Insurance Dispute Lawyer Blog

The Berniard Law Firm would like to wish everyone in the Gulf Coast and beyond a happy and pleasant Thanksgiving holiday.

The blog will resume posting on Monday, November 30th.

The Wall Street Journal, in its editorial section yesterday, commended Judge Duval for finding the Army Corps of Engineers at fault for the flooding of areas of New Orleans. The editorial, entitled 'A win for New Orleans,' celebrates the win as an opportunity for those whose homes flooded to receiving financial settlements to make up for the inability of the Corps to develop and operate adequate water projects.

The lawsuit was brought by seven plaintiffs. Judge Duval ruled against the plaintiffs from New Orleans East but awarded $720,000 to those from St. Bernard and the Lower Ninth.

The judge's decision could lead to thousands of people joining class actions seeking billions of dollars in damages. Lawyers for the plaintiffs are calling on the federal government to offer a universal settlement with the people of New Orleans. The Obama administration and members of Congress should listen. While there are limits on how much people should expect -- the government is strapped for cash, after all -- it's difficult to see what purpose would be served by dragging this case through appeals all the way up to the Supreme Court. Unless the government has a persuasive defense for the negligence decried by Judge Duval, it would be better to settle now.

This is a good sign that the national press is following Gulf Coast issues closely and hopefully people get the results they are looking for in terms of more Corps attention and effort into improving the water systems. Any progress and attention to issues relating to New Orleans and its recovery, though, is positive and hopefully will help lead to those efforts that prevent the devastation of Katrina from occurring again.

The Consumer Product Safety Commission today strengthened the case against Chinese drywall makers by releasing three preliminary reports that links the imported wallboard to corrosion and irritating levels of chemicals. The reports, issued by the government ahead of a formal decision by the government on the matter, brings scientific proof to what plaintiff attorneys and homeowners have alleged for months: Chinese drywall is causing health problems and home damage where it has been installed since 2004.

CNN reports

The suspected link between Chinese drywall and toxic effects reported by thousands of U.S. homeowners was strengthened Monday by three preliminary reports issued by the federal government.

The strongest link came from an analysis of air sampled inside dozens of homes containing drywall made in China.

"While the study of 51 homes detected hydrogen sulfide and formaldehyde ... at concentrations below irritant levels, it is possible that the additive or synergistic effects of these and other compounds in the subject homes could cause irritant effects," the Consumer Product Safety Commission said in its executive summary of the study.

Two other preliminary studies found copper sulfide corrosion in metal components taken from homes containing the Chinese drywall.

Obviously this is a very good sign for homeowners looking for positive results in their suits against the Chinese manufacturers. While the reports are preliminary and more government information is to come, this strengthens the case being made against companies like Knauf. For more information on Chinese drywall, continue to check in on this blog as news will be posted here as it becomes available.

Governor Bobby Jindal has responded to U.S. District Judge Stanwood Duval Jr.'s ruling that the flooding of areas within New Orleans was the direct fault of the Army Corps of Engineers inability to develop and execute proper water resource projects within Louisiana. The press release, posted below, condemns the Corps for their failure and is a strongly worded encouragement of the Corps to rectify and improve its efforts in the near future.

The Office of the Governor states

Baton Rouge: Governor Bobby Jindal issued the following statement regarding the ruling by U.S. District Judge Stanwood Duval Jr. that the Army Corps of Engineers' was directly responsible for flood damage to portions of the New Orleans region following Hurricane Katrina because of their failure to properly operate and maintain water resources projects in Louisiana:

"This ruling highlights the fact that Hurricane Katrina’s damage was exacerbated by the failure of the Corps of Engineers to properly operate and maintain water resources projects in Louisiana. There are very real and human implications of the failure to quickly solve challenges and address vulnerabilities in our hurricane protection system. I hope this decision will serve as a catalyst for the Corps, Congress and the Administration to aggressively move forward on hurricane protection and coastal restoration efforts in Louisiana."

While Judge Stanwood Duval Jr.'s ruling is progressive in the sense it keeps the matter from simply being blamed on the unknown, the development of the levee and water systems around New Orleans is the most important thing that can happen in the coming months and years to protect the city from future harm. Our firm can only hope that Corps will learn from its mistakes and help make the state safer from flooding in the future.

While the Gulf Coast rarely sees snow in the winter months, safe driving is crucial as precipitation arrives in the form of rain and sleet. Though these tips are offered by the Iowa Department of Transportation, they still remain absolutely relevant given the ability of cold weather to cause unsafe driving conditions despite a lack of snow or hail.

Do not overestimate your ability in bad driving conditions.

Slow down. Wear seat belts. Never drink and drive.

Put extra distance between you and the car in front of you.

Don't slam on the brakes. The wheels could lock, causing your car to slide.

If your car starts to slide, turn your wheels in the direction in which it is sliding to straighten it out.

Drive on interstates and one-way roads, whenever possible.

Turn on your lights to see and be seen.

Clear snow, sleet and ice off the headlights, tail lights, mirrors, and license plates. Stop the car when necessary to keep the windows clear.

Be aware that bridges, ramps, and overpasses may freeze first.

Check the windshield wipers to make sure they are not frozen to the windshield.

Consider replacing your original wipers with heavy-duty ones.

As always, safe driving in adverse conditions is much more important than arriving to a destination faster. Should you be involved in a car accident, keep close records of all the details and contacting a legal expert are crucial. Our office deals in personal injury and legal representation matters and would gladly discuss your rights in the event of such an accident.

In the meantime, our offices only hope that ice and sleet will not be an issue this holiday season in the Gulf Coast!

The Bradenton Herald had an interesting piece that really clarifies how big the next few months are for those involved in Chinese drywall. Whether it's the escalation of pre-trial matters in the federal litigation involving the toxic wallboard or foreign diplomacy, things are shaping up quickly.

The Herald reports

Within the next few weeks, officials expect to determine how much of a fire hazard, if any, the contaminated product poses. They’ll also have a better idea of how much the drywall contaminates the air inside affected homes. A federal judge is expected to decide which of the several hundred lawsuits that have been filed over the product will be the first to go to trial.

And the White House will raise the issue for the first time when President Barack Obama visits China this week.

In [Chinese Drywall's pretrial matters], U.S. District Judge Eldon Fallon could decide as early as this week which lawsuit will be the first “bellwether” case. Fallon has said he wants that trial to begin as early as Jan. 10.

The story also notes that deadlines loom on suits involving Chinese manufacturers

Also looming is a Dec. 9 deadline to file an omnibus class-action lawsuit against Knauf Plasterboard Tianjin Co., the only Chinese drywall manufacturer that has agreed to accept service but only for a limited time. Homeowners must provide evidence that they have the company’s wallboard by Dec. 2 to participate.

As always, this blog will continue to update as things progress in any of these matters. Our firm is also available if anyone has questions regarding the December 9th deadline and how to find out if they have Chinese drywall installed in their home.

With the disaster that Chinese drywall has become in the Gulf Coast and in other places across the country, homeowners are scrambling to find out if they have been afflicted with the toxic wallboard. With such urgency and panic, many have pursued cheaper manners of testing to avoid being buried underneath further bills. While remedies have been advertised that have since been found to be questionable solutions at best, the industry keeps churning out alternatives to true home detection services by professionals.

The St Petersburg Times reports on one possible scanner that shows promise but remains unregulated

A possible, less expensive testing solution may be on the horizon. New businesses are offering a noninvasive scan of homes throughout Tampa Bay and across the state for $500, using a handheld tool that can help identify the corrosive gases emitted by Chinese drywall.

But with the testing method comes big warnings: The service is not licensed by the state, does not require certification and has no oversight.

"You need to be really sure of the qualifications of the person doing the testing," said David Krause, a state toxicologist reviewing the drywall issue.

"We consider this to be a very promising screening method," Krause said. "But the state does not endorse this as a testing method yet. There currently is not a standard on approach or standard in how to do this."

Until services attain the monitoring and certification of the state, no method is more proven or trusted than those attained with experts and specialists. The Berniard Law Firm hires such experts when clients hire our firm as legal representation and very detailed and meticulous records are kept to secure our clients rights in these reports.

For more information on how to attain expert services in your area, both legal and home analysis, feel free to contact our firm. In the meantime, should you be looking into alternative testing methods, take great care to pursue the most proven and trusted services.

Hoping to increase the awareness of officials as well as the public in regards to Chinese drywall, Louisiana State Senator Julie Quinn is hosting a panel meeting to discuss the issue of Chinese drywall in Louisiana. The effort, which will be intended by Quinn as well as Insurance Commissioner Jim Donelon and representatives of various insurance companies, is being held to allow citizens to explain their plights to those involved in the decision making process.

Details are as follows

LOUISIANA STATE SENATE INSURANCE COMMITTEE MEETING DECEMBER 2, 2009 6PM ST. TAMMANY PARISH COUNCIL CHAMBERS 21490 KOOP DRIVE

Jeffrey Berniard, lead attorney in the Chinese drywall cases our firm is handling, will be in attendance at the meeting and willing to discuss the legal rights of those who believe they have the toxic wallboard in their homes. We look forward to meeting with some of you and seeing those in charge have the unfortunate situations of many explained to them face-to-face. Anyone who has an interest in the matter or fears they might have Chinese drywall in their home is encouraged to come.

Very unsettling news emerged early this week that insurers within Louisiana were canceling policies of those homeowners with Chinese drywall. While this had been hinted at in Florida, some insurers eventually backed down. This does not seem to be the case in Louisiana, though. The Times-Picayune reports

In August, Tamara Thomas filed a claim with her homeowners insurance company after discovering that her air conditioning and other appliances had failed because her three-year-old home was filled with defective drywall made in China. But before the Hanover Insurance Group even denied the claim, as most insurers have been doing with claims for Chinese drywall damage, it canceled her policy, effective Nov. 19.

The Massachusetts company said there had been a "substantial change in risk" because the home was no longer occupied since Thomas and her family had begun staying in the guest room at her parents' house out of concerns over how the drywall was affecting their health.

Thomas was outraged at the cancellation. Adding insult to injury, the claim denial letter that arrived a few days later said Hanover's tests revealed that the walls of the house were emitting sulfur gases that "may pose health risks."

So far, most insurance policy cancellations have been taking place in Florida. In Louisiana, insurers were universally denying claims, but it was believed that a state law making it difficult for insurers to drop coverage for homeowners who have been customers for at least three years would largely keep policies in place. But advocates for Chinese drywall victims have reported that in the past few weeks, a wave of cancellations has begun to unfold in Louisiana, even with people like Thomas, who had insurance on her home with Hanover for just over three years.

There will obviously be a lot of attention given to this issue as the state law will be brought into question and various rights groups will assail the insurance companies for dropping coverage. The outcome, though, remains to be seen. Any developments on the issue will be posted on this blog.

A Happy Veterans Day and special thank you to those in the Armed Forces from all of us at the Berniard Law Firm. We are grateful for your service and appreciate all you have done for our country.

Hurricane Ida has weakened to a tropical storm as the Gulf Coast braces for the high waves, rain and wind sure to come in the afternoon and evening. Make sure to check with the NOAA's website for developments as they become available.

Please adjust your plans accordingly and insure the safety of yourselves and your families by not taking any chances.

The Berniard Law Firm would like to congratulate the New Orleans Saints for their franchise record 8-0 start on the season! Well done and good luck in St. Louis!

Hurricane Ida is moving into the Gulf and current tracking has the storm reaching the Gulf Coast late Monday evening. WWL reports Ida is gaining strength over the warm Gulf water while also downgrading into a tropical storm.

For more information on Ida as it becomes available, check out the National Weather Service's National Hurricane Center site dedicated to the storm, located here, or continue to check into this blog.

In an email to individuals who have signed up for updates from the Consumer Product Safety Commission, Chairman Inez Tenenbaum reveals a flurry of activity the government has carried out in testing and identifying Chinese drywall. While the email largely covers topics that have been posted on this blog, the amount that has been done by the government and efforts undertaken is a positive sign that the issue is being taken seriously and results will emerge eventually.

CPSC actions include the following:

1. To date, we have received nearly 1900 complaints from residents in 30 states about health and corrosion symptoms.

2. We have conducted more than 700 telephone interviews with affected homeowners and we will be releasing dozens of in-depth investigation reports to the media and public today.

3. We have launched a Drywall Information Center Web site to provide ongoing information to the public about this issue. To access the site go to www.DrywallResponse.gov.

4. We are working closely with the Department of Homeland Security to identify and stop imports. We have identified hundreds of thousands of stockpiled boards and we have sent notice to the warehouses where they are stored.

5. We want any homeowner who believes their health symptom and/or corrosion of electrical and metal components is tied to drywall, to report to CPSC’s Hotline immediately. They can reach us at 1-800-638-2772.

6. Like all task force members, we are talking to Congressional and White House officials about possible legislation and other means of helping families affected by and struggling with this issue.

The CPSC also carried out talks in China with manufacturers and successfully encouraged one company to respond to US subpoenas in litigation regarding Chinese drywall. While these events may not have yielded all of the results some are looking for in regards to this matter, they show progress and initiative on the part of CPSC that homeowners and those concerned about the toxic wallboard may feel encouraged by.

Hurricane insurance claims continue to be filed in the Gulf Coast, this time in Texas. The Southeast Texas Record reports a wide assortment of filings over the last week of October. Examples include:

Joseph and Julia Crow of Beaumont allege Texas Windstorm Insurance Association denied their claim for roof, water, wind, foundation, structural and contents damages caused to their home after Hurricane Ike struck on Sept. 13, 2008. TWIA denied the claim after its Vice President of Claims Reggie Warren assigned adjusters to investigate.

June Jennings of 1908 North 21st St. in Nederland alleges Texas Windstorm Insurance Association improperly paid her claim for dwelling and contents damages caused to her home after Hurricane Ike struck on Sept. 13, 2008.

These two cases highlight a common thread in insurance disputes: claim denials and low-ball financial compensation offers. Further, many insurance companies hope that homeowners do not know how long they have to file and try to convince them that a low settlement is the only solution. In many cases this is simply not the case and accepting such an offer is disastrous.

The Berniard Law Firm is very familiar with attacking both of these strategies when its clients are taken advantage of by the insurance companies and employs a myriad of experts that will help you receive the justice you deserve.

The New York Times' financial section, interestingly enough, did a report on how to know if your home contains Chinese drywall. While most of the signs have been featured in this blog, there are certain tips and tricks the article mentions that are unique and clever for detecting the presence of the dangerous gases that the toxic wallboard emits.

Jennifer Saranow Schultz notes

If your home has central air-conditioning, Danny Lipford, a television home improvement expert, recommends hanging a piece of silver jewelry or a silver utensil on a string in front of the return air filter and watching it over a few days to see if it corrodes. It’s a trick he learned about at a recent industry event.

According to Mr. Lipford, most of the Chinese drywall tends to be in homes that were built or remodeled in recent years by larger contractors and builders. The Consumer Product Safety Commission said it had received nearly 2,000 reports from residents in 30 states, the District of Columbia and Puerto Rico, most of whom said their homes were built in 2006 and 2007. The most reports have come from Florida.

If you suspect your home has Chinese drywall, Mr. Lipford suggests going into your attic and raking back insulation to see if you can find a made-in-China stamp or the name of a manufacturer, though not all Chinese drywall has such markings. You may also want to hire a building inspector to confirm the presence of the drywall, consult with a lawyer about your options and contact your home builder, who may be able to work something out with you. The Consumer Product Safety Commission also wants all consumers to report complaints here.

While, again, including many commonly known traits or facts regarding Chinese drywall, the article is an interesting piece and is highly recommended.

In a huge turn of events, a Chinese drywall manufacturer has assuaged the fears of those who believed no lawsuit might ever emerge by agreeing to be served with the class action lawsuits brought forth by homeowners.

The Bradenton Herald reports

A Chinese drywall manufacturer has agreed to be served with a class-action lawsuit to be filed on behalf of homeowners, attorneys in the case said Monday.

Knauf Plasterboard Tianjin Co. Ltd. agreed to be served under U.S. court procedures and not under international law, which would have taken more time and money, attorneys said. However, KPT’s willingness to do so extends only to an omnibus class-action lawsuit to be filed by Dec. 9...

KPT and several manufacturers, distributors, shippers and homebuilders are accused of importing and installing defective drywall in thousands of U.S. homes. The drywall has been blamed for causing property damage and health problems.

The Berniard Law Firm has been filing Chinese drywall cases for months now while head attorney Jeffrey Berniard has attended and instructed at seminars dealing with the toxic wallboard. With a team of field experts and construction specialists geared to handling the various complexities involved in the diagnosis and assertion of Chinese drywall within the home, our firm is highly skilled and capable of handling your lawsuit.

With pleading deadlines looming, it is important for anyone who believes their home to have been rebuilt or repaired with Chinese drywall to contact our offices immediately so that they may listed along with current clients on our firm's class action pleading. Call our offices at 504.527.6225 or text 504.458.6225 for more information or to talk with an attorney regarding Chinese drywall and how to have your home inspected and proceed with legal action.

Time is of the essence and it is important for anyone who believes the toxic wallboard is in their home to contact our legal experts today.

Positive news for those looking for a federal response and action behind the Chinese drywall matter emerged this weekend with a Consumers Product Safety Commission report with a very notable inclusion. As reported by Sarasota's Herald Tribune, buried within a long, 500-page report on Chinese drywall is a possible health diagnosis for the problems homeowners with the toxic import have been experiencing.

The Herald Tribune notes

The report issued by the U.S. Consumer Product Safety Commission and other agencies posits that victims might be experiencing "neurogenic inflammation" brought on by the "trigeminal nerve," which branches out behind the face and throat with exposed endings in the nose.

"Many of the symptoms described by occupants of affected homes coincide with those of trigeminal nerve sensory irritation," the report states.

Chemicals like sulfur compounds, present in sufficient concentrations, can affect the nerve and trigger the inflammation. Symptoms include "sneezing, nasal stuffiness, rhinorrhea, eye irritation, headache, sinus congestion, cough, throat irritation, and wheezing," the report states.

An important distinction is that the effects can be caused at lower chemical concentrations than what the government considers "toxic."

That last part, that only minimal amounts of concentration can lead to adverse health problems is highly significant because it showcases that this is not a matter requiring a huge quantity or threshold for suffering. Instead, the chemicals that would cause such an effect need only be slight in concentration. This means there would be less for defendants to use, such as requiring an exorbitant amount to qualify for liability in possible litigation or for a finding of responsibility.

Altogether it is all hypothetical and remains to be proven but such reports help keep momentum going in the pursuit of justice for those facing hardships from the toxic wallboard.