The Threat of Mold

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Statistics and Facts PDF Print E-mail
 Mold in the Construction Industryhangingmold
  Mold spores exist nearly everywhere- in the air we breath, and on virtually any surface. However, mold spores can't colonize and reproduce unless they have oxygen, moisture and a food source. Unfortunately, it is virtually impossible to eliminate oxygen and moisture from a construction environment. In fact newer building practices actually increase potential mold problems by decreasing general ventilation of a building and making it more "air-tight" (thereby trapping moisture and increasing the chances of mold growth) Consequently, it is absolutely vital that new homes being built are protected sufficiently from Mold.

Why Mold is a Problem

 Health Effects : Mold effects human health in numerous ways
  • Mold related allergies: Symptoms can include runny nose, itchy eyes, wheezing, and skin rashes.
  •  Allergic fungal sinusitis
  •  Infections    
  •  Asthma
  •  Mold can irritate mucous membranes of the eyes and respiratory system.
  •  Volatile compounds (VOCS) produced by mold are thought to cause headache, attention deficit, and dizziness.
  •  Toxic molds are reported to cause nausea and diarrhea, depression, headaches, tremors, kidney problems, and infertility.

Financial Effects

  Most builders and anyone related to the real estate industry have heard of a party backing out of a real estate transaction because of mold problems. According to a new poll conducted by Environmental Assurance Group (EAG). respondents familiar with mold-related incidents in commercial real estate transactions said it takes an average of $11 million to remediate.
Real Estate Weekly, Novemeber 17, 2004 

Lack of Insurance
"A growing inability to find mold insurance for commercial construction has contractors, building owners, architects and engineers looking for ways to protect themselves against potential litigation."
      Business First of Columbus, June 18, 2004

It has become standard industry practice for insurance companies to exclude mold coverage in casualty insurance policies.

Potential Litigationhangingmold
  As many as 10,000 toxic-mold cases are now pending nationwide in the Courts. Plaintffs' lawyers generally are trying to convince Courts and juries that their clients' medical problems are linked to their mold exposure. The results include a $32 million verdict in Texas and a $22 million Settlement in California.

Whatever the outcome in these cases a unifying theme seems to be that juries seem to be sympathetic to claimants where the injury appears severe and the defendant landlord, contractor, etcetera either acted indifferently to the claimant's pleas and/or performed remedial work in a negligent fashion. Even when the science may be in doubt, juries may be making up for such doubt by penalizing the defendant who does not show proper concern or take adequate measures to correct the problem. 

      Preventing a mold claim to before it starts is a sound business practice.