Several unfortunate homeowners in Florida, (as well as in other states), discovered that their newly built homes contained tainted drywall that came from China. There is now a class action lawsuit against the company that distributed the drywall. A judge has ordered the company to reveal details about itself in order for consumers to decide if they should join the lawsuit, or if they should not.
Not long ago, there were many homes in Florida that were made with drywall that came from China. Homeowners soon discovered that the drywall was tainted. It gave off a smell that is similar to rotting eggs, due to the volatile sulfur compounds that the drywall contained.
These compounds were released when the drywall was exposed to heat or moisture. The weather in Florida is frequently hot and humid. People living in the homes that were built with tainted drywall started getting sick, and were unable to become well. They experienced upper respiratory problems, earaches, sore throats, headaches, nosebleeds, rashes, and other health problems. The drywall also corroded the copper wiring in the walls, in the air conditioning, and in other parts of the homes.
Last month, there was a class action lawsuit filed against the company that distributed the tainted Chinese drywall that ended up in homes of many people in Florida. The company is called Banner Supply Co., and it was ordered by a judge in New Orleans to pay a $54.5 million dollar settlement to cover the insurance claims of the homeowners who were affected by the tainted drywall the company distributed.
The problem right now is that there isn’t much clarity on exactly how much of that settlement an affected homeowner would actually receive. Banner Supply Co. has been claiming that it is just the “middleman”, and that the company itself has filed a lawsuit against the German company that manufactured the drywall that Banner Supply Co. distributed. In that lawsuit, Banner Supply Co. is seeking $100 million in damages.
Now, a judge in Broward County, in Florida, has ordered Banner Supply Co. to reveal information about its insurance policy, as well as the company’s assets. The purpose is to help homeowners that were affected by the tainted drywall to figure out if they want to get involved with the $54.5 million class action settlement.
Once homeowners are made aware of the amount of money they would receive as a part of the class action lawsuit, they will have 60 days to decide if they want to be a part of it, or of they want to opt out of the lawsuit. Those that decide to opt in will have to waive their right to pursue further litigation against Banner Supply Co., in exchange for a cash payment. The amount of that payment has yet to be determined.
Image by mikefats on Flickr