Turner Bros Asbestos Company was founded in the 1870s and in about 1920 merged with Newalls Insulation Company to become Turner & Newall. They became one of the world’s largest producers of asbestos products. Turner & Newall was one of the UK’s 100 largest companies employing thousands of people with about 60% of the asbestos market.
Some of Turner & Newall’s operations included Turner’s Asbestos Cement Company Limited based at Trafford Park near Manchester, Erith in Kent, and Tamworth in Staffordshire; Newalls Insulation Company Limited at various locations; Turner Bros Asbestos Company Limited in Rochdale, Lancashire; JW Roberts Limited in Armley, Leeds and Ferodo Limited, Chapel-en-le Frith. The site in Rochdale, Lancashire, was the world’s biggest asbestos plant occupying an area of 1.5 million square feet.
Turner & Newall’s products were well known throughout the UK and overseas. Their product logo included the Greek word for asbestos with an image depicting the unquenchable nature of the asbestos fibres showing that their products were made from this naturally occurring mineral first used by the Ancient Greeks.
The history of the T&N Companies reveals the devastating effects of asbestos exposure as they faced many claims from employees suffering ill health. In about 1998, Turner & Newall, or T&N as it had become known, was acquired by Federal Mogul, a US company. The Federal Mogul/T&N group then began to experience financial difficulty largely as a result of the asbestos claims, particularly in the US, and as a result of the limited insurance cover which the company had. Federal Mogul filed for Chapter 11 Bankruptcy in the US and this resulted in an Administration Order being made in October 2001 for the T&N Companies in the UK.
There then followed a five year international administration/insolvency process involving a lot of litigation and negotiations. The outcome was for two T&N Trust Funds to be set up – in October 2006, referred to as the T&N UK Asbestos Trust and the T&N EL Trust. Although there are two separate Trusts, it should be regarded as one compensation scheme.
The Trusts were set up under a Company Voluntary Arrangement. All claims that would previously have been pursued through the Courts against a T&N Company now have to be presented to the T&N Trusts. It is no longer possible to litigate cases. The Trusts are the mechanism for compensating people who have suffered ill health (or lost a family member) as a result of exposure to T&N’s asbestos products.
Claims are submitted to the T&N Trusts and are assessed by the Trustees in accordance with the Trust Distribution Procedures set up under Trust Deeds.
The Trust Distribution Procedures are complicated and it is advisable to seek advice from a specialist solicitor who is familiar with the Trusts. There are different routes by which a claim can be assessed by the Trustees – via an expedited or individual review process. Particular criteria have to be met, depending on the disease the Trust Claimant is suffering from. Evidence has to be submitted to fulfil these criteria. The Trustees then assess the claims according to ‘established claim values’. Discounts are then applied in some cases, and then claims are paid out on a dividend basis. Trust Claimants may therefore not receive the full value of their claim, depending on whether they were an employee during an insured period. Claims are not limited to employees and the following categories of people/claimants may apply:
• Employees of a T&N Company (employee claims).
• A family member of an employee who has been exposed to T&N’s asbestos dust from a worker’s overalls (clothing claims).
• Someone who has lived near a T&N factory and who has been exposed to asbestos dust in the environment/immediate proximity of the factory (neighbourhood claims).
• Someone who has been exposed to asbestos dust from working with T&N’s asbestos products for example, whilst working for another company/employer (product liability claims).
• Someone who has visited T&N’s premises when for example, collecting asbestos products or carrying out installation or maintenance and repair work at one of T&N’s operations (whilst employed by another company or working on a self employed basis) (occupiers’ liability claims).
All of the above different types of claim have to fulfil different criteria under the Trust Distribution Procedures. The Trust Distribution Procedures provide for payment of some legal fees. Claims are also subject to a second payment 5 years after a claim is first established/accepted by the Trustees.
Some claimants may receive a payment for a similar amount to that which they would have received if the claim could have been litigated against the company through the courts i.e. be fully compensated so far as the law allows. Other claimants may only receive about 30% of the full value of a claim against the company.
We have experience of dealing with all of the above types of claim and would be happy to assist.