Thread regarding 3M layoffs

Correction - 16 MDL trials. 10 won by plaintiffs, 6 won by 3M and 8 dismissals.

There are a few appeals that 3M has started:

1. The approx. $300M awards from the 16 MDL trials the company lost. In these appeals, 3M will introduce that the military refused 3M's offer to train military personnel to use CAEv2 correctly. 3M maintains that, when used correctly, CAEv2 are good earplugs. I think this appeal is to the 7th circuit court. Judge Casey Rodgers in the MDL did not allow the jury to hear this evidence.

2. Aearo bankruptcy to protect parent 3M. This appeal to the 7th circuit is well documented by Reuters and others

3. Government Contractor Defense appeal to the 11th circuit court. If 3M wins this appeal, all CAEv2 MDL trials go away with zero payments.

To: Post ID: @2ytm+1jcu3aL9

1. Thank you for posting factual answers to the proposed questions. Very much appreciated.

2. Saw a recent article from Reuters which stated, “By the end of 2023, we should have a much better idea about whether companies facing vast mass torts exposure can use the bankruptcy system to sidestep multidistrict litigation in federal court.”

3. The same article went on to say, “But with both circuit courts likely to rule over the next several months, we can expect answers to important statutory questions about whether parent companies mired in mass tort litigation can benefit from the bankruptcies of their subsidiaries. And if the 7th and 3rd Circuits reach different conclusions, it's a good bet that these issues are headed for the U.S. Supreme Court.”

4. For 3M and J&J the outcomes of the 7th (Illinois, Indiana, Wisconsin) and 3rd circuits (Delaware, New Jersey, Pennsylvania, Virgin Islands) will have monumental consequences for these and future MDL cases.

80% claimants source: see page 4 https://images.law.com/contrib/content/uploads/documents/292/127612/3M-bankruptcy-stay-ruling.pdf

40% lawyer recovery source: https://www.alllaw.com/personal-injury/how-does-a-mass-tort-lawyer-get-paid.html#:~:text=In%20most%20personal%20injury%20cases,from%2020%25%20to%2040%25.

Aearo bankruptcy: Like in J&J/LTL talc bankruptcy case, Aearo will be backed by as much as necessary to pay all legitimate claimants. The $1B is only a starting point. Aearo bankruptcy does not mean 3M only pays $1B. In J&J talc case, J&J is backing LTL bankruptcy by at least $61.5B IF NECESSARY. The MDL has an extremely low threshold to be part of the 230,000 claimants, and that is one of the primary problems. For example, you only hear about the 16 wins and 9 losses by claimants, but do you know that many cases were dismissed prior to trial?

If you follow the trials closely, you will know that the MDL judge (judge Casey Rogers) has been biased against 3M. My prediction is that many of the awards to claimants (about $300M) will be substantially reduced once the full facts are presented in the appellate court.

1. 80% of veterans who filed lawsuit were using Aearo CAE2 earplugs from 2004 - 2010 (when Aearo was an independent company). This means that 20% of lawsuits were from military CAE2 earplug users from 2010 - 2015 (after 3M acquired Aearo).

Question: What is your source for the information you mention above?

2. At 40% recovery for the lawyers, the big winners are the lawyers. They do not care about the veterans!

Question: What is your source for the information you mention above?

3. The only equitable solution is distribution of funds through bankruptcy court.

I gather that you are perfectly content to see Aearo Technologies LLC, a 3M Company, shredded by the creditors, with no additional financial assistance (beyond the pittance of $1 billion for 254,000 claimants)?

80% of veterans who filed lawsuit were using Aearo CAE2 earplugs from 2004 - 2010 (when Aearo was an independent company). This means that 20% of lawsuits were from military CAE2 earplug users from 2010 - 2015 (after 3M acquired Aearo). While 3M bought Aearo and, hence, assumed its liabilities, I hope the court recognizes that thousands of 3M employees, shareholders and even claimants will be negatively impacted if the MDL trials are allowed to continue. For example, if the first 30,000 verdicts that go claimants' way and award $1M each (total $30B), this will bankrupt 3M. The rest of the 200,000 claimants will get nothing! At 40% recovery for the lawyers, the big winners are the lawyers. They do not care about the veterans! The only equitable solution is distribution of funds through bankruptcy court.

No, no, no. The REAL question is, when did it become OK in America for a company, any company, to make something that harms people, and for the people at the top of that company to do absolutely nothing to resolve it?

Men used to have integrity and treated others decently. That is out of style now too?

This is what happens when men genuflect to money. Disgraceful!

Why would someone seek redress from the US Government when faulty earplugs were manufactured, distributed, and sold by Aearo Technologies LLC, a wholly owned subsidiary of 3M Company?

Suggesting that lawsuits be filed against the government versus the manufacturer is ridiculous.

Facts Matter…

“Why federal government can't allocate enough funds for military disabilities?”

Answer: Service connected claims (https://www.va.gov/disability/) are considered separate and apart from legal actions. Furthermore, veterans DO NOT lose their Constitutional rights when they agree to serve.

“I pay close to 30k federal taxes most of which goes to defense budget.”

Answer: 13 percent of the federal budget, or $768 billion, will be paid for national defense activities. 87 percent goes toward non-defense programs.

“I'm sure all other middle income 3Mers pay similar taxes.”

Answer: Nunya.

“Why veterens not going after government instead of bankrupting a company that put money in federal bucket.”

Answer: Tort.

The boundaries of tort law are defined by common law and state statutory law. Judges, in interpreting the language of statutes, have wide latitude in determining which actions qualify as legally cognizable wrongs, which defenses may override any given claim, and the appropriate measure of damages.

Remedies

The law recognizes torts as civil wrongs and allows injured parties to recover for their losses. Injured parties may bring suit to recover damages in the form of monetary compensation or for an injunction, which compels a party to cease an activity. In certain cases, courts will award punitive damages in addition to compensatory damages to deter further misconduct.

This is our system of government in the United States of America. 🇺🇸⚖️

it is good news for 3m but we have to make sure the veteran that have been affected by hearing loss or tinnitus are compensated fairly

Aearo Technologies LLC is a “wholly owned” subsidiary of 3M Company.

Relevant case law:

Single Enterprise (“Alter Ego,” “Piercing the Corporate Veil”)

The courts will apply the single enterprise concept when the parent and the subsidiary are so entangled that “there is really only one corporation.” Mesler v. Bragg Mgmt. Co., 39 Cal.3d 290, 301 (1985).

The single enterprise liability has two components: the unity-of-interest and the injustice element. The unity-of-interest element is simply a measure of how entangled the parent and the subsidiary are (commingling of funds and assets, identical equitable ownership, use of the same offices and employees, lack of segregation of corporate records, and like factors). Virtualmagic Asia, Inc. v. Fil-Cartoons, Inc., 99 Cal. App. 4th 228, 245 (2002) (listing the unity-of-interest factors).

The injustice element means a kind of “bad faith [that] makes it inequitable for the corporate owner to hide behind the corporate form.” Sonora Diamond Corp. v. Superior Court, 83 Cal.App.4th 523, 539 (Cal. Ct. App. 2000). For example, the injustice element may be found where a company operates its alter-ego companies in such a way that no money flowed to the debtor company. Toho-Towa Co. v. Morgan Creek Prods., Inc., 217 Cal.App.4th 1096 (Cal. Ct. App. 2013).

Why federal government can't allocate enough funds for military disabilities?. I pay close to 30k federal taxes most of which goes to defense budget. I'm sure all other middle income 3Mers pay similar taxes. Why veterens not going after government instead of bankrupting a company that put money in federal bucket.

Probably the 1st bit of good news for 3M all year. I think 3M will win this appeal, which will goose the share price by 10 bucks.

Aearo is an LLC subsidiary and is the only entity that is really liable. Sorry vets, but you'll have to prove hearing loss and accept your cut of 1 billion. Move along, nothing more to see here.

Ps the dufus who signed over his 3M pension to the trial lawyers should get a new lawyer next time.