Friday's Wall Street Journal had an article (excerpted below) that described welding fume litigation as being the next asbestos issue. You will recall that asbestos litigation drove a number of large vendors into bankruptcy.
The article went on to say that Lincoln Electric, as just one of the plaintiff companies at risk, has over 8000 (!!) cases already filed against it.
The defendants' case is that welding fumes cause Parkinson's disease. The article did point out that nearly 10% of the defendants had also filed asbestosis suits...
This issue has the potential to significantly affect the welding industry, welding products and processes, and the companies and suppliers in this field. We all need to start paying attention.
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Welding-Fumes Suits Raise Specter of Costly Liabilities
By GREGORY ZUCKERMAN and TIMOTHY AEPPEL Staff Reporters of THE WALL STREET JOURNAL July 29, 2005; Page C1
"First it was asbestos. Will welding fumes be next?
A federal court in Cleveland indicated Sunday that it will allow lawsuits to go forward alleging that fumes from welding products caused workers to develop Parkinson's disease, a debilitating neurological malady. The situation -- somewhat reminiscent of asbestos litigation brought by those who contracted mesothelioma -- raises the possibility of costly legal liabilities for companies involved in making and distributing welding materials. Still, any costs are unlikely to approach those from asbestos and defendants will still be able to challenge any evidence purporting to link the fumes and Parkinson's when individual lawsuits are heard.
Companies have long argued that it is hard to pinpoint the genesis of neurological diseases such as Parkinson's, making it difficult for plaintiffs to prove that these maladies were caused by manganese, a metal used in rods and wires that has been recognized as unhealthy if its fumes are inhaled.
"It is definitely a significant ruling," says Sigurd Sorenson, a lawyer at Clifford Chance US LLP in New York who has defended companies that were involved in asbestos and silica litigation. "Plaintiffs can make the argument that there is a connection between fumes and Parkinson's, and that gives plaintiffs a lot of leverage" to potentially pursue financial settlements.
Welding-fumes cases have become an issue in the legal community, with lawyers placing ads to find workers with potential exposure. Plaintiffs' attorneys say there are abut 10,000 current suits alleging neurological injuries from welding fumes and an estimated 500,000 or more workers with current, or past, exposure to welding fumes. If the problems even come close to those caused by asbestos, shares will suffer. Many companies that had even remote dealings with asbestos have faced heavy legal liabilities from suits related to alleged asbestos-related maladies."
__ "All it took was all I had..."