$248 Million Settlement Reached With Chinese Drywall Maker

NEW ORLEANS (AP) — A proposed $248 million settlement has been reached in a decade-old federal court case over defective Chinese drywall that damaged homes and sickened residents.

The proposed settlement between affected property owners and Taishan Gypsum Co. was filed in U.S. District Court in New Orleans on Tuesday.

A committee of attorneys for the property owners in the class-action lawsuit said in a news release that thousands of homes and condominium properties were built using the defective drywall between 2005 and 2008. Most were in Florida, Louisiana, Alabama, Mississippi and Virginia.

The drywall was alleged to have given off fumes that corroded metal in appliances and fixtures. In some cases the fumes were blamed for illnesses.

Attorneys have asked for preliminary court approval of the settlement, pending further reviews.