June Hancock Mesothelioma Research Fund

John Battle MP advises asbestos victims to ignore Federal Mogul direct appeal

John Battle, Labour MP for Leeds West, is advising asbestos victims to ignore a direct appeal to them from asbestos company Federal Mogul.

Federal Mogul have paid for newspaper adverts and are writing to each victim to get them to support a company plan drawn up in their headquarters in the USA which cuts out the lengthy process of winding up asbestos company Turner & Newall. The plan proposes to set up a trust to compensate asbestos victims, but it will be based in America and already it is clear that under US law US claims by potential victims will take precedence over the claims of actual victims in Britain.

John Battle said, “Even the administrators, Kroll Buchler Phillips, have expressed surprise at this direct appeal that bypasses them and their attempts to salvage compensation for the British victims – such as those in Armley. My advice is that it’s a waste of time responding to the American plan – we have to continue the fight with the administrators. Anyone who receives the voluminous documents sent with the plan should not respond.”

John Battle is to meet the administrators in London in September.
Contact John Battle MP 0113 231 0258

Many claimants will have been advised by their solicitors about the Federal Mogul trust distribution procedure and proposed payment by T&N’s insurers. We are sending out this newsletter principally for those claimants who have not heard from their solicitors. Our information is based on advice that Anthony Coombs, solicitor, has provided to T&N claimants.

Information from Federal Mogul

Claimants who have received a large package of information with voting papers from Federal Mogul should put them to one side. The legal advice is that you should NOT vote at this stage. Your solicitors will advise you what to do at a later stage.

This is because the Plan to distribute T&N’s assets favours US claimants and disadvantages UK claimants. The Administrators, Kroll, are trying to improve the Plan for UK claimants.

Federal Mogul
Trust Payments to ALL Claimants

ALL T&N claimants will eventually receive a payment from Federal Mogul. This payment will be very small, perhaps 5% to 10%.

‘All’ T&N claimants includes: those who worked for T&N; those who were exposed to asbestos from workers’ work clothes; and those exposed to asbestos near T&N factories.

It may take several years to pay ALL T&N claimants some money.

There is some good news for T&N claimants who were exposed to asbestos after 1969. The insurers have reduced their liability, but there is at least some certainty for those claimants.

We will continue to protest at the negligible payments to be made to ALL T&N claimants.

Greater Manchester Asbestos Victims Support Group
Tel: 0161 953 4037

On behalf of the Northern Asbestos Victims Support Groups

Payment from Insurers
Exposure After 1969

The insurers, Royal & SunAlliance and Lloyds Syndicate, have come to an agreement with the Administrators on payment to T&N claimants who worked for T&N and were exposed to asbestos after 1969. (T&N had no effective insurance prior to 1969).

The agreement means that insurers will pay T&N claimants who worked for T&N about 70% of the payment they would have got had they gone to court.

Some claimants will have been exposed to asbestos before and after 1969. Those who have pleural plaques, pleural thickening or asbestosis, who were exposed before 1969 as well as after 1969, will have their payment reduced proportionately for their exposure before 1969. Those suffering from mesothelioma or lung cancer will be paid the full amount, about 70% - there will be no proportionate payment.

Payment should be made within months, not years - hopefully before the end of the year.