Kitec Plumbing Part 4: Getting Paid from the Settlement Fund
by BPE Lawyer Steve Beed
In 2011, a Class Action lawsuit was filed in U.S. Federal Court concerning Kitec plumbing. The Class of Plaintiffs includes all persons who own or lease or have owned or leased a building, residence, or other structure that contains or has contained Kitec plumbing. The Defendants are Ipex/Kitec and others involved in the installation of this plumbing the Plaintiffs’ properties.
In 2012, a Settlement was reached. The Settlement creates a one hundred and twenty five million U.S. dollar ($125,000,000) Settlement Fund (less attorneys’ fees and costs) to be used for the benefit of the Class to pay for the repair of buildings, residences, homes or other structures plumbed with the Kitec System. To be eligible to receive any money from the Settlement Fund, a claimant must complete and submit the Claim Form: Kitec Settlement Claim Form
The claim filing deadline is January 9, 2020. Any claims submitted after that date will be rejected. It is estimated that there are approximately 292,000 Kitec installations in North America of which it is estimated that 30% (87,600) will submit actual claims with the necessary documentation.
Once a Claim is received, it will be reviewed by the Settlement Administrator and, if approved, under the Plan of Allocation, a payment will made for approximately one half of the estimated costs to repair or replace the affected fitting or pipe. Payment amounts will be based on how the KITEC pipes/fittings were installed. Depending on the volume of claims and fund sufficiency, the amount of the initial payment might be increased before the end of the claims period. If this happens persons who have already filed a claim will receive a supplemental payment. You can view the Plan of Allocation at: Kitec Plan of Allocation
At the end of the claims period, assuming there are funds remaining, Claimants will receive a supplemental payment. Depending on fund sufficiency the supplemental payment might include the full costs of repairing or replacing the affected fittings or pipe and the costs of a complete replumb. It is therefore important that Claimants provide complete information with the Claim Form.
The critical issues here are timing and the availability of funds. While $125 Million may sound like a lot of money, if all 87,600 potential claimants submitted equal claims, that would only pay approximately $1,400 per Claim. So, if you are going to submit a Kitec Claim, do it immediately.
For over 20 years, the attorneys of BPE Law Group have been serving the legal needs of our clients wherever they may be and as complex and unique as the situation may demand.
If you have any further questions, please feel free to contact me at sjbeede@bpelaw.com. If you need help now, please call our office at (916) 966-2260 to set up a consultation.
This article is not intended to be legal advice, and should not be taken as legal advice. Every case requires review of specific facts and history, and a formal agreement for service. Please feel free to contact us if you need legal advice and are interested in seeing if we can help you.
by BPE Lawyer Steve Beed
In 2011, a Class Action lawsuit was filed in U.S. Federal Court concerning Kitec plumbing. The Class of Plaintiffs includes all persons who own or lease or have owned or leased a building, residence, or other structure that contains or has contained Kitec plumbing. The Defendants are Ipex/Kitec and others involved in the installation of this plumbing the Plaintiffs’ properties.
In 2012, a Settlement was reached. The Settlement creates a one hundred and twenty five million U.S. dollar ($125,000,000) Settlement Fund (less attorneys’ fees and costs) to be used for the benefit of the Class to pay for the repair of buildings, residences, homes or other structures plumbed with the Kitec System. To be eligible to receive any money from the Settlement Fund, a claimant must complete and submit the Claim Form: Kitec Settlement Claim Form
The claim filing deadline is January 9, 2020. Any claims submitted after that date will be rejected. It is estimated that there are approximately 292,000 Kitec installations in North America of which it is estimated that 30% (87,600) will submit actual claims with the necessary documentation.
Once a Claim is received, it will be reviewed by the Settlement Administrator and, if approved, under the Plan of Allocation, a payment will made for approximately one half of the estimated costs to repair or replace the affected fitting or pipe. Payment amounts will be based on how the KITEC pipes/fittings were installed. Depending on the volume of claims and fund sufficiency, the amount of the initial payment might be increased before the end of the claims period. If this happens persons who have already filed a claim will receive a supplemental payment. You can view the Plan of Allocation at: Kitec Plan of Allocation
At the end of the claims period, assuming there are funds remaining, Claimants will receive a supplemental payment. Depending on fund sufficiency the supplemental payment might include the full costs of repairing or replacing the affected fittings or pipe and the costs of a complete replumb. It is therefore important that Claimants provide complete information with the Claim Form.
The critical issues here are timing and the availability of funds. While $125 Million may sound like a lot of money, if all 87,600 potential claimants submitted equal claims, that would only pay approximately $1,400 per Claim. So, if you are going to submit a Kitec Claim, do it immediately.
For over 20 years, the attorneys of BPE Law Group have been serving the legal needs of our clients wherever they may be and as complex and unique as the situation may demand.
If you have any further questions, please feel free to contact me at sjbeede@bpelaw.com. If you need help now, please call our office at (916) 966-2260 to set up a consultation.
This article is not intended to be legal advice, and should not be taken as legal advice. Every case requires review of specific facts and history, and a formal agreement for service. Please feel free to contact us if you need legal advice and are interested in seeing if we can help you.