August 13, 2025​​

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In a significant development that underscores the importance of transparency in asbestos litigation, a New York court has set aside a $28 million lung cancer verdict and ordered a new trial in the James Petro NYCAL case. The ruling followed the post-trial discovery of extensive, undisclosed bankruptcy trust claims and prior settlements that were found to be highly relevant to the apportionment of liability.

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The plaintiff, represented by Meirowitz & Wasserberg, LLP, failed to disclose critical exposure evidence, including 54 lung cancer bankruptcy trust claims and 35 settlements related to plaintiff’s prior asbestosis case filed by Weitz & Luxenberg, P.C. This information came to light only after the trial concluded.

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In granting the motion to set aside the verdict, the court held that this newly discovered evidence was directly relevant and material to the question of apportionment, justifying a new trial on both apportionment and damages. However, the court later amended its decision to order a new trial as to apportionment only. The court emphasized that several of the undisclosed entities—commonly referred to as the "Big Dusties"—were major asbestos product manufacturers. Many of the products associated with these entities contained amphibole asbestos, which carries a higher risk of causing disease.

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As the court noted:

“The disclosure of these newly discovered entities and products would have probably changed the apportionment of liability in the outcome, had they been part of the trial.”

This ruling sends a clear message: full disclosure of bankruptcy trust claims is not optional. These claims can significantly alter the allocation of fault, and the failure to disclose them compromises the fairness of the proceedings.

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What This Means for Defendants

The Petro decision reinforces the growing judicial recognition of the importance of bankruptcy trust transparency in asbestos litigation. For defendants, it offers further support for:

• Seeking comprehensive trust claim discovery;

• Enforcing compliance with court orders and trust transparency laws;

• Challenging verdicts when critical exposure information has been withheld.

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How Our Firm Can Help

Our firm remains committed to ensuring transparency in asbestos litigation. We actively assist defendants and their counsel with:

• Identifying potential bankruptcy trust claims;

• Conducting strategic trust discovery;

• Obtaining complete claims files;

• Leveraging nondisclosure findings to challenge verdicts.

The Petro case highlights the persistent lack of disclosure by some plaintiffs' counsel and reinforces the need for aggressive discovery and accountability.

If you are defending an asbestos claim, we welcome the opportunity to discuss how we can support your efforts with trust transparency and exposure discovery strategies that protect your interests.

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For more information or to learn how we can help, reach out to our team at info@gayjoneslaw.com.

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ABOUT GJK: Gay Jones & Kuhn PLLC offers a broad spectrum of legal services for clients in Mississippi, Louisiana, Arkansas, and Alabama, including mass tort and personal injury defense, asbestos bankruptcy trust transparency, strategic counsel services, general counsel and small business services. For more information about GJK, visit www.gayjoneslaw.com.