Supreme Court decision “extremely good news” for claimants in action against James Hardie

The lawyer leading the $250 million plus class action against James Hardie companies says the unanimous Supreme Court decision rejecting the application of the 10-year limitation period on product liability claims is extremely good news for the owners of defective buildings in New Zealand.

Adina Thorn, of Adina Thorn Lawyers, says the 5-nil judgment in favour of the Ministry of Education in relation to its claim against Carter Holt for “Shadowclad” cladding, means that there is a green light on the bringing of building products and building material claims. These claims are not subject to the 10-year limitation period set out in the Building Act 1991/2004.

Adina says her legal team, headed by two Queen’s Counsel, has watched for the outcome of the Ministry of Education/Carter Holt case, which now means that any “10 year” defence does not apply. This removes one big potential “roadblock” in claimants bringing actions against building manufacturers and suppliers.

“This judgment confirmed the view that these types of product liability claims are not claims relating to “building work. They are product liability claims””.

“It removes any 10 year defence under the Building Act 1991/2004”.

The James Hardie class action (www.goodcladding.co.nz) is funded by the UK’s largest litigation funder: Harbour Litigation Funding.

“This means the action is hugely resourced in terms of legal and building experts as Harbour has put its massive financial backing behind it.

“Our action involves probably 1,000 claimants and more than 300 buildings. These buildings suffer significant issues and the extensive health issues arising from these is a real concern. In particular the medical concerns due to “black mould” are particularly worrying for our claimants.

“We believe last week’s decision will accelerate the legal processes required for us to be able to bring justice to our claimants who have in many instances had their equity in the properties destroyed through no fault of their own.

“Since the Supreme Court’s decision last week we have had further approaches from owners who want to join our action. We are happy to consider the viability of registrations made to: www.goodcladding.co.nz.”

Australian-listed manufacturer James Hardie has spent many years in court rooms defending its use of asbestos in Australia. The NZ Good Cladding action was filed in December last year and is likely to be one of the largest actions before the New Zealand Courts. 2

Adina says the funded class action she is leading means building owners can be part of a well-resourced claim without facing any out-of-pocket expenses, while gaining the opportunity to share in any compensation and damages that are secured by her team.

“Our claimants understand that Harbour Litigation Funding has a rigorous evaluation processes and they will only apply their resources to claims they believe will be successful.”

Further details of the Plaster Cladding action can be found on www.goodcladding.co.nz and www.adinathorn.co.nz

The full details of the Carter Holt Harvey, Minister of Education decision can be found on www.courtsofnz.govt.nz

ENDS

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