US: A Florida-based property development built with 'defective' Chinese wallboard has reached a US$22m settlement with the manufacturer, supplier and installer, according to its attorney.
The settlements mark the first time a multifamily structure has received compensation under the multi-district litigation in New Orleans federal court, which consolidated Chinese wallboard lawsuits from the individual homeowner to the wallboard makers, said attorney Greg Weiss of Palm Beach Gardens. Weiss has represented the owners of 320-unit Villa Lago at Renaissance Commons in Boynton Beach.
Knauf Plasterboard Tianjin reached a global settlement in the litigation to pay for the repairs. It is estimated Knauf will have to pay US$10.2m to repair Villa Lago. A previous US$4.6m settlement had been reached with the builder, RJR Holdings II LLC, Boynton Beach. In a twist, RJR Holdings was both a defendant and a plaintiff after developing the property and still owning 130 units.
