The History of Johns Manville and Its Bankruptcy

Johns Manville has been in business as a maker of insulations and constructing materials since the 1800s. Originally based out of NY, they began utilizing asbestos in roof products for the mineral's heat resistance. By the 1900s they had expanded their production line into the area of heating insulations. By the first world war, they had begun military vessel production utilizing asbestos-laden insulations. In the early 1970s, they became known for making pipes, cements, and fiberglasses that were also asbestos-based. Due to so much legal action being taken against them for causing illnesses like mesothelioma cancer, they went bankrupt in the early 1980s.

J-M's asbestos-laden production line included J-M brand cements, adhesive, flexboards, felt and paper, caulking putties, and shingles. They sold flooring tiles under the brand name TerraFlex, and various types of insulations under the brand names Vulcabestos and Thermobestos. Due to the myriad types of products, workers from an array of industries were exposed to potentially life-threatening cancer including military members, painting and roofing contracters, carpentry workers, mining workers, steel and ship yard workers, textilers, pipefitters, boilermen, electrical workers, and roofers.

Illnesses could be contracted by absorbing asbestos-fibers through the skin or by inhaling asbestos-dusts through the lungs. While some people experienced signs of asbestosis and various pulmonary symptoms relatively quickly after exposure, other diseases take longer to manifest. Since Johns Manville began utilizing asbestos in such large quantities years earlier than many manufacturers, employees and those who worked with the company’s productions developed signs of asbestosis by the 1930s. Many later developed mesotheliomas, which have a latency period of as many as fifty years after their last exposure. As the business used asbestosis-inducing materials long into the 1970s, many further diagnoses will likely be made.

Because workmen were not made aware of the devastating health hazards associated with their work from coming into contact with asbestos, it can be difficult to determine decades later which products are responsible for a particular diagnosis. Although it is known that mesotheliomas are only caused by asbestos-exposure, many people prior to the 1970s worked at various companies that all exposed them to the dangerous carcinogens. Hence, some law suits filed against J-M prior to the bankruptcy named various suppliers and employers. In these cases, the courts determine which percentage of each claim a company is responsible for paying.

After going bankrupt, the paying out of settlement claims for asbestosis and mesotheliomas is handled through a fund as required by the courts. Those who sued in court prior to J-M going bankrupt traditionally earned higher settlements and were awarded substantial verdicts, some of which amounted to more than a million dollars per law suit. However, claims through the bankrupt company’s trust are paid out lower rates and are capped by what is approved by the bankruptcy courts. The trust has thus far paid approximately five million dollars in claims. These claims account for around 800,000 people who have passed away or become ill since the bankruptcy.