Lumber Liquidators Wins Formaldehyde Settlement, Opponents Pay Legal Fees

by | Aug 19, 2016 | News

Lumber Liquidators, the largest specialty retailer of hardwood flooring in North America, recently announced the final resolution of the Proposition 65 lawsuit originally filed on July 23, 2014, in the Superior Court of the State of California.

On June 30, 2016 the Court entered judgment in favor of Lumber Liquidators.  On August 12, 2016, the parties entered into a final resolution of the case, with a settlement agreement that requires the plaintiffs to pay Lumber Liquidators $100,000 as reimbursement for costs. The agreement also requires the plaintiffs to surrender their right to appeal or challenge the judgment.

“The verdict in our favor in the Proposition 65 case and the related settlement requiring plaintiffs to reimburse our costs are additional steps forward in the tremendous progress our company has made over the past several months,” said John Presley, CEO of Lumber Liquidators.

“We have strengthened Lumber Liquidators across every area of our organization, including implementing significant enhancements to our sourcing and compliance practices, and look forward to continuing to deliver products that are compliant with California’s environmental standards. As a company, we remain committed to operating with integrity and delivering the highest quality products to our customers.”

In 2014, Global Community Monitor and Sunshine Park LLC filed a lawsuit claiming that Lumber Liquidators failed to provide a Proposition 65 formaldehyde warning to California consumers. The Court ruled that the plaintiffs’ evidence failed to support their claims.

From Woodworking Network: https://www.woodworkingnetwork.com/news/woodworking-industry-news/lumber-liquidators-wins-formaldehyde-settlement-its-adversaries-pay?ss=news,news,woodworking_industry_news,news,almanac_market_data,news

Lumber Liquidators Pays $2.5 Million To Settle California Clean Air Claims

by | Mar 28, 2016 | News

Hardwood flooring retailer Lumber Liquidators Inc. has paid the California Air Resources Board (CARB) $2.5 million to settle claims that the company sold composite wood products that exceeded California formaldehyde limits, and failed to take reasonable precautions to ensure those products met such limits.

Additionally, Lumber Liquidators has developed and agreed to implement, a “Fabricator Laminate Evaluation and Audit Program” and a “Composite Core Testing Research Program,” requiring the company to conduct regular audits of existing and new suppliers and to randomly test composite core samples in accordance with CARB’s standard operating procedure for preparing finished goods for testing.

This is CARB’s first documented enforcement action on this regulation, and it may be a sign that CARB will begin to ensure compliance more aggressively.

“The California Air Resources Board adopted the ATCM to protect the public from toxic exposures to formaldehyde from composite wood products, and we are enforcing this regulation,” CARB Enforcement Division Chief Todd Sax said. “Companies need to understand we expect compliance with our rules, and we will hold those accountable who do not comply.”

Lumber Liquidators pleaded guilty to both felony and misdemeanor charges back in October 2015. The company paid more than $13 million in fines and restitution earlier this year.

From Woodworking Network: https://www.woodworkingnetwork.com/news/woodworking-industry-news/lumber-liquidators-pays-25-million-settle-california-clean-air-claims?ss=news,news,woodworking_industry_news,news,almanac_market_data,news