U.S. District Judge Eldon Fallon will soon issue a decision in the first federal Chinese drywall case. His judgment will greatly impact the continuing recovery for homeowners across the nation. The case, brought by seven Virginia homeowners against Taishan Gypsum Co., alleges damages resultant from poorly manufactured and corrosive Chinese drywall. At stake is more than $2.5 million in damages. Hundreds of subsequent lawsuits concerning Chinese drywall hang in the balance.
Prior to 2005, very little drywall was imported from China. After the devastation to the southeastern United States by hurricanes in 2004 and 2005, massive reconstruction efforts depleted the supply of domestically produced drywall. In order to accomplish the rebuilding efforts, it became necessary to import Chinese drywall. Since 2006, more than 550 million pounds of Chinese manufactured drywall have been imported and installed in approximately 60,000 homes in a number of different states.
The U.S. Consumer Product Safety Commission (CPSC), as well as the U.S. Environmental Protection Agency (EPA), has received thousands of formal complaints from citizens alleging that Chinese drywall leeched noxious substances into homes and offices. The chemicals are linked by some to be causing health problems and corrosion to metals inside walls and appliances. These complaints prompted the EPA to launch an investigation. Last spring, EPA labrotory testing confirmed that sulfur, strontium, and iron were present in samples of Chinese manufactured drywall. The tests also revealed that drywall manufactured in the United States contained no sulfur, and significantly decreased levels of strontium and iron.