The Celotex Asbestos Settlement Trust was founded February 1, 1998 as a result of the bankruptcy of Celotex Corporation and Carey Canada Incorporated.
Originally, Celotex was a Delaware corporation reincorporated in 1964, which manufactured and distributed roofing and building products for residential and commercial use. Carey Canada, a wholly owned subsidiary of Celotex, was formerly engaged in the mining, milling and processing of asbestos fiber.
On October 12, 1990, Celotex Corporation and Carey Canada Incorporated filed for reorganization under Chapter 11 of the U.S. Bankruptcy Code. The Trust was created as a result of the bankruptcy. The Trust is organized to process, liquidate and pay all valid asbestos personal injury claims in accordance with the Claims Resolution Procedures (CRP) approved by the bankruptcy court.
As of July 22nd, 2013 the current IRC payment percentage is 6.5% of the gross settlement value.