 |
| For updates
on lawsuits of widespread public interest and settlements in class
actions, please click here
to sign up for our Consumer Law Newsletter. |
|
 |
|
|
|
PRESS
RELEASE
|
| |
| COURT
GRANTS PRELIMINARY APPROVAL TO $75 MILLION SETTLEMENT
IN CEMWOOD ROOFING SHAKES LITIGATION |
| Combined
With An Earlier Approved Settlement, The Total Settlement
Of The Litigation Is For $140 Million |
| STOCKTON,
CA, August 13, 2003 -- Class counsel announced that California
Superior Court Judge Carter P. Holly yesterday granted
preliminary
approval to an additional settlement in the Cemwood shakes
litigation. The settlement, which is subject to final review
by the Court, provides $75 million, inclusive of attorneys'
fees and costs, to an estimated 30,000 owners of housing
and other structures with the roofing shake. This amount
is in addition to a settlement approved by the Court in
December 1999. The combined value of the two settlements
is $140 million. |
| Commenting on the settlement, liaison class counsel James
Brown of the Stockton, California, law firm Herum Crabtree
Brown, stated, "The new settlement comes on the eve
of trial after years of expensive, hard fought litigation.
It represents a remarkable result because Cemwood is essentially
a defunct entity with its only assets its insurance policies." |
| The
litigation involves Cemwood's manufacture and sale of roofing
shakes that are composed of approximately 2/3 Portland cement
and 1/3 wood fiber. The shakes were marketed under various
brand names including, among others, Cemwood Shakes, Permatek
Shakes, Permatek II Shakes, Royal Shakes, Cascade Shakes,
Trieste Tile, and Pacific Slate. Plaintiffs allege that
the shakes are inherently defective. As a result, tens of
thousands of class members allegedly have roofs that are
prematurely failing and causing damage to the underlying
structures. Defendants deny the allegations. Under the settlement,
there is no admission of liability. |
| The defendants that were parties to the 1999 settlement
were Weyerhaeuser Company Limited and MacMillan Bloedel
(U.S.A.), Inc., the parent companies of Cemwood. The new
settlement resolves the claims of the class against the
remaining defendants: American Home Assurance Company,
Commerce
& Industry Insurance Co., Commerce & Industry Co.
of Canada, and XL Insurance (Bermuda) Limited. As with 1999
settlement, the new settlement provides for all class members
with verified claims cash payments based on the presence
of qualifying damage at a rate of $150 per roof field square
for roof damage. Although the settlements cover consumers
in thirty-eight states, the vast majority of class members
live in California, Washington, Oregon, Hawaii, Texas or
Utah. |
| A program to provide notice of the settlement to class
members
will shortly commence. Class members can also visit www.cemwoodclaims.com
for further information. |
| Representing
class members in the litigation are the law firms of Herum
Crabtree Brown, Lieff Cabraser Heimann & Bernstein,
LLP, Law Offices of David M. Birka-White, Tousley Brain
Stephens PLC, Alexander Hawes & Audet, LLP, Levy Ram
& Olson, LLP, Farella Braun & Martel, LLP, and Sandler
Ahern & McConaughy, PLLC.
|
Source/Contact
(media only)
Jonathan
D. Selbin
LIEFF CABRASER HEIMANN & BERNSTEIN, LLP
780 Third Avenue, 48th Floor
New York, NY 10017
Tel: (212) 355-9500
James
Brown
Herum Crabtree Brown
2291 West March Lane, Suite B100
Stockton, CA 95207
Tel: (209) 472-7700 |
|
|
|
|
LIEFF
CABRASER HEIMANN & BERNSTEIN, LLP
|
|
|
|
|
|
|
|
|
| Notice: Lieff
Cabraser attorneys provide legal advice and practice law for clients in
federal district courts throughout the United States and in state courts
where we are licensed to practice. In states in which our lawyers are not
licensed to practice, we have affiliations with local attorneys who serve
as co-counsel with our firm. Please read our disclaimer. |
|
|
Copyright © 2008 Lieff Cabraser Heimann & Bernstein,
LLP
|
|
|
|
|
We protect consumers and homeowners against faulty products, including building products. Learn more. |
|
|
|