Louisiana sues drywall makers, builders

Louisiana Attorney General Buddy Caldwell has filed a civil suit against the manufacturers and distributors of Chinese drywall, alleging that his state has suffered “the loss of expected state income tax, sales tax, property tax and other revenues caused by the negative impact of Chinese drywall,” according to the announcement.

The attorney general's office estimates that more than 1.1 million sheets of defective drywall were imported through the Port of New Orleans since 2005 and used in the construction, repair or rebuilding of Louisiana homes and buildings after Hurricanes Katrina and Rita.

The lawsuit, filed on Jan. 13, also lists costs related to remediation and disposal of contaminated drywall; health problems attributed to off-gassing by the product; and the corrosive effects of chemicals in the gypsum board on electrical wiring, gas lines and household appliances.

The attorney general's announcement only names Knauf, a German-based corporation that makes wallboard in China, as a defendant, along with "other international and domestic manufacturers, distributors, importers of toxic Chinese drywall, as well as several builders." But court papers also list USG Corp., L&W Supply, All Star Forest Products, North Pacific Group, Mayeaux Construction, Southern Homes, and Sunrise Construction and Development as defendants.

The attorney general's office urged homeowners to pursue individual claims if they believe they have toxic Chinese drywall in their homes.