said there is not enough money to complete such a
project, noting that there is about US$19 million left in the
east and west wing account.
ASBESTOS UPDATE: Dunn Building in W.Va. to be Closed for Cleanup
----------------------------------------------------------------
At an emergency meeting on Dec. 8, 2009, commissioners of
Berkeley County, W.Va., agreed to close the Dunn Building in
Martinsburg, W.Va., to facilitate the removal of asbestos, The
Journal reports.
The Dunn Building at 400 W. Stephen St. will be closed to the
public and employees beginning at 5 p.m. on Dec. 11, 2009 and
will not reopen until at least the start of business Dec. 18,
while asbestos is removed, Commission President Ron Collins said.
The building is where several Berkeley County government offices
are located as well as the Blue Ridge Community and Technical
College.
An "asbestos hot spot" was found around the skylight above the
central atrium of the building, Mr. Collins said after the
meeting. The skylight and roof are being replaced as part of a
US$4.3 million project that includes replacing the building's
heating and air conditioning system, according to earlier
reports.
Commissioners considered having the work done over the weekend,
but the cost would have been too expensive, Commissioner Bill
Stubblefield added after the meeting.
Collins said the commissioners were informed on Dec. 8, 2009 by
the architectural/engineering firm, AECOM of Los Angeles; the
building had to be shut down for the asbestos removal work.
W. Harley Miller Contractors of Martinsburg is the construction
company for the project. Carson Roofing Inc. of Hagerstown is
replacing the roof and Boggs Environmental Consultants of
Frederick, Md., is doing the asbestos removal work.
Originally the Dunn Woolen Mill, the building was erected in the
1910s. The woolen mill operated there until 1953. In the 1980s,
it was converted to an outlet mall along with other nearby
textile factories, called the Blue Ridge Outlet Center.
Around 2003, Berkeley County bought the buildings. The first
floor of the Dunn Building is home to Blue Ridge Community and
Technical College, which moved to Martinsburg from Shepherd
University in 2001.
Mr. Collins said the plan was to encapsulate the asbestos in-
place with a new roof, but it was discovered there already were
two roofing layers and a third layer is prohibited by state law.
*********
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Class Action Reporter is a daily newsletter, co-published by
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Copyright 2009. All rights reserved. ISSN 1525-2272.
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The CAR subscription rate is $575 for six months delivered via
e-mail. Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance thereof
are $25 each. For subscription information, contact Christopher
Beard at 240/629-3300.
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