[Congressional Record (Bound Edition), Volume 150 (2004), Part 5]
[Senate]
[Page 6866]
[From the U.S. Government Publishing Office, www.gpo.gov]




                          ASBESTOS LITIGATION

  Mr. BREAUX. Mr. President, Senator Landrieu and I rise today to add 
our voices to those who have been calling for a comprehensive national 
solution to the asbestos litigation problem. Several members of both 
parties have recently come to the floor to discuss this very issue and 
we want to join with them in urging our colleagues to address this 
matter with immediate legislation.
  I have always believed that one of the greatest freedoms in this 
country is the ability of ordinary citizens to seek redress in an 
impartial court of law from other citizens or businesses--no matter how 
large or powerful. However, in the case of asbestos litigation the 
system no longer is able to meet this goal. The courts are so backed up 
with asbestos lawsuits, many of which are brought by individuals who 
are not yet sick or may never get sick, that those victims who are 
truly suffering from asbestos-related illnesses are not receiving 
compensation and businesses are going bankrupt in the process.
  Asbestos litigation is a serious and growing problem in our home 
state of Louisiana. For the benefit of victims, union members, and 
businesses in Louisiana--both large and small--that are suffering the 
consequences of this crisis, we urge the Senate to resolve this problem 
as soon as possible. Let me be clear: we want a bill that will provide 
guaranteed, fair compensation to deserving victims in our state and 
around the country. And, we want a bill that will provide certainty for 
victims and businesses in Louisiana and elsewhere that have been caught 
up in this crisis.
  I am becoming increasingly troubled by reports that negotiations 
between the parties on the asbestos bill are reaching a standstill. Too 
much work and tireless hours of negotiation have gone into this bill to 
let it become yet another marker in the growing graveyard of failed 
legislation. I would like to use this opportunity to urge all parties 
in this matter to continue working in good faith with one another to 
find agreement on the issues that are still outstanding.
  A final deal on asbestos will not be easy and it will require more 
concessions from all parties. I know a number of my colleagues have 
worked unflagging to try and get this issue resolved. I commend them 
for all their effort and work. However, it is also important that we 
realize how close we are to not having any bill at all. I am concerned 
that by hastily pushing forward legislation that only has partial 
support, we will effectively kill this bill. We cannot stand back and 
allow the current system to continue to spiral out of control. Another 
failed cloture vote will not help victims, nor will it help business. 
This is an issue that we should be able to vote out of the Senate, not 
by 60 votes, but by 70 or 80. We must continue to work together to this 
end. The asbestos litigation system is broken and it must be fixed.
  Ms. LANDRIEU. Mr. President, I rise to join with my colleague, the 
senior Senator from Louisiana, to urge the Senate to enact meaningful 
asbestos litigation reform this Congress. I am equally concerned about 
the impact that this escalating crisis is having in our own state of 
Louisiana.
  The example of just one company illustrates how this ongoing 
litigation is affecting Louisiana. In 1978, McDermott, headquartered in 
Louisiana, acquired Babcock & Wilcox, B&W, a premier commercial 
boilermaker and provider of other power generation equipment. B&W was 
the leading manufacturer of boilers in the United States. In line with 
United States government specifications, all of these boilers were 
insulated with asbestos. Now many years later, the company has been 
subjected to an avalanche of asbestos claims. In fact, B&W had no 
recourse other than to file for reorganization under Chapter 11 of the 
U.S. Bankruptcy Code. Because of the uncertainty of its asbestos 
liability and the resulting inability to satisfactorily reorganize the 
finances of the company, McDermott's union employees in my state are 
adversely impacted. Just last week, representatives from my staff and 
Senator Breaux's staff attended a meeting of the management and union 
labor at McDermott's facility in Morgan City, LA, to discuss this 
problem. We now have a petition signed by 1,000 of these workers asking 
that we solve this problem as soon as possible.
  Other industries and companies in Louisiana are threatened by the 
current litigation system. Louisiana's economy is dependent on trade 
and the maritime industry. Many of our U.S.-flag shipping companies 
have asbestos issues because certain parts of their ships' engines were 
insulated with asbestos. These companies are equally concerned about 
the uncertainty created by the current system and their long-term 
ability to maintain solvency.
  I do not have all the answers. I do know that legislation addressing 
this issue is very complex. Any bill should virtually guarantee that 
asbestos victims receive fair and adequate compensation and it should 
also give certainty to companies like McDermott. I realize that 
progress has been made during the course of negotiations, but we must 
build on this progress by continuing to negotiate. I think we can reach 
a bipartisan agreement and bring a bill to the floor as soon as 
possible.

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