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Heated testimony on HB 803 as Libby residents and industry groups clash over asbestos reforms
Summary
HB 803 (asbestos trust transparency and overnaming reform) drew widespread testimony: business groups and insurers backed early trust disclosures to prevent duplicate recoveries, while Libby victims and trial lawyers warned the bill would create roadblocks and delay claims for dying plaintiffs.
Representative Greg Overstreet opened House Bill 803 as a two-part proposal: require plaintiffs to file bankruptcy-trust claims before or shortly after filing tort suits and require basic disclosures about defendants and exposure timelines. He described the measure as a ‘‘show your work up front’’ requirement similar to practices in other states.
Proponents included the Montana Chamber of Commerce, the U.S. Chamber of Commerce, the American Tort Reform Association and insurance industry representatives. They argued the bill prevents ‘‘double dipping’’ and over-naming of defendants, which they said wastes resources and forces innocent companies into expensive defense costs.
Opponents included lawyers and many witnesses from Libby, Montana, where asbestos exposure has produced long-term community harm. Roger Sullivan and several Libby residents described the human toll and called the bill a ‘‘double-headed hydra’’ that would impose onerous mandatory disclosures and allow defendants to use trust claims that may never pay to offset recovery at trial. Sullivan said the bill ‘‘creates unreasonable obstructions’’ that prevent timely depositions and preservation of testimony for people with rapidly fatal diseases.
Committee questioning focused on empirical details: how long trust claims take to resolve, whether the bill would cause delay, and whether carve-outs for Libby victims would be adequate. Proponents said trust claims can be processed quickly if the short form is complete and pointed to states where similar laws operate; opponents countered that the WR Grace trust and Libby-related claims have complex timelines and low payment rates.
The committee closed the hearing on HB 803 after extensive public testimony. No committee vote on the bill was recorded in the transcript portion provided.
