A tale as old as time in the environmental health and construction space - an unexpected mold problem turned wide-spread, resulting in a need for significant mold remediation. Even worse? An insurance provider denying a claim that was well documented and merited coverage. In many ways, our proactive approach and commitment to staying a step ahead of any possible issues were born from seeing this happen time and time again. The potential for disruption, postponement, and even a complete halt of a construction project is enough to motivate our team to be expedient and thorough in our approach. Not to mention the harm these issues can cause to those occupying the premises. This is a remarkable example of our CEO J. Brent Kynoch testifying in court, which ultimately led to our client winning a significant legal battle.
Case Study
The issue: In this case, our client filed a claim with their pollution liability carrier during construction for a mold concern on a project. However, the insurer denied the claim twice, alleging that notice to the carrier was not provided in a timely manner. Our client argued that the claim was filed in a timely manner and that the insurer did nothing to work with them in resolving the mold claim, even after providing notice.Â
Clearity’s Involvement:
During J. Brent Kynoch’s expert testimony, he was able to explain to the jury how our firm was involved in the project and how we worked with our client to identify and remedy the mold concerns. He pointed out a number of water intrusion events and mold concerns that occurred during construction and how those were quickly, completely, and successfully resolved without the need for an insurance claim. It was important to note that the pollution liability policy had a $250K deductible.
Furthermore, he explained how the mold concern giving rise to the insurance claim was identified, how our firm determined the cause of the mold, and how it took several weeks of investigation to evaluate the extent of the mold concern. Only after several weeks of investigation did it become clear that the mold concern was wide-spread and would result in a significant mold remediation effort that would trigger the pollution liability coverage.Â
Our commitment to being knowledge-driven
Brent was tasked with educating the jury on our approach to preventing mold concerns with this particular client. He provided insight into our process for addressing mold once it has been identified, which is not uncommon in construction projects. To demonstrate our effectiveness, he presented reports and field notes detailing our inspections and investigations throughout the project. These documents outlined instances of moisture intrusion and mold, and how we worked to remediate the issue, ultimately providing clearance for each concern. The mold issue that led to the insurance claim was caused by the gypcrete subcontractor's failure to properly protect the drywall before pouring the gypcrete. He was able to effectively explain how this led to the mold, why it was widespread, and why it took several weeks to fully understand the extent of the problem.
The Outcome:
Overall, our expert testimony was crucial in helping the jury understand the complexities of the case and ultimately awarding our client the entire $5.8 million they were seeking. The jury in this trial was truly convinced of our client's proactive approach to mold prevention throughout the entire construction project. This not only demonstrated our client's commitment to "doing the right thing" on all their projects, but also provided solid and objective evidence of their dedication. During Brent’s testimony, he was able to present undeniable proof of our client's proactive and aggressive responses to water intrusion and mold concerns. By painting a vivid picture of a meticulous and thorough client, it greatly bolstered our argument that our client took all the necessary steps to notify the insurance carrier about the mold concern. The credibility gained from showcasing our client's actions further solidified their position in this case.
The Impact:Â
Choosing to do what is morally and ethically correct will always yield positive results. Our client made the wise decision to enlist Clearity's services for water intrusion management and mold prevention, which was the right thing to do. Clearity, in turn, demonstrated their commitment to excellence by providing comprehensive documentation of their activities, findings, and recommendations. This documentation proved to be a crucial component in presenting our client as a well-organized and thorough firm, while simultaneously highlighting the insurance carrier's incompetence and disorganization. Ultimately, doing the right thing paid off for our client in more ways than one.
Protect your projects from mold and ensure the well-being of your building, patrons, and company by preventing mold from causing any harm or damage. Don't jeopardize the success of your business!
Our team provides comprehensive documentation on the progress of the project, specifically related to water and mold. This documentation can serve as a strong defense or offense for our clients in case of any legal disputes. As mold claims can result in significant financial liabilities, our detailed documentation ensures that our clients are protected by demonstrating that water and mold were handled effectively and efficiently. Trust Clearity to safeguard your projects from mold and its potential consequences.
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