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Last updated on May 26, 2012 at 10:42 EDT

Hagens Berman Files Suit Against Trex Company Over Decking Products

January 16, 2009
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SEATTLE, Jan. 16 /PRNewswire/ — A Washington homeowner filed a proposed
class-action lawsuit against Trex Company, Inc. (NYSE: TWP) this week,
claiming the nation’s largest manufacturer of wood-alternative decking is
selling flawed products, and fails to live up to its guarantee when its
products fail.

(Logo: http://www.newscom.com/cgi-bin/prnh/20080317/AQM144LOGO)

Mark Okano, a Gig Harbor resident, claims his two-year old deck made
entirely from Trex product began degrading, cracking and rotting in July 2008,
but the company refuses to reimburse him for the costs associated with
repairing the deck — specifically the cost of labor to remove the bad boards
and install new ones.

Okano claims in his lawsuit that the company touts its product as superior
to alternatives and charges high prices for the premium product, but fails
customers in honoring warranties when problems arise. He claims his deck is
unsafe and unusable as result of the product’s faulty performance.

“Home maintenance and repairs are an expensive reality of homeownership,
but when a company fails to meet its product’s promises and refuses to pay for
repairs, customers have a right to fight back,” said Steve Berman lead
attorney and managing partner at Hagens Berman Sobol Shapiro.

Okano’s case is not the first time Trex attempted to evade
responsibilities to customers, the suit contends. In 2000, Trex faced a
similar lawsuit that settled with a provision stating Trex would pay for
replacement labor costs in addition to new product.

After the first suit, Trex acknowledged the widespread defects in the
product and set aside $45 million in reserve to deal with future losses
stemming from the claims of customers for replacement materials.

“This is familiar territory to Trex and we intend to recover damages for
our client and other frustrated customers nationwide,” said Berman. “Trex has
a legal obligation to honor warranties and by not doing so is showing its true
colors and failed commitment to customers.”

Okano claims he received no warranty information when he purchased the
product. Once he contacted the company to report his problems, Trex sent a
limited warranty document claiming ‘Trex shall not be responsible for costs
and expenses incurred with respect to the removal of defective Trex products
or the installation of replacement materials, including but not limited to
labor and freight.’

After submitting his claim to Trex, Okano received a letter more than six
weeks later telling him Trex is committed to resolving the identified
conditions. Trex promised to ship 113 boards to his home without any offer to
help with labor costs.

In return for the new product, Trex asked Okano to sign a release freeing
the company from further liabilities, losses or claims relating to the
affected Trex materials or its replacement. It also asked that he keep the
settlement confidential and refrain from making any negative or disparaging
remarks to third parties.

According to court documents, Okano refused to sign the agreement and
rejected the offer for replacement materials.

The lawsuit claims Trex’s warranty documents violate the federal
Magnuson-Moss Warranty Act.

The lawsuit seeks to represent consumers nationwide who either purchased
or obtained Trex decking material that exhibits defects including peeling,
rot, splintering, checks, cracks, decomposition, flaking, bowing, expanding,
swelling and more. The proposed class period ranges from Aug. 1, 2004 until
present.

The lawsuit names several counts against Trex in addition to the violation
of the Magnuson-Moss Warranty Act, including violations of state sales and
consumer protection statutes. The suit seeks reform of Trex’s warranty
documents, awards for damages under state sales, warranty, consumer protection
laws, trebling of damages where permitted, and punitive damages.

To learn more about this case or sign up, please visit
http://www.hbsslaw.com/trex.

About Hagens Berman Sobol Shapiro

Hagens Berman Sobol Shapiro is based in Seattle with offices in Chicago,
Boston, Los Angeles, Phoenix, San Francisco and New York. Since the firm’s
founding in 1993, it has developed a nationally recognized practice in class
action and complex litigation. Among recent successes, HBSS has negotiated a
pending $300 million settlement as lead counsel in the DRAM memory antitrust
litigation; a $340 million recovery on behalf of Enron employees which is
awaiting distribution; a $150 million settlement involving charges of
illegally inflated charges for the drug Lupron, and served as co-counsel on
the Visa/Mastercard litigation which resulted in a $3 billion settlement, the
largest anti-trust settlement to date. HBSS also served as counsel in a $850
million
settlement in the Washington Public Power Supply litigation and
represented Washington and 12 other states in lawsuits against the tobacco
industry that resulted in the largest settlement in the history of litigation.
For a complete listing of HBSS cases, visit http://www.hbsslaw.com.

     CONTACTS:

     Steve Berman (206) 623-7292
     Hagens Berman Sobol Shapiro
     Steve@hbsslaw.com

     Mark Firmani (206) 443-9357
     Firmani + Associates Inc.
     Mark@firmani.com

SOURCE Hagens Berman Sobol Shapiro


Source: newswire