Creeping Mold: It's Coming and You Need to be READY!

Reprinted from the Maryland Construction Review Summer 2002.  
A Newsletter from Hodes, Ulman, Pessin & Katz, The Maryland Law Firm.

In the construction industry, mold is growing into a threat which could subject contractors to significant liability.  The problem of mold may surpass the issues of asbestos and lead paint in terms of the size and frequency of claims. The science and law surrounding mold is in its infancy and many important question remain unanswered.  However, mold is believed to be a potential source of many health problems for people in affected buildings, including toxic reactions to mold which may cause permanent neurological damage to children.  Also, mold may cause structural problems in buildings as a result of the mold's natural metabolic processes which break down building materials.  Importantly, once established, mold infestations may prove impossible to eradicate without significant repair or destruction of the premises.  Consequently, damages caused by mold can run into millions of dollars.

The availability of insurance coverage for mold-related damages may be a considerable problem in the future.  Many insurance companies are moving to disclaim damages related to mold. Under existing policies, there may be debate as to whether or not damage caused by mold is a result of poor workmanship, or a result of naturally occurring phenomenon.  Also, insurance companies may attempt to disclaim coverage using the "pollution exclusion" contained in most insurance policies. Therefore, even if a contractor currently has insurance, a claim for mold related damages may not be covered.

Mold and its consequences, may affect design professionals, material-men, product transporters and others involved in the construction process.  Issues involving liability shifting for damages caused by mold will likely become more common.  For example, large contractors have recently been requesting material-men to sign indemnity agreements or warranties that their products are moisture and mold-free.  Thus, industry norms on the issue of mold are still in flux.

Currently, there are BOCA standards concerning moisture and ventilation in the interior of buildings, both of which may have an effect on mold growth.  To date, no industry standards exist as to mold specifically.  Until uniform standards are in place regarding mold, contractors should be wary of entering into any indemnity or warranty agreements concerning mold infestations without carefully considering the costs.

*What does this mean to you as a homeowner?  Well, certainly it means keeping your basement as dry and moisture free as possible.  We at Desert Dry Waterproofing, have been eliminating the source of mold and mildew since 1968.  While, this may be a relatively new concern to most of the construction trades it has been one of our main concerns for over 35 years.  Most basements are potentially the perfect breeding ground for mold & mildew. By design basements are below ground and susceptible to water infiltration — the primary cause of mold. Couple that with lack of air circulation and high humidity and alas — MOLD !

With our waterproofing remedies in place, and you closely following our guidelines for proper ventilation, you can live a safe and carefree existence in your "Desert Dry" home!  We will guarantee that for life.  If you would like more information, or to schedule an appointment for a FREE, no obligation estimate click HERE !

For more articles and resources on Mold, Mildew, Fungus, their dangers, causes and treatments click HERE!

*Last section written by DDWC