Transcript Document
Toxic Mold and
Internal Pollution
Presented by:
Joseph O. Collins, Jr.
Sick Building Syndrome
A product of “tighter” buildings
Contaminents
Formaldehyde (foam insulation)
Fumes (paint and adhesives)
Asbestos
Carbon Monoxide
Bacteria (Legionnaire’s Disease)
Mold
Sick Building Syndrome
Molds
Thousands of types
Most are harmless
Stachybotrys (black mold)
Penicillium
Sick Building Syndrome
Symptoms
Headaches
Rashes
Respiratory ailments
Immune system compromise
Lung disease
Death(?)
Case I – Remediation Responsibility
Remediation
Locate source and cause of mold
contamination
Determine nature and extent of
contamination
Remove contaminated materials
Eliminate and disinfect
Repair
Responsibility – Causes of Moisture
Construction defects
Product defect (I.e., “Drivet”)
Design defects
Defective repairs
Plumbing leaks
Acts of God (floods, wind blown water)
Insurers (failure to timely recognize claim)
Property owner
Owner’s Delimma
Delays in determining responsibility
of others
Delays in acceptance of
responsibility by others
Delays caused by inability of others
to respond to responsibility
Delay exacerbates problems
Responsibilities of others becomes
owner’s
Case II – Owner Liability
Owner’s Liability for Failure to Repair
Time and moisture
Responsibility for moisture vs.
responsibility for mold growth
Exculpatory provisions in leases – no
help
Disclosure to Purchaser
Disclosure to Lessees
Knowing conduct
Case III – Insurance
Property Insurance “All Risks”
Coverage
Owner’s CGL Insurance
Builder’s CGL Insurance
Builder’s completed operations
coverage
“All Risk” Insurance
Water damage resulting from
windstorm or hail
Water damage resulting from
sprinkler leakage
Water damage resulting break or
crack plumbing and appliance
“All Risk” Coverage Issues
Was policy in force?
Plumbing and appliance leaks?
14 day exclusion – “Continuous or
repeated”
Failing design, workmanship, or
construction
Contractors’ CGL Coverage
Often excludes contractor’s own
defective work – “business risk”
Pollution exclusions
New mold exclusion endorsements
Contractors’ Completed
Operations Insurance
Part of CGL Coverage
Similar to Products Liability
Insurance
Generally pollution exclusion not
applicable
OSHA
Air Quality Investigations
OSHA jurisdiction over air quality
Building owners and employees