Chinese drywall manufacturer reaches settlement
Knauf Plasterboard Tianjin, a major manufacturer of problem drywall from China, has agreed to pay hundreds of millions of dollars to repair 4500 mostly Gulf Coast area homes ruined with its product.
The settlement, announced Thursday by U.S. District Court Judge Eldon Fallon, ends a nightmare for about 1,575 Louisiana families which began when many rebuilt their homes after Hurricane Katrina or purchased new ones with corrosive wallboard, prolonging the agony of the storm. With their properties unfit for residence or sale, many have lost their homes to foreclosure or been devastated financially as they were forced to rent apartments while continuing to make their mortgage payments.
The deal is likely worth $800 million to $1 billion based on the number of homes, average size and repair cost, plaintiff liaison counsel Russ Herman said. That means that some $280 million to $350 million could flow to Louisiana, which is believed to have about 35 percent of all homes with Knauf-brand drywall.
Knauf attorneys said the amount of the settlement ultimately depends on how many homeowners can prove that they have drywall produced by their client.
The settlement will pay the full cost of repairing homes and sets aside money to cover losses such as foreclosures or short sales. Although money has also been set aside to cover health problems, Knauf attorney Steven Glickstein said that from Knauf's point of view, there is no evidence that problem drywall is responsible for personal injuries. Continue reading
Selections from Natural Health News
Dec 15, 2010
For the thousands of U.S. homeowners who are grappling with the financial and emotional trauma caused by defective Chinese drywall, one thing is now clear: The federal government is woefully unequipped to help them ...
Aug 18, 2011
See also: Mold problems and flooding: Lessons to be learned from Katrina UPDATE: 9 April, 2010 - Judge Awards Families $2.6M Over Chinese Drywall UPDATE: 3 April, 2010 - Feds: Homes with Chinese drywall must be ...
May 03, 2010
Clothes can be washed or dry cleaned, but most furniture is a loss. Ditto for carpeting, insulation, wallpaper and drywall, which no longer lives up to its name. Mattresses that didn't get wet probably have mold if they were in a ...