Property Owners and Mold:
Recent Developments
David Bierman, REA
September, 2002
Over the last 3 years indoor related mold contamination causing health hazards in buildings has become a widely debated topic engendering strong feelings and reactions among the various individuals and companies involved with buildings and building related issues. Many individuals have been greatly affected from having their health compromised while others such as building owners have suffered severe monetary losses as a result of lawsuits. Insurance carriers are reporting significant losses from mold related claims and some companies have even stopped writing new homeowner policies in California due to the high cost of mold claims. A lack of regulation, and education among the public and environmental professionals and the inexact nature of the science has added to the confusion regarding the effects of elevated molds in the indoor environment.
Molds are microorganisms that are everywhere in the environment both indoors and outdoors. Normally the indoor mold environment reflects the outdoor mold environment. It is when the indoor concentrations of molds become elevated and or do not reflect the outdoor environment that building related health problems can occur. Molds have been documented to cause various health problems in sensitive individuals in the forms of allergies and infections. The controversy that has arisen is the reported health effects that chronic long term exposure to toxic molds such as Stachybotrys chartarum (the killer mold) causes on non sensitive individuals. The environmental and medical conclusions are still out on the toxic mold topic and there is much debate among the respected scientists in this field. What we do know is that many people have reported severe adverse health effects attributing their symptoms to elevated mold growth in structures. This growth has been attributed to excess condensation on windows and walls, wet crawlspaces and slabs and water intrusion from leaks due to improper waterproofing and flashing. Adding to this problem is the poor construction practices and the new requirements for energy efficiency in the newer buildings. Newer buildings do not breath and when they do get wet they do not dry out, causing mold growth. Reports of health problems have come out frequently in the media over the last few years. Lawsuits against insurance companies, previous owners of real estate property, property managers and landlords abound. Presently mold litigation is one of the hottest environmental tort topics in the country.
As of January 2002, the California legislature has passed a bill into law called the Toxic Mold Protection Act of 2001 (SB732). The bill requires the California Department of Health Services (DHS) to put together a stakeholders group to perform certain tasks
including:
- Assess the threat posed by indoor molds and come up with permissible exposure limits for molds
- Determine valid methods for fungal identification and sampling
- Provide practical guidelines for mold removal and abatement of water intrusion
- Assess the need for standards for mold assessment and remediation professionals
Under article 4 of this law are specific mold disclosure requirements for owners and renters of commercial and residential properties and sellers of property. Presently the work of DHS and the subsequent actions they recommend are not going into effect until six months after they report back to the legislature in July of 2003.
What is in effect as of January 2002 is the disclosure requirements regarding mold problems, article 4 of the law.
Do to this fact and the legal climate that exists the following are some general guidelines building owners and property managers should take to prevent legal action and protect themselves and their tenants:
- Become familiar with your disclosure responsibilities under the new Toxic Mold Protection Act of 2001.
- Develop policies to deal with housekeeping issues and the number of tenants occupying a space. Excessive moisture coming from too many people, lack of exhaust fan use, excessive showering, and cooking can cause condensation related mold problems.
- When water damage occurs such as in sewage backflows, sudden leaks and floods, address them immediately in order to prevent mold growth.
- If your building has condensation problems leading to ongoing mold growth, fix the building dynamics causing condensation. These problems can arise from any or all of the following:
- Elevated relative humidity from water leaks, water intrusion in the crawlspace or under the slab.
- Lack of exterior wall insulation.
- Lack of good ventilation.
- Too many people, excessive cooking, very poor housekeeping or pack rat syndrome.
- Develop a relationship with a competent and experienced water restoration contactor and environmental consultant. Both should have good references and at least 3 years experience with mold related issues.
- Keep up with this changing field.
David Bierman is an environmental consultant with 10 years experience as an educator, field investigator and legal expert on mold related issues. He is the former owner of Safe Environments.