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June 26, 2008

Foam firm makes $6.3 M settlement offer in Station suit

A Johnston foam company and the salesman who suggested The Station nightclub owners use foam soundproofing have agreed “in principle” to pay $6.3 million to settle lawsuits stemming from the 2003 nightclub blaze that left 100 people dead.

The latest in a series of tentative settlements comes from the American Foam Corp., the executors of the estate of the company’s late president, and former company salesman Barry Warner, who lived next to the West Warwick nightclub and told the club owners they could buy foam as soundproofing.

The notice of settlement was filed in U.S. District Court in Providence today, saying that a “settlement in principle has been reached” with American Foam Corp., Warner and the three co-executors of Aram DerManouelian’s estate -- Jo-Ann DerManouelian, Everett Marabian and Paul Plourde.

The new settlement offer brings the pool of money offered to victims to about $155 million. But it will be months before victims see any of that money because the deals hinge on the approval of the court, the approval of all the plaintiffs, and court approval of the plan for divvying up the money.

-- Journal staff writer Edward Fitzpatrick

Extra: The Journal's continuing report on the Station fire and its aftermath.

Posted by Mike McKinney  at 3:47 PM | Permalink

Comments

Suzanne Barrett | June 26, 2008 10:00 PM link

Jim Van | June 27, 2008 7:18 AM link

Devil is in the details | June 27, 2008 9:52 AM link

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