Defective Chinese Drywall
Lennar Corp, one of Florida’s largest single-family home builders, recently disclosed that they have been named in a class action lawsuit involving defective Chinese drywall, according to Securities and Exchange Commission (SEC) filings on Monday.
The lawsuit was filed in the U.S. District Court for the Southern District of Florida. Two plaintiffs claim to have purchased new homes from Lennar with defective Chinese drywall, which apparently emits sulfur gases, fumes, and erodes air conditioning connectors.
Lennar Corp was one of the first large home builders to address the situation, and has been working with homeowners to replace the defective drywall. In Lennar’s SEC filings, the company has stated that a reserve fund account will be used to replace drywall imported from China and any additional costs will be covered by insurance.
Lennar is not the only builder to have been affected by the defective drywall. National builders and prominent Florida home builders have also constructed thousands of homes with Chinese drywall, including Meritage Homes, Standard Pacific, Ryland Homes, Transeastern, Taylor Morrison, and WCI.
Some analysts suggest that enough Chinese drywall was imported to construct over 100,000 homes. The states affected include Florida, Louisiana, Mississippi, and Virginia.
See more:
http://www.newhomessection.com/blog/chinese-drywall-suit-names-lennar-corp/2009/04/21/
http://www.heraldtribune.com/article/20090423/ARTICLE/904231089/-1/NEWSSITEMAP
