In re Johns-Manville Corp.

36 B.R. 743 (1984)

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In re Johns-Manville Corp.

United States Bankruptcy Court for the Southern District of New York
36 B.R. 743 (1984)

Facts

The Johns-Manville Corporation (Manville) (debtor) manufactured asbestos. Numerous people who were injured due to asbestos exposure (creditors) sued Manville. As a result of these claims and especially the prospect of more than $20 billion worth of claims over the next 20 to 30 years by people who were exposed to asbestos but had not yet developed symptoms (future claimants), Manville filed for Chapter 11 bankruptcy. Accordingly, resolving the interests of future claimants was a primary focus of Manville’s reorganization efforts. Manville’s current proposed reorganization plan did not seek to discharge the future claimants’ claims, but dischargeability could become an issue in the future. The bankruptcy court considered whether future claimants were interested parties in Manville’s reorganization under Bankruptcy Code (code) § 1109(b) and thus should be represented in the proceedings.

Rule of Law

Issue

Holding and Reasoning (Lifland, J.)

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