Liability Risk and Insurance
FM withdrawal delays Cooper takeover
The chapter 11 bankruptcy of Federal-Mogul has led it to inform Cooper Industries that it may not be able to honour indemnity
for claims relating to the Abex brand of automotive brake products. Cooper sold its automotive business to Federal-Mogul in
1998, with part of the deal being Federal-Mogul’s indemnification of Cooper for liabilities associated with the business.