Leaky-building class action gets go-ahead

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SUNDAY, OCTOBER 16, 2016

Leaky-building class action gets go-ahead

A group of leaky building owners with properties clad in Harditex and Titanboard has received permission from the High Court to proceed with a representative action against James Hardie. The group has also secured an opt-in period for those who have not already issued proceedings.

The group’s lawyer, Dan Parker of Parker & Associates says this may be the last chance for similarly affected owners wanting compensation for the alleged defective products Harditex and Titanboard to get involved. He noted there was real urgency for those yet to opt-in as timeframes were very tight.

“Opt-in periods range from 10, four and two weeks from the judgment date depending on the representative claim so there is a real urgency for those yet to opt in to get onboard,” Mr Parker said.

Already Parker & Associates is representing over 80 property owners, 19 for the Titan Board claim, and over 60 for the Harditex claim.

The claims allege James Hardie was negligent in its design, manufacture and supply of the Harditex and Titanboard cladding systems. James Hardie denies the allegations.

The first Harditex claim was brought by Tracey Cridge and Mark Unwin, who were shocked to find their home had widespread water damage. They called in experts to look at what they thought was a little leak and discovered widespread internal water damage and an estimated repair bill of more than $300,000.

The High Court has said in relation to the Cridge proceedings there will be an opt-in period of 10 weeks from the date final representative orders are made. The final representative orders are expected to be made very soon.

A second Harditex claim was bought by Katrina Fowler and Scott Woodhead who own a Wellington duplex completed in 2000. The High Court has said in relation to the Fowler proceedings there will be an opt-in period of four weeks from the date final representative orders are made.

In December 2015, Parker & Associates added a second group of leaky property owners to the cladding action with a group of 19 commercial units alleging negligence and breach of the Fair Trading Act in relation to Titanboard, another James Hardie fibre-cement cladding product. The High Court has said in relation to the Titanboard proceedings there will be an opt-in period of two weeks from the date final representative orders are made.

Thousands of properties were built using Harditex and or Titanboard through the 1990s and early 2000s.

A recent judgment of the Supreme Court in the leaky schools litigation held that a product liability claim against a cladding manufacturer is arguable and is not subject to the 10-year limitation period under the Building Act.

Mr Parker urges owners of buildings constructed since 1987 using Harditex or Titanboard to get in touch to see whether they may be eligible to join the claim. Experts can be arranged to investigate whether the materials in question have been used and whether damage has resulted.

“It’s not too late to get involved in this cladding class action but time is tight and this may be the last chance for affected owners to pursue legal action for recovery of their losses,” Mr Parker said.

Group members are pooling resources to pay for the class action, without the need for separate litigation funding.

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