Veteran's Bid To Stop 3M From Exiting Earplug Liability MDL

Veteran's Bid To Stop 3M From Exiting Earplug Liability MDL

Introduction

Two U.S. military veterans have submitted separate motions and arguments to block 3M from using Chapter 11 bankruptcy to settle the Combat Arms Earplug version 2 (CAEv2) litigation, the biggest mass tort in American history.

Approximately 288,000 claims consolidated in the multidistrict lawsuit (MDL) in Pensacola are under the control of the federal judge presiding over the 16 bellwether trials. In a motion submitted on August 4, a veteran urged to prevent 3M from claiming that it is not entirely liable for the claimed damage he and other veterans claim to have had.

The motion was submitted a day after another veteran requested the judge to block 3M from taking any legal action to end earplug claims in the future. All of the plaintiffs in the 3M MDL assert that the CAEv2 earplugs did not adequately protect their hearing during their time in the military, which contributed to their development of hearing loss or tinnitus.

The allegedly flawed Combat Arms military-issued earplugs were first produced by Aearo Technologies, a division of 3M, which filed for Chapter 11 bankruptcy on July 26. The same day, 3M also disclosed that it would create a $1 billion settlement fund to cover any claims relating to faulty earplugs.

In 10 of the 16 bellwether trials that have taken place, juries have awarded $300 million in damages to 13 plaintiffs. In the remaining six trials, juries found that 3M is not at fault. Each veteran who has submitted a claim would receive less than $4,000 to address their lifelong hearing conditions if 3M's bankruptcy proposal is accepted. In comparison, two veterans received $110 million in a single successful bellwether trial.

Aearo sought Chapter 11 bankruptcy protection just a few days after plaintiffs and 3M failed to reach a settlement during mediation. Before the end of August, an Indiana bankruptcy judge is anticipated to make a decision about Aearo's bankruptcy proceedings.