In April 2009,  Louisiana Senator Mary Landrieu and Florida Senator Bill Nelson introduced the Drywall Safety Act of 2009.  It was briefly discussed on this blog as Sen. Landrieu seemed to suggest that the Act would contemplate aid for homeowners and builders.   Since our discussion some months ago, however, the Act has stopped at its introduction and has not yet gone to vote.

However, other legislative initiatives in Louisiana and nationally have gained some speed.

In the Louisiana legislature, for example, Senator Julie Quinn of Metairie proposed a bill that would allow homeowners to sue the makers, distributors and sellers of defective drywall for damages and attorneys fees.

The liability bill aims to retroactively give homeowners some legal remedy, but many warn that the legislation unfairly targets builders and suppliers, who themselves may be victims:

On YourLawyer.com, Parker Waichman Alonso LLP writes:

The bill is supported by many homeowners in the state, as well as plaintiffs’ attorneys. But many business advocates argue because the bill is retroactive, it could push many businesses into bankruptcy. Others assert that it isn’t fair to sue those companies who didn’t know the materials they purchased from China were toxic.

Fortunately for those in the drywall supply chain, the bill was sent back to committee.  Instead, the Legislature adopted House Concurrent Resolution No. 185, authored by Representative Tim Burns.

The resolution requests that the Department of Health and Hospitals, Department of Insurance and Louisiana State Board of Contractors all work together to study the effects of defective drywall in Louisiana, and report back to the legislature prior to the 2010 regular session [read resolution text].

Nationally, three United States senators have recently petitioned the IRS to interpret  165(h) of the tax code, which allows taxpayers to deduct casualty losses, to apply to losses from Chinese Drywall.

As the Bernaird Law Firm states on their blog, the measure would be:

[a] very practical way to assist those people who have often been forced to move if not simply suffer through the health issues relating to Chinese drywall, one can only hope the IRS takes this initiative and runs with it.

While legislatures are aware of the problems and are thinking of possible solutions, homeowners and property owners with Chinese Drywall are still left in the balance, currently without remedies.