A Chinese maker of toxic drywall lost a case in Florida state court and agreed to settle two Louisiana cases before going to trial. The events could impact future drywall cases and settlements.
Florida
A Miami state court awarded a Coconut Grove family over $2.4 million in a case that could set a standard for future lawsuits. Armin Seifart and Lisa Gore sued Banner Supply, a building material supplier in the first trial to be heard by a jury.
In the lawsuit, Seifart and Gore claimed that Banner knew it was selling defective drywall, which smells like sulfur and corrodes appliances, wiring and other metal. During the trial, Banner’s attorneys claimed that the supplier did not realize the extent of the problem, thinking it was limited to a small amount of drywall.
In its ruling, the Miami-Dade Circuit Court jury found Banner negligent and in violation of Florida’s deceptive and unfair trade law. The court found Banner 55 percent liable; Knauf Plasterboard Tianjin Co. Ltd., the manufacturer, 35 percent liable; and the importer and shipper 5 percent liable each.
Louisiana
Knauf, one of several companies responsible for manufacturing defective Chinese drywall and the company involved in the Florida case, agreed to settle two Louisiana cases that were set to go to trial on Monday, June 21, in U.S. District Court.
The cases involved two homes built with Chinese drywall manufactured by Knauf Tianjin. They were pending in federal court before Judge Eldon E. Fallon and part of multi-district litigation involving thousands of similarly situated homeowners.
According to Dan Bryson, a member of the plaintiffs’ trial team, settlement details are still being negotiated, but are expected to include full removal and replacement of the problematic drywall, all corroded metal and HVAC components, and compensation for the owners’ out-of-pocket expenditures during remediation.
Source: Florida Realtors®
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