The Asbestos Relief Trust
Background to the Asbestos Relief Trust
The Asbestos Relief Trust (“the Trust”) was created following an out of court settlement between
various companies that had owned asbestos mines and mills in various provinces of South Africa,
and several claimants who were ill with or had died from asbestos related diseases (ARD). These
claimants were claiming damages arising from occupational or environmental exposure to asbestos.
The defendant companies were The Griqualand Exploration and Finance Company (“Gefco”),
Gencor Limited, Msauli Asbes Limited, African Chrysotile Asbestos Limited (ACA) and Hanova
Mining Holdings. The claimants were represented by Richard Spoor of the law firm Ntuli Noble &
Spoor. The Settlement Agreement was signed in March 2003 and the Trust was registered in the
same month.
Purpose
The purpose of the Trust is to compensate qualifying claimants who have asbestos related diseases.
Criteria
The main criteria for lodging a claim are set out in the Trust Deed and include the following:
 Exposure at a Qualifying Operation (occupational claimants); or
 Exposure from living within the vicinity of a qualifying operation (environmental claimants).
The Trust, unlike the statutory system, provides compensation for claimants who have had
environmental exposure.
 The claimant has a compensable Asbestos Related Disease (ARD) which was caused by
this exposure.
What is an ARD?
An asbestos related disease (ARD) occurs in response to inhaling asbestos fibres. The
fibres may eventually cause scarring (pleural thickening or asbestosis), or cause
malignant growths (asbestos related lung cancer or mesothelioma).
Pleural thickening is where scars form on the outer surface of the lungs, often on the
inside of the ribs.
Asbestosis is where many miniature scars occur in the spongy parts of the lungs, making
them harder and less spongy, and eventually making it more difficult to breathe.
Asbestos related lung cancer is a cancer which forms in the spongy parts of the lung. It
grows bigger very quickly and causes coughing, hemoptysis (bloody cough), shortness of
breath and chest pain.
Mesothelioma is a cancer which starts on the outer surface of the lung. It grows bigger
very quickly and starts pushing on and enclosing the lung, and causes shortness of
breath, severe pain, fatigue, weight loss and cough.
 Dependants are also entitled to claim for compensation arising from the death of the
breadwinner from either asbestos related lung cancer or mesothelioma. In order to qualify
the dependant must establish proof of dependency as well as claim within 3 years of the date
of death of the breadwinner.
It is important to refer to the Trust Deed for all the details relating to the criteria that must be
established in order to qualify for compensation.
Qualifying Operation
A “qualifying operation” refers to a mine, mill or other operation which was owned by or
associated with one of the defendant companies who were party to the settlement, during the
period in which the claimant worked there.
Compensable Asbestos Related Diseases
The Trust can compensate persons for the following ARDs:
1. Asbestos related pleural thickening and/or asbestosis, with mild to moderate lung function
impairment (ARD1)
2. Asbestos related pleural thickening and/or asbestosis, with severe lung function impairment
(ARD2)
3. Asbestos related lung cancer (ARD3), and
4. Mesothelioma (ARD4).
Type of Claims
1. Living
These occur if the claimant is currently alive or if the claimant lodged an application while
alive but died before finalization of the claim. The claim is addressed as if the person were
alive.
2. Deceased
In these cases, a number of provisions apply: Widows/widowers, minor children and other
financially dependant persons may apply for compensation, the deceased must have died
from either mesothelioma or asbestos related lung cancer, and the claim must be lodged
within 3 years of date of death, unless the claimant had registered a claim with Ntuli Noble &
Spoor or Stanley Brasg during the court case, in which case the period is extended to 5
years.
The Claims Procedure
Lodging a claim with the Trust is a fairly straightforward and simple procedure. The process
encompasses the following steps:
1. The potential claimant approaches one of the ART Offices or a Claims Handler.
2. The potential claimant provides proof of employment at a qualifying operation or residence
within the vicinity of a qualifying operation. If the potential claimant does not have proof the
Trust will assist him or her in obtaining proof.
3. The potential claimant is sent to a doctor on the Trust’s accredited medical panel at the
Trust’s expense.
4. The Trust Deed requires that the claimant goes for certain medical tests that will establish
whether he or she has a compensable asbestos related disease. The tests usually include a
Clinical examination, Chest x-ray, and Lung function test.
5. The medical file is then checked by a Specialist Occupational Medical Panel consisting of
radiologists, and occupational health specialists and a diagnosis is made.
6. If the claimant has a compensable disease his or her claim is lodged with the Trust.
7. The Trust makes an Award Calculation and pays the claimant.
ART Offices
The Trust currently has offices in Kuruman and Danielskuil, Northern Cape province, as well as
in Burgersfort, Limpopo province, and Ekulindeni, Mpumalanga province.
Claims Handler
The Trust has accredited 3 organizations as claims handlers. They assist potential claimants to
register claims with the Trust and are Duvenhage van der Merwe Attorneys, Sunil Narian
Incorporated and TP Moloto Incorporated.
1.
2.
3.
4.
5.
Award Calculation
Claimants are compensated for pain and suffering, medical expenses and loss of earnings.
Awards are calculated according to:
the severity of the illness (ARD1 being the least severe, and ARD4 the most severe) – the more
debilitating the illness the higher the compensation;
the age of the claimant – the younger the claimant the higher the compensation;
the skill level – this impacts on loss of earnings;
whether it is a living or deceased claim;
whether mandatory deductions of amounts under ODMWA or COIDA need to be made
6. whether he or she had occupational exposure at other asbestos mines. The Trust Deed directs
that the awards of claimants who have been diagnosed with an ARD 1 or ARD 2 should be
apportioned according to how long they worked at each employer. ARD 3 and ARD 4 are not
apportioned even if the exposure is minimal or trivial, and the full amount is granted.
Nominal award amounts range from R88 000 to R906 400 for living claimants, excluding deductions
(2006 rates). If the illness progresses from an ARD 1 or ARD 2 to an ARD 3 or ARD 4 the claimant
may apply for more compensation.
System of Compensation
The Trust’s compensation system is unique in the sense that although the Trust was formed as a
result of a court case on behalf of certain persons, the monies that it has will be used to compensate
many current and future victims of asbestos exposure. The Trust is expected to be in existence for
about 25 years, until the year 2028.
This is unlike the British Cape PLC and indeed other court cases wherein only the claimants whose
names appeared on the writs (summons), received monies from the settlement. In other words, a
once off payment to a specified number of people without the possibility of others having access to
the settlement amount.
The Trust is however limited in that it can only pay awards to those who had occupational or
environmental exposure at or from one of the mines owned by the companies who contributed to the
settlement. Further, those persons who were compensated through the Cape PLC case and who
may have also had exposure at a qualifying mine, for the purposes of claiming compensation against
this trust, cannot lodge a claim.
Please note that the above is a summary of the qualifying criteria and claims process. For
more detailed information please refer to the Trust Deed and, or, contact the Trust’s Head
Office on (011) 530 8460.