Document MB58g144pdngp0GBRRQaD6aj

l?age 3 was agreed that a continuing international bcdy representing the industry should be established. An Ad Hoc working group was formed to study the matter and, upon its recommendations, a Standing Committee of International Conference of ?.sbe.`; tos Associations was established on July 9, 1975 with AIA/NA being a charter member, representing the U.S. Mr. Marsa then read excerpts from a report of the Standing Committee's activities in 1975 and 19VC and outlined future work of the Committee as presented at the Hamburg meeting. (Note: A report of the Hamburg meeting, including the foregoing report, was forwarded to members by AXA/NA Memo, of 11/24/76.) Mr. Marsh reviewed actions taken at the Hamburg meeting affecting the newly defined International Asbestos Information Conference and distributed a pertinent report. (Copy attached for directors not present at meeting.) He spoke cf advantages to the industry that stem from the international organization and emphasized the "indivisibility of the industry problem," i.e., adverse situations occurring in one country invariably impact on other countries . a discussion followed and Mr. Man-iv provided further assessment of the work and importance of the international body. Mr.- Dougherty expressed appreciation-to Mr. Marsh for his excellent report and thanked him for r.rs representation of AIA/NA in the deliberations of the in lernationai group. At the Hamburg Conference Mr. Marsh was designated a member of the IAIC Executive committee. Association Captive Insurance Co. Mr. Gabrielson invited attention to his letter tc Directors dated November 12 which addressed the concept of an AIA/NA captive insurance company. Ke spoke to problems confronting the industry in regard to cancellation, of product liability insurance coverage, increases in product liability insurance premiums and higher deductable features. He explained that there is reason to believe that some customers of Association members view che product liability problem as an indication that an impartial judge, i.e.,fthe insurance companies, has come to the conclusion that asbestos is a more hazardous material than industry has told them. Unavailability Of such insurance could also accelerate the search.for substitute materials. o\'fcS Mr. Gabrielson said the Executive Committee had ...oncludsd that it might be desirable to contract for a feasibility study to further explore the concept of AIA/NA incorporating its own captive insurance company. He outlined the concept sntinc that he was not an expert in insurance matters and suggested the following questions for resolution by the Board: (1) would the Directors be interested in a captive insurance company for purpose:-: of obtaining their respective company product liability insurance? (2) do director: think that creation of an AIA/NA captive insurance company would be of interest to their customers, slow the search for alternative materials, and thereby be of assistance in the market;-lace? He stated that the Exocutive Committee had rscossiended that the Association retain a consultant to conduct a study covering the HM ?*iao said the gathering of "his data was important to the industry as the results c:ould lend support to a recomtr.ende.tion forlimiting the applicability of an asbestos standard for the con struction industry. When data is obtained from contractors it should be telephoned to EEH, (Dr. Philip LeClare - (316) 36*18500). Mr. Gabrielson then commented on cooperation received by EEH with the manufacturing industry in gather-r.g essential information. He said a gap existed in data pertaining t.: the flooring industry. Mr. Gabrielson urged AIA/NA members .n this segment of the industry to supply EEH with the requester data at the earliest possible date, otherwise, the lack of da-a in this area will have ar. adverse impact on the total effo (it IS) Mr. Gabrielson said the Association is dsaply indebted to Dr. Rhodes, Union Carbide Coro, and co-chairman of the AIA/NA Ad Hoc Committee for Construction, for his selflsss and tirele contribution to this complex and demanding project. (D.:. Rhod also serves as chairman of the AIA/NA Standcirds & Techn.-.cal Committee.) A general discussion followed concerning treble:.- areas and anticipated results of the EEH study. " Revision of Association By-Laws 'i ; ..... -- Mr. Dougherty reviewed the background for which the Executive Committee felt revision of Association By-Laws v,-?.:, in order. He referred to consideration of this matter at the Jure 10 and September 3 Directors meetings. He said sene 'administrative corrections are necessary, ambiguities exist, and Association rsmbership is now restricted to- one class. A draft revision of the the By-Laws was forwarded to Directors by AIA/NA. Memo d^ted 10/2 2/76. AIA/MA Memo of Mov. 15 advised that a vote on revision of the 2y-Laws would be taken at the Dec.`9 meeting of directors. Following discussion, and on motion, the proposed revision to Association's By-Laws was unanimously approved, a quorum of Directors being present. Legal-Medical Research Program Mr. Gaorielscn reminded Directors that the primary rurpose or the Legal/Mtdical Research Program is to improve the quality of defenses for asbestos companies involved in third party liability suits in tort. He explained briefly the specific research work now ongoing in the legal area by Cadwalader, Wickershan r. raft and Philip Entsrline, Ph.D., University of Pittsburgh, in review of medical literature. Wendell Alcorn, Esq., Cadwalader, Wickershan & Taft, special counsel to the Association was introduced. Mr. Alcorn reviewed hi3 background and interest in asbestos-related litiiga non cases. (1 , die said that the asbestos industry has served as a nu' ;*a pig U'L JHivi 15971 Page 6 of American jurispudence with respect to occupational diseases. He spoke in detail to the liability problem confronting the industry and the history of thia probl-t as it has evolved through the courts. Mr. Alcorn said he expected three or four additional memoranda of law pre:: ired by his office for members and associate members of the -egalMedical Research Committee would be available by Dec. ii. 'Two memoranda have already been distributed.) Reference was made to progress in developing a clearing house of information, on asbestos-related cases that have been litigated in the United States to date. Mr. Alcorn spoke to the interface of his work with- that of Dr. Enterline. The Executive Director invited attention to tho lice of members and associate ^members on the AIA/NA Lega./Mericai Research Committee and suggested that Association memoirs who have not designated a committee member for purposes ci providing a contact with special counsel should consider doing by advising the Executive Director who would notify special ccanse*., in turn. In regard to Dr. Enterline's project, Mr. Gabr.elssn t iid vor;: on the bronchogenic cancer portion of the literature ; :view is complete with exception of about 20 German papers new ;finding translation and review, a large segment of the mesoti diems literature review is also complete. Mr. Gabrislson explained that a decision to. include asbestosis in the literature revis , had b made to determine/when this disease was related tc different products, industries or processes. In addition, the .iecisior. has been made to include literature review of other types of cancer sometimes related to asbestos exposure, a.y., laryngeal and gastrointestinal. Mr. Gabrislson said Dr. Enter!:ne has completed most Of the literature review for the peric::. 1933-19 53 and that he estimates the total project is 50% cor-ple-.e. The final product will consist of (1) complete file of all paper's reviewed; (2) critical quotations from each paper; (3) card file, index with brief summary of each paper;, and (4) a scholarly pape r'. Mr. Gabrislson said special counsel had csinns iced with interviews with various physicians suggested by Dr. thill for K. recognized knowledge in asbestos-relhted disease who might qualify as expert witnesses in any injunctive proceeding initiated by the Association or in other litigation. It was suggested that two types of witnesses may be required in court oases in order that both condition of plaintiff and state of :he medical art could be addressed. 1977 Proposed Budgat Mr. Barge .reviewed in detail the Assc-cia ;ior. s proposed budget for fiscal (calendar) year 1377. He explains*! that petal dues income for 1977 should be $370,000 to support r :quiar operating expenses plus special proiects now approve. 1 and under way or proposed. (Legal-Medical Medical Research ?s. cqrnm -- $25,000; EEH technological feasibility and economic Lr.nact Cl JHM i59? TVige 0 intermediate product or a fin sis had product: 3) Consumer industries -- those irdus~rier that purohasQ a finished -asbcotos-cov tc.ininp product and avply, install, erect yr consume the as'oeeios-cor.taining product without furt \sr physical modification of the product. (By-Ln'-'S) Following discussion and on motion, the clues fo rmula as proposed by Mr. Dougherty were approved. Canadian Situation Mr. Pilnier referred to a recent determination l. the Vforkmen's Compensation Board in Ontario relating asbet. :os vith gastrointestinal cancer as a compensable disease. He jugqesoed that this ruling might have a significant impart cr. rkmsr.' ; compensation boards elsewhere in Canada and the U.5. Mr. Barge spoke to the recently published repo rt: of tl-2 Beaudry commission in Quebec. The three-member comisj-on, .`.f-iiied by Judge Rene Beaudry, vas named to study health cendir.rns ir. the asbestos industry. The impact that the report will r.nve or. legislation is not known. He said thus far no public statw-.n: has been made by the government of Quebec as to its planned reaction to the Beaudry Report; however, the report h:*s been used as a bas.is for extensive adverse reporting in th;; press regarding tha industry. Among recommendations :n the Report are : (.1) an average permissible level of exposure rc t'isbestos dust of 2fp/cc should be established, with certain qualifications pertaining to measuring methods, and employ ment in the asbestos industry be so ruled as to orchil:it tna hiring of people who are tobacco users. Mr. Large s.vd the report concerns itself with exposure to chrysotiie a.-vl' the statement is made, "As far as crocidolita and amosite -- the committee is of the opinion that the use of these two types :f fiber must be totally banned. Mo exposure should be tolerated for any worker." Mr. Barge also spoke of tha possibl : import of recent elections in Quebec and concerns with "nationalization" of the asbestos industry. Remarks of the Executive Director Xn the interest of time, the Executive Director said he would confine his remarks to a brief review of the a:;:>estos situtation v/ithin Federal regulatory aqencies, excepting OSl.A which was reported on by Mr. Gabrielaon. In ERA, current emphasis is on implementation of the new Toxic Substances Control Act. It is not expected than ^revisions of Act will affect asbestos in the immediate future. Emohasin 'JH M j 597