Apr 14 2005
Shares of several companies with asbestos-related exposure rose sharply on Tuesday after the chairman of the U.S. Senate Judiciary Committee said he hopes to finish drafting an asbestos injury trust fund bill this week.
Sen. Arlen Specter, R-Pa., said he had a "positive meeting" with Democrats on Monday that may have gained some additional supporters of an asbestos bill, which has been in the making for two years.
Bipartisan support is key to passage.
Specter said Democrats were "very much interested in getting a bill" and noted that a meeting with Senate Republicans was planned for Tuesday. California Sen. Dianne Feinstein, a prominent Democrat who heard Specter's comments, told reporters after the meeting on Monday that she expects to support the legislation, but wants to see a written version first.
Asbestos is a mineral used decades ago for a variety of construction-related projects, such as pipe insulation. It was later learned that the inhalation of asbestos fibers can cause serious lung problems and other related ailments. Thousands have filed claims against the companies that made, sold or installed the material over the past several decades, forcing many companies to seek federal bankruptcy-court protection.
A legislative solution would relieve the burden of such claims on companies by creating a large trust fund to handle the litigation. The fund would determine the seriousness of each claim and distribute compensation.