In the past few years there have been an increasing number of
settled and pending lawsuits involving mold contamination in residential
real estate.
The frequency of hidden mold growth in property claims relating to
mold/microbiological contamination has risen dramatically in recent months
in residential litigation. In fact, there are hundreds of unsettled mold
cases pending across the nation. A March 12, 2001 article in the Sacramento
Bee summed up the mold issue by saying, “From home builders…to residential
real estate brokers, mold is causing headaches and costing big bucks because
of protests over health concerns, lawsuits and the expense of identifying
and remedying mold contamination.”
Even in the absence of substantial agreed upon mold exposure limits and a
lack of conclusive evidence of health effects, there have been many
settlements with significant financial penalties placed at the feet of
defendants. Below are a few of the more visible judgments and settlements
awarded in mold cases.
Judgments
$1,353,000 – Beach house owners vs. Building contractor
Malibu, CA, 2001
$1,400,000– Elizabeth Stroot vs. New Haverford Partnership
New Haverford, DE, 1999
$32,000,000 – Ballard Family vs. Farmers Insurance Group
Dripping Springs, TX, 2001
Settlements
$545,000 – Three Families vs. Homeowners Association
Alameda County, CA, 2000
$600,818 – Rialto Family vs. City of Rialto
Rialto, CA, 1998
$1,500,000– Charles Blum et al, vs. Chubb Insurance
Corpus Christi, TX, 2001
Because most of the aforementioned cases have involved recovery of property
damages, repair and remediation, punitive damages, and compensation for
personal injury, it is difficult to determine the exact amount paid for each
category of damage. As a result, it is difficult to estimate an average
repair cost per contaminated property.