Asbestos Trust Funds for Maryland Workers

Maryland workers, particularly those who spent careers at the Sparrows Point shipyard, Bethlehem Steel mills, and Baltimore-based insulation contractors, sit at the intersection of two kinds of asbestos compensation. The first is Maryland-specific: bankruptcy trusts created by companies headquartered in or heavily active in the state, including Porter-Hayden and Wallace & Gale. The second is the national trust system that covers insulation, gasket, boiler, and building product manufacturers whose products reached every industrial facility in the state.

For workers with high exposure at Sparrows Point, Port of Baltimore shipyards, and pre-1980 Maryland construction sites, claims across the Maryland-specific trusts and the national trusts can proceed simultaneously. Filing against one trust does not reduce recovery from any other trust or from a Maryland lawsuit or settlement.

Trusts Most Relevant to Maryland Workers

Porter-Hayden Bodily Injury Trust

Porter-Hayden Company was a Baltimore-based insulation contractor that identified Bethlehem Steel’s Sparrows Point, Maryland plant as a major installation site. The company filed for Chapter 11 bankruptcy on March 15, 2002, and in 2007 the Porter-Hayden Bodily Injury Trust was created under its Chapter 11 Joint Plan of Reorganization to process, liquidate, and pay valid asbestos personal injury claims.

The trust was initially funded with approximately $40 million. Its current payment percentage is 1.8%. As of 2022, the trust had paid $45.9 million across 42,493 claims. The trust continues to accept claims from workers exposed to Porter-Hayden products, including insulation installed at Sparrows Point and at commercial and industrial buildings across Maryland.

Wallace & Gale Asbestos Settlement Trust

Wallace & Gale Company was a Baltimore-based insulation and roofing contractor established in 1881. The company filed a voluntary Chapter 11 petition on November 16, 1985. Nearly 17 years later, in 2002, the U.S. Bankruptcy Court for the District of Maryland approved the reorganization plan that created the Wallace & Gale Asbestos Settlement Trust. The court approved the Second Amended and Restated Asbestos BI Claims Resolution Procedures on November 2, 2010.

The Wallace & Gale trust has been the defendant in significant Maryland verdicts, including a total award of roughly $14.5 million in Busch v. Wallace & Gale Asbestos Settlement Trust. The plaintiff in that case was exposed to asbestos-containing magnesia block insulation and cement installed by Wallace & Gale during construction at Loch Raven High School in Baltimore County. Additional cases such as Carter v. Wallace & Gale Asbestos Settlement Trust involved workers at Bethlehem Steel and American Smelting and Refining Company where Wallace & Gale had installed asbestos products. Detailed case outcomes appear in the Maryland verdicts and settlements overview.

Sparrows Point Shipyard and Steel Workers

Sparrows Point workers often qualify for the broadest range of trust claims because the site hosted products from many manufacturers across its 120-plus years of operation. Published coverage windows for two national trusts make the point:

• AC&S Inc. Trust recognizes Sparrows Point shipyard work between January 1, 1961 and December 31, 1982 as eligible exposure.
• Armstrong World Industries Trust covers Sparrows Point shipyard workers broadly during AWI’s insulation manufacturing period.

A single worker whose career spanned the 1940s through the 1970s can typically file claims with 15 or more national trusts on top of the Maryland-specific Porter-Hayden and Wallace & Gale trusts. The same cross-trust eligibility pattern applies to Pennsylvania steel and shipyard workers and to shipyard workers in other coastal states.

Construction Tradespeople and School and Public Building Exposure

Maryland insulators, pipefitters, and electricians who worked on pre-1980 schools, hospitals, and commercial buildings may have direct claims against Porter-Hayden and Wallace & Gale if either contractor performed the installation, plus claims against the underlying product manufacturers. The Busch case, involving Loch Raven High School construction, is one documented example of how school building exposure turns into a trust claim.

Companies Without Trusts

Not every Maryland-linked asbestos defendant operates through a trust. Crown Cork & Seal acquired Mundet Cork in 1963 and has not declared bankruptcy or established an asbestos trust. Claims against Crown Cork & Seal for Mundet Cork exposure continue to proceed as traditional product liability cases rather than trust claims. MCIC Inc., formerly McCormick Asbestos Company, sold and installed asbestos insulation and ceased those operations around 1973, and has been named as a defendant in Maryland cases.

Filing Process

1. Diagnosis documentation. Pathology reports confirming mesothelioma or another asbestos-related disease.
2. Work history. Employment records, union records, co-worker affidavits, and site documentation placing the claimant at eligible sites during covered dates.
3. Claim submission. Separate forms filed with each applicable trust, including Porter-Hayden and Wallace & Gale where applicable.
4. Review and payment. Trusts process and pay claims on a rolling basis, typically within three to 12 months depending on the trust and claim complexity.

Trust Claims and Other Compensation

Trust fund claims are independent of other compensation sources. Filing a trust claim does not reduce, offset, or affect:

• Lawsuit settlements or verdicts against solvent defendants
• VA disability benefits for veterans exposed during military service
• Workers’ compensation claims through the Maryland system