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Member, Beacon International Group, Ltd.
NEW ORLEANS—A judge has awarded $2.6 million in damages to seven Virginia families in a bellwether trial involving contaminated drywall from China.
In a Thursday decision in New Orleans, U.S. District Judge Eldon Fallon ruled that the drywall must be removed from the plaintiffs' homes. In addition, the judge ruled that all electrical wiring, heating and air conditioning systems, appliances, carpet, cabinetry, trim work and flooring damaged by the corrosion the drywall caused also be removed.
Judge Fallon's decision in Michelle Germano et al. vs. Taishan Gypsum Co. Ltd. et al. is the first in a series of lawsuits brought against Taishan Gypsum Co. Ltd., a Chinese subsidiary of German drywall manufacturer Knauf Plasterboard Tianjin Co. Ltd.
The judge also is presiding over the Hernandez family vs. Knauf Gips A.G. et al., multidistrict litigation also stemming from the tainted drywall, which has been blamed for causing corrosion and other physical damage as well as health-related issues.
Though the judge made a decision in Germano, questions remain about whether the plaintiffs will be able to collect from the Chinese manufacturers and distributors of the drywall, which have not responded to lawsuits brought in the United States.
Judge Fallon's decision followed interim remediation guidelines that U.S. Consumer Product Safety Commission issued last week, which call for gutting of homes in which the tainted drywall had been installed. In addition, the CPSC called for removing electrical components, wiring, gas service piping, and fire suppression and alarm systems.