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| October 2009 Inspector eNews |
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October 2009 | Archives
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Chairman's Message — If you are not part of the solution you are part of the problem… Anonymous In case you haven’t gotten it - CREIA wants your opinions, ideas and assistance to become all that we can be. CREIA Membership Committee has begun a state wide Membership Drive (for latest details click here members). The following are some prominent reasons why. As in previous downturned real estate markets many individuals have left the distressed construction trades and other professions to hang out a “Home Inspector” shingle. Inspectors that may be advertising “We meet and exceed CREIA Standards of Practice”. Many of us have found or heard of inspections being performed in “…half the time and for much less than you are charging. Why is that? There are too many Inspectors, throughout the State of California, that are not conducting a reasonably prudent inspection to a professional standard of care. Whether we want to admit it or not these inspectors are part of our competition. You may like to think that they are not, yet these individuals and their work product shapes the public and Realtor opinions about our profession. Some one told me today they have been seeing TV ads “You too can become a Home Inspector…" Why not, what could be so difficult with using a check list inspection report that practically guides one through an inspection? Unfortunately once an Inspector is conducting 20, 30, 40 plus inspections a month generating. How else could they be doing so many inspections for people that say they are the best if they weren’t good? No one becomes a good inspector quickly or by themselves. In my humble opinion, CREIA Members have lost market share and its time to take it back. Do you remember the first few CREIA Meetings you attended? I for one know I was a bit terrified. I had been in the inspection business for a few years longer than most (according to our most recent survey) before coming to my first CREIA Meeting. I had conducted well over a thousand inspections with a franchise company. Coming from a construction background I felt reasonably confident, before I entered the meeting. What a wake up call that was! I couldn’t believe how many things I wasn’t reporting on. I was verbally corrected by Bob Reeds and Peter Walker in front of the group. Having survived the ego shrivel I began an appreciation for CREIA which 17 years later I am writing to you about. This is one of the many reasons I will continue to say that I owe more than I could ever repay to our Association and Membership. For these reasons and more CREIA’s Membership Committee is asking you all to collect and submit the names and contact information for all Home and Real Estate Inspectors in your area. Our goal is to reach every practicing inspector in California with an invite to join us in our chapter meetings, chapter toolbox education and CREIA Road Show Educational Events. We will be sending them a few eNews also for them to get a real sense of what we are about. We are incentivizing Chapters and Individual CREIA Members to be apart of this drive. Chapter Officers and Members shall welcome our guests in a friendly and open manner. If you and your chapter are not having some good laughs and fun then something isn’t right. Who else is going to laugh at our jokes? With all that which may be wrong, there is still far more right about our Association. As hard as times have been we are very fortunate to be in our chosen profession. Our association with each other, within CREIA is something to be very grateful about. As always, I welcome any thoughts and feedback you have. I am truly honored to be writing this message. Bill Parker, CREIA BOD Chairman
This Issue ... CREIA Membership Drive Update (Members Only) Technical Article - Expansive Soils Versus Soil Settlement Off the Net - CREIA Inspector Finder Changing? Photos - Casey, O'Malley & Associates (COA) Las Vegas Convention
CHINESE DRYWALL UPDATE WHY WAS MY HOMEOWNER’S INSURANCE CLAIM DENIED? While most homeowners’ insurance policies provide dwelling coverage on an all-risk basis, property insurers contend that coverage for Chinese drywall is precluded because of various exclusions contained in their policies. The most common exclusion relied upon concerns pollution - that is any loss caused by the discharge, dispersal, seepage, migration, release or escape of pollutants (which term is usually defined to include any solid, liquid, gaseous or thermal irritant or contaminant) is excluded. However, the release of sulfur gases in an indoor environment (such as your home) arguably does not constitute the type of traditional environmental pollution contemplated by this exclusion. For this reason, along with several others, the pollution exclusion may not apply to losses caused by Chinese drywall. There are numerous other exclusions often relied upon by property insurers, including losses caused by faulty or defective construction or defective materials used in construction. Here too, there are reasons why these exclusions may not apply. While the courts have not yet decided these insurance coverage issues, it is important to bear in mind that it is the insurer, not the homeowner, who has the burden of proving the applicability of an exclusion and that any ambiguity will be interpreted against the insurer. Many homeowners ask whether they should file a claim with their property insurer even though it is a foregone conclusion that their claim will be denied. First, it is not a foregone conclusion as briefly discussed above. Second, without a timely claim, homeowners could lose their rights should the courts determine that Chinese drywall claims are covered. Check your policy regarding reporting requirements and consult an attorney to discuss your particular insurance policy. FEDERAL CHINESE DRYWALL LITIGATION UPDATE All Chinese drywall lawsuits filed in federal court have been consolidated for pre-trial and discovery purposes in the United States District Court for the Eastern District of Louisiana under Judge Eldon E. Fallon. In Re: Chinese Manufactured Drywall Products Liability Litigation, MDL No. 2047. The consolidation of cases will enable a much quicker resolution of all cases, reduce litigation expenses, and help ensure consistent rulings. Towards this end, a Plaintiffs’ Steering Committee (“PSC”) and Defendants’ Steering Committee (“DSC”) have been created, which will be responsible for such things as pre-trial motions, property inspections, profile forms, preservation of evidence, state/federal coordination and discovery. Inspections: On August 27, 2009, the Court entered a Threshold Inspection Protocol (TIP) to accomplish early property inspections and to facilitate prompt and efficient case management. The purpose of the TIP is to determine whether the property contains Chinese drywall and, if so to: Discovery: The PSC is in the process of drafting a master set of discovery to be served upon the Defendants, which shall be handled on an expedited basis. Trial: Recognizing the need for homeowners to get relief as soon as possible, Judge Fallon has fast-tracked the cases. Each side is permitted to initially select ten cases in which to conduct discovery. Each side will then select five cases for trial to begin at the end of this year. Each side will have two (2) vetoes so that six (6) cases remain. Five cases will be tried with one standby. These test cases should establish liability and set the framework for all remaining cases. TO REMEDIATE OR NOT TO REMEDIATE As there is no approved remediation protocol at this time and, indeed, some “remediated” homes remain reactive and/or problematic, homeowners should think twice before removing any tainted drywall as doing so may not solve your problem and could create an impediment to recovery (i.e., the Defendants will presumably argue spoliation of evidence). At a minimum, please consult with an attorney before attempting any remediation, whether on your own or in cooperation with your builder. Visit www.chinesedrywall.com to learn more about Chinese drywall. Please send your questions, comments or feedback to: help@chinesedrywall.com
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Congratulations! New Candidates Kevin S Smith New CCIs Tom Fasold (6/2009)
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October 2009 | Archives
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Chairman's Message — If you are not part of the solution you are part of the problem… Anonymous In case you haven’t gotten it - CREIA wants your opinions, ideas and assistance to become all that we can be. CREIA Membership Committee has begun a state wide Membership Drive (for latest details click here members). The following are some prominent reasons why. As in previous downturned real estate markets many individuals have left the distressed construction trades and other professions to hang out a “Home Inspector” shingle. Inspectors that may be advertising “We meet and exceed CREIA Standards of Practice”. Many of us have found or heard of inspections being performed in “…half the time and for much less than you are charging. Why is that? There are too many Inspectors, throughout the State of California, that are not conducting a reasonably prudent inspection to a professional standard of care. Whether we want to admit it or not these inspectors are part of our competition. You may like to think that they are not, yet these individuals and their work product shapes the public and Realtor opinions about our profession. Some one told me today they have been seeing TV ads “You too can become a Home Inspector…" Why not, what could be so difficult with using a check list inspection report that practically guides one through an inspection? Unfortunately once an Inspector is conducting 20, 30, 40 plus inspections a month generating. How else could they be doing so many inspections for people that say they are the best if they weren’t good? No one becomes a good inspector quickly or by themselves. In my humble opinion, CREIA Members have lost market share and its time to take it back. Do you remember the first few CREIA Meetings you attended? I for one know I was a bit terrified. I had been in the inspection business for a few years longer than most (according to our most recent survey) before coming to my first CREIA Meeting. I had conducted well over a thousand inspections with a franchise company. Coming from a construction background I felt reasonably confident, before I entered the meeting. What a wake up call that was! I couldn’t believe how many things I wasn’t reporting on. I was verbally corrected by Bob Reeds and Peter Walker in front of the group. Having survived the ego shrivel I began an appreciation for CREIA which 17 years later I am writing to you about. This is one of the many reasons I will continue to say that I owe more than I could ever repay to our Association and Membership. For these reasons and more CREIA’s Membership Committee is asking you all to collect and submit the names and contact information for all Home and Real Estate Inspectors in your area. Our goal is to reach every practicing inspector in California with an invite to join us in our chapter meetings, chapter toolbox education and CREIA Road Show Educational Events. We will be sending them a few eNews also for them to get a real sense of what we are about. We are incentivizing Chapters and Individual CREIA Members to be apart of this drive. Chapter Officers and Members shall welcome our guests in a friendly and open manner. If you and your chapter are not having some good laughs and fun then something isn’t right. Who else is going to laugh at our jokes? With all that which may be wrong, there is still far more right about our Association. As hard as times have been we are very fortunate to be in our chosen profession. Our association with each other, within CREIA is something to be very grateful about. As always, I welcome any thoughts and feedback you have. I am truly honored to be writing this message. Bill Parker, CREIA BOD Chairman
This Issue ... CREIA Membership Drive Update (Members Only) Technical Article - Expansive Soils Versus Soil Settlement Off the Net - CREIA Inspector Finder Changing? Photos - Casey, O'Malley & Associates (COA) Las Vegas Convention
CHINESE DRYWALL UPDATE WHY WAS MY HOMEOWNER’S INSURANCE CLAIM DENIED? While most homeowners’ insurance policies provide dwelling coverage on an all-risk basis, property insurers contend that coverage for Chinese drywall is precluded because of various exclusions contained in their policies. The most common exclusion relied upon concerns pollution - that is any loss caused by the discharge, dispersal, seepage, migration, release or escape of pollutants (which term is usually defined to include any solid, liquid, gaseous or thermal irritant or contaminant) is excluded. However, the release of sulfur gases in an indoor environment (such as your home) arguably does not constitute the type of traditional environmental pollution contemplated by this exclusion. For this reason, along with several others, the pollution exclusion may not apply to losses caused by Chinese drywall. There are numerous other exclusions often relied upon by property insurers, including losses caused by faulty or defective construction or defective materials used in construction. Here too, there are reasons why these exclusions may not apply. While the courts have not yet decided these insurance coverage issues, it is important to bear in mind that it is the insurer, not the homeowner, who has the burden of proving the applicability of an exclusion and that any ambiguity will be interpreted against the insurer. Many homeowners ask whether they should file a claim with their property insurer even though it is a foregone conclusion that their claim will be denied. First, it is not a foregone conclusion as briefly discussed above. Second, without a timely claim, homeowners could lose their rights should the courts determine that Chinese drywall claims are covered. Check your policy regarding reporting requirements and consult an attorney to discuss your particular insurance policy. FEDERAL CHINESE DRYWALL LITIGATION UPDATE All Chinese drywall lawsuits filed in federal court have been consolidated for pre-trial and discovery purposes in the United States District Court for the Eastern District of Louisiana under Judge Eldon E. Fallon. In Re: Chinese Manufactured Drywall Products Liability Litigation, MDL No. 2047. The consolidation of cases will enable a much quicker resolution of all cases, reduce litigation expenses, and help ensure consistent rulings. Towards this end, a Plaintiffs’ Steering Committee (“PSC”) and Defendants’ Steering Committee (“DSC”) have been created, which will be responsible for such things as pre-trial motions, property inspections, profile forms, preservation of evidence, state/federal coordination and discovery. Inspections: On August 27, 2009, the Court entered a Threshold Inspection Protocol (TIP) to accomplish early property inspections and to facilitate prompt and efficient case management. The purpose of the TIP is to determine whether the property contains Chinese drywall and, if so to: Discovery: The PSC is in the process of drafting a master set of discovery to be served upon the Defendants, which shall be handled on an expedited basis. Trial: Recognizing the need for homeowners to get relief as soon as possible, Judge Fallon has fast-tracked the cases. Each side is permitted to initially select ten cases in which to conduct discovery. Each side will then select five cases for trial to begin at the end of this year. Each side will have two (2) vetoes so that six (6) cases remain. Five cases will be tried with one standby. These test cases should establish liability and set the framework for all remaining cases. TO REMEDIATE OR NOT TO REMEDIATE As there is no approved remediation protocol at this time and, indeed, some “remediated” homes remain reactive and/or problematic, homeowners should think twice before removing any tainted drywall as doing so may not solve your problem and could create an impediment to recovery (i.e., the Defendants will presumably argue spoliation of evidence). At a minimum, please consult with an attorney before attempting any remediation, whether on your own or in cooperation with your builder. Visit www.chinesedrywall.com to learn more about Chinese drywall. Please send your questions, comments or feedback to: help@chinesedrywall.com
Page 1 |
Congratulations! New Candidates Kevin S Smith New CCIs Tom Fasold (6/2009)
|
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