W.R. Grace Did Not Settle Zonolite Class Action Lawsuit

Yesterday we reported that W.R. Grace has tentatively negotiated a $140.million class-action settlement over Zonolite Attic Insulation, an asbestos product that was installed in millions of U.S. homes.

The settlement would require W.R. Grace to pay up to $140 million over the next 25 years. The money would go into a trust fund that property owners could tap for 55 percent of the cost of Zonolite removal, but payouts would be capped at $4,125. Zonolite can release needle fibers of tremolite asbestos if it’s disturbed.

In January, a U.S. bankruptcy judge in Delaware will consider the class-action settlement for preliminary approval and it depends on whether W.R. Grace emerges from Chapter 11 bankruptcy.

There appears to be confusion because a Montana News Station is reporting today that:

A North Carolina website is reporting that WR Grace decided to settle a class action lawsuit over its Zonolite attic insulation. But the attorney whose law firm hosts the site says he cannot confirm the report.

AsbestosHub.com reports Grace agreed to create a 140 million dollar trust fund over the next 25 years. Property owners who used the insulation could then receive up to four thousand dollars each. A federal bankruptcy judge in Delaware must still approve the deal.

Read the report at MontanaNewsStation.com.

Tom Lamb can’t confirm the report because AsbestosHUB reported the agreement as tentative and dependent on consideration of the U.S. Bankruptcy Court.

Further inquiries and better information regarding the status of negotiations should be directed to Spokane Attorney Darrell Scott at 926 W Sprague Ave Ste 680, Spokane, WA 99201. Tel: (509)455-3966.  Mr. Scott helped negotiate the settlement.  As Mr. Scott advised in an interview with Spokane Review reporter Becky Kramer,

However, “we don’t want people to get overly excited about filing a claim. There’s still work to be done,” said Scott, one of two attorneys appointed to represent Zonolite claimants in W.R. Grace’s bankruptcy case.

We apologize for any confusion arising from yesterday’s post. We reported the tentative negotiated settlement as newsworthy to any homeowners who may still have Zonolite insulation lurking in their attics because the previous deadline of October 31, 2008 to file claims has passed. The negotiated settlement would allow homeowners more time to have the Zonolite removed from attics and make a claim to defray the cost of removal.


  1. R Moreland says:

    How long will this class action attic asbestos law suit keep going on?? Being exposed to this asbestos within our attic and vents, and garage, we ( Family )must already over the years, have been affected. We needed to have it removed years ago, could not afford the removal cost, We think the legal system is dragging there case too long, for a settlement , so we can rid this illegal product sold to the public, R. Moreland N Cal

  2. Xest Sx Lx Alt-> Good day.(Salish) I was part of the class action lawsuit and need to know when I can start the process to file a claim to recover the cost. I have applied to a home improvement grant and I was told if it was over a specific amount they would pass on the removal of the hazardous material. Particulates are fall inside my home.

    • Ken:

      Thank you for your Comment (and I received your phone message at my office).

      As my law firm is not involved with this WR Grace class action, I do not know the answers to your questions.

      Perhaps another reader may be able to assist you.

      I wish you the best in all aspects going forward.

      Tom Lamb

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