National Gypsum Company

Overview of the National Gypsum Company Asbestos Trust

National Gypsum filed for bankruptcy a second time in 2002, resulting in the current  National Gypsum Company Bodily Injury Trust in 2003. This fund, established with $347 million, was actually the company’s third foray into claims management. The first was a private agreement among companies and the second was an asbestos trust fund.

National Gypsum Company Trust Updates

1. The current payment percentage is 41%
2. Mesothelioma has a scheduled payment of $43,753
3. Lung cancer has a scheduled payment of $7,408
4. Other cancers have a scheduled payment of $3,133

Before its first bankruptcy, National Gypsum joined a private, voluntary industry system known as the Wellington Agreement in 1985. Insurers and asbestos companies were able to handle claims together through the National Claims Facility, but individuals could still bring lawsuits to court. The mesothelioma compensation people received varied.

The National Claims Facility ended after 3 years. Facing more than $1 billion in asbestos-related debt, National Gypsum filed for bankruptcy in 1990. The company emerged from the process in 1993 and established its first asbestos trust fund, National Gypsum Corporation Settlement Trust. Funded with more than $5 million in cash and $600 million in insurance, it lacked enough funds by 1997. National Gypsum once again filed for bankruptcy and developed its current trust fund.

Legal Help for Survivors Exposed to National Gypsum’s Asbestos

If you have mesothelioma or lung cancer from exposure to National Gypsum’s asbestos products, an experienced mesothelioma lawyer can assist you in pursuing compensation for medical expenses and other costs from the National Gypsum Company Bodily Injury Trust. As with other asbestos trust funds, there is a deadline to file. Your attorney will ensure your claim is properly filed on time with all of the documentation needed.

Patient Advocates at The Mesothelioma Center are available to you and your family to answer questions about financial assistance and connect you with legal professionals experienced with trust fund claims. They can also match you with medical experts for second opinions or treatment and provide ongoing personal support throughout your mesothelioma journey.

Mesothelioma Lawsuits Involving National Gypsum

National Gypsum was facing about 45,000 unresolved asbestos lawsuits as of 1992. Many of these cases were settled out of court before going to trial or through its participation in the Wellington Agreement or subsequent trust funds. 

Notable Asbestos Lawsuits Against National Gypsum 

• $8.4 million: National Gypsum paid this award in 1987 to school districts in 19 states for asbestos-related damages.
• $6 million: A jury in El Paso, Texas, awarded this amount in 1999 to the family of Patricio Sanchez Jr., a school janitor who died from mesothelioma after decades of exposure to asbestos-containing joint compounds, including National Gypsum’s Gold Bond products. 
• $114,800: Mercer University sued National Gypsum and 3 other companies in 1985 for selling asbestos-containing materials. The money was used to cover construction costs.

When the company filed for bankruptcy in 1990, all lawsuits were paused. Since the creation of its asbestos trust funds, all asbestos-related claims go through the trust rather than through the courts.

National Gypsum’s History With Asbestos

National Gypsum began in 1925 and started using asbestos in its products in 1933. Gold Bond, named for a $5,000 “gold bond” guarantee asserting its premium wallboards were superior to competitors’, became its most well-known product. Under this brand, National Gypsum manufactured many building materials containing asbestos.

The company acquired Universal Gypsum and Atlantic Gypsum and produced materials under three major brands: Gold Bond, ProForm and PermaBase. National Gypsum used asbestos in at least 30 different building products.

The company stopped using asbestos in the early 1980s. By 1985, National Gypsum faced roughly 4,500 asbestos-related lawsuits from people exposed to its products. Asbestos exposure is the primary cause of mesothelioma. It can also lead to serious diseases such as lung cancer and asbestosis.

National Gypsum Asbestos Products

National Gypsum produced many asbestos-containing building materials for walls, ceilings and siding. The company added asbestos to these products to make them durable, fire-resistant and better at insulating. Workers and installers handling these materials faced an increased risk of exposure.

National Gypsum’s Top Asbestos-Containing Products

• Chromatex Siding Shingles
• Insul-Best Panels
• Joint Cement
• Panelectric Groove Fill
• Perfect Spray
• Perfo-Lyte Acoustical Plaster
• Rockwall Acoustical Plaster
• Spackling Compound
• Topping Cement
• Woodgrain Siding Shingles

Workers handling or cutting these materials risked releasing asbestos fibers into the air. Asbestos exposure could occur during installation, renovation or repair, making safety precautions and professional removal critical.

Workers Exposed to National Gypsum Asbestos Products

Workers who made National Gypsum’s asbestos products faced a high risk of breathing in toxic asbestos fibers. National Gypsum factory workers could inhale fibers during production, putting them at risk of mesothelioma. 

Construction workers who installed, cut or disturbed these products also faced higher exposure. A comprehensive review from 2024 of construction workers confirmed the construction sector is at particularly high risk of asbestos exposure.

Higher Risk Jobs 

• Building maintenance workers
• Carpenters
• Cement workers
• Construction workers
• Demolition crews
• Drywall workers
• Insulators
• Painters
• Pipefitters
• Sheetrock workers

Drywall workers were especially at risk before the mid-1970s, when joint compounds contained chrysotile asbestos. Sanding these compounds released the most fibers into the air. General construction workers and DIY home renovators could also be exposed.

When workers can unintentionally bring home asbestos dust on their clothing, hair or skin, their loved ones may experience secondary exposure. Similar to primary exposure, secondary exposure can cause mesothelioma or other asbestos-related diseases.

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