3rd Circuit Affirms Decision Precluding Asbestos Defendant Garlock from Objecting to W.R. Grace’s Reorganization Plan

PHILADELPHIA –– The U.S. Court of Appeals for the 3rd Circuit has rejected Garlock Sealing Technologies’ objections to W.R. Grace’s (NYSE:GRA) reorganization plan, ruling that Garlock lacked standing to raise the opposition, which had centered around Garlock’s alleged contribution and setoff rights against W.R. Grace and future asbestos plaintiffs.

In the July 24 opinion, the 3rd Circuit opined that the fact that there may be future asbestos plaintiffs with claims against both W.R. Grace and Garlock does not provide a foundation for Garlock to object to the reorganization plan.

“Far from being ‘certainly impending,’ Garlock’s alleged injury is therefore contingent …