Poz-Lok Settlement Poz-Lok Settlement
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Frequently Asked Questions

1. How can I get compensation?
To qualify for compensation, you must fill out and send in a valid claim form which verifies that your Poz-Lok Fire Sprinkler Pipe and/or Components have leaked within the past year. You may obtain a claim form here , or by calling 1-866-898-5087.

2. What is this lawsuit about?
Poz-Lok is a brand of pipe and pipe fittings sold for use in fire sprinkler systems in residential and commercial buildings beginning in 1990. The plaintiff class representative in this action, Foothill/De Anza Community College District in California, owns a building that contains Poz-Lok pipe that allegedly failed. The plaintiff class representative has brought this action on behalf of a class of owners of buildings with fire sprinkler systems containing Poz-Lok pipe and alleges that Poz-Lok pipes have defective weld seams which lack sufficient zinc galvanizing. The class representative alleges that Poz-Lok pipe is prone to premature corrosion initiating at or near the weld seam, eventually resulting in failure, e.g., leaking, of the pipe. The class representative also alleges that Defendants knew of the alleged defect but concealed it from the owners of buildings in which Poz-Lok pipe was installed. Defendants deny that Poz-Lok pipe is defective or leads to premature corrosion, and deny that they concealed the existence of this alleged defect. Defendants contend that alleged leaks in pipes have been traced to other factors, including faulty installation or maintenance, and microbes in certain water supplies. The Court has not ruled on the merits of plaintiffs' claims and allegations or defendants' responses and defenses.

3. How do I know if I am part of the settlement?

Everyone who fits this description is a Class Member: All individuals and entities who own or owned residential or commercial buildings in the United States in which Poz-Lok pipe and/or Poz-Lok fittings are installed, and all their subrogees, assignees, and successors.

4. I'm still not sure I'm included.

If you are still not sure whether you are included, you can ask for help by calling toll free 1-866-898-5087.

5. What does the settlement provide?

Defendants and their insurers have agreed to pay up to $14.5 million into a Settlement Fund to be administered by a Settlement Administrator over the next eighteen (18) years. Five million dollars will be paid upon final approval of the settlement, and up to $500,000 will be made available to pay claims during 13 of the next 15 years of the settlement program period. Up to an additional $3 million will be made available to pay a portion of claims if there remain claims unpaid after 15 years of the settlement program. Class Members may submit a claim to the Settlement Administrator if they currently have or have had in the past a leak in their Poz-Lok Fire Sprinkler Pipe and/or Components. The Settlement Administrator may conduct an inspection of your property to determine whether you are entitled to compensation under the Settlement

The Settlement claims process is expected to operate over at least the next fifteen (15) years. If you have Poz-Lok Fire Sprinkler Pipe installed in your building, but have not yet experienced a leak, you still may be eligible for compensation if you later experience a leak at any time within the next 15 years, and thereafter submit a claim.

A "Settlement Agreement" and "Protocols" for implementing the claims procedure fully describes what the settlement provides, how to make a claim and how the claims process will work.

The amount of compensation any Class Member may receive is within the discretion of the Settlement Administrator, as governed by the Settlement Agreement and Protocols. Generally speaking, Class Members that submit a claim establishing that they currently have or have had a Qualified Leak in the Poz-Lok Fire Sprinkler Pipe or Components will be entitled to receive between $10.00 and $30.00 per linear foot of pipe which the Settlement Administrator determines requires or required replacement. This amount is subject to a schedule that is premised on the length of time the pipe has been installed prior to leaking. If the pipe leaks within the first six (6) years of installation, then class members will receive 100% of the amount to repair or replace the pipe, subject to the $10 to $30 per linear foot determination. The percentage recovered decreases by 10% each year thereafter. As a result, a Class Member whose pipe leaks eight (8) years after installation will receive 80% of the cost to repair and replace the pipe per linear foot.

In addition, the Settlement Administrator may approve for such claims an amount to compensate Class Members for Consequential Damages caused by Qualified Leaks. (The Settlement provides that Class Members are entitled to 100% of their Consequential Damages for Qualified Leaks occurring within the first ten (10) years after installation of the pipe, and 75% of Consequential Damages for Qualified Leaks occurring between ten (10) and fifteen (15) years after installation of the pipe.)