After nearly 80 years in business Kelly-Moore Paints is closing all stores nationwjin88bet.oneide. Kelly-Moore decided to shut down after spending a total of $600 million on asbestos settlements, while still dealing with cases being filed. The lawsuits stem from asbestos used in cement and texture products that the company had eliminated decades ago.
Kelly-Moore has furloughed around 700 employees dak168app.babyue to the closures. The shutdown affects 157 retail locations and facilities in California, Nevada, Oklahoma and Texas.
The company plans on fulfillak168app.clubing all orders that customers have already placed through its Union City, California, distribution facility. Kelly-Moore says neither chapter 11 bankruptcy nor in-court liquidation is an option.
“I could not be prouder oks168app.sitef what our talented team accomplishedic88 under extremely challenging circumstances,” said Kelly-Moore CEO Charles Gassenheimer. “My deepest sympathy goes out to our loyal employees, customers, industry partners and the communities where we do business, who have supported Kelly-Moore throughout its long history.”
Kelly-Moore sold products containiic88ng asbestos for painting, cementing, texturizing and filling drywall between 1960 and 1978. Exposure to asbestos has links to mesothelioma, ic88lung cancer and asbestosis. Over the past 30 yearsic88, plaintiffs have filed more than 48,000 lawsuits against Kelly-Moore seeking compensation for asbestos-related injuries.
“I’m extremely disappointed and saddened by this outcome, as the entire Kelly-Moore team made incredible efforts to continue innovating and serving thelr88 unique needs of professional painting contractors,” said Gassenheimer. “The ownership group’s commitment from day one lr88was to fix the business if we could. Sadly, no matter how great the Kelly-Moore team, products and reputation for service, we simply couldn’t overcome the massive legal and financial burdens that have been weighing on the company for many yearslr88.”
Kelly-Moore Legal Disputes
In 2002, lr88Kelly-Moore filed a $4.1 billion lawsuit against chemical company op88Union Carbide. Kelly-Moore claimed that Union Carbide didn’t inform them about asbestos dangers in its products for several years. Union Carbide claimed that Kelly-Moore was aware of the hazards of its products.
In 2004, si88the case went to trial in Texas. Kelly-Moore claimed that Union Carbide hid evidence connecting its products to asbestos-related hazards, but the court found Union Carbide not guilty. In 2005, Kelly-Moore wanted to retry the case, but the judge didn’t grant the motion.
Asbe88vstos used in Kelly-Moore products has resulted in millions of dollars in verdicts and settlements over the past 20 years. According to a recent study commissioned by Kelly-Moore, estimated future asbestos liabiSEXXXXX-VNlities could surpass $170 million.