Homebuilders Suing Over Chinese Drywall Lose Class Status Bid

Homebuilders that used allegedly defective Chinese drywall for construction repair or remodeling after Hurricanes Rita and Katrina can’t proceed as a certified class against manufacturer Taishan Gypsum Co., Ltd.

The named plaintiff, Mitchell Co. Inc., failed to show that there are enough builders to proceed as a class. Mitchell also didn’t prove that the damages sought are common to all class members, or that it incurred damages typical of other proposed class members, the U.S. District Court for the Eastern District of Louisiana said July 8.

Although Mitchell said the proposed class “likely consists of over 100 homebuilders,” it was ...