US Markets
Home›US Markets›M&A & Deals›Uniroyal Holding seeks Chapter 11 to resolve asbestos…
Uniroyal Holding seeks Chapter 11 to resolve asbestos claims
The Naugatuck, Connecticut debtor listed $10 million to $50 million in assets and $50 million to $100 million in liabilities in a July 31 filing in New Jersey bankruptcy court.
Uniroyal Holding Inc., the former owner of the Uniroyal tire and rubber brand, has filed for Chapter 11 bankruptcy protection to wind up its operations and dissolve as a functioning entity, according to Yahoo Finance.
The company said the filing is meant to address personal injury and wrongful death asbestos claims tied to its products, settle remaining retirement benefits for former employees, and set up distributions of assets to creditors.
In its petition filed July 31 in U.S. Bankruptcy Court for the District of New Jersey, Uniroyal Holding listed between $10 million and $50 million in assets, and between $50 million and $100 million in liabilities. The filing notes that asbestos litigation claims span from 22,754 cases involving Weitz & Luxenberg down to 32 cases involving Wallace & Graham P.A., with unsecured asbestos claim amounts categorized as undetermined.
Uniroyal President and General Counsel Robert V. D'Angelo said in a court declaration that while the company has settled or defended claims for decades, the scale of asserted litigation will become unmanageable once the current team handling liabilities retires. The proposed consensual joint Chapter 11 plan, filed with subsidiary Great Hill Corporation, also calls for establishing a settlement trust to assume and resolve present and future personal injury and wrongful death claims.