5th Cir. Reverses Dismissal of Action Seeking Enforcement of Pneumo Abex Settlement

NEW ORLEANS -- The U.S. Court of Appeals for the 5th Circuit has reinstated a lawsuit that sought the enforcement of a settlement agreement between Pneumo Abex and numerous asbestos plaintiffs, reversing a district court's ruling that the claims for payment were untimely since they weren't filed until after Pneumo's parent company, Federal-Mogul, emerged from bankruptcy. Everitt, et al. v. Pneumo Abex, LLC, et al., No. 10-60015 (5th Cir.).

In the Feb. 14 decision, the 5th Circuit declined to address the statue of limitations issue, instead citing the ambiguity of the settlement agreement -- particularly the lack of a provision …