3M, Aearo Technologies plan to appeal Chapter 11 case dismissal

By Sarah Lizee

Olympia, Wash., June 12 – 3M and subsidiary Aearo Technologies are assessing their options following dismissal of Aearo’s Chapter 11 bankruptcy case by the U.S. Bankruptcy Court for the Southern District of Indiana on Friday, according to a press release from 3M.

Aearo is now evaluating an appeal of the decision, and 3M and Aearo said they will continue to pursue appeals raising evidentiary and legal issues from previous multi-district litigation bellwether trials.

3M added that the companies are prepared to continue to defend the product in litigation.

“The Eleventh Circuit Court of Appeals recently heard the appeals of initial trial verdicts, during which 3M and Aearo argued for the correction of the important legal and evidentiary issues that have kept information from jurors, allowed improper evidence and arguments to be part of the trial records, and resulted in the flawed outcome of the bellwether process to-date,” 3M said in the release.

“These appeals have the potential to fundamentally change the trajectory of this litigation.”

3M blamed attorney advertising, inadequate vetting and a lack of typical filing requirements for the more than 200,000 cases currently on various dockets in the litigation.

The company said that all parties, including 3M and those who may be entitled to compensation, may now need to litigate on a case-by-case basis as cases are returned to courts across the country.

“U.S. Department of Defense records for more than 175,000 plaintiffs have revealed that the vast majority of claimants in Combat Arms earplug litigation have normal hearing under medically accepted standards,” 3M said.

“Every independent, third-party organization, including the Army Research Lab, the Air Force Research lab, NIOSH, and others, has found that the product was safe and effective to use.

“Twenty military and civilian labs tested the Combat Arms earplug product while it was sold to the military from 1999-2015, and none of them found anything wrong with it.”

3M said the bankruptcy court's decision will further delay the Chapter 11 process for resolving the matter while Aearo evaluates a potential appeal of the ruling.

3M said it is committed to support Aearo's Chapter 11 proceeding as the path to resolve claims more quickly and with more balanced recoveries among claimants than continued case-by-case litigation, while preserving trust funding for later claimants.

Aearo, the St. Paul-based 3M subsidiary, designs and manufactures materials for noise, vibration, shock, thermal and cushioning solutions for commercial vehicles, heavy equipment, medical equipment, electronics and aircraft. The company filed bankruptcy on July 26, 2022 under Chapter 11 case number 22-02890.

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