W.R. Grace History of Asbestos Use
W.R. Grace made asbestos products for several decades during the 20th century. The company also mined asbestos-contaminated vermiculite. Over time, it amassed billions of dollars in asbestos liabilities. In 2001, it began bankruptcy proceedings. Today, a trust handles claims against the company.
William Russell Grace founded the company in Peru in 1854. In 1865, the company moved its headquarters to New York City.
For many decades, W.R. Grace operated as a transportation and agricultural company. Beginning in the middle of the 20th century, it started diversifying its business by purchasing several companies.
In 1963, W.R. Grace acquired Zonolite Company. From 1963 to 1990, the company ran a mine and processing mill in Libby, Montana, acquired from this purchase. It mined vermiculite to use in its Zonolite insulation and Mono-Kote fireproofing material. In addition to making its own vermiculite products, W.R. Grace sold the ore to other companies.
About 26% of the vermiculite in the mine contained asbestos. The vermiculite from the Libby Mine made up about 80% of the global supply during W.R. Grace’s ownership.
Evidence shows that W.R. Grace observed negative health effects in its miners soon after the acquisition. The company knew as early as 1963 that the vermiculite contained asbestos. In 1977, the company drafted a press release saying it would discontinue Zonolite insulation because of health hazards. W.R. Grace did not release the statement and continued to sell Zonolite insulation until 1984.
As a result of its production and mining operations, W.R. Grace faced massive asbestos liabilities. In 2001, it filed for Chapter 11 bankruptcy. It emerged from bankruptcy with a trust that now handles asbestos claims against the company.
W.R. Grace continues to operate today as a global chemical supplier. It employs more than 4,500 people and operates in over 30 countries. In 2022, the company reported over $2 billion in net revenue.
Resources for Mesothelioma Patients
W.R. Grace Asbestos Trust Fund
In 2001, W.R. Grace filed for Chapter 11 bankruptcy. At the time, the company was facing at least 129,000 asbestos lawsuits. In 2014, the company emerged from bankruptcy and set up trust funds for asbestos victims. As part of W.R. Grace’s reorganization, an asbestos trust fund was set up under the name WRG Asbestos PI Trust. The trust is designed to pay all current claims and future asbestos claims against the company.
Most Recent Information From WRG Asbestos PI Trust
The trust’s year-end 2024 report revealed, as of December 31, 2024:
- The WRG Asbestos PI Trust paid over 23,600 claims.
- Over 28,400 unliquidated WRG claims were received by the trust.
- Over $215 million was paid to injured claimants by the WRG Asbestos PI Trust.
- More than $1.84 billion in total assets remain in the trust.
- The WRG Asbestos PI Trust had over 2.3 million settled but unpaid claims.
- Over 647,000 unliquidated WRG claims were received since the date of trust’s inception.
- The trust has paid over 269,000 WRG claims since the trust’s inception.
- Approximately $2.5 billion in settlement of unliquidated claims has been paid by the WRG Asbestos PI Trust to asbestos victims since it was established.
Current WRG Asbestos PI Trust Payment Percentage
The current payment percentage is 30.1% for the WRG Asbestos PI Trust. At a payment percentage of 30.1%, the current payout on a W.R. Grace Expedited Review claim for mesothelioma is $54,180.
Determining Review Process When Filing a WRG Asbestos PI Trust Claim
An experienced asbestos attorney will review a victim’s information to determine the appropriate review process for filing a W.R. Grace asbestos trust claim to receive the maximum compensation available. A sampling of W.R. Grace claims filed between 2022 and 2024 indicated that approximately 60% of W.R. Grace claims were filed under the Individual Review (IR) process. Approximately 40% of W.R. Grace claims were filed using the Expedited Review (ER) process.
- Expedited Review Process: W.R. Grace claims should be filed under the ER process when the claimant has all the required exposure and medical criteria established by the Trust Distribution Procedures and the claimant is above a certain age. These claims will go through a more seamless review process, and will receive the standard scheduled value based on the diagnosed disease level.
- Individual Review Process: Claims filed under the IR process will undergo a thorough evaluation of the injured party’s exposure, medical records and personal information to determine the liquidated value of the W. R. Grace claim based on individual circumstances. It’s recommended to file under the IR process for potential higher valuation when the claimant was diagnosed under the age of 75. A claim must be filed as IR if the client’s records don’t meet the trust requirements, for certain lung cancer diagnoses or for secondary exposure.
The trust fund is still accepting claims. Compensation may vary based on different factors and asbestos victims may be awarded more money depending on their diagnosis, age, exposure history and the law firm’s settlement history. If you or a loved one is entitled to compensation, learn how a mesothelioma lawyer can help.
W.R. Grace Asbestos Products
W.R. Grace made a number of products using asbestos-contaminated vermiculite, like insulation and cement. It also sold vermiculite ore to other companies. Some of the most common vermiculite products from W.R. Grace include:
- Mono-Kote: Fire-proofing, high-density, spray-on compound designed to protect steel structures from fire damage
- Perltex: Paints and spray-on surfacer materials
- Zonolite compounds: Dry plaster compounds used for reinforcement and spray insulations used for interior surfacing
- Zonolite insulation: Loose-fill insulation used in attics, walls, ceilings and other structural units
All of these products may have been contaminated with asbestos.
W.R. Grace and Occupational Exposure
Because W.R. Grace products contained asbestos, many of its employees were exposed to the toxic mineral through occupational exposure and were at risk of developing asbestos-related illnesses. Employees most frequently in contact with the mineral had the highest risk, including Libby Mine employees.
Miners and other W.R. Grace employees who handled vermiculite may have been exposed to asbestos. Asbestos is a naturally occurring mineral that may be found near vermiculite and other ores and minerals. The process of mining, transporting and using vermiculite in manufacturing may also have resulted in asbestos exposure.
In addition to W.R. Grace employees, tradespeople and consumers who handled their products or raw ore also risked asbestos exposure. Any level of exposure is dangerous and can lead to asbestos diseases like lung cancer and mesothelioma.
Miners’ loved ones and family members may have also been at risk of secondary asbestos exposure. Asbestos fibers stuck to hair and clothing may have been brought home by workers. Other household members may have inhaled or ingested them.
The presence of the mines and the continuous disturbance of asbestos fibers also put Libby community members at risk. More than 400 residents of the town died from exposure to asbestos.
Asbestos Litigation Against W.R. Grace
An estimated hundreds of thousands of individuals have filed personal injury claims against W.R. Grace. Asbestos victims have developed conditions like pleural mesothelioma, lung cancer and other diseases. Victims and their loved ones can file claims with W.R. Grace’s asbestos trust fund to seek compensation.
W.R. Grace faced hundreds of thousands of asbestos lawsuits as a result of its products and mining activities. At the time it filed for bankruptcy in 2001, the company had more than 129,000 lawsuits pending against it.
Before filing for bankruptcy, W.R. Grace had paid almost $700 million to victims in 207 asbestos settlements. The company was also found liable for more than $60 million in a combined nine personal injury and wrongful death lawsuit verdicts.
W.R. Grace has also faced legal trouble from government bodies, including:
- Cleanup projects: A multi-state settlement stemming from a federal lawsuit required W.R. Grace to pay $34 million for cleanup costs at 32 Superfund sites across the country. The settlement also required the company to continue cleanup at its own sites.
- Criminal prosecution: Several W.R. Grace company executives have faced criminal charges for the unsafe disposal of waste materials, including asbestos.
- Environmental Protection Agency (EPA) Superfund settlement: W.R. Grace paid the United States Department of Justice (DOJ) $54 million to resolve environmental claims with the EPA. The claims were associated with 39 Superfund sites that required attention. In a separate settlement, the company paid the EPA $250 million to resolve most of the liabilities associated with the Libby Superfund site.
As part of its bankruptcy agreement, W.R. Grace created an asbestos trust fund. In general, asbestos victims cannot directly sue the company anymore. Instead, they must file claims against the trust.
