Lumber Liquidators Reaches $36M Laminate Flooring Settlement

By Peter Hayes

Lumber Liquidators has reached a $36 million settlement of class action claims over its sale of Chinese-made laminate flooring ( In re Lumber Liquidators Chinese-Manufactured Flooring Products Marketing, Sales Practices and Products Liability Litigation , E.D. Va., 15-md-2627, 16-md-2743, 10/24/17 ).

The agreement calls for the company to pay $22 million in cash and $14 million in store credits, the company said Oct. 24.

The memorandum of understanding, which is subject to court approval, would resolve all class action claims over the flooring, Daniel Bryson with Whitfield, Bryson & Mason, LLP, one of the attorneys for the plaintiffs, told Bloomberg Law.

A CBS “60 Minutes” report in 2015 sparked public outrage when it alleged Lumber Liquidators’ China-made laminated wood flooring exceeded California’s formaldehyde limits.

The company stopped selling the products in May 2015 and agreed to pay $2.5 million as part of an administrative settlement with the California Air Resources Board in March 2016.

Lumber Liquidators also settled with the Consumer Product Safety Commission in June 2016.

Cohen, Milstein, Sellers & Toll PLLC, Hagens Berman Sobol Shapiro, LLP, and Cotchett, Pitre & McCarthy, LLP represent the plaintiffs in the formaldehyde MDL.

Robertson & Associates, LLP and Whitfield, Bryson & Mason LLP represent the plaintiffs in the durability MDL.

McGuireWoods LLP, Greenberg Traurig, Morrison and Foerster LLP and others represent Lumber Liquidators.

To contact the reporter on this story: Peter Hayes in Washington at PHayes@bna.com

To contact the editor responsible for this story: Steven Patrick at spatrick@bna.com

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