Trusted By The Courts, Attorneys Representing Both Stucco Homeowners and Dryvit Systems…

A national class action settlement involving Dryvit Systems, Inc., the nation’s largest manufacturer of exterior insulation and finish system (EIFS), was approved January 14, 2003.

The settlement was approved January 14 in the Circuit Court for Jefferson County, Tennessee, before the Honorable Duane Slone in a class action lawsuit known as Bobby R. Posey, et. al v. Dryvit Systems, Inc. The settlement covers all persons or entities who, as of June 5, 2002, owned a one-or two-family residential dwelling or townhouse (in any state other than North Carolina) which is clad, in whole or in part, with EIFS manufactured by Dryvit Systems, Inc. and installed after January 1, 1989. Moisture Warranty Corporation will act as service provider for the national settlement. As service provider, Moisture Warranty Corporation will be responsible for assisting qualified claimants through the process of correcting moisture problems they may have with their EIFS cladding system.

Included as part of the settlement are moisture inspections, the evaluation and completion of required repairs, and the issuance of a Dryvit Settlement Edition of the MoistureFree Warranty. All inspections, a three-year moisture warranty, and a portion of the repair costs will be paid for as part of the settlement. Stucco homeowners with repairs exceeding $15,000 have additional options within the settlement, including a cash payment option. Claims may be made until June 5, 2004.

“Plaintiff’s counsel and Dryvit were looking for a solution to the moisture problem and a way to protect the homeowner from the stigma associated with EIFS. Rather than awarding cash compensation which may or may not be used on the home, this settlement provides a solution to any problems which exist or may exist in the future, restoring consumer confidence in EIFS clad homes. In 1999, once the N.C. class action settlement involving Synergy was approved, other EIFS manufacturers came forward to participate in that settlement. We are hoping the same will happen after this settlement’s approval so the stucco solution will be available to all stucco homeowners, not just Dryvit homeowners.”

While working with MWC I was engaged in the creation of an extensive training and certification program for the inspectors and repair contractors involved with the warranty program. An eight-hour video training series instructs inspectors and contractors on the techniques most critical to effectively protect an EIFS-clad home. Inspectors and repair contractors are required to be tested and certified through this training program in order to participate in the Dryvit settlement.