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September 15, 2011
| TO: |
All Claimants and Counsel Representing Asbestos Claimants with
Claims against API, Inc., its related entities as defined more fully in
the Plan, The API Inc. Asbestos Settlement Trust (“Trust”), and
protected Settling Insurers as defined more fully in the Plan |
| FROM: |
Robert D. Brownson, Trustee, API Inc. Asbestos Settlement Trust |
| RE: |
API Inc. Asbestos Settlement Trust Claims Payment Sum Percentage |
The undersigned has been appointed Trustee of the API Inc. Asbestos
Settlement Trust (the "Trust"), pursuant to the Order of Chief Bankruptcy
Judge Gregory F. Kishel of the United States Bankruptcy Court, District of
Minnesota, dated December 6, 2005 (the "Order"). That Order, titled, "Order
Confirming Third Amended Plan Of Reorganization of A.P.I. Inc. (November 21,
2005) As Amended At Confirmation," confirmed the Plan of Reorganization of
API, Inc. (The "Plan"), in its Chapter 11 bankruptcy case, filed on January
6, 2005.
The purpose of this notice is to advise as to the Trust's current position
on payment of approved Claims to the Trust. Claims should continue to be
submitted to the Trust as described in the Notice of May 14, 2007.
Pursuant to Paragraph 4.3 of the API Trust Distribution Procedures ("TDPs"),
the Payment Sum Percentage of the Allowed Liquidated Value of approved
Claims has been set by the Trust at thirty percent (30%), effective
September 15, 2011.
As noted in the October 1, 2010 Notice of the Trustee, Enhanced Claims will
continue to be accepted and approved without such adjustment of Allowed
Liquidated Value and enhanced payment. For purposes of the statute(s) of
limitations, such Claims will be considered filed when received, and will be
eligible for potential later adjustment of Allowed Liquidated Value, and
enhanced payment, if and when the Trust’s financial condition permits.
This notice is not intended, nor should be construed, as legal advice from
the Trustee, or the Trust, to claimants, claimants' counsel, or others.
June 8, 2011
Pursuant to the Plan Documents, the Trustee has filed the Annual Report for 2010.
Click here to see the report.
May 1, 2011
| TO: |
All Claimants and Counsel Representing Asbestos Claimants with
Claims against API, Inc., its related entities as defined more fully in
the Plan, The API Inc. Asbestos Settlement Trust (“Trust”), and
protected Settling Insurers as defined more fully in the Plan |
| FROM: |
Robert D. Brownson, Trustee, API Inc. Asbestos Settlement Trust |
| RE: |
Timing of Payments |
The undersigned has been appointed Trustee of the API Inc. Asbestos
Settlement Trust (the "Trust"), pursuant to the Order of Chief Bankruptcy
Judge Gregory F. Kishel of the United States Bankruptcy Court, District of
Minnesota, dated December 6, 2005 (the "Order"). That Order, titled, "Order
Confirming Third Amended Plan Of Reorganization of A.P.I. Inc. (November 21,
2005) As Amended At Confirmation," confirmed the Plan of Reorganization of
API, Inc. (The "Plan"), in its Chapter 11 bankruptcy case, filed on January
6, 2005.
Based upon the current financial condition of the Trust, the Trust has
suspended payments to Claimants until September 15, 2011.
Claims will be accepted, and approved, or denied, in the ordinary course,
and for purposes of the statute(s) of limitations, will be considered filed
when received, and will be eligible for payment following September 15,
2011.
This decision has been made pursuant to the Trustee’s exclusive power to
modify timing of payments, described at §§ 2.4(d), and 4.4(b) of the TDP,
and based upon consultation and consent of the Trust Advisor and Legal
Representative, as described in § 3.1 of the TDP.
Pursuant to these provisions, the Trustee reserves the right to make further
modifications in the timing of payments as may be necessary.
This notice is not intended, nor should be construed, as legal advice from
the Trustee, the Trust, to Claimants, Claimants’ counsel, or others.
December 20, 2010
| TO: |
All Claimants and Counsel Representing Asbestos Claimants with
Claims against API, Inc., its related entities as defined more fully in
the Plan, The API Inc. Asbestos Settlement Trust (“Trust”), and
protected Settling Insurers as defined more fully in the Plan |
| FROM: |
Robert D. Brownson, Trustee, API Inc. Asbestos Settlement Trust |
| RE: |
Modification - API Inc. Asbestos Settlement Trust Pulmonary Disease
Physician Acceptability |
The undersigned has been appointed Trustee of the API Inc. Asbestos
Settlement Trust (the "Trust"), pursuant to the Order of Chief Bankruptcy
Judge Gregory F. Kishel of the United States Bankruptcy Court, District of
Minnesota, dated December 6, 2005 (the "Order"). That Order, titled, "Order
Confirming Third Amended Plan Of Reorganization of A.P.I. Inc. (November 21,
2005) As Amended At Confirmation," confirmed the Plan of Reorganization of
API, Inc. (The "Plan"), in its Chapter 11 bankruptcy case, filed on January
6, 2005.
The Notice from the Trustee dated November 26, 2008 titled, “API Inc.
Asbestos Settlement Trust Pulmonary Disease Physician Acceptability,” is
hereby modified as follows.
This Notice addresses how the Trust will, from this point forward, consider
acceptable medical evidence to successfully support claims for Disease
Categories IV (Asbestosis), and V (Pleural Disease), (hereinafter “Pulmonary
Claims”) at § 5.2 © of the API Trust Distribution Procedures (November 21,
2005) (the “TDP”).
Effective immediately, the Trust will not accept the reports or conclusions
or radiologists, B Readers, or others reading or interpreting x-ray films,
CT scans, or similar scans, located outside the State of Minnesota for a
Minnesota Asbestos Claim (Plan, § 1.85), or outside the States of Minnesota
or North Dakota for a North Dakota Asbestos Claim (Plan, § 1.90) (
hereinafter, “Disallowed Reports”) for Pulmonary Claims.
Likewise, the Trust will not accept the reports or conclusions of otherwise
acceptable physicians, which expressly, or implicitly in the opinion of the
Trustee, rely upon such Disallowed Reports.
To the extent any Pulmonary Claim is based upon such Disallowed Reports, the
Claimant must resubmit the Claim with evidence acceptable to the Trustee
which does not include any Disallowed Reports, or conclusions derived in
whole or in part therefrom. Any such resubmitted Claim, if supported by an
otherwise acceptable physician who had previously relied, in whole or in
part, upon a Disallowed Report, must be supported by the opinion of a second
qualified physician as described in the November 26, 2008 Notice described
above.
To the extent any claim is required to be resubmitted pursuant to this
Notice, its date of original filing will be preserved.
In all cases, including cases where Claimants reside outside the State of
Minnesota, or North Dakota, the Trustee reserves the right to review,
consider, or reject medical evidence on a case by case basis pursuant to the
Trustee’s discretion contained at TDP § 5.1 (a), § 7.1o or otherwise as
provided in the Plan Documents.
This notice is not intended, nor should be construed, as legal advice from
the Trustee, or the Trust, to claimants, claimants' counsel, or others.
October 1, 2010
| TO: |
All Claimants and Counsel Representing Asbestos Claimants with
Claims against API, Inc., its related entities as defined more fully in
the Plan, The API Inc. Asbestos Settlement Trust (“Trust”), and
protected Settling Insurers as defined more fully in the Plan |
| FROM: |
Robert D. Brownson, Trustee, API Inc. Asbestos Settlement Trust |
| RE: |
Modification in Timing of Enhanced Payments |
The undersigned has been appointed Trustee of the API Inc. Asbestos
Settlement Trust (the "Trust"), pursuant to the Order of Chief Bankruptcy
Judge Gregory F. Kishel of the United States Bankruptcy Court, District of
Minnesota, dated December 6, 2005 (the "Order"). That Order, titled, "Order
Confirming Third Amended Plan Of Reorganization of A.P.I. Inc. (November 21,
2005) As Amended At Confirmation," confirmed the Plan of Reorganization of
API, Inc. (The "Plan"), in its Chapter 11 bankruptcy case, filed on January
6, 2005.
Based upon the current financial condition of the Trust, the Trust is not
in a position to make enhanced payment on approved Extraordinary Claims, as
defined at § 5.1(g) of the TDP, approved Exigent Health Claims, and/or
approved Extreme hardship Claims, both as defined at § 5.1(l) of the TDP
(“enhanced Claims”), nor will the Trust adjust the Allowed Liquidated Value
of the Claim(s)’ Disease Category, as described at § 5.1© of the TDP for
enhanced Claims, until further notice.
Enhanced Claims may be accepted, and approved without such adjustment of
Allowed Liquidated Value, and enhanced payment, and for purposes of the
statute(s) of limitations, will be considered filed when received, and will
be eligible for potential later adjustment of Allowed Liquidated Value, and
enhanced payment, if and when the Trust’s financial condition permits.
This decision has been made pursuant to the Trustee’s exclusive power to
modify timing of payments, described at § 4.4 (b) of the TDP.
Pursuant to that section, the Trustee reserves the right to make further
modifications in the timing of payments as may be necessary.
This notice is not intended, nor should be construed, as legal advice from
the Trustee, or the Trust, to claimants, claimants' counsel, or others.
April 30, 2010
Pursuant to the Plan Documents, the Trustee has filed the Annual Report for 2009.
Click here to see the report.
November 24, 2009
| TO: |
All Claimants and Counsel Representing Asbestos Claimants with
Claims against API, Inc., its related entities as defined more fully in
the Plan, The API Inc. Asbestos Settlement Trust (“Trust”), and
protected Settling Insurers as defined more fully in the Plan |
| FROM: |
Robert D. Brownson, Trustee, API Inc. Asbestos Settlement Trust |
| RE: |
Supplemental Distribution |
The undersigned has been appointed Trustee of the API Inc. Asbestos
Settlement Trust (the "Trust"), pursuant to the Order of Chief Bankruptcy
Judge Gregory F. Kishel of the United States Bankruptcy Court, District of
Minnesota, dated December 6, 2005 (the "Order"). That Order, titled, "Order
Confirming Third Amended Plan Of Reorganization of A.P.I. Inc. (November 21,
2005) As Amended At Confirmation," confirmed the Plan of Reorganization of
API, Inc. (The "Plan"), in its Chapter 11 bankruptcy case, filed on January
6, 2005.
The purpose of this notice is to advise that the Trust has authorized a
Supplemental Distribution, pursuant to Paragraph 4.3 of the API Trust
Distribution Procedures (“TDPs”), in order to bring all prior approved
Claims to a payment level equivalent to the current Payment Sum Percentage
of the Allowed Liquidated Value of fifty-five percent (55%) for all approved
Claims submitted on or after July 1, 2009.
This notice is not intended, nor should be construed, as legal advice
from the Trustee, or the Trust, to claimants, claimants' counsel, or others.
July 23, 2009
| TO: |
All Claimants and Counsel Representing Asbestos Claimants with
Claims against API, Inc., its related entities as defined more fully in
the Plan, The API Inc. Asbestos Settlement Trust (“Trust”), and
protected Settling Insurers as defined more fully in the Plan |
| FROM: |
Robert D. Brownson, Trustee, API Inc. Asbestos Settlement Trust |
| RE: |
API Inc. Asbestos Settlement Trust Claims Payment Sum Percentage |
The undersigned has been appointed Trustee of the API Inc. Asbestos
Settlement Trust (the "Trust"), pursuant to the Order of Chief Bankruptcy
Judge Gregory F. Kishel of the United States Bankruptcy Court, District of
Minnesota, dated December 6, 2005 (the "Order"). That Order, titled, "Order
Confirming Third Amended Plan Of Reorganization of A.P.I. Inc. (November 21,
2005) As Amended At Confirmation," confirmed the Plan of Reorganization of
API, Inc. (The "Plan"), in its Chapter 11 bankruptcy case, filed on January
6, 2005.
The purpose of this notice is to advise as to the Trust's current
position on payment of approved Claims to the Trust. Claims should continue
to be submitted to the Trust as described in my Notice of May 14, 2007.
Pursuant to Paragraph 4.3 of the API Trust Distribution Procedures ("TDPs"),
the Payment Sum Percentage of the Allowed Liquidated Value of approved
Claims has been set by the Trust at fifty-five percent (55%). This Payment Sum
Percentage shall apply to all approved Claims submitted on or after July 1,
2009.
Pursuant to TDP, Paragraph 4.4 (b), the Trustee reserves the right to
make modifications in the timing of payments as may be necessary.
This notice is not intended, nor should be construed, as legal advice
from the Trustee, or the Trust, to claimants, claimants' counsel, or others.
April 20, 2009
Pursuant to the Plan Documents, the Trustee has filed the Annual Report for 2008.
Click here to see the report.
November 26, 2008
| TO: |
All Claimants and Counsel Representing Asbestos Claimants with
Claims against API, Inc., its related entities as defined more fully in
the Plan, The API Inc. Asbestos Settlement Trust ("Trust"), and
protected Settling Insurers as defined more fully in the Plan |
| FROM: |
Robert D. Brownson, Trustee, API Inc. Asbestos Settlement Trust |
| RE: |
API Inc. Asbestos Settlement Trust Pulmonary Disease Physician
Acceptability |
The undersigned has been appointed Trustee of the API Inc. Asbestos
Settlement Trust (the “Trust”), pursuant to the Order of Chief Bankruptcy
Judge Gregory F. Kishel of the United States Bankruptcy Court, District of
Minnesota, dated December 6, 2005 (the “Order”). That Order, titled, “Order
Confirming Third Amended Plan Of Reorganization of A.P.I. Inc. (November 21,
2005) As Amended At Confirmation,” confirmed the Plan of Reorganization of
API, Inc. (the “Plan”), in its Chapter 11 bankruptcy case, filed on January
6, 2005.
This notice addresses how the Trust will, from this point forward, consider
acceptable medical evidence to successfully support claims for Disease
Categories IV (Asbestosis), and V Pleural Disease, at § 5.2(c) of the API
Trust Distribution Procedures (November 21, 2005) (the “TDPs”).
The diagnosis of asbestosis required at TDPs § 5.1(c), for a Minnesota
Asbestos Claim (Plan, § 1.85) must generally be supported by a qualified
Minnesota physician. Preference will be given to Minnesota physicians board
certified in pulmonary medicine, or internal medicine.
The diagnosis of asbestosis required at TDPs § 5.1(c), for a North Dakota
Asbestos Claim (Plan, § 1.90) must generally be supported by a qualified
North Dakota, or Minnesota, physician. Preference will be given to North
Dakota or Minnesota physicians board certified in pulmonary medicine, or
internal medicine.
The diagnosis of pleural disease required at TDPs § 5.1(c), for a Minnesota
Asbestos Claim, must generally be supported by diagnostic or pathological
evidence generated in, or in direct referral from, a qualified Minnesota
medical facility.
The diagnosis of pleural disease required at TDPs § 5.1(c), for a North
Dakota Asbestos Claim, must generally be supported by diagnostic or
pathological evidence generated in, or in direct referral from, a qualified
North Dakota or Minnesota medical facility.
With respect to Claims in Disease Categories VI (Asbestosis), or V (Pleural
Disease), submitted as neither Minnesota Asbestos Claims, nor North Dakota
Asbestos Claims, such Claims must generally be supported by a qualified
Minnesota physician, or diagnostic or pathological evidence generated in, or
in direct referral from, a qualified Minnesota medical facility.
In all cases, including cases where Claimants reside outside Minnesota, the
Trustee reserves the right to review, consider, or reject, medical evidence
on a case by case basis pursuant to the Trust’s discretion contained at TDPs
§ 5.1(a), § 7.1, and otherwise as provided in the Plan Documents.
Certain medical facilities or groups may be from time to time designated by
the Trust Presumptively Qualified Medical Providers. Medical diagnoses,
diagnostic, evidence, or pathological evidence, from Presumptively Qualified
Medical Providers shall be given a presumption of reliability and
acceptability by the Trust.
The following Presumptively Qualified Medical Providers are recognized.
1) St. Paul Lung Clinic (formerly Pulmonary and Critical Care Associates);
2) Mayo Clinic;
3) Duluth Clinic (SMDC Health System);
4) Hennepin Faculty Associates, Division of Pulmonary and Critical Care
Medicine;
5) James Flink, MD, Allina Medical Clinic.
This notice is not intended, nor should be construed, as legal advice from
the Trustee, or the Trust, to claimants, claimants’ counsel, or others.
September 22, 2008
| TO: |
All Claimants and Counsel Representing Asbestos Claimants with
Claims against API, Inc., its related entities as defined more fully in
the Plan, The API Inc. Asbestos Settlement Trust ("Trust"), and
protected Settling Insurers as defined more fully in the Plan |
| FROM: |
Robert D. Brownson, Trustee, API Inc. Asbestos Settlement Trust |
| RE: |
API, Inc. Asbestos Settlement Trust Indirect Claims Handling
Procedure |
The undersigned has been appointed Trustee of the API Inc. Asbestos
Settlement Trust (the “Trust”), pursuant to the Order of Chief Bankruptcy
Judge Gregory F. Kishel of the United States Bankruptcy Court, District of
Minnesota, dated December 6, 2005 (the “Order”). That Order, titled, “Order
Confirming Third Amended Plan Of Reorganization of A.P.I. Inc. (November 21,
2005) As Amended At Confirmation,” confirmed the Plan of Reorganization of
API, Inc. (the “Plan”), in its Chapter 11 bankruptcy case, filed on January
6, 2005.
This notice addresses how the Trust will process, and administer, Indirect
Claims. Indirect claims are addressed in the Plan, and the API Trust
Distribution Procedures (the “TDPs”). The following sections of the Plan and
TDPs address Indirect Claim(s).
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1) Plan § 1.15(a): |
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"Indirect Asbestos Claim" means any Asbestos Claim
previously made or that will be made in the future based on a right of
contribution, reimbursement, subrogation, or indemnity, including any
claim based on workers’ compensation paid (as those terms are defined by
the non-bankruptcy law of any relevant jurisdiction) and any other
derivative or indirect Claim of any kind whatsoever, whether in the
nature of or sounding in contract, tort, warranty or any other theory of
law, equity or admiralty, arising out of or related to an Asbestos Claim
The holder of an Indirect Asbestos Claim shall be referred to as an
"Indirect Asbestos Claimant." |
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2) Plan § 3.5 (last paragraph at p.19): |
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The claims of Indirect Asbestos Claimants will not
participate in the distribution of any Trust Assets that are proceeds
derived from Asbestos Insurance Action
Recoveries except to the extent that the claim of an
Indirect Asbestos Claimant was insured against by the Asbestos Insurance
Policy, and then only to the extent of its pro rata share of the
proceeds derived from such Policy. The claims of Indirect Asbestos
Claimants will be allowable against the Trust and payable pari passu
with Direct Asbestos Claims from assets which are not derived from
proceeds of Asbestos Insurance Action Recoveries (after the payment of
and reserve for Trust Expenses) only if such Indirect Asbestos Claim
would be allowable and payable pari passu with Direct Asbestos Claimants
under the provisions of the Bankruptcy Code, including sections 502(e)
and 509; otherwise, the payment of Indirect Claims shall be subordinate
to the payment of Direct Asbestos Claims. |
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3) Plan § 5.4(c): |
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All proceeds arising from or under any Asbestos
Insurance Policy as a result of an obligation to indemnify API or the
Trust on account of any Asbestos Claims, including, without limitation,
as a result of the Coverage Litigation or actions by individual holders
of Asbestos Claims, shall be recovered and held for the benefit of (I)
all holders of Direct Asbestos Claims, and (ii) those holders of
Indirect Asbestos Claims, if any, whose claims are insured against under
the terms of an Asbestos Insurance Policy, but only to the extent of
their pro rata share of the proceeds derived from such Policy. To the
extent such proceeds of an Asbestos Insurance Policy are collected by
API, as debtor in possession, such proceeds shall be paid to the Trust
on the Effective Date; provided, however, that from such proceeds,
amounts owed to either API or Faricy & Roen, P.A. will be paid to each
in accordance with the terms of the Retainer Agreement between Faricy &
Roen, P.A. Any amounts remaining thereafter will become Trust Assets
available for use by the Trustee in accordance with the terms of this
Plan, the Trust Agreement and the TDP, including the payment of Trust
Expenses to the extent assets that are not the proceeds of Asbestos
Insurance Polices are insufficient to pay such Trust Expenses.
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4) TDPs § 2.4(d): |
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There is inherent uncertainty regarding API's total
liabilities to holders of Asbestos Claims as well as the total value of
the Trust Assets available to pay Asbestos Claims Consequently, there is
inherent uncertainty as to whether similar amounts can be paid in
respect of all similar Current and Non-Current Direct Asbestos Claims.
Accordingly, subject to the terms of Section II of the TOP, the Trustee
has the power with the consent of the Trust Advisor and the Legal
Representative pursuant to section 3.1 herein, to alter the Payment Sum
Percentage, the timing, method, and sequencing of payments to holders of
Asbestos Claims, the Disease Categories and the Categorization Criteria,
as well as the power to increase or decrease the Allowed Liquidated
Value for any Disease Category, In order to exercise these powers, the
Trustee will need to make determinations and predictions about the
amount and timing of the receipt of Trust Assets, as well as
determinations and predictions about the amount and timing of payment,
and cost of processing Asbestos Claims The determination of the Payment
Sum Percentage shall be based, on the one hand, upon estimates of the
number, types, and amounts of current and expected future Asbestos
Claims and, on the other hand, on the value of the Trust Assets, the
liquidity of those assets, the Trust’s expected future expenses and
income, as well as other material matters that are reasonable and likely
to affect the sufficiency of funds to pay a comparable percentage of
full value to all holders of Asbestos Claims When making these
determinations, the Trustee shall recognize that both then current and
future claimants bear a risk that the determinations will be incorrect,
either too low or too high, In making determinations, the Trustee shall
not prefer either then current or future claimants by giving either
group greater protection from such risks. Rather, the Trustee shall make
determinations based on his or her best estimates of total Trust Assets,
Asbestos Claims, Trust Expenses and related matters. The Trustee will
properly discharge his/her duties in this regard, and be protected from
liability, by making reasonable determinations based on the best
information available to them from time to time. |
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5) TDPs § 5.3: |
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Indirect Asbestos Claims. Indirect Asbestos Claims
asserted against the Trust based upon theories of indemnification or
contribution shall be disallowed by the Trust unless and until the
holder of an Indirect Asbestos Claim establishes to the satisfaction of
the Trustee that (a) the Indirect Asbestos Claim would be allowable
under Bankruptcy Code section 502(e) and 509 if asserted as a proof of
claim in the Reorganization Case, including without limitation that the
Indirect Asbestos Claimant has, itself, paid in full the liability and
obligations of API Or the Trust to the Direct Asbestos Claimant to whom
the Trust would otherwise have had a liability or obligation under the
TDP, and (b) the Direct Asbestos Claimant and Indirect Asbestos Claimant
have forever released API and the Trust from all liability to the Direct
Asbestos Claimant. In no event shall any Indirect Asbestos Claimant have
any rights against API or the Trust superior to the rights of the
related Direct Asbestos Claimant, including any rights with respect to
the timing, amount or manner of payment. The amount of any Indirect
Asbestos Claim shall be limited to the amount that would have been
estimated for the corresponding Direct Asbestos Claim under this TDP,
less any payment made by the Trust on account of such claim. Moreover,
the claims of Indirect Asbestos Claimants will not participate in the
distribution of any Trust Assets that are proceeds derived from Asbestos
Insurance Action Recoveries except to the extent that the claim of the
holder of an Indirect Asbestos Claimant was insured against such Direct
Asbestos Claim by the Asbestos Insurance Policy, and then only to the
extent of its pro rata share of the proceeds derived from such Policy.
Otherwise, the claims of Indirect Asbestos Claimants will be allowable
against the Trust and payable pari passu with Direct Asbestos Claims
from assets that are not derived from proceeds of Asbestos Insurance
Action Recoveries (after the payment of and reserve for Trust Expenses);
otherwise, the payment of Indirect Claims shall be subordinate to the
payment of Direct Asbestos Claims. The Trust shall not pay any Indirect
Asbestos Claimant unless and until the Indirect Asbestos Claimant's
aggregate liability for the Direct Asbestos Claim has been fixed,
liquidated, and paid by the Indirect Asbestos Claimant by settlement
(with an appropriate written release in favor of API and the Trust) or
pursuant to a Final Order, In any case where the Indirect Asbestos
Claimant has satisfied the Direct Asbestos Claim against API or the
Trust by way of a settlement, the Indirect Asbestos Claimant shall
obtain for the benefit of API and the Trust a written release from such
Direct Asbestos Claimant in form and substance satisfactory to the
Trustee. The Trustee may develop and approve a separate claim form for
Indirect Asbestos Claims. |
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6) TDPs § 4.4, 4.4(a): |
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Payment. Except as expressly provided in the TDP, the
Trustee shall have complete discretion to determine the timing and the
appropriate method for making payments, subject to the requirements and
general principles of the TDP, with respect to the processing and
ordering of claims for payment. |
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(a) The Trustee shall have complete discretion as to
the order and method of processing claims Normally claims shall be
processed in the order in which they are received. Additionally, the
Trustee may process on an accelerated basis: (a) claims which are in
litigation where a trial date or other significant matter is
approaching, (b) claims which present exigent circumstances or
exceptional hardship on a claimant, or (c) other claims as to which
there is reason to believe that the interests of the Trust would be
furthered by considering such claim prior to the date on which it
would otherwise be considered in the ordinary course and such
consideration would be consistent with the general principles set
forth in Section 24 hereof
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Pursuant to these provisions, effective immediately, the Trust will accept Indirect Claims, and
will either approve, or deny such Indirect Claims, under the Trust’s normal
Claims handling procedures. Proper submission of an Indirect Claim will
serve to toll any applicable statutes of limitations as to that Indirect
Claim. However, the Trust will make no payment on any approved Indirect
Claim until such time as all pending Direct Claims have been paid to the
full amount of such Direct Claims’ respective Allowed Minnesota Liquidated
Value, or allowed North Dakota Liquidated Value, as the case may be,
pursuant to § 5.1(c) of the TDPs. Following that time, should Trust assets
allow payment of Indirect Claims, approved Indirect Claims may be paid
pursuant to the then applicable Payment Sum Percentage, from those Trust
assets available for funding of Indirect Claims pursuant to the above
provisions.
This notice is not intended, nor should be construed, as legal advice from
the Trustee, or the Trust, to claimants, claimants’ counsel, or others.
April 22, 2008
Pursuant to the Plan Documents, the Trustee has filed the Annual Report for 2007. Click here to see the report.
April 17, 2008
| TO: |
All Claimants and Counsel Representing Asbestos Claimants with
Claims against API, Inc., its related entities as defined more fully in
the Plan, The API Inc. Asbestos Settlement Trust (“Trust”), and
protected Settling Insurers as defined more fully in the Plan |
| FROM: |
Robert D. Brownson, Trustee, API Inc. Asbestos Settlement Trust |
| RE: |
Supplemental Distribution |
The undersigned has been appointed Trustee of the API Inc. Asbestos
Settlement Trust (the "Trust"), pursuant to the Order of Chief Bankruptcy
Judge Gregory F. Kishel of the United States Bankruptcy Court, District of
Minnesota, dated December 6, 2005 (the "Order"). That Order, titled, "Order
Confirming Third Amended Plan Of Reorganization of A.P.I. Inc. (November 21,
2005) As Amended At Confirmation," confirmed the Plan of Reorganization of
API, Inc. (The "Plan"), in its Chapter 11 bankruptcy case, filed on January
6, 2005.
The purpose of this notice is to advise that the Trust has authorized a
Supplemental Distribution, pursuant to Paragraph 4.3 of the API Trust
Distribution Procedures (“TDPs”), in order to bring all prior approved
Claims to a payment level equivalent to the current Payment Sum Percentage
of the Allowed Liquidated Value of fifty percent (50%) for all approved
Claims.
This notice is not intended, nor should be construed, as legal advice
from the Trustee, or the Trust, to claimants, claimants' counsel, or others.
April 15, 2008
| TO: |
All Claimants and Counsel Representing Asbestos Claimants with
Claims against API, Inc., its related entities as defined more fully in
the Plan, The API Inc. Asbestos Settlement Trust (“Trust”), and
protected Settling Insurers as defined more fully in the Plan |
| FROM: |
Robert D. Brownson, Trustee, API Inc. Asbestos Settlement Trust |
| RE: |
API Inc. Asbestos Settlement Trust Claims Payment Sum Percentage |
The undersigned has been appointed Trustee of the API Inc. Asbestos
Settlement Trust (the "Trust"), pursuant to the Order of Chief Bankruptcy
Judge Gregory F. Kishel of the United States Bankruptcy Court, District of
Minnesota, dated December 6, 2005 (the "Order"). That Order, titled, "Order
Confirming Third Amended Plan Of Reorganization of A.P.I. Inc. (November 21,
2005) As Amended At Confirmation," confirmed the Plan of Reorganization of
API, Inc. (The "Plan"), in its Chapter 11 bankruptcy case, filed on January
6, 2005.
This notice follows my Initial Notice to All Counsel Representing
Asbestos Claimants with Claims against API, Inc, dated May 14, 2007, and
follow up Notice dated September 6, 2007. As described therein, the Trust
has been accepting Claims following its Effective Date.
The purpose of this notice is to advise as to the Trust's current
position on payment of approved Claims to the Trust. Claims should continue
to be submitted to the Trust as described in my Notice of May 14, 2007.
Pursuant to Paragraph 4.3 of the API Trust Distribution Procedures ("TDPs"),
the Payment Sum Percentage of the Allowed Liquidated Value of approved
Claims has been set by the Trust at fifty percent (50%). This Payment Sum
Percentage shall apply to all approved Claims submitted during calendar year
2008.
At this time, the Trust is in a position to make enhanced payments for
Claims in any of the following three (3) Claims categories: 1)
Extraordinary Claims (TDP, Paragraph 5.1(g)); 2) Exigent Health Claims (TDP,
Paragraph 5.1(l)); and 3) Extreme Hardship Claims (TDP, Paragraph 5.1(l)).
Eligible Claims approved in any of these three (3) Claims categories will be
eligible for an enhanced payment applicable to such Claim category at such
time as the Claim is approved by the Trustee, in an amount determined by the
Trustee.
Pursuant to TDP, Paragraph 4.4 (b), the Trustee reserves the right to
make modifications in the timing of payments as may be necessary.
This notice is not intended, nor should be construed, as legal advice
from the Trustee, or the Trust, to claimants, claimants' counsel, or others.
March 10, 2008
| TO: |
All Claimants and Counsel Representing Asbestos Claimants with
Claims against API, Inc., its related entities as defined more fully in
the Plan, The API Inc. Asbestos Settlement Trust (“Trust”), and
protected Settling Insurers as defined more fully in the Plan |
| FROM: |
Robert D. Brownson, Trustee, API Inc. Asbestos Settlement Trust |
| RE: |
Supplemental Distribution |
The undersigned has been appointed Trustee of the API Inc. Asbestos
Settlement Trust (the "Trust"), pursuant to the Order of Chief Bankruptcy
Judge Gregory F. Kishel of the United States Bankruptcy Court, District of
Minnesota, dated December 6, 2005 (the "Order"). That Order, titled, "Order
Confirming Third Amended Plan Of Reorganization of A.P.I. Inc. (November 21,
2005) As Amended At Confirmation," confirmed the Plan of Reorganization of
API, Inc. (The "Plan"), in its Chapter 11 bankruptcy case, filed on January
6, 2005.
The purpose of this notice is to advise that the Trust has authorized a
Supplemental Distribution, pursuant to Paragraph 4.3 of the API Trust
Distribution Procedures (“TDPs”), in order to bring all prior approved
Claims to a payment level equivalent to the current Payment Sum Percentage
of the Allowed Liquidated Value of 33.96% for all approved
Claims.
This notice is not intended, nor should be construed, as legal advice
from the Trustee, or the Trust, to claimants, claimants' counsel, or others.
September 6, 2007
| TO: |
All Claimants and Counsel Representing Asbestos Claimants with
Claims against API, Inc., its related entities as defined more fully in
the Plan, The API Inc. Asbestos Settlement Trust (“Trust”), and
protected Settling Insurers as defined more fully in the Plan |
| FROM: |
Robert D. Brownson, Trustee, API Inc. Asbestos Settlement Trust |
| RE: |
Payment of Approved Claims |
The undersigned has been appointed Trustee of the API Inc. Asbestos
Settlement Trust (the "Trust"), pursuant to the Order of Chief Bankruptcy
Judge Gregory F. Kishel of the United States Bankruptcy Court, District of
Minnesota, dated December 6, 2005 (the "Order"). That Order, titled, "Order
Confirming Third Amended Plan Of Reorganization of A.P.I. Inc. (November 21,
2005) As Amended At Confirmation," confirmed the Plan of Reorganization of
API, Inc. (The "Plan"), in its Chapter 11 bankruptcy case, filed on January
6, 2005.
This notice follows my Initial Notice to All Counsel Representing Asbestos
Claimants with Claims against API, Inc, dated May 14, 2007. As described
therein, the Trust has been accepting Claims following its Effective Date.
The purpose of this notice is to advise as to the Trust's current position
on payment of approved Claims to the Trust. Claims should continue to be
submitted to the Trust as described in my Notice of May 14, 2007.
Based upon the current financial condition of the Trust, the Trust will not
be making further payments on approved claims through calendar year 2007,
with the exception of approved Extraordinary Claims, as defined at sec.
5.1(g) of the TDP, approved Exigent Health Claims, and approved Extreme
Hardship Claims, both as defined at sec. 5.1 (l) of the TDP. Any approved
Exigent Health Claims, Extreme Health Claims, and Extreme Hardship Claims,
will be eligible for a partial payment of 13.46 percent (13.46 %) of the
approved Allowed Liquidated Value of the Claim's Disease Category, as
described at sec. 5.1 (c) of the TDP. Those payments will continue to be
made as eligible claims are submitted, and approved, by the Trust.
At this time, the Trust is not in a position to make enhanced payments for
Claims in any of these three (3) Claims categories, but eligible Claims
approved in any of these three (3) Claims categories will be eligible for
any enhanced payment applicable to such Claim category at such time as that
becomes available.
This decision has been made pursuant to the Trustee's exclusive power to
modify timing of payments, described at sec. 4.4 (b) of the TDP.
Pursuant to that section, the Trustee reserves the right to make further
modifications in the timing of payments as may be necessary.
This notice is not intended, nor should be construed, as legal advice from
the Trustee, or the Trust, to claimants, claimants' counsel, or others.
May 14, 2007
| TO: |
All Claimants and Counsel Representing Asbestos Claimants with
Claims against API, Inc., its related entities as defined more fully in
the Plan, The API Inc. Asbestos Settlement Trust (“Trust”), and
protected Settling Insurers as defined more fully in the Plan |
| FROM: |
Robert D. Brownson, Trustee, API Inc. Asbestos Settlement Trust |
| RE: |
API Inc. Asbestos Settlement Trust Claims Materials |
The undersigned has been appointed Trustee of the API Inc. Asbestos Settlement Trust (the "Trust"), pursuant to the Order of Chief Bankruptcy Judge Gregory F. Kishel of the United States Bankruptcy Court, District of Minnesota, dated December 6, 2005 (the "Order"). That Order, titled, "Order Confirming Third Amended Plan Of Reorganization of A.P.I. Inc. (November 21, 2005) As Amended At Confirmation," confirmed the Plan of Reorganization of API, Inc. (The "Plan"), in its Chapter 11 bankruptcy case, filed on January 6, 2005.
All asbestos-related cases and claims against API, Inc, and its related entities (the "Claims") were stayed by the filing of its Chapter 11 bankruptcy case. Upon confirmation of its Plan of Reorganization, the Court provided that, upon the Plan's Effective date, the Trust would be established in accordance with the Plan Documents. (Order at §§ A4, B13-18). The Plan provides that, upon the Effective Date, all Claims, as defined in the Plan, against API, Inc. and its related entities, as defined in the Plan ("API"), shall be automatically and without further act or deed assumed by and channeled to the Trust. (Plan § 3.5). In short, upon the Plan's Effective Date, the Trust assumes the exclusive liability for all Claims against API, and provides the sole and exclusive source for processing, and payment, of such Claims.
The Effective Date of the Plan was February 2, 2007.
Submission, processing, and payment of Claims by the Trust under the Plan is governed by the API Trust Distribution Procedures (dated November 21, 2005) (the "TDP"). (TDP § 2.1 et seq.). These Claims Materials are being mailed to you in accordance with the TDP. (TDP § 6.1). To submit a Claim it is necessary to utilize the API Claim Form. The Claim Form, and Claim Form Instructions, for its use, are included in the enclosed Claims Materials.
To submit a Claim to the Trust, please completely fill out a Claim Form in accordance with the Instructions, and submit it in the required manner to the Trust. Upon receipt of a Claim Form, the Trustee will make a determination of the validity, and type, of the Claim under the TDP, and will advise you in writing of that determination, all as required by the TDP. In some instances, further information may be requested by the Trustee.
If a Claim is approved, it will be eligible for payment from the Trust. The amount, timing, and order of payment is governed by the TDP, and discretion of the Trustee, as provided in the TDP, and will be conditioned upon completion, and submission, of Release(s) as required by the Trustee.
Please be advised that the Trust's funding mechanism will not allow full payment of all claims in their entirety upon submission. Partial payments will be made as Trust assets allow, in the discretion of the Trustee. A DETERMINATION BY THE TRUSTEE THAT A CLAIM IS APPROVED DOES NOT REQUIRE THE TRUSTEE TO MAKE PAYMENT ON THE CLAIM. The amount, and timing of payment of approved Claims is a determination by the Trustee separate from approval of any particular Claim(s). The Trustee's decisions on these matters are made to provide that all holders of similar approved Claims, present, and in the future, are treated in a substantial equivalent manner. (Order § B14), (TDP § 2.2), 11 U.S.C. § 524(g).
The TDP provides procedures for disputing the Trustee's determination as to a Claim, (TDP § 5.1(I)), arbitration, (TDP §5.2(a)), and litigation. (TDP § 5.2(b), (c)).
Any Claim is governed by the applicable statutes of limitations and/or statutes of repose, under Minnesota law, North Dakota law, or other law, as the case may be, subject to a tolling period commencing on January 6, 2005, all as described in the TDP. (TDP § 5.1 (n), (o)).
Any claimant who contends he (she) suffers from an asbestos-related disease, caused in whole or in part, by exposure to API-supplied asbestos-containing products, or from API operations, including those who may have had a lawsuit pending, and stayed, against API, at the inception of its Chapter 11 bankruptcy case, is eligible to submit a Claim. The Trustee's determination, with respect to any Claim submitted, will be made in accordance with the Order, the Plan, the TDP, and other Plan documents, as may apply.
Neither this notice, nor any of the matters contained in the enclosed Claims Materials, is intended, nor should be construed, as legal advice from the Trustee, or the Trust, to claimants, claimants' counsel, or others.
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