Asian Public Liability Claims Review USD 4.3 billion sought from Dow and Monsanto over Agent Orange injuries USA. South Korean veterans and their children are claiming more than USD 4.3 billion from Dow and Monsanto claiming that they are victims of exposure to Agent Orange. U.S and South Korean officials last year admitted to spraying Agent Orange along the entire strip of South Korea’s demilitarized zone during the 1960s. The veterans, which include 150 disfigured children born to soldiers, have formed the Association of Vietnam War Veterans. In addition to the USD 4.3 billion they are claiming against Dow and Monsanto, the veterans are also claiming USD 1 billion from the U.S government. Another group representing civilians hired to spray the defoliant without proper protective gear intend to form a separate group to seek compensation. This group of 20 South Koreans filed a suit against seven chemical companies which include Dow, Monsanto and Uniroyal, in December. Source: Chemical Week; 16 February 2000 Sakai municipal government ordered to pay JPY 45 million to food poisoning victim’s family Japan. The parents of a 12 year old girl will receive 45.3 million yen (USD 453,000) in compensation for the death of their daughter who died of food poisoning caused by the O-157 E-coli bacteria after eating lunch served at a municipal primary school. The parents of the girl who was a 6th grader at Miharadai Primary School filed the suit against the municipal government in January 1997 demanding compensation of about 78 million yen under the Product Liability Laws of Japan. It was their contention that the government had failed to adequately take safety measures in the preparation of school meals, and as a result of that, their daughter had died. The judge found that the municipal government could have prevented the 1996 outbreak of food poisoning by instructing the schools to thoroughly heat the meals before serving them. The girl showed signs of being infected with the E-coli bacteria after eating lunch at the school on 9 July 1996. She was hospitalized on 12 July and died from complications on 16 August caused by hemolytic uremic syndrome. It is understood that a total of 121 people developed hemolytic uremic syndrome, a malfunctioning of the kidneys. The total number of 9,523 were infected after consuming the food, of which 7,892 were students. Of the 121 people with the hemolytic uremic syndrome, three died. Under Japanese law, doctors are required to report cases involving the bacilli. The issues argued were whether the municipal government was responsible for the provision and safety of school meals, and whether the food poisoning outbreak was foreseeable. There was also dissension regarding the responsibility of heating up school meals. Citing results of an investigation by the Health and Welfare Ministry, the white radish sprouts contained in a noodle dish could have been the source of the bacteria.. It was argued that outbreaks of O-157 in other parts of the country, including that of Okucho, Okayama Prefecture, that had preceded the Sakai outbreak, had given the municipal government ample forewarning of the need to take precautionary measures in the preparation of school meals. Sources: Asia Intelligence Wire/ The Yomiuri Shimbun/ Daily Yomiuri; 11 September 1999 Teenager awarded USD 6.2 million for injuries in seat belt case USA. A Florida jury has ordered Mazda USA and Takata Corp., the Japanese seat belt manufacturer, to pay USD 6.2 million in damages to a teenager who became paralyzed from the waist down when his seat belt came undone in a 1997 accident. Mario Castro Jr, was going to school when another car cut into his lane. As a result, his 1988 Mazda MX6 rolled over. Castro claimed that he was thrown out of the car because the seat belts were defective. Mazda and Takata counter claimed that the teenager was not wearing his seat belt when the accident occurred. Source: Autonews (Detroit Free Press); 5 May 2000 Sumitomo Rubber settles accident suit USA. Jim McGuire, 53, received USD 4.9 million in settlement of a product liability lawsuit. The USD 4.9 million includes USD 4.5 million from Sumitomo Rubber Industries Ltd, and its subsidiary Dunlop Tire Corp. It was heard that McGuire was driving an 1979 MG sportscar when a Dunlop SP4NI tire on the car, made by Sumitomo in Japan for Dunlop, blew out. McGuire managed to retain control of the car and pulled over to the side of the road, but was struck instead by a tractor-trailer. McGuire suffered severe brain damage and was in a coma for 42 days. It was argued by McGuire’s attorneys that the tire’s wire cord construction caused water to seep in through its steel belts, causing it to rust internally. Even though the tire was 10 years old at the time of the accident, it was said that it still had sufficient tread depth to remain under company warranty. McGuire’s lawyer argued that Sumitomo and Dunlop knew about the rust problem but did nothing to warn motorists about it. McGuire’s sister, who owned the vehicle and the tractor- trailer will pay USD 400,000 between them in the settlement agreement. Sources: PROMT; Rubber & Plastics News II; 8 November 1999 Legal Disclaimer: This information has been compiled by GeneralCologne Re and is intended to provide background information to our underwriting staff (and our clients’ underwriters). GeneralCologne Re has used its discretion, best judgement and all reasonable efforts in collating and preparing this information, which may need to be revised and updated from time to time. Please note that it has been taken from newspapers and magazines, not our clients’ portfolios. 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