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Feb. 20, 2007 — CSST Lawsuit Settled

February 20, 2007

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A class-action lawsuit over CSST and lightning strikes was settled this month. The lawsuit claimed that CSST was not thick enough to prevent damage to itself in the event of a lightning strike and that it posed an unreasonable risk of fire. CSST makers Omegaflex, Parker Hannifin, Titeflex and Ward were named as defendants.

In settling the suit, the manufacturers denied these allegations, denied any wrongdoing or legal liability and asserted that CSST is safe, if properly installed in accordance with local codes and the manufacturers’ instructions.

Under terms of the settlement, property owners who qualify will receive payment vouchers of between $200 and $2,000 for the installation of a lightning protection system or vouchers of between $75 and $160 for the installation a bonding jumper to the building’s main grounding electrode. The benefits vary depending on where in the United States the building is located and the size of the building.

The settlement also requires that the manufacturers make changes in their marketing and installation instructions regarding the risk posed by lightning, the importance of all applicable code regulations, including NFPA 70, and whether a lightning protection system is appropriate, along with a reference to NFPA 780.

The manufacturers also paid the $29 million legal fees of the class counsel. No fees will be deducted from the voucher payments made to the settlement class members.

The settlement covers CSST installed after Sept. 5, 2006. Claims must be submitted by Sept. 5, 2007.



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