Grace claims due by Oct. 31
By LYNNETTE HINTZE/Daily Inter Lake
The federal bankruptcy court has set an Oct. 31 deadline for homeowners with Zonolite insulation in their attics to file a claim against W.R. Grace & Co. or forever lose the right to do so.
Zonolite attic insulation is a loose-fill vermiculite product that can contain naturally occurring asbestos. Much of the Zonolite manufactured in the United States came from the vermiculite mine at Libby that has been part of the Libby landscape since 1919 when it was started by Edgar Alley in the upper reaches of Rainey Creek.
Ore mined by an open-cut method first was shipped in 1925 and by 1936 the Universal Insulation Co. began to mine the site. Three years late Universal merged with Zonolite Co. and adopted the Zonolite name.
W.R. Grace took over the mine in 1963 and operated it until it closed in 1990. When Grace assumed the mine, it legally assumed any prior liability it might have incurred.
Vermiculite ore from Libby was processed at a number of Grace plants throughout North America. It's estimated that anywhere from 15 million to 52 million homes and businesses in the U.S. are contaminated with the asbestos-laced insulation.
The Libby mine has been linked to toxic asbestos exposure that has sickened thousands and killed hundreds of people. More than 225 asbestos deaths have been confirmed in Libby, and a clinic in the community, the Center for Asbestos-Related Disease, is following more than 2,400 additional cases of asbestos-related disease.
Zonolite attic insulation typically has a glittery, granular appearance. The granules are shaped like small nuggets and are expanded like an accordion, according to the Grace bankruptcy claims information Web site, which shows close-up photographs of Zonolite. The granules are a silvery-gold translucent color, with a brownish cast. After years in an attic, they may darken to black or gray, the Web site explained.
"This is a big deal in that if you don't present a claim, it's forever lost," said Kalispell lawyer Allan McGarvey, who represents nearly 700 clients with asbestos disease, nearly 100 of whom have died waiting for compensation from Grace. Civil lawsuits against the Maryland-based corporate giant were halted in 2001 when Grace filed for bankruptcy.
McGarvey encouraged homeowners who also have Zonolite in their house walls or their yards " it was once commonly used as lawn and garden fertilizer " to go ahead and file a claim.
"This doesn"t have anything to do with getting sick" from asbestos exposure, he said. "That"s a separate claim. This is remediation for property."
Filing a claim doesn't guarantee homeowners will get any compensation to clean up their attics. "It just gets you into the process," he said.
Cleanup of asbestos in Libby homes has been under way for several years. In 2007 the Environmental Protection Agency cleaned up 160 homes; this year 150 properties are scheduled. The federal agency gets $17 million a year for Libby cleanup.
As of March 2008, $163 million has been spent on asbestos cleanup of nearly 1,000 properties in the Libby area.
Earlier this year, Grace agreed to pay $250 million for asbestos cleanup in Libby, which would be the largest-ever payment to the U.S. Superfund program.
In August Grace reached an agreement to resolve current and future asbestos claims against the company that would allow it to emerge from bankruptcy without further obligations for asbestos injury.
Attorneys for the plaintiffs valued the agreement at $3 billion in cash and equity. That amount includes Libby claimants, but it's unknown how much Libby asbestos victims ultimately will get.
To file a Zonolite claim, call (877) 465-4817 or go online to www.graceclaims.com.
Features editor Lynnette Hintze may be reached at 758-4421 or by e-mail at lhintze@dailyinterlake.com