SB 18-123 — Asbestos Trust Claims Transparency Act

Second Regular Session Seventy-first General Assembly STATE OF COLORADO 2nd ENGROSSED This Version Includes All Amendments Adopted on Second Reading in the House of Introduction LLS NO.

This summary applies to this bill as introduced and does notreflectanyamendmentsthatmaybesubsequentlyadopted.Ifthisbill g passes third reading in the house of introduction, a bill summary that i a 1 applies to the reengrossed version of this bill will be available at E R 2 http://leg.colorado.gov.) A n 8 N 2 h S e r The bill enacts the "Asbestos Bankruptcy Trust Claims n M Transparency Act".

Federal bankruptcy law provides companies with m A asbestosliabilitiestheabilityto channel their future liabilities intotrusts.

Plaintiffs harmed from asbestos exposure mayfile claims with the trusts i and file lawsuits against companies that are still solvent.

The bill a 8 addresses the disconnect between these separate compensation systems.

Rg 10d The bill sets forth requirements for the filing of asbestos trust claims and Te d1 , N 2 8 provides for their admissibility so that juries are informed about all of a ST eR cr2 A n a8 Shading denotes HOUSE amendment.

eE Md c Capital letters or bold & italic numbers indicate new material to be added to existing statutA.statute.

e M A plaintiff's exposure to asbestos and can properly determine fault.

(a) FILE THE ASBESTOS TRUST CLA;M -7- 123 (b) FILE A WRITTEN RESPONSE WITH THE COURT SETTING FORTH THE REASONS WHY THERE IS INSUFFICIENT EVIDENCE FOR THE PLAINTIFF TO FILE THE ASBESTOS TRUST CLAI;OR (c) FILE A WRITTEN RESPONSE WITH THE COURT REQUESTING A DETERMINATIONTHATTHEPLAINTIFF SEXPENSESORATTORNEYFEESAND'SEXPENSESORATTORNEYFEESAND EXPENSES TO PREPARE AND FILE THE ASBESTOS TRUST CLAIM IDENTIFIED IN THE DEFENDANT S'S MOTION EXCEED THE PLAINTIFF 'SS REASONABLY ANTICIPATED RECOVERY FROM THE TRUST .

(3) (a) I THE COURT DETERMINES THAT THERE IS A SUFFICIENT BASIS FORTHE PLAINTIFFTO FILE THE ASBESTOSTRUST CLAIMIDENTIFIED BY A DEFENDANT ,THE COURT SHALL ORDER THE PLAINTIFF TO FILE THE ASBESTOS TRUST CLAIM AND SHALL STAY THE ASBESTOS ACTION UNTIL THE PLAINTIFF FILES THE ASBESTOS TRUST CLAIM AND PROVIDES ALL PARTIES WITH ALL TRUST CLAIMS MATERIALS NO LATER THAN THIRTY DAYS BEFORE TRIALTRIAL. .

(b) ITHECOURTDETERMINESTHATTHEPLAINTIFF 'SEXPENSESORSEXPENSESOR ATTORNEY FEES AND EXPENSES TO PREPARE AND FILE THE ASBESTOS TRUST CLAIM IDENTIFIED IN THE DEFENDANT S'S MOTION EXCEED THE PLAINTIFFS REASONABLY ANTICIPATED RECOVERY FROM THE ASBESTOS TRUST ,,THE THE COURT SHALL STAY THE ASBESTOS ACTION UNTIL THE PLAINTIFF FILES WITH THE COURT AND PROVIDES ALL PARTIES WITH A VERIFIED STATEMENT OF THE PLAINTIFS HISTORY OFEXPOSUREOFEXPOSURE,USAGE ,USAGE , OROTHERCONNECTION TO ASBESTOS COVEREDBYTHE ASBESTOSTRUST .

Application.TEPROVISIONSOFTHISPARTApplication. 14 APPLY TO ALL ASBESTOS ACTIONS FILED ON OR AFTER THE EFFECTIVE DATE OF THIS PART14.

-8-(1) 123EXCEPT SECTIONAS 2.PROVIDED IN SUBSECTION (2)OFTHISSECTION THEPROVISIONSOFTHISPART 14APPLY TO ALL ASBESTOS ACTIONS FILED ON OR AFTER THE EFFECTIVE DATE OF THIS PART14.

-8- 123 (2) THE REQUIREMENTS OF THIS PART14 DO NOT APPLY IF THE COURT FINDS FROM THE PLEADINGS THAT THE PLAINTIFF IS A LIVIN, NATURAL PERSON AND MAY BE FACING A PREMATURE DEATH FROM EXPOSURE TO ASBESTOS THAT OCCURRED WHILE HE OR SHE WAS A MEMBER OF THE ARMED FORCES OF THEU NITEDS TATES.

SECTION 2.