10-06-2024 7:00am

Chemtool claims from more than 100 Rockton residents may be missing

Michael McGinnis Editor

Image: Google Maps

Possibly more than 100 Rockton-area residents have been told by the claims administrator, Analytics Consulting, that there is no record of their claim to the $94.5 million settlement from Chemtool explosion and fire on June 14, 2021.

September 12, 2024 was the deadline for people less than three miles from the 2021 Chemtool disaster to file claims for property damage. Under the terms of the agreement, the class action attorneys will receive 35%, with other money set aside for lead plaintiffs, the administrator, the Released-Claim Fund, the Subrogation Fund, and the Supplemental Fund.

After that, half of the remaining $51 million would be shared among local residents and business owners according to a formula in the Settlement Agreement [PDF]. The distribution depends on several factors, such as how many people file claims, how many people lived in the household or who owned the business, and whether it was less than a mile away from Chemtool or between one and three miles away. This class action settlement only covers property claims, not medical claims.

The final settlement was approved by Judge Stephen Balogh on Friday, Sept. 27, 2024. At the hearing, Balogh said that only 2,300 claim forms [PDF] had been filed, out of the 6,000 letters sent in mid-June 2024.

But many residents began posting on social media that they had filed before the deadline but had received no confirmation of their claim. Several say they had to submit it several times before it appeared to go through. Others lived within the 3-mile radius but had received no letter. One family sent their claim by certified mail but says they were told Analytics Consulting wasn't signing for them. Others said they had checked with the claims administrator after Sept. 12 only to be told, "Your claim form was never received.... You are not eligible to receive a payment from the settlement."

Fortunately, the judge's final approval decision [PDF] says, "The Settling Parties and Class Counsel are granted authority, without further approval from the Court, to agree to and adopt such amendments, modiﬁcations, and expansions of the Settlement and its implementing documents (including all Exhibits to the Settlement Agreement) that: (a) shall be consistent with the Final Approval Order, and (b) do not limit the rights of Class Members."

Attorney Ed Manzke of Collins Law became the point person for any "amendments, modiﬁcations, and expansions" for those Class Members who insisted they filed their claims before the deadline but whose claims turned up missing. Manske told us, "For each of these class members, where we have digital evidence that a claim was attempted to be submitted, those class members will have the opportunity to re-submit their claims."

Initial reports were that less than two dozen claims were affected. When we asked Manzke if that low number was accurate, he affirmed on Sept. 30 that "as of earlier today it was still less than 24."

WIFR and WTVO were still quoting the same number this week, based on a report shared by Winnebago County Government, but it seems to be greatly underestimated. Attorney Ed Manzke corrected himself on Friday, Oct. 4, 2024, saying, “Turns out that there were many people" in the same situation.

Claimants can confirm receipt of their claim form by emailing Chemtoolclassaction@noticeadministrator.com or calling 833-457-5350. Analytics Consulting can look up your claim with your name and address, but it's helpful to send confirmation codes or other evidence that you met the deadline. If they have no record of your claim, email attorney Ed Manzke at ejmanzke@collinslaw.com and he will add you to the list.

Once a claim has been found, Manzke adds, "My understanding at this point is that it will take the claims admin a few weeks to review each of these claim forms. Someone will be in contact with you when the process is complete.” Residents say the process seems to be quicker and smoother than before.

The low claim rate didn't seem unusual to the judge or the attorneys. Manzke says, "A 30% submission rate for claims in a class action (as referenced by Judge Balogh) is more than twice as high as the national average for claims submission rates in class actions."

When we talked to some Rockton residents about the low submission rate, they surmised that many hadn't filed because it seemed too burdensome. Others didn't feel they had experienced much damage or hardship, and wanted the money to go to those who had. Others believed they were preserving their rights by not agreeing to the settlement. (They were mistaken. Residents could either file a claim or opt out, but the judge ruled that those who did nothing were giving up any claims). Other believed the settlement amount would be too small to bother with. (Each claim is estimated to be worth thousands of dollars.)

Attorney Percy Martinez, though not giving legal advice, agrees that "class action settlements generally have low participation rates," averaging under 10% even when members are notified directly. But, he admits, "given the thousands of dollars per claim, the participation rate is still really low." He says some reasons for low rates could be that "many potential claimants may not fully understand how to navigate the claims process" or have "doubts about actually getting paid." He adds, "If Analytics Consulting had technical issues they didn’t anticipate, this could have resulted to underreporting of legitimate claims."

Alfred Polizzotto III, the managing partner of the law firm of Polizzotto & Polizzotto, LLC, says, "Another thing to consider here is that many of them may have received notices that were too technical or didn’t clearly explain what steps to take and they might have just tossed them aside... If we don’t prioritize user-friendly technology and clear communication, we risk leaving countless individuals without access to justice."