WASHINGTON, D.C.—Lisa A. Rickard, president of the U.S. Chamber Institute for Legal Reform (ILR), issued the following statement today regarding the introduction of the “Furthering Asbestos Claims Transparency (FACT) Act of 2012” in the U.S. House of Representatives. This legislation would require asbestos personal injury settlement trusts authorized by federal bankruptcy law to disclose information on their claims on a quarterly basis and respond to information requests from parties to asbestos litigation.
“We applaud Representative Quayle’s effort to shed light on the growing number of asbestos bankruptcy trusts that play a significant role in today’s asbestos compensation system. The FACT Act is common sense bipartisan legislation that would bring much needed transparency to the trust system.
“We are encouraged by the increasing scrutiny of these trusts and are hopeful that Congress will act to ensure that the trust system is working as intended. Questionable claims have been identified in the course of litigation that raise serious questions about asbestos trusts’ susceptibility to fraud and abuse. The FACT Act’s simple disclosure requirement will deter fraud without impacting legitimate asbestos victims’ rights.”
The U.S. Chamber of Commerce is the world’s largest business federation representing the interests of more than 3 million businesses of all sizes, sectors, and regions, as well as state and local chambers and industry associations.