Lead Contamination

 

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Lead Released from Mini-Blinds May Trigger Manufacturer’s Liability Policy

American Alliance Ins. Co. v. Jencraft Corp., No. Civ. 96-4346, 1998 WL 702360 (D.N.J., Oct. 5, 1998)

The District Court of New Jersey has held that lead contamination in residences caused by the release of lead from deteriorating mini-blinds may constitute coverage-triggering property damage, pursuant to the mini-blind manufacturer’s liability policy.

This case involves lead-stabilized vinyl mini-blinds. In a number of pending class actions, it is alleged that such mini-blinds deteriorate and release hazardous lead dust into people’s homes.

A declaratory judgment action was instituted between the mini-blind manufacturer and its insurer, to determine whether these claims trigger coverage under the policy. The insurer moved for summary judgment, arguing in part that the claims do not allege damage to any property other than to the blinds themselves, which damage is excluded under a business risk exclusion. The Court denied the motion, on the ground that the deterioration of the mini-blinds creates a safety hazard and reduces the value of the property by virtue of its presence.

Editor's Note: For further information on what is being done about lead paint poisoning in Washington, D.C.,, see the website of the Alliance to End Childhood Lead Poisoning.  Another good resource on lead paint poisoning is the site of Maryland's Coalition To End Childhood Lead Poisoning.]

 

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