Important Case Updates
IPEX SETTLEMENT UPDATE:
Class Counsel recently
reached a tentative settlement with the manufacturer of the
Kitec brass fittings, Ipex, Inc. and IPEX USA, LLC, for $90,000,000.
This settlement does not resolve the entire In Re Kitec Fitting
Litigation case as claims remain against the home builders and
the plumbers. Because this is a partial settlement, it will
not be enough by itself to re-plumb homes. Therefore, litigation
will continue against the home builders and plumbers that have
not yet settled. This settlement must still be approved by the
Court and by the Class, which will take several months. The
settlement may be appealed by other defendants in the case,
which may substantially delay Class Counsel’s ability
to use these funds for repairs. For more information regarding
this settlement and how it may affect your rights, please read
of Preliminary Approval of Settlement and Fairness Hearing and the Fifth
Notice of Class Action documents in the Updates section
of this website and/or contact our office at the telephone number
- FAIRNESS HEARING UPDATE: After much argument from both sides at the Fairness Hearing held on January 30, 2009, the Court ultimately approved the $90,000,000 settlement with the manufacturer (Ipex). However, this money will not be available for use by the class members until all appeals, if any, are resolved. Additionally, the settlement with the manufacturer is a partial settlement and does not include enough money to begin re-plumbing homes without acquiring additional funds. As described above, litigation will continue against the home builders and plumbers that have not yet settled in an attempt to obtain the additional funds necessary to re-plumb each class member’s home.
- In October 2008, Class Counsel reached a settlement with the manufacturer of the Kitec brass fittings, Ipex, Inc. and IPEX USA, LLC (collectively as “Ipex”), for $90,000,000 resolving all 32,000+ class members’ claims against those Defendants. Through an order entered in March 2009, the Court approved the class settlement with Ipex. Shortly thereafter, more than a dozen other Defendants in this class action appealed the Court’s order approving the Ipex settlement to the Nevada Supreme Court. Under the terms of the Ipex settlement agreement, these appeals effectively froze the $90 million making it unavailable to the class members. Over the following several months, Class Counsel reached settlement agreements with most of the appealing Defendants. These settlements required the settling Defendants to dismiss and/or withdraw their appeals of the Ipex settlement. Unfortunately, a small number of Defendants did not settle the claims against them for quite some time and continued to appeal the Ipex settlement. Over the course of the next 18 months, Class Counsel continued to work to resolve the class claims against these appealing Defendants, which required Class Counsel to prosecute two successful trials on behalf of nearly 1,000 class members. Finally, in December 2010, Class Counsel reached a settlement with the last two appealing Defendants (Majestic Plumbing, Inc. and Sharp Plumbing, Inc.). As part of the settlement, these two Defendants agreed to dismiss and/or withdraw their appeals of the Ipex settlement and did so in or about January 2011. The Court approved the settlement with these two Defendants through an order entered on February 28, 2011. Immediately following this settlement, Class Counsel sought an order from the Court directing that the $90 million in Ipex settlement funds be released for use by the class members. On March 14, 2011, the Court entered an order releasing the Ipex settlement funds. Following entry of this order and under the direction of the Court, Class Counsel and the Court-appointed claim administrator, Total Class Solutions, LLC (“TCS”), are working to move the claims process forward for all class members. Due to the complexity of this case with more than 32,000 class members and the varying results for the numerous subclasses and individual class members, the claims process for all class members will not begin at the same time. When the claims process begins for your home, you will be contacted by mail with a packet including a notice describing the relief to be provided for your home, a claim form that must be submitted to TCS for you to claim the relief, and other pertinent information.