Here’s Why Kelly-Moore Paints Shut Down Stores

Kelly-Moore Paints, a longstanding company in the paint industry, went out of business due to a combination of financial burdens and legal challenges. The primary factor contributing to the company’s closure is the substantial financial strain from settling asbestos-related legal claims. Kelly-Moore has spent $600 million on these settlements, which began getting filed in the late 1990s and early 2000s. Additionally, the company faces an estimated $170 million in future litigation related to similar claims.

The presence of asbestos in various Kelly-Moore products, including bedding cement, Deco-Tex ceiling texture, and several types of joint compounds, has led to numerous lawsuits over the years. Asbestos was commonly used in many building materials throughout the mid-20th century but is now known to be a significant health hazard linked to diseases such as mesothelioma. Although Kelly-Moore ceased using asbestos in its products by 1981, and the federal government banned its use in 1989,…