Drywall settlement expected in Homestead

Two companies in a class-action case over defective Chinese drywall in Homestead houses are willing to pay $6 million to settle the case.

South Kendall Construction and an affiliate, Palm Isles Holdings, will pay $4 million, and Keys Gate Realty will pay $2.6 million to homeowners if the offer is approved in court.

Jason and Melissa Harrell, who bought a two-story house in a Homestead neighborhood built by South Kendall Construction in 2008, sued last year in Miami-Dade Circuit Court after they found imported drywall was the source of the smell in their home and the cause of appliances failing repeatedly. Their case was granted class-action status last month.

"The settlements are fair and reasonable," said the Harrells' attorney, Victor Diaz. But the couple and other parties in the class aren't yet whole. "They do not fully compensate the plaintiffs for their injuries."

Separately, he will pursue a suit against Banner Supply, which provided the drywall used in the Harrells' home, drywall manufacturer Knauf Plasterboard Tianjin, importer La Suprema and exporter Rothchilt International. Last week, a Miami-Dade jury found those parties liable for $2.5 million in damages and expenses for a Coconut Grove couple whose home was ruined by drywall emissions.

Notices to the 152 families eligible to join the Harrells' class-action suit – residents of Palm Isle Estates, Arbor Park and Augusta Greens – are expected to be mailed Thursday.

The agreement in the Harrells' case would be the second settlement reached over Chinese drywall recently. Last week, drywall manufacturer Knauf Plasterboard Tianjin settled with two Louisiana homeowners whose cases were set for trial this week in federal court in Louisiana.

Paul and Celeste Clement and John Campbell own property in Louisiana that contain KPT drywall. The settlement calls for KPT to hire a contractor to remove drywall and repair the plaintiffs' homes in select areas.

The repair costs will be negotiated with the contractor, so the settlement isn't for a specific amount.

Campbell and the Clements will also get small cash payments for relocation expenses, lost rental income – Campbell's property is a duplex – and attorneys' fees.

"This settlement proves that KPT is willing to stand by its product, work broadly with those impacted by its drywall and settle on reasonable repairs," KPT attorney Steve Glickstein said.

Diaz said he thinks the settlements represent a new phase in Chinese drywall litigation – which includes thousands of lawsuits from homeowners all over the country.

"I hope other defendants will realize it's much better to settle than to go in front of a jury," he said.

Source: The Miami Herald, Nirvi Shah. Distributed by McClatchy-Tribune Information Services.

Gov. Crist signs massive condo bill today

Gov. Charlie Crist traveled to South Florida today to ceremonially sign this year’s massive condo bill, SB 1196. The bill, among other things, exempts some elevators from code requirements, revises voting laws for condo associations, and makes changes to loss assessment coverage.

Crist officially signed the bill into law June 1.

About SB 1196

At the beginning of this year’s session of the Florida Legislature, at least 50 bills addressed condo issues – everything from fire sprinkler retrofits to enticing investors in an effort to move excess condo inventory. At the end, a single 103-page bill encompassed many of the reforms: SB 1196 by Sen. Mike Fasano (R- New Port Richey).

The new law includes Florida Realtors-supported “bulk buyer” language that seeks to reduce inventory levels by encouraging investors to purchase blocks of condo units. It’s accomplished, in part, by protecting bulk buyers from some of the liabilities faced by condo developers.

Other provisions in SB 1196

• Lowers the cost of condo-ownership by repealing a requirement that owners purchase individual unit owner insurance coverage.

• Removes the requirement for mandatory retrofits of sprinkler systems in condos over 75 feet high.

• Requires lenders to pay more in past-due assessments on foreclosed properties.

• Allows associations to deny owners or occupants the use of common areas and recreational amenities when the owner is more than 90 days delinquent in paying financial obligations due to the association.

• Allows associations to divert rent paid by a tenant and use it to pay delinquent assessments owed by that unit’s owner.

© 2010 Florida Realtors®

Drywall maker loses case, settles others

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®

Couple wants $4.3M in damages for Chinese drywall

A Florida couple driven from their home by foul-smelling, corrosive Chinese drywall should get at least $4.3 million in damages, their attorney said Thursday in the nation’s first jury trial over the defective building materials.

The jurors quit after deliberating about four hours and will resume Friday. Lawyers in other cases could use the Miami case for reference in deciding what types of damages to seek.

Armin and Lisa Seifart, who have two young sons, were forced to move out of their five-bedroom, $1.6 million home in Miami’s Coconut Grove neighborhood last year after the problems became unbearable. In addition to the sulfurous smell, they complained of corroded wiring and pipes, blackened jewelry and ruined appliances.

They pointed the finger at Banner Supply Co., which trial testimony indicated was warned by a manufacturer as early as 2006 of serious issues with Chinese drywall. Banner was a drywall distributor.

The Seifarts’ attorney, Ervin Gonzalez, said Banner did not disclose the problems because of a confidential agreement reached with drywall manufacturer Knauf Plasterboard Tianjian. That long-sealed agreement, in which Knauf recommended an immediate halt to use of the Chinese drywall, became public as part of the lawsuit.

“They should have been ringing the bell. Clang clang clang clang! Problem! Red flag!” Gonzalez told jurors in closing arguments. “Banner as a company did nothing. Profits over people. Sales over safety. That’s what they cared about.”

Banner attorney Todd Ehrenreich acknowledged the company bore some responsibility but insisted it should only pay the Seifarts back for about $705,000 in direct expenses such as renovations, renting another house and other costs. Ehrenreich said the drywall defects didn’t surface for several years in some cases and that Banner would not now sign the confidential agreement that hid the problem.

“If they knew then what they know now, they never would have signed this,” Ehrenreich said.

The case could have legal implications for similar lawsuits filed by thousands of people, mostly in Florida, Virginia, Mississippi, Alabama and Louisiana – states where large quantities of defective wallboard was imported during the housing boom and after a string of 2005 hurricanes.

Aside from the direct expenses, the Seifarts are seeking $100,000 a month for loss of enjoyment of their home from March 2008, when they moved in, until their expected return in February 2011. They also want $200,000 to compensate for the stigma the house now bears, which could affect its resale value.

The Miami case follows a Louisiana federal judge’s decision in April to award $2.6 million in damages to seven families in Virginia for bad Chinese drywall. In that case, the Chinese entities that were sued never responded in U.S. court, leaving in limbo how the damages might be collected.

The federal cases were consolidated before U.S. District Judge Eldon Fallon for all pretrial proceedings, but thousands of people like the Seifarts are pursuing separate claims in state courts. Another such case, a class action involving 152 Miami-area homes, could go to trial later this year.

The Consumer Product Safety Commission has recommended removing any tainted drywall and affected wiring, fire alarm systems and gas pipes.

Source: The Associated Press, Curt Anderson, AP legal affairs writer. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Jury to get Fla. Chinese drywall case

A jury in Florida is set to begin deliberations in a lawsuit over the damages owed to owners of a house built with defective Chinese drywall.

Attorneys say the verdict in the case of Armin and Lisa Seifart of Miami will set a standard for similar trials in Florida and elsewhere. Jurors are expected to begin deliberations Thursday after closing arguments.

The case pits the Seifarts against Banner Supply. The company admits the Chinese drywall was defective but objects to paying more in damages than the Seifarts spent in renovations and rental costs.

Chinese drywall has been linked to possible health problems along with corrosion of wiring, computers, doorknobs and jewelry. Hundreds of lawsuits have been filed nationwide over the problem.

Source: The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Drywall tax break to cover condos, town homes

A new law designed to give homeowners with tainted drywall property tax breaks also will apply to town homes and condos, the Florida Department of Revenue said.
The legislation, which was signed into law this month, aims to offer a consistent tax break by saying that assessments of homes with defective imported or domestic drywall need to be reduced to reflect loss of value.

But inquiries arose about the wording of the law, which says it's intended for single-family residential properties. Condo owners and property managers questioned whether they, too, would be eligible for up to $0 assessments on the value of their buildings.

According to the law, the value of the building should be assessed at $0 in instances where homeowners have had to move out because of the defective drywall. The owner would still pay taxes on the value of the land.

Robert Babin, legislative affairs director for the Florida Department of Revenue, acknowledged that the law does not define "single family residential property."

But he said in a statement that the department interprets it as "any residential property where one family lives," except for rented apartments not owned by an individual family.

Pamela Lamb of the Palm Beach County Property Appraiser's Office agreed that condos should fall under the law's purview.

But she added that redoing condo appraisals under this law could be tricky, as it would be difficult to delineate between the value of the building and the value of the land.

"For condos, inherent in the value of the property is a share of all common elements, like the land, the clubhouse, the pool," Lamb said.

Paul Wilkis is the property manager for The Whitney condominiums in downtown West Palm Beach, which has found defective drywall in a number of its units.

"I was happy to see the legislature was taking this issue into consideration," Wilkis said. But he added that "a lot still needs to be clarified about the law."

Tainted drywall was first publicly reported more than a year ago with complaints that some wallboard made in China gave off a sulfuric gas that smelled bad, corroded metal in the home and caused health problems.

Source: The Palm Beach Post, Fla. Distributed by McClatchy-Tribune Information Services.

State-backed Citizens Property Insurance grows

In the past four months, Citizens Property Insurance grew by 107,511 new policies.

The expansion – from 1,026,597 policies on Jan. 31 to 1,134,108 policies on June 11 – is considered the largest growth in several years for state-backed Citizens, Florida’s largest property insurer, and it may signal a shift for the insurer, which legislators have tried shrinking in recent years.

The growth is largely due to the recent demise of two insurers that have taken on more than 100,000 Citizens policies in recent years: Magnolia Insurance in Coconut Grove and Northern Capital Insurance in Miami and its former subsidiary Landmark One Insurance. The companies have been liquidated by the state.

The Office of Insurance Regulation also recently approved allowing four insurers to return a combined 23,700 policies to Citizens: 13,506 for Sunshine State Insurance, 3,978 for Argus Fire & Casualty Insurance, 3,717 for First Home Insurance and 2,500 for Homeowners Choice Property & Casualty.

A fifth insurer also indicated it would ask to return about 2,000 policies.

A state program aimed at encouraging companies to take over Citizens policies rewarded eligible companies in past years with bonuses for doing so. Under that program, First Home received $5.2 million in 2009 and Argus received more than $1.9 million for policies they took from Citizens three years before.

HomeWise Preferred Insurance Co., which also took Citizens policies, plans to drop 10,000 policies when they are up for renewal and transfer the rest of its roughly 100,000 policies to an affiliate, HomeWise Insurance Co.

Citizens is also expected to grow as State Farm drops 125,000 residential policies starting in August.

State Farm, which had planned to prevent its agents from transferring policies the company dropped to other private insurers, agreed to allow agents to do so as part of a recent agreement with regulators. The impact on Citizens is unclear.

Mike Sunberg, co-owner of Barkley Insurance in Fort Lauderdale, said private insurers want to snag some of those policies. He said his agency moved about half of the roughly 400 policies it services that were covered by Magnolia and Northern Capital to private insurers and the rest to Citizens.

But it wasn’t easy. “We had over 400 policies we had to rewrite by May 30 and we had one month’s notice,” Sunberg said.

Source: Sun Sentinel, Fort Lauderdale, Fla., Julie Patel. Distributed by McClatchy-Tribune Information Services.

Suit over Chinese drywall gets under way

While sheets of drywall were being delivered to a Coconut Grove home under construction in 2006, the company supplying the wallboard was in talks with the Chinese manufacturer, questioning a potent smell some builders said was emanating from the product.

As the days ticked by, Miami-based Banner Supply got answers from Knauf Plasterboard Tianjin. Don’t sell the stuff, KPT said. And tell your customers not to install it.

That was four days before the drywall was hung in that Coconut Grove home, which Lisa and Armin Seifart would eventually buy.

It was plenty of time, their attorney told a Miami jury Tuesday, for Banner to stop the installation. But the 53-year-old family-run company didn’t. And the drywall ended up being hung in the home on Bonita Avenue.

A few weeks later, Banner signed a confidential agreement with KPT to trade their remaining supply of Chinese drywall with domestic board and keep reports of the smell to themselves. More than a year would go by before the Seifarts would sign a contract to buy their dream home.

Their case, the first jury trial in the country over defective drywall made in China, is one of thousands filed against every member of the chain of drywall supply and installation. Government testing has found the drywall is the cause of corrosion in copper pipes and tubing, including air condition coils, and that it can ruin wiring and appliances. About 3,300 complaints from homeowners have been reported to the Consumer Product Safety Commission.

Banner “had the knowledge. They had the power. Instead they used it to protect themselves,” said Ervin Gonzalez, the Seifarts’ attorney, during opening statements Tuesday. He used a brief animated video to show how the hydrogen sulfide – colorless in reality but portrayed as a neon green scourge – slowly ate away at the home.

About a year after the Seifarts moved in, the gas seeping out of the Chinese drywall installed in their home corroded the air conditioner coils, parts of the refrigerator, wires, even the master bathroom shower heads, and made the house smell.

Whether a jury finds that a Miami drywall supplier’s actions were a cover up, as Gonzalez asserts, or actually the work of a conscientious company, the Seifarts won’t leave court empty-handed.

Banner concedes that the drywall it obtained from manufacturer Knauf Plasterboard Tianjin is defective and the source of the corrosion in the Seifart home, which they bought in early 2008. But they are unwilling to pay more than the roughly $705,000 it is costing the family to repair their $1.6 million home, live elsewhere during the repairs and replace belongings damaged by the hydrogen sulfide fumes seeping from the drywall.

Banner attorney Peter Spillis said the company’s actions – including having the drywall tested after it first arrived to make sure it met U.S. specifications and turning to the manufacturer when they got complaints about a smell, then signing an agreement that gave away their own right to sue KPT – demonstrate how a responsible company behaves.

“Who in their right mind would sign away their rights to go after the person responsible for the problem if they thought ... there was a problem?” Spillis said.

“It’s not about covering up. The evidence is going to show you ... the folks with Banner said ‘Thank goodness. It’s not the massive problem we thought it was going to be.’”

The first witness to take the stand was Banner controller Scott Giering, who had said during a deposition that some people might actually like the smell caused by drywall in some homes – that of rotten eggs or flatulence.

“I truly regret that statement that some people like that smell or enjoy that smell,” Giering said. “I would prefer not to live in a house that smells like rotten eggs.”

Source: The Miami Herald. Distributed by McClatchy-Tribune Information Services.

Judge: Policy didn’t cover Chinese drywall damage

An insurance company doesn't have to pay for damages at a Virginia man's home ruined by Chinese-made, sulfur-emitting drywall, a decision by a federal judge Thursday that could affect how lawsuits by thousands of U.S. homeowners are settled.

Judge Robert G. Doumar in U.S. District Court in Norfolk said in the ruling that no coverage was owed under a homeowner's policy issued by Travco Insurance Co. to Larry Ward of Virginia Beach.

The judge said the policy does not cover removing or replacing the drywall, or any damages stemming from the material. That's because the policy excluded damage caused by latent defect, faulty materials, corrosion and pollution.

The ruling does not preclude further claims that could be covered under the policy.

According to court documents, Ward made claims under his homeowner's policy after the drywall in his home began to release sulfuric gases into the home and damaged his air conditioning, garage door and flat-screen televisions.

Attorneys representing both parties did not immediately return messages seeking comment. Ward also filed a lawsuit against several development and supply companies.

Randy Maniloff, a Philadelphia-based lawyer who has closely followed Chinese drywall insurance litigation, said attorneys for insurance companies and homeowners will carefully examine this case, as it is one of the first comprehensive decisions.

"This is one case out of many, many Chinese drywall cases," said Maniloff. "This is the first one that's going to get everybody's attention. This will become sort of the benchmark - rightly or wrongly."

Thousands of homeowners, mostly in Florida, Virginia, Mississippi, Alabama and Louisiana, have reported problems with the drywall, which was imported in large quantities during the housing boom and after a string of Gulf Coast hurricanes.

The drywall has been linked to corrosion of wiring, air conditioning units, computers, doorknobs and jewelry, along with possible health effects.

Source: The Associated Press, Michael Felberbaum, AP business writer. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Condo law could help struggling associations

Florida Gov. Charlie Crist signed into law Tuesday a sweeping condominium reform bill that's expected to help associations devastated by financial problems.

The bill, SB 1196, requires lenders that foreclose on condo units to cover 12 months of unpaid homeowner association assessments or 1 percent of the original mortgage debt, whichever is less. Previously, lenders had to pay six months of assessments or 1 percent of mortgage debt.

The measure also makes it easier for condo boards to opt out of expensive fire sprinkler, smoke detector and elevator upgrades that must be completed by 2014. In addition, the bill adds protections for bulk buyers of condo units and suspends voting rights for condo owners who are 90 days delinquent.

As foreclosures mount, condo advocacy groups have been urging Florida lawmakers to shift more of the burden of unpaid assessments to lenders. The associations face budget shortfalls because of the increase in vacant units. The reduced revenue has resulted in the postponement of maintenance and other services.

"Any time you can get lenders to agree to pay more, it's a cause for celebration," said Donna DiMaggio Berger, a Fort Lauderdale lawyer who helped draft the bill.

Anthony DiMarco, executive vice president of government affairs for the Florida Bankers Association, said lenders will adapt to the new law. But he said it could negatively affect condo lending in the short term.

"It might," he said. "We're not sure. Anytime there is more cost, you have to underwrite the loan differently."

With no line-item veto, Crist vetoed the bill last year. He sided with fire marshals and others, who said the lack of sprinkler systems was a safety issue.

Berger said some condo associations now will be able to collect twice as much money from lenders as before. But other lawyers argue that most banks never will have to cover an entire year's worth of unpaid assessments.

SB 1196 was sponsored by Sens. Jeremy Ring, D-Margate, and Mike Fasano, R-New Port Richey, and Reps. Ellyn Bogdanoff, R-Fort Lauderdale, Maria Lorts Sachs, D- Delray Beach, and Matt Hudson, R-Naples.

The Florida Senate approved the bill 38-0 in April, while the House later voted in favor of it 107-4.

Source: Sun Sentinel, Fort Lauderdale, Fla., Paul Owers. Distributed by McClatchy-Tribune Information Services.

National flood insurance expires again

The National Flood Insurance Program (NFIP) expired for the third time this year, and the National Association of Realtors® (NAR) has issued a Call for Action.

Congress has a number of different flood extension bills to consider, and while the general consensus of lawmakers is to extend the program, they disagree on the way to do so.

NAR is not pushing any specific bill, but instead wants Congress to approve something with a long-term extension so Realtors can avoid this year's on-again/off-again lapse in coverage.

To contact your lawmakers and urge them to pass a flood insurance extension, visit NAR's Call for Action website. The system will identify your personal representatives and send the email for you. The process takes only a few minutes at: http://takeaction.realtoractioncenter.com/campaign/nhip_rhs_two

NAR also maintains a webpage for updated flood insurance information at: http://www.realtor.org/government_affairs/flood_update

In the meantime, there are workarounds for some buyers who do not have flood insurance coverage prior to closing. If a seller has flood insurance, he or she can usually transfer that existing policy to the buyer, negating the need to secure a new policy. The current hiatus impacts only the issuance of new policies or, if it lasts long enough, the renewal of existing policies. Homeowners currently covered continue to have flood protection.

NAR will post the official stances of Fannie Mae, Freddie Mac, VA and FHA on its flood insurance webpage as they become available.

Source: Florida Realtors®

Chinese manufacturer worried about drywall in 2006

A leading East Coast homebuilder worried about the malodorous Chinese drywall it was using in Florida homes in 2006, but didn’t alert most of its customers or government officials, according to court documents.

The concern was so great that WCI Communities at one point planned to tear out the drywall and rebuild. The company asked the manufacturer to replace the remaining shipment with American-made drywall, according to documents and sworn depositions in ongoing litigation obtained by the Herald-Tribune in Sarasota.

“It will be a big problem not only in Miami but all over the USA market, maybe cover thousand (sic) of houses,” a Chinese employee of the manufacturer wrote in a November 2006 e-mail to his bosses in Germany.

By October, WCI began demanding answers from Miami-based Banner Supply, the company that had sold it the wallboard material.

A month later, Banner executive Donald Coblentz sent an e-mail to a major U.S. drywall manufacturer saying he had a big problem.

“These companies are threatening to take all the drywall down in all the houses that are partially completed and ALL the houses that are hung and completed and replaced,” Coblentz wrote. “They are talking about removing people from their homes and putting them up in hotels and redoing all these houses.”

A deal was later struck to replace the remaining shipment with American-made drywall. The manufacturer said it conducted its own tests and determined that the material didn’t pose a health hazard.

The documents show WCI, the Chinese manufacturer and its German-based parent company, the drywall distributor and the Florida importer had some inkling there were problems with the drywall. Yet, none of the companies tried to see if the problem went beyond the handful of Florida complaints, according to the documents.

“We have a distributor that could have been a hero by letting everyone know it’s a problem,” said Ervin Gonzalez, the attorney for the plaintiffs suing several companies in a Miami lawsuit. “Instead, when they found out it was potentially dangerous, they didn’t tell their customers or consumers about it; that’s just wrong.”

A message left for a WCI spokeswoman, Connie Boyd, was not immediately returned Sunday. A voice message at Banner Supply said the company was closed for the weekend and a message could not be left.

Earlier this week, a judge ruled that a lawsuit filed over faulty Chinese drywall can proceed as a class action involving 152 homes in Miami-Dade County.

There are thousands of similar cases pending in several states.

Chinese drywall has been linked to possible health problems along with corrosion of wiring, air conditioning units, computers, doorknobs and jewelry. Homes often have to be gutted to fix the problem.

Source: The Associated Press. Information from: Sarasota Herald-Tribune, http://www.herald-trib.com

CPSC identifies manufacturers of problem drywall made in China

The U.S. Consumer Product Safety Commission (CPSC) is releasing the names of drywall manufacturers whose drywall emitted high levels of hydrogen sulfide in testing conducted for the agency by Lawrence Berkeley National Laboratory (LBNL). While CPSC does not say these companies are solely responsible for toxic drywall, there is a strong association between hydrogen sulfide and metal corrosion.

Of the samples tested, the top 10 reactive sulfur-emitting drywall samples were all produced in China. Some of the Chinese drywall had emission rates of hydrogen sulfide 100 times greater than non-Chinese drywall samples.

"Homeowners who have problem drywall in their homes are suffering greatly," said CPSC Chairman Inez Tenenbaum. "I appeal to these Chinese drywall companies to carefully examine their responsibilities to U.S. families who have been harmed and do what is fair and just."

At the U.S.-China Strategic and Economic Dialogue meetings in Beijing May 24-25, U.S. officials pressed the Chinese government to facilitate a meeting between CPSC and the Chinese drywall companies whose products were used in U.S. homes, and which exhibit the emissions identified during the testing procedures. The Strategic and Economic Dialogue represents the highest-level bilateral forum to discuss a broad range of issues between the two nations.

The following list identifies the top 10 drywall samples tested that had the highest emissions of hydrogen sulfide, along with the identity of the manufacturer of the drywall and the year of manufacture, from highest to lowest.

Knauf Plasterboard (Tianjin) Co. Ltd.: (year of manufacture 2005)
Taian Taishan Plasterboard Co. Ltd.: (2006)
Shandong Taihe Dongxin Co.: (2005)
Knauf Plasterboard (Tianjin) Co. Ltd.: (2006)
Taian Taishan Plasterboard Co. Ltd.: (2006)
Taian Taishan Plasterboard Co. Ltd.: (2006)
Shandong Chenxiang GBM Co. Ltd. (C&K Gypsum Board): (2006)
Beijing New Building Materials (BNBM): (2009)
Taian Taishan Plasterboard Co. Ltd.: (2009)
Shandong Taihe Dongxin Co.: (2009)

However, some Chinese drywall samples had low or no detectable emissions of hydrogen sulfide, including drywall samples manufactured domestically. In some cases, a Chinese firm that produced toxic drywall in one year produced acceptable drywall in other years. Tested drywall with acceptable levels of hydrogen sulfide include:

Knauf Plasterboard Tianjin: (2009)
Tiger ShiGao Jian Cailiangpianzhuang: (2006)
USG Corporation: (2009) U.S.
Guangdong Knauf New Building Material Products Co. Ltd. (2009)
Knauf Plasterboard (Wuhu) Co. Ltd.: (2009)
CertainTeed Corp.: (2009) U.S.
Georgia Pacific Corp.: (2009) U.S.
Dragon Brand, Beijing New Building Materials Co. Ltd.: (2006)
CertainTeed Corp.: (2009) U.S.
Pingyi Baier Building Materials Co. Ltd.: (2009)
Panel Rey S.A.: (2009) Mexico
Lafarge North America: (2009) U.S.
National Gypsum Company: (2009) U.S.
National Gypsum Company: (2009) U.S.
Georgia Pacific Corp.: (2009) U.S.
Pabco Gypsum: (2009) U.S.
Temple-Inland Inc.: (2009) U.S.
USG Corporation: (2009) U.S.

Last month, CPSC released the results of drywall emissions tests. The studies showed a connection between certain Chinese drywall and corrosion in homes. In addition, the patterns of reactive sulfur compounds emitted from drywall samples show a clear distinction between certain Chinese drywall samples manufactured in 2005/2006 and other Chinese and non-Chinese drywall samples.

To date, CPSC has spent over $5 million to investigate the chemical nature and the chain of commerce of problem drywall. Earlier this year, CPSC and HUD issued an identification protocol to help consumers identify problem drywall in their homes. Last month, CPSC and HUD issued remediation guidance to assist impacted homeowners. See the chart listing drywall chamber test results at www.cpsc.gov.

CPSC Recall Hotline: (800) 638-2772

Source: © 2010 Florida Realtors®

Miami judge certifies Chinese drywall class action

A Miami judge has ruled that a lawsuit filed over faulty Chinese drywall can proceed as a class action involving 152 homes in Miami-Dade County.

Attorney Victor Diaz says the ruling Thursday marks the first state class action approved in the country. There are thousands of similar cases pending in several states, and some individual settlements have been approved.

Under the judge's order, people living in several Miami-Dade neighborhoods can decide whether to become part of the lawsuit. Unless there is a settlement, a trial is expected by late summer.

Chinese drywall has been linked to possible health problems along with corrosion of wiring, air conditioning units, computers, doorknobs and jewelry. Homes often have to be gutted to fix the problem.


Source: The Associated Press.