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Whittaker Clark & Daniels Files for Bankruptcy Amid Asbestos Lawsuit Fallout

chapter 11

Talc supplier Whittaker Clark & Daniels, along with three affiliated companies, has filed for Chapter 11 bankruptcy in New Jersey. The filing, made on Wednesday, cites liabilities ranging between $1 billion and $10 billion.

Whittaker Clark & Daniels submitted its petition alongside Soco West Inc., L.A. Terminals Inc., and Brilliant National Services Inc., all located at the same address in Stamford, Connecticut. Each petition reports assets between $100 million and $500 million on a consolidated basis, with an estimated 1,000 to 5,000 creditors.

The bankruptcy filing comes after a significant legal setback for Whittaker. In March, a South Carolina jury awarded $29 million in damages to a woman and her husband. The jury found Whittaker’s negligence responsible for Sarah Plant’s fatal mesothelioma, a rare cancer linked to asbestos exposure. The plant had used cosmetics containing talc allegedly contaminated with asbestos.

The Risks Associated with Talc and Asbestos

Talc is a mineral widely used in various industries, including cosmetics, pharmaceuticals, and manufacturing. However, talc deposits are often found in close proximity to asbestos deposits, leading to potential contamination of talc products with asbestos fibers. 

Asbestos is a naturally occurring mineral known for its heat resistance, durability, and insulating properties. Unfortunately, asbestos exposure has been linked to serious health risks, including mesothelioma, lung cancer, and asbestosis.

Mesothelioma is a rare and aggressive form of cancer that primarily affects the lining of the lungs, abdomen, or heart. It is primarily caused by inhaling or ingesting asbestos fibers, which become lodged in the body’s tissues and can lead to the development of tumors over time. Due to its long latency period, mesothelioma typically does not manifest until several decades after initial exposure to asbestos.

Legal cases involving talc suppliers often revolve around allegations of asbestos contamination in talc-based products. In recent years, numerous lawsuits have been filed against talc manufacturers and distributors by individuals who claim to have developed mesothelioma or other asbestos-related illnesses as a result of using talcum powder or other talc-containing products.

Given the serious health risks associated with asbestos exposure and the potential liability faced by companies involved in the production and distribution of talc products, bankruptcy filings like the one by Whittaker Clark & Daniels and its affiliates underscore the significant financial challenges and legal complexities surrounding asbestos litigation.

Matthew Davis

Reading Time: 1 mins

Published On: May 8, 2023

Matthew Davis - author

Matthew Davis is a freelance journalist who has covered civil litigation for a variety of publications. He joined Mesowatch in 2016 and covers asbestos litigation developments in the U.S., as well as newsworthy asbestos cases.

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