Congoleum Corporation
Congoleum Corporation made asbestos flooring materials from the late 1940s until the mid-1980s. The company faced asbestos litigation that forced it into bankruptcy in 2003. In 2010, it established a trust fund with $270 million to handle asbestos claims.
Written by D. Carl Money | Scientifically Reviewed by Sean Fitzgerald, PG | Edited by Amy Edel | Last Update: September 23, 2025
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Founded:1886 -
Years Operated:1886 - Present -
Headquarters:Mercerville, New Jersey -
Business:Manufacturer of asbestos floor tile -
Asbestos Trust:Yes -
Bankruptcy Status:Filed in 2003 and reorganized 2010
Congoleum’s History with Asbestos
Congoleum Corporation manufactured flooring products with asbestos from 1947 to 1984. The company used the toxic mineral because it provided heat resistance that made products less likely to catch fire. Asbestos also added strength and durability to flooring materials.
Congoleum used asbestos in its asphalt tiles, vinyl tiles, sheet flooring and countertop covering. Many of the company’s most popular products contained asbestos, including the “Gold Seal” flooring products that were offered in the 1950s.
These products exposed many workers to asbestos, including Congoleum employees who manufactured them, and the end users who worked with them. Workers who got sick from Congoleum products have sued the company for compensation to cover medical bills and lost wages.
Development of the Congoleum Plan Trust
Mounting asbestos litigation eventually hurt the company’s finances and forced them to file for Chapter 11 bankruptcy in 2003. In July 2010, a District Court in New Jersey confirmed Congoleum’s bankruptcy reorganization plan, which created the Congoleum Plan Trust to handle future asbestos claims.
A little more than 50% of the company’s stock was put into the trust. An additional $235 million was added to cover the estimated cost of future claims.
The Plan Trustee files annual reports with the District Court showing the financial status of the Plan Trust and providing a summary of asbestos-related claims and payments. In 2023, The Congoleum Plan Trust reports it paid $17.9 million to settle 1,483 asbestos personal injury claims and set its payment rate at 8.67%, where it remains today. During that year, the Trust received 5,497 new claims.
Since the Plan Trust began, it hasn’t approved more than 300,000 claims because they didn’t meet requirements, were withdrawn or were deferred. At the end of 2023, a small number of claims remained pending in the payment queue. The Trust continues to use detailed procedures set in its official guidelines to review, evaluate and pay qualifying claims each year. The complexity of the process for claimants underscores the importance of working with an experienced asbestos lawyer to file.
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Get Help NowAsbestos Litigation Involving Congoleum
Prior to filing for bankruptcy, Congoleum was named in thousands of asbestos lawsuits. For example, floor covering contractor Robert Ehret sued Congoleum and several other flooring manufacturers in the late 1990s. He developed pericardial mesothelioma as a result of the asbestos in the flooring he installed for approximately 30 years.
Ehret passed away during the trial. However, the jury awarded his wife and heirs $3.3 million dollars for pain, suffering and loss of consortium and earnings.
Congoleum’s former manufacturing plant in Kearny, New Jersey, was subject of a $19 million lawsuit for asbestos contamination at the site. In August 2018, U.S. District Judge Keven McNulty decided people could still file asbestos claims against Congoleum, even though the company had already settled similar claims in bankruptcy court.
Congoleum’s Asbestos Products & Workers at Risk
Although some of Congoleum’s asbestos flooring products may have been labeled, installers weren’t usually warned about the dangers of asbestos exposure. Cutting or sanding these flooring products during residential or commercial installations could release asbestos fibers into the air.
Congoleum’s Asbestos Flooring
It’s important to know that even the felt backing used in many Congoleum products contained asbestos, adding to the risk. Inhaling these fibers can lead to serious diseases related to asbestos exposure.
Occupations at Higher Risk From Congoleum Products
Asbestos exposure is the No. 1 cause of work-related deaths in the world. Workers in a number fields were at higher risk of asbestos exposure because of the fibers within Congoleum’s product.
Higher Risk Jobs
- Construction workers
- Demolition workers
- Drywall workers
- Flooring installers
- Interior Designers
- Maintenance workers
- Tile workers
Congoleum’s own repair guidelines state that unless you’re certain the flooring doesn’t contain asbestos, you should assume that it does. This precaution highlights how easily workers could be exposed if proper steps aren’t taken.
Overall, many people involved in installing, repairing or removing Congoleum flooring faced significant health risks because of asbestos. This was especially the case before warnings and regulations became more common.
Congoleum’s Founding and Where the Company Is Today
Congoleum Corporation designs and manufactures flooring products sold in retail stores across the United States. The company produces all its flooring in Pennsylvania, Maryland and New Jersey. It also develops resilient flooring through partnerships like one with 3M.
Michael Nairn started the business in 1828 in Scotland when he made canvas sailcloths. In 1886 the Nairn family opened a factory in Kearny, New Jersey. They began producing linoleum flooring under the name Nairn Linoleum. The company made simulated wood grain flooring using asphalt from the Belgian Congo. This product inspired the name Congoleum.
The company formed a partnership with a Belgian Congo supplier and changed its name to Congoleum-Nairn. In the 1950s it expanded into vinyl flooring, a product that involved asbestos use and later became a focus of health and legal issues. Congoleum became Congoleum Corporation in the 1960s.
After changes in ownership and a bankruptcy filing in 2010 the company returned to private ownership. Congoleum remains active in the flooring industry. It continues to sell its products through retail stores.
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