Gilbert LLP builds on its long experience recovering insurance in mass tort bankruptcy cases representing three Committees and two Future Claimants Representatives in Chapter 11 proceedings filed by Imerys Talc America, Inc., Whittaker, Clark & Daniels, and Avon Products, Inc.
In June 2019, Gilbert was retained as special insurance counsel to the Official Committee of Tort Claimants and the Future Claimants’ Representative in the Chapter 11 proceeding filed by Imerys Talc America, Inc. (and related companies), a primary supplier of talc to Johnson & Johnson.
Imerys, facing thousands of lawsuits alleging its product caused ovarian cancer and mesothelioma, filed for Chapter 11 bankruptcy in February 2019. Debtors’ bankruptcy petition alleges that over one billion dollars of insurance may be available to pay the talc claims, but insurers have disputed their obligations and objected to many aspects of the Debtors’ reorganization. To date, Gilbert has recovered hundreds of millions of dollars in insurance proceeds, and continues to pursue many hundreds of millions more. These recoveries will greatly enhance the ability of any resulting trust to pay the claims of individuals injured by talc.
Similarly, Whittaker, Clark & Daniels (and other related companies) was a talc supplier to numerous companies for decades and faced thousands of claims alleging that its talc in various cosmetic and personal use products caused mesothelioma and other asbestos-related injuries. Whittaker, Clark & Daniels filed for bankruptcy in April 2023, and the Official Committee of Talc Claimants and Future Claimants’ Representative quickly hired Gilbert LLP as Special Insurance Counsel.
In August 2024, Avon Products, Inc. (as well as certain related companies) also sought Chapter 11 bankruptcy protection in connection with its historical sales of cosmetic products containing talc. Avon Products, Inc. has been sued numerous times by claimants alleging that they developed mesothelioma after using Avon cosmetic products. Gilbert LLP was retained as Special Insurance Counsel for the Official Committee of Unsecured Creditors. There is no Future Claimants’ Representative in the Avon Bankruptcy.
In each of these talc bankruptcies, Gilbert LLP is working to help create a bankruptcy plan and trust distribution procedures to preserve and protect the trust’s ability to collect from the insurers obligated to pay these Debtors’ liabilities and, to the extent appropriate, securing consensual commitments from insurers to provide funding for the trusts.
Gilbert LLP’s specific experience in this area—recovering contested insurance in the context of a mass tort bankruptcy case—led each of these Committees and Future Claimants’ Representatives to select Gilbert LLP as their insurance counsel. These bankruptcies often involve massive insurance portfolios in the hundreds of millions or even billions of dollars, and typically is the largest asset available to pay claims that are approved by the applicable Trusts. Our skill at the intersection of these disciplines uniquely positions Gilbert LLP to add unparalleled value by evaluating, preserving, and recovering these valuable insurance proceeds.