$36.5 Million Verdict Provides Positive Signal for Libby Mesothelioma Victims

A $36.5 million damages verdict against an insurance company has sent a positive, hopeful signal to 800 remaining plaintiffs waiting to file claims for mesothelioma, asbestosis, and other diseases related to asbestos exposure in Libby, Montana.

Lawsuit Chosen as Bellweather for Other Mesothelioma and Asbestosis Cases

The town of Libby, Montana has become synonymous with mesothelioma and asbestosis: It was where the W. R. Grace company operated the vermiculite mine that spread asbestos throughout the town and beyond, sickening and killing thousands of people. When W.R. Grace declared bankruptcy in the face of relentless lawsuits, individuals with claims had nowhere to turn but to the company’s insurance company, Maryland Casualty Company, which had known of the risks that the mine posed.

Over 800 individual victims of mesothelioma or other asbestos-related diseases have claims pending against Maryland Casualty Company. In or to manage the caseload and assess how juries would decide, Judge Amy Eddy of Montana’s special asbestos court chose a single case to be heard. That was the case of Ralph Hutt, a former miner diagnosed with asbestosis after only having worked in the mines for a year-and-a-half. His disability is complete, as he is now dependent upon an oxygen tank and debilitated.

Jury Awards $6.5 Million in Compensatory Damages, $30 Million in Punitive Damages

There is significant evidence that the insurance company knew of the risks of mesothelioma and asbestosis faced by W.R. Grace workers. After reviewing a warning of toxicity from the state of Montana that was only shared with the mine’s management, the company issued a safety guide that never mentioned the word asbestos or made reference to the specific risks it posed, while at the same time urging the company to settle any claims that arose in order to avoid publicity.

Upon hearing the details of Mr. Hutt’s case, the jury awarded him $6.5 million in compensatory damages and $30 million in punitive damages. Though different cases may yield different results, the bellweather case makes clear that the insurance company is likely to face similar verdicts, and may be compelled to offer other victims generous settlements.