Asbestos Trust Fund
An asbestos trust fund is a court-established financial reserve created during or after a company's bankruptcy to compensate current and future victims of asbestos exposure. More than 60 active trusts collectively hold over $30 billion in assets. Trust fund claims do not require a lawsuit and can be filed alongside other legal actions.
When companies responsible for asbestos exposure face overwhelming liability, they often reorganize under Chapter 11 bankruptcy and establish a Section 524(g) trust fund. These trusts are designed to fairly compensate all claimants — both current and future — based on established payment schedules and disease criteria. Each trust has its own filing requirements, payment percentages, and review processes.
Mesothelioma patients typically receive the highest compensation category from asbestos trusts due to the severity of the disease. Many patients qualify for claims against multiple trusts, as they may have been exposed to asbestos products from several manufacturers over the course of their career. An experienced attorney can identify all applicable trusts. Learn about the trust fund claims process and compare available trusts.
Trust fund claims are separate from personal injury lawsuits and wrongful death claims, and filing one does not prevent filing the other. The claims process is administrative rather than adversarial, typically resulting in faster payment than litigation. However, payment amounts may be lower than jury verdicts or negotiated settlements.
- Also known as
- 524(g) trust, Bankruptcy trust, Asbestos compensation trust
- Category
- Legal
- Related terms
- Bankruptcy Trust, Personal Injury Claim, Statute of Limitations, Settlement, Contingency Fee
How much money is in asbestos trust funds?
More than 60 active asbestos trust funds collectively hold over $30 billion in assets set aside to compensate current and future asbestos victims.
How long does it take to get money from an asbestos trust fund?
Trust fund claims are processed administratively and typically result in payment within 6 to 12 months, faster than litigation through the court system.
Can I file an asbestos trust claim and a lawsuit at the same time?
Yes. Trust fund claims are separate from personal injury lawsuits, and filing one does not prevent filing the other. Many patients pursue both simultaneously.
Have questions about Asbestos Trust Fund? Our attorneys can explain how this applies to your situation — at no cost.