toxic mold: from the book of leviticus, to ......toxic mold: from the book of leviticus, to dripping...

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TOXIC MOLD: FROM THE TOXIC MOLD: FROM THE BOOK OF LEVITICUS, TO BOOK OF LEVITICUS, TO DRIPPING SPRINGS TEXAS DRIPPING SPRINGS TEXAS AND BEYOND AND BEYOND PRESENTATION FOR LEX MUNDI PRESENTATION FOR LEX MUNDI NORTH AMERICAN REGIONAL NORTH AMERICAN REGIONAL CONFERENCE CONFERENCE MAY 16, 2004 MAY 16, 2004 BOSTON, MA BOSTON, MA

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Page 1: TOXIC MOLD: FROM THE BOOK OF LEVITICUS, TO ......TOXIC MOLD: FROM THE BOOK OF LEVITICUS, TO DRIPPING SPRINGS TEXAS AND BEYOND PRESENTATION FOR LEX MUNDI NORTH AMERICAN REGIONAL CONFERENCE

TOXIC MOLD: FROM THE TOXIC MOLD: FROM THE BOOK OF LEVITICUS, TO BOOK OF LEVITICUS, TO

DRIPPING SPRINGS TEXAS DRIPPING SPRINGS TEXAS AND BEYONDAND BEYOND

PRESENTATION FOR LEX MUNDI PRESENTATION FOR LEX MUNDI NORTH AMERICAN REGIONAL NORTH AMERICAN REGIONAL

CONFERENCECONFERENCEMAY 16, 2004MAY 16, 2004BOSTON, MABOSTON, MA

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PRESENTED BY:PRESENTED BY:

M. Keith MoskowitzM. Keith MoskowitzSonnenschein Nath & Rosenthal LLPSonnenschein Nath & Rosenthal LLP

8000 Sears Tower8000 Sears Tower233 South Wacker Drive233 South Wacker DriveChicago, Illinois 60606Chicago, Illinois 60606Phone: 312.876.8220Phone: 312.876.8220

EE--mail: mail: [email protected]@sonnenschein.com

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PART ONE: CREATING A PART ONE: CREATING A PUBLIC HEALTH PUBLIC HEALTH

PHENOMENA PHENOMENA

FROM THE BOOK OF FROM THE BOOK OF LEVITICUS TO DRIPPING LEVITICUS TO DRIPPING

SPRINGS, TEXASSPRINGS, TEXAS

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MOLD IN BIBLICAL TIMESMOLD IN BIBLICAL TIMES

ll Leviticus 14:45 A house desecrated by mildew, mold, or Leviticus 14:45 A house desecrated by mildew, mold, or fungus would be a defiled place to live in, so drastic fungus would be a defiled place to live in, so drastic measures had to be taken. measures had to be taken.

ll Leviticus 13:47Leviticus 13:47--50 If any clothing is contaminated with 50 If any clothing is contaminated with mildewmildew------any woolen or linen clothing, any woven or any woolen or linen clothing, any woven or knitted material of linen or wool, any leather or knitted material of linen or wool, any leather or anything made of leatheranything made of leather------if the contamination in the if the contamination in the clothing or leather, or woven or knitted material, or clothing or leather, or woven or knitted material, or any leather article, is greenish or reddish, it is a any leather article, is greenish or reddish, it is a spreading mildew and must be shown to the priest. The spreading mildew and must be shown to the priest. The priest is to examine the mildew and isolate the affected priest is to examine the mildew and isolate the affected article for seven days…article for seven days…

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MOLD MEETS DRIPPING MOLD MEETS DRIPPING SPRINGS, TEXAS SPRINGS, TEXAS

ll "It was our Shangri"It was our Shangri--La," the New York La," the New York heiress says of her 72heiress says of her 72--acre estate in acre estate in Dripping Springs, just west of Austin. "It Dripping Springs, just west of Austin. "It was nirvana. Then we come to have was nirvana. Then we come to have Stachybotrys.Stachybotrys." USA Weekend, December " USA Weekend, December 5, 1999. 5, 1999.

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Melinda Ballard in front of her 12,000-square-foot replica of Tara, the Gone With the Wind mansion, in Dripping Springs. The house is now completely uninhabitable, destroyed by mold.

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THE ROUNTINE INSURANCE THE ROUNTINE INSURANCE CLAIM GOES AWRYCLAIM GOES AWRY

ll Farmers gets a claim for water damage Farmers gets a claim for water damage ll Did Farmers respond fast enough to Did Farmers respond fast enough to

address Ballard’s claim? address Ballard’s claim? ll Farmers and Ballard fight over repair Farmers and Ballard fight over repair

estimates. estimates. ll And then comes the mold …. And then comes the mold ….

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“TOXIC TARA”“TOXIC TARA”

ll “I will tell you that this house, at one “I will tell you that this house, at one time, was a beautiful place and courtesy time, was a beautiful place and courtesy of Farmers insurance it is a hellof Farmers insurance it is a hell--hole," hole," Ballard said. Ballard said. News 8 AustinNews 8 Austin

ll Farmers ultimately offered $2 million in Farmers ultimately offered $2 million in repair costs, but Ballard wanted at least repair costs, but Ballard wanted at least $6 million $6 million ----

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THE “MOLD QUEEN” THE “MOLD QUEEN” STRIKES BACK! STRIKES BACK!

ll Travis County jury finds Farmers Travis County jury finds Farmers violates Texas unfair and deceptive trade violates Texas unfair and deceptive trade practices act. practices act.

ll Ballard awarded $32 million Ballard awarded $32 million ll But court threw out injury claimsBut court threw out injury claims

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PART TWO PART TWO

A PRIMER ON MOLDA PRIMER ON MOLD

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CHARACTERISTICS OF CHARACTERISTICS OF MOLD AND MOLD GROWTHMOLD AND MOLD GROWTH

MOLD GENERALLYMOLD GENERALLY

nn Mold is a microorganism that is naturally Mold is a microorganism that is naturally occurring and beneficial in the balance of occurring and beneficial in the balance of naturenature

nn Issue is not presence of mold in the indoor Issue is not presence of mold in the indoor environment, but whether mix of molds is environment, but whether mix of molds is out of balanceout of balance

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MOLD GENERALLYMOLD GENERALLY

CHARACTERISTICSCHARACTERISTICS::

nn Most appear greenish Most appear greenish –– blackblacknn Musty or mildew odorMusty or mildew odornn Many species Many species nn Species indistinguishable without Species indistinguishable without

laboratory testinglaboratory testing

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MOLD GROWTHMOLD GROWTH

REQUIREMENTSREQUIREMENTS

nn WaterWaternn FoodFoodnn TemperatureTemperaturenn TimeTime

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MOLD GROWTHMOLD GROWTHFOOD SOURCESFOOD SOURCESnn Organic materialsOrganic materialsnn Cellulose based building materialsCellulose based building materialsnn Paper, wood, cardboardPaper, wood, cardboardnn Ceiling tiles, drywall, wallpaperCeiling tiles, drywall, wallpapernn Carpet, carpet pads, fabric, upholsteryCarpet, carpet pads, fabric, upholsterynn DustDust

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MOLD GROWTHMOLD GROWTHTEMPERATURETEMPERATURE

nn Molds flourish at common indoor Molds flourish at common indoor temperaturestemperatures

nn Optimal temperature generally between Optimal temperature generally between 60 and 85 degrees Fahrenheit60 and 85 degrees Fahrenheit

nn Generally, mold will not grow in Generally, mold will not grow in temperatures below 55 degrees or above temperatures below 55 degrees or above 115 degrees Fahrenheit115 degrees Fahrenheit

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MOLD GROWTHMOLD GROWTHTIMETIME

nn Mold can grow fairly rapidly on materials Mold can grow fairly rapidly on materials that that remain wetremain wet for prolonged periods of for prolonged periods of timetimennMicroscopic levels within 12 hoursMicroscopic levels within 12 hours

nnVisible mold growth within 72 hours to 1 Visible mold growth within 72 hours to 1 weekweek

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MOLD GROWTHMOLD GROWTH

HIDDEN MOLD GROWTHHIDDEN MOLD GROWTHll Mold can grow in enclosed areas such asMold can grow in enclosed areas such as

within wall cavities or underneath floorwithin wall cavities or underneath floorboardsboards

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MOLD GROWTHMOLD GROWTH

REPRODUCTION AND MOLD SPORESREPRODUCTION AND MOLD SPORES

nn Molds disperse spores to reproduceMolds disperse spores to reproduce

nn Slight disturbance & air currentsSlight disturbance & air currents

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WHY MOLD MAY BE AWHY MOLD MAY BE ACONCERN IN STRUCTURESCONCERN IN STRUCTURES

ll Health RisksHealth Risks

ll Unusable StructuresUnusable Structures

ll Property DamageProperty Damage

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HEALTH RISKSHEALTH RISKSll Allergic ReactionsAllergic Reactionsll Asthmatic ReactionsAsthmatic Reactionsll Hypersensitivity PneumonitisHypersensitivity Pneumonitisll Respiratory Infection in rare casesRespiratory Infection in rare cases

ll Skin IrritationSkin Irritation

ll Illness with fluIllness with flu--like symptomslike symptoms

ll ToxicosisToxicosis

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HEALTH RISKS HEALTH RISKS -- TOXICOSISTOXICOSISll Reaction to toxins produced by some moldsReaction to toxins produced by some moldsll Hypothesized to cause or contribute toHypothesized to cause or contribute to

neurological damage (memory loss) andneurological damage (memory loss) andinfant pulmonary hemorrhaging (bleedinginfant pulmonary hemorrhaging (bleedinglungs in infants)lungs in infants)

ll Not proven by medical scienceNot proven by medical science

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HEALTH RISKSHEALTH RISKS

EXPOSURE AVENUESEXPOSURE AVENUES

nn Inhalation of mold or mold sporesInhalation of mold or mold sporesnn Ingestion of mold or mold sporesIngestion of mold or mold sporesnn Skin contactSkin contact

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HEALTH RISKSHEALTH RISKS

ll Adverse health reactions can vary Adverse health reactions can vary depending on the amount of the exposure depending on the amount of the exposure and the susceptibility of the affected and the susceptibility of the affected personperson

ll Science has not developed threshold Science has not developed threshold levels for exposurelevels for exposure

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HEALTH RISKSHEALTH RISKSAT RISK GROUPSAT RISK GROUPSnn ElderlyElderlynn InfantsInfantsnn Those whose natural ability to fight illness has Those whose natural ability to fight illness has

beenbeensuppressedsuppressed

nn AsthmaticsAsthmaticsnn Those with allergiesThose with allergiesnn Possibly healthy individuals where exposure levels Possibly healthy individuals where exposure levels

are significantare significant

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TECHNICAL GUIDANCETECHNICAL GUIDANCE

ll Sources of Published GuidanceSources of Published Guidance::nn Environmental Protection Agency, Environmental Protection Agency, Mold Remediation Mold Remediation

In Schools and Commercial BuildingsIn Schools and Commercial Buildings (2001)(2001)nn Environmental Protection Agency, Environmental Protection Agency, A Brief Guide to A Brief Guide to

Mold, Moisture and Your HomeMold, Moisture and Your Home (2003)(2003)nn American Conference of Governmental Industrial American Conference of Governmental Industrial

Hygienists, Hygienists, Bioaerosols: Assessment and ControlBioaerosols: Assessment and Control(1999)(1999)

nn New York City Department of Health, New York City Department of Health, Guidelines on Guidelines on Assessment and Remediation of fungi in Indoor Assessment and Remediation of fungi in Indoor EnvironmentsEnvironments (1993 & 1999)(1993 & 1999)

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WATER ASSESSMENTWATER ASSESSMENT

Discrete Water Condition Discrete Water Condition nn Burst pipe or flood Burst pipe or flood

Chronic Water Condition Chronic Water Condition nn Roof or appliance leakRoof or appliance leak

General Moisture or Humidity ConditionGeneral Moisture or Humidity Conditionnn Improperly sized HVAC system Improperly sized HVAC system

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WATER ASSESSMENTWATER ASSESSMENT

ll IDENTIFY THE NUMBER AND LOCATION IDENTIFY THE NUMBER AND LOCATION OF WATER SOURCESOF WATER SOURCESnn Important to understand whether liability exists Important to understand whether liability exists

for mold condition(s) for mold condition(s)

ll MAP VERTICAL AND HORIZOTAL MAP VERTICAL AND HORIZOTAL WATER MIGRATION WATER MIGRATION nn For each source For each source nn For all identified areas where water conditions For all identified areas where water conditions

exist exist

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RemediationRemediation

The Fire CureThe Fire Cure“To rid themselves of the toxic mold that savaged their lives, Steve and Karen Porath burned down their home”

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MOLD REMEDIATIONMOLD REMEDIATION

Mold Remediation Generally RequiresMold Remediation Generally Requires::Controlling source of waterControlling source of waterCleaning mold from nonCleaning mold from non--porous and where porous and where

possible semipossible semi--porous and porous materialporous and porous materialRemoving mold contaminated materials from Removing mold contaminated materials from

structure in plastic bagsstructure in plastic bagsReplacing those materials that cannot be Replacing those materials that cannot be

rehabilitatedrehabilitated

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THE ROLE OF AIR THE ROLE OF AIR SAMPLINGSAMPLING

ll Generally, no need for air sampling Generally, no need for air sampling where mold is visually identified where mold is visually identified nn No clear guidance in the scientific No clear guidance in the scientific

communitycommunitynnWhen should samples be taken?When should samples be taken?nnWhat can you conclude from sampling What can you conclude from sampling

results?results?

nn Impact on media response Impact on media response

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PART THREE PART THREE PREPARING FOR PREPARING FOR

AND AND SUCCESSFULLY SUCCESSFULLY

DEFENDING DEFENDING A MOLD CASEA MOLD CASE

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PREPRE--SUIT STRATEGIESSUIT STRATEGIES

Litigation PreventionLitigation Preventionnn Timely and proper water mitigation is Timely and proper water mitigation is

mold preventionmold preventionnn Claims should be handled under water Claims should be handled under water

and mold guidelines and mold guidelines nn Complaints should be properly addressedComplaints should be properly addressed

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PREPRE--SUIT STRATEGIESSUIT STRATEGIESIdentification of Likely SuitsIdentification of Likely Suits

nn Claimant making aggressive health complaints Claimant making aggressive health complaints nn Claimant has abandoned the homeClaimant has abandoned the homenn Claimant’s experts advancing farClaimant’s experts advancing far--reaching reaching

remediation proposals remediation proposals nn Claimant working with experts who are wellClaimant working with experts who are well--known known

plaintiffplaintiff--oriented advocates on mold issuesoriented advocates on mold issues

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PREPRE--SUIT STRATEGIESSUIT STRATEGIES

Identification of Likely SuitsIdentification of Likely Suitsnn Claimants present medical reports Claimants present medical reports

asserting novel health claims (such as asserting novel health claims (such as toxicosis) toxicosis)

nn Claimants represented by public Claimants represented by public adjusters or attorneys active in mold adjusters or attorneys active in mold litigation litigation

nn Claim arises in a “hotClaim arises in a “hot--bed” of mold bed” of mold litigationlitigation

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LITIGATION LITIGATION STRATEGIESSTRATEGIES

Defining the claimDefining the claimll Product liability claim Product liability claim

ll Construction defect claimConstruction defect claim

ll Bad faith claims handlingBad faith claims handling

ll Premises liabilityPremises liability

ll Fraudulent ConveyanceFraudulent Conveyance

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LITIGATION LITIGATION STRATEGIESSTRATEGIES

Developing the underlying factsDeveloping the underlying factsll Water first, mold second Water first, mold second

nn History of the structure with respect to History of the structure with respect to water/moisture conditions water/moisture conditions

nn Number of water sources Number of water sources nn Chronic versus discrete water conditions Chronic versus discrete water conditions nn Mapping of the vertical and horizontal extent of Mapping of the vertical and horizontal extent of

water conditionswater conditions

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LITIGATION LITIGATION STRATEGIES STRATEGIES

Developing the underlying factsDeveloping the underlying factsll Mold assessment Mold assessment

nn Extent of mold contamination Extent of mold contamination nn Location of mold contaminationLocation of mold contaminationnn Water/humidity source which caused mold Water/humidity source which caused mold

contamination contamination nn Hidden mold conditions Hidden mold conditions nn Estimation as to when contamination first occurred Estimation as to when contamination first occurred nn When did mold become noticeable to occupantWhen did mold become noticeable to occupant

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LITIGATION LITIGATION STRATEGIESSTRATEGIES

Developing the underlying factsDeveloping the underlying factsll Mold assessmentMold assessment

nn Was any preWas any pre--remediation sampling performed?remediation sampling performed?nn By who?By who?nn Why were samples taken?Why were samples taken?nn What was the sampling plan?What was the sampling plan?nn What laboratory analyzed the sampling results? What laboratory analyzed the sampling results? nn Identify the sampling data Identify the sampling data

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LITIGATION LITIGATION STRATEGIESSTRATEGIES

Developing the underlying factsDeveloping the underlying factsll Plaintiff’s alleged exposure history Plaintiff’s alleged exposure history

nn Is the plaintiff a member of an “at risk” groupIs the plaintiff a member of an “at risk” groupnn How long did plaintiff reside in the mold How long did plaintiff reside in the mold

contaminated structure?contaminated structure?nn Alternative exposure locations (such as work, school Alternative exposure locations (such as work, school

etc) etc) nn When does plaintiff allege first exposure?When does plaintiff allege first exposure?

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LITIGATION LITIGATION STRATEGIESSTRATEGIES

Developing the underlying factsDeveloping the underlying factsll Plaintiff’s alleged exposure historyPlaintiff’s alleged exposure history

nn Does plaintiff identify a specific location in the Does plaintiff identify a specific location in the residence where exposure occurred residence where exposure occurred

nn Duration of alleged exposureDuration of alleged exposurenn Who did plaintiff first report health complaints to?Who did plaintiff first report health complaints to?

nn Reported work problems Reported work problems nn Identify potential alternative exposures within Identify potential alternative exposures within

structure which might have caused alleged injuries structure which might have caused alleged injuries nn Obtain plaintiff’s complete medical historyObtain plaintiff’s complete medical history

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LITIGATION LITIGATION STRATEGIESSTRATEGIES

Identifying and retaining appropriate expertsIdentifying and retaining appropriate expertsll Technical expertsTechnical experts

nn Industrial hygienists Industrial hygienists nn Microbiologists Microbiologists nn EngineersEngineers

nn Moisture engineerMoisture engineernn Construction expertsConstruction experts

nn Architect, general contractorArchitect, general contractor

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LITIGATION LITIGATION STRATEGIESSTRATEGIES

Identifying and retaining appropriate expertsIdentifying and retaining appropriate experts

llMedical expertsMedical expertsnn ImmunologistImmunologistnn EpidemiologistEpidemiologistnn AllergistAllergistnn Toxicologist Toxicologist nn Neuropsychologist Neuropsychologist

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LITIGATION LITIGATION STRATEGIESSTRATEGIES

Identifying and retaining appropriate expertsIdentifying and retaining appropriate experts

ll Other experts Other experts nn Insurance bad faith Insurance bad faith nn Appraiser (mold stigma claims) Appraiser (mold stigma claims)

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LITIGATION DEFENSESLITIGATION DEFENSES

Causation defensesCausation defensesll Frye Frye nn General acceptance General acceptance

ll Daubert Daubert nn Judge acts as “gatekeeper”Judge acts as “gatekeeper”nn Evidence must pertain to “scientific knowledge” Evidence must pertain to “scientific knowledge”

supported by “appropriate validation” i.e., supported by “appropriate validation” i.e., “good grounds”“good grounds”

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LITIGATION DEFENSESLITIGATION DEFENSES

Mold specific medical causation issuesMold specific medical causation issuesll Symptoms associated with mold can be Symptoms associated with mold can be

attributable to a great number of other causes attributable to a great number of other causes ll Unlike toxic torts there are no definite Unlike toxic torts there are no definite

biological markers which could establish a biological markers which could establish a mold exposure mold exposure

ll No accepted methodology to measure doseNo accepted methodology to measure dosell Neurological effects of mold unknown Neurological effects of mold unknown

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LITIGATION DEFENSESLITIGATION DEFENSESMold specific medical causation issuesMold specific medical causation issues

ll There are no valid epidemiological studies or peer There are no valid epidemiological studies or peer reviewed research demonstrating a casual connection reviewed research demonstrating a casual connection between mold exposure and significant illnessesbetween mold exposure and significant illnesses

ll Large gaps in knowledge necessary to conduct Large gaps in knowledge necessary to conduct quantitative risk assessments for inhaled mycotoxins quantitative risk assessments for inhaled mycotoxins

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LITIGATION DEFENSESLITIGATION DEFENSES

ll PLAINTIFF’S EVIDENCE PLAINTIFF’S EVIDENCE nn Cleveland Baby Study (1994)Cleveland Baby Study (1994)nn New York Office Building (1996)New York Office Building (1996)

nn Chicago Residence (1986)Chicago Residence (1986)nn Animal Studies Animal Studies nn Case reports (differential diagnosis)Case reports (differential diagnosis)

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LITIGATION DEFENSESLITIGATION DEFENSES

ll The general scientific community The general scientific community recognizes that the current peerrecognizes that the current peer--reviewed reviewed literature does not support causation literature does not support causation between mold exposure and specific between mold exposure and specific medical diseases of illnesses. medical diseases of illnesses.

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LITIGATION DEFENSESLITIGATION DEFENSES

ll CDC notes gaps in scientific knowledge CDC notes gaps in scientific knowledge between mold exposure and human health and between mold exposure and human health and comments that “it is not known …. what comments that “it is not known …. what quantity of mold is acceptable in indoor quantity of mold is acceptable in indoor environments.”environments.”nn See, Statement of Stephen C Redd, M.D. to U.S. See, Statement of Stephen C Redd, M.D. to U.S.

House of Representatives Financial Services House of Representatives Financial Services Subcommittee regarding the State of the Science Subcommittee regarding the State of the Science on Molds and Human Health, pps. 8on Molds and Human Health, pps. 8--9. 9.

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LITIGATION DEFENSESLITIGATION DEFENSES

ll ACOEM reports that: “Current scientific ACOEM reports that: “Current scientific evidence does not support the proposition that evidence does not support the proposition that human health has been adversely affected by human health has been adversely affected by inhaled mycotoxins in the home, school or inhaled mycotoxins in the home, school or office environment. office environment. nn American College of Occupational and American College of Occupational and

Environmental Medicine Council on Scientific Environmental Medicine Council on Scientific Affairs, Adverse Human Heath Effects Affairs, Adverse Human Heath Effects Associated with Molds in the Indoor Associated with Molds in the Indoor Environment. 2003. JOEM 45: 470Environment. 2003. JOEM 45: 470--78. 78.

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LITIGATION DEFENSESLITIGATION DEFENSES

Technical causation issues Technical causation issues ll Sampling to establish personal exposureSampling to establish personal exposure

nn Sampling plan and protocolsSampling plan and protocolsnn “Snap“Snap--Shot” sampling inadequate Shot” sampling inadequate nn Does not indicate dose (concentration over time)Does not indicate dose (concentration over time)nn Sampling is highly variableSampling is highly variablenn Baseline samplesBaseline samplesnn Experience of samplerExperience of samplernn Experience of laboratory analyst Experience of laboratory analyst

nn Ominous data may be largely meaninglessOminous data may be largely meaningless

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LITIGATION LITIGATION STRATEGIESSTRATEGIES

ll Ballard v. Fire Ins. Exchange (Daubert)Ballard v. Fire Ins. Exchange (Daubert)nn Judge excluded plaintiff’s proffered causation Judge excluded plaintiff’s proffered causation

testimony that mold caused cognitive defects testimony that mold caused cognitive defects nn Rejects Johanning epidemiological survey Rejects Johanning epidemiological survey ---- no no

attempt to link exposure to cognitive defectsattempt to link exposure to cognitive defectsnn Reporting biasReporting biasnn Some survey participants patients of expert Some survey participants patients of expert nn Fails to meet Hill criteriaFails to meet Hill criteria

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LITIGATION DEFENSESLITIGATION DEFENSES

ll Ballard v. Fire Ins. ExchangeBallard v. Fire Ins. Exchange

nn Rejects specific causation Rejects specific causation nnDeaths of mice in home Deaths of mice in home nnNo scientifically derived or designed No scientifically derived or designed

methodology free from bias methodology free from bias nn Sampling not conclusive proof of Sampling not conclusive proof of

causation causation

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LITIGATION DEFENSESLITIGATION DEFENSES

ll Flores v. Allstate Texas LloydsFlores v. Allstate Texas Lloyds (Daubert)(Daubert)nn Court excludes treating physician’s Court excludes treating physician’s

testimony that mold in home caused testimony that mold in home caused plaintiffs’ alleged injuries. plaintiffs’ alleged injuries.

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LITIGATION LITIGATION STRATEGIESSTRATEGIES

ll Miner v. American MortgageMiner v. American Mortgage (Daubert)(Daubert)nn Employees of credit card company allege Employees of credit card company allege

injuries resulting from longinjuries resulting from long--term term exposure to mold, mycotoxins and other exposure to mold, mycotoxins and other toxins at worktoxins at work

nn Court allowed expert testimony over Court allowed expert testimony over defendants Daubert challenge defendants Daubert challenge

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LITIGATION LITIGATION STRATEGIESSTRATEGIES

llMondelli v. Kendel Homes CorpMondelli v. Kendel Homes Corp.. (Frye)(Frye)nn Alleged asthma from household mold Alleged asthma from household mold

exposureexposurenn Nebraska Supreme Court admits Nebraska Supreme Court admits

evidence under Frye general acceptance evidence under Frye general acceptance testtest

nn Court did not explain how evidence met Court did not explain how evidence met the test the test

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LITIGATION LITIGATION STRATEGIESSTRATEGIES

ll New Haverford Partnership v. Stroot New Haverford Partnership v. Stroot (Daubert)(Daubert)nn Differential diagnosis by Johanning of plaintiff Differential diagnosis by Johanning of plaintiff

alleging injuries from mold exposure alleging injuries from mold exposure nn Court rejects Daubert challenge Court rejects Daubert challenge nn But see, But see, Turner v. Iowa Fire EquipTurner v. Iowa Fire Equip (8th Cir.), (8th Cir.),

and and Moore v. Ashland ChemicalMoore v. Ashland Chemical (5th Cir.) (5th Cir.) (rejecting differential diagnosis to establish (rejecting differential diagnosis to establish causation under Daubert). causation under Daubert).

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LITIGATION DEFENSESLITIGATION DEFENSES

ll Graham v. Lautrec, LtdGraham v. Lautrec, Ltd. (Frye). (Frye)nn “[T]here is no well“[T]here is no well--established evidence linking established evidence linking

the presence of indoor mold and the health the presence of indoor mold and the health concerns elaborated in the scientific and lay concerns elaborated in the scientific and lay press. This manuscript as well as the litany of press. This manuscript as well as the litany of other reports and studies … supports other reports and studies … supports Defendant’s assertion that Plaintiffs’ expert’s Defendant’s assertion that Plaintiffs’ expert’s are not supported by principles or theories are not supported by principles or theories generally accepted by the scientific community.generally accepted by the scientific community.

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LITIGATION STRATEGIESLITIGATION STRATEGIES

ll Roche v. Lincoln Property CoRoche v. Lincoln Property Co. . (Daubert)(Daubert)nn Excludes expert testimony from medical Excludes expert testimony from medical

doctor. doctor. nn Also rejects claim that unit was Also rejects claim that unit was

uninhabitable finding plaintiff’s uninhabitable finding plaintiff’s industrial hygienist’s insufficient. industrial hygienist’s insufficient.

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LITIGATION LITIGATION STRATEGIESSTRATEGIES

Other defensesOther defensesll Statute of limitationsStatute of limitationsnn Discovery ruleDiscovery rule

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PART FOURPART FOUR

THE FUTURE OF THE FUTURE OF MOLDMOLD

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MOLD TRENDSMOLD TRENDS

ll First party insurance market restrictedFirst party insurance market restrictedll The merging of mold and construction The merging of mold and construction

defectdefectll Remediation of commercial structuresRemediation of commercial structuresll New medicalNew medical--science? science?