Babcock and Wilcox Trust Fund and Lawsuits

The Babcock and Wilcox Asbestos Trust Fund

Babcock & Wilcox created a trust fund in 2006 as part of its bankruptcy reorganization. The trust was initially funded with $1.85 billion to handle future asbestos claims.

Trust Fund Updates

1. Payment amounts depend on the type of eligible disease.
2. The maximum value for mesothelioma is $400,000.
3. Lung cancer’s maximum value is $150,000
4. Other asbestos-related cancer has a maximum value of $75,000

Two kinds of claims may be filed with the trust: Expedited and individual review. The process is quicker with an expedited review, and payments are fixed regardless of the claimant’s level of exposure or health. 

Payments vary with individual reviews, and they generally require more time, mainly because expedited claims are reviewed first. The trust reviews both types of claims annually, but individual claims are more likely to be adjusted, and there is a risk that settlement amounts may be reduced.

Legal Help for People Exposed to Babcock & Wilcox Asbestos Products

Experienced mesothelioma and asbestos attorneys can assist with filing claims through the Babcock & Wilcox asbestos trust fund, navigating the complex documentation process. Legal professionals help relieve the stress of evidence gathering, claim filing and follow-up, often securing payouts without requiring court trials. 

Our Patient Advocates help you find the right asbestos attorney for your specific claim. These legal professionals ensure your trust fund claims are filed correctly so you receive the compensation you’re entitled to and can identify if there are other responsible companies, affording you additional legal options. We can also connect you with leading mesothelioma specialists, patient support communities and VA-accredited claims agents.

Many law firms offer free case evaluations and work on contingency, meaning clients pay no fees unless they win compensation. Seeking legal support early can improve your chances of receiving timely and full financial recovery for medical expenses, lost wages and pain and suffering.​

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Asbestos Litigation Involving Babcock & Wilcox

Babcock & Wilcox first encountered asbestos-related personal injury claims in 1982. The company settled more than 340,000 asbestos claims as of 2000, costing it nearly $1.6 billion in awards and court fees. At the time, about 45,000 pending asbestos claims remained unsettled. The company then chose to file for Chapter 11 bankruptcy protection. 

Mesothelioma Lawsuits Involving Babcock & Wilcox

• $2.8+ million: In 1996, former U.S. Navy pipefitter Cleo Elmore received these compensatory damages after developing mesothelioma. The court determined Babcock & Wilcox, as well as more than 30 other asbestos companies, were liable for Elmore’s disease and eventual death.
• $1.6 million: Former Navy worker Martin McPadden was exposed to insulation and other asbestos products while serving as a fireman striker and machinist’s mate aboard the USS Willis A. Lee. The court estimated his family suffered nearly $6 million in damages. Babcock & Wilcox was among 16 defendants that settled with the McPadden estate for nearly $1.6 million.
• $320,000: A UK family was awarded damages in July 2018 after their mother, Adrienne Sweeney, died from secondhand asbestos exposure in 2015. Her husband worked at a Babcock & Wilcox boiler-making factory in Renfrew, Scotland, in the 1960s. He unintentionally brought home asbestos dust on his overalls. The groundbreaking case is believed to be the first in Scotland.

Over several decades of asbestos lawsuits against Babcock & Wilcox, courts issued numerous summary judgments favoring plaintiffs who developed cancer after exposure to the company’s asbestos products. These rulings acknowledged the company’s liability in many cases, reinforcing the severity of exposure-related injuries and deaths linked to its products.

Babcock & Wilcox’s History With Asbestos

Babcock & Wilcox manufactured different types of equipment intended to withstand or contain extreme temperatures. The equipment often included asbestos materials because asbestos was an affordable and widely used fireproofing material.

The company never directly manufactured asbestos products, but it used asbestos products other companies manufactured to assemble equipment. Employees who assembled and installed asbestos products on boilers and other equipment faced high exposure to asbestos. Additionally, the equipment’s end users were exposed during maintenance, repair and removal.

Many of these workers later developed asbestos-related diseases, such as lung cancer and mesothelioma. They filed lawsuits against Babcock & Wilcox seeking compensation for medical bills and lost wages. Mounting lawsuits eventually caused the company to file for bankruptcy and establish a trust fund to handle future claims.

Babcock & Wilcox’s History

George Babcock and Stephen Wilcox founded Babcock, Wilcox & Company in 1867 to build and sell Wilcox’s patented water-tube boiler. This boiler quickly brought success to the company. In 1881, they created and installed the first utility boiler. Later, in 1902, Babcock & Wilcox made the boilers that powered New York City’s first subway.

The company soon found a strong market in supplying boilers for many government-funded projects. In December 1907, a fleet of 16 U.S. Navy battleships set out on a world tour. Known as Teddy Roosevelt’s “Great White Fleet,” each ship was powered by Babcock & Wilcox boilers. Today, many veterans are dealing with the health effects decades later after working with asbestos-containing products.

Today, Babcock & Wilcox is still in operation. It provides technology and services for the government and industries like oil, nuclear power, clean energy and construction. The company invests millions in research and development for alternative energy sources. It also manages U.S. Department of Energy national laboratories, including Los Alamos National Laboratory and Idaho National Laboratory.

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Babcock & Wilcox’s Asbestos Products

Although Babcock & Wilcox never manufactured an asbestos-containing product, it used the following asbestos materials on different types of equipment. The company incorporated various asbestos materials into its equipment to provide insulation and heat resistance essential for high-temperature industrial applications.

Asbestos Products Babcock & Wilcox Used

• Asbestos block
• Gaskets
• Heat seals
• Insulation
• Millboard
• Rope packing

These products were used in power generation equipment, utility boilers, water-tube marine boilers, furnaces and other high-temperature refractory equipment. These asbestos-containing components posed significant health risks to workers and maintenance personnel who handled or repaired Babcock & Wilcox equipment over many decades.​

Babcock & Wilcox Occupations at Risk

Workers who built, installed or repaired boilers and refractory products for Babcock & Wilcox were exposed to asbestos while on the job. However, the risk of asbestos exposure wasn’t limited to just Babcock & Wilcox employees. The company’s boilers, refractory products, asbestos-lined furnaces and other equipment were widely used in industries such as Navy ships, power plants and nuclear facilities. This means many other occupations may have faced potential asbestos exposure.

Occupations at Higher Risk of Exposure

• Boat builders
• Boiler insulators
• Cold storage insulators
• Demolition workers
• Electric welders
• Firefighters
• Lathe operators
• Marine electricians
• Marine machinists
• Millwrights
• Pipefitters
• Plumbers
• Ship inspectors
• Shipyard workers
• Submarine crews and maintenance workers

This list is a sample of the many occupations exposed directly to asbestos. Others who worked in or near asbestos-heavy environments might have also faced exposure.

The risks of asbestos use weren’t fully understood until the late 1960s and early 1970s. In 1973, the U.S. Environmental Protection Agency released the National Emission Standards for Hazardous Air Pollutants, which classified asbestos as a dangerous airborne pollutant. Soon after, Babcock & Wilcox started removing asbestos from its equipment.

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