California Court Sets Aside Default Judgments Against Defunct Company, Insurer

Mealey's (December 12, 2018, 2:08 PM EST) -- SAN FRANCISCO — An insurer had no reason to believe that it was liable for a defunct company’s asbestos liabilities until after entry of default judgment and has shown that it could possibly raise a meritorious defense, a California appeals court held Dec. 11 in setting aside millions of dollars in judgments (William Mechling v. Asbestos Defendants, et al., James Greely v. Asbestos Defendants, et al., Omar Barstad v. Lamons Gasket Co., et al., Alexander Corns v. Amcord Inc., et al., Nos. A150132, A150134, A150125, A150138, Calif. App., 1st Dist.)....