The parties have reached two separate settlements with in aggregate value of $50 million CDN in three consolidated class actions filed against Shell Oil Company, E. I. DuPont Nemours & Company, and Hoechst Celanese Corporation on behalf of all persons and entities who, as of June 11, 2004, own or previously owned property in Canada on which there is or was installed between January 1, 1978, and December 31, 2002, a polybutylene (PB) plumbing system, hot water heating system, or yard service line. Shell claim forms must be postmarked by June 18, 2005, to be considered valid. Claims in the DuPont settlement may be made only if replacement and repairs are completed by May 31, 2005, or within 15 years of the date of installation of the PB system, whichever date is later.

Polybutylene is a form of plastic resin that was used extensively in the manufacture of water supply piping from 1978 until 1995. Due to the low cost of the material and ease of installation, polybutylene piping systems were viewed as "the pipe of the future" and were used as a substitute for traditional copper piping. While scientific evidence is scarce, it is believed that oxidants such as chlorine found in public water supplies react with the polybutylene piping and acetal fittings causing them to scale and flake and become brittle. Micro-fractures result, and the basic structural integrity of the system is reduced-- the system becomes weak and may fail without warning causing damage to the building structure and personal property. It is believed that other factors may also contribute to the failure of polybutylene systems, such as improper installation, but it is virtually impossible to detect installation problems throughout an entire system.

The settlement websites apparently contain no information regarding whether or not a claimant may take advantage of both settlements.

The Shell Settlement

The settlement is valued at $20 million CDN, and offers compensation based on a point system which is intended to reflect as closely as possible the relative merit and extent of each claimant’s claim. Compensation will be distributed to eligible claimants in relation to the points allocated to each claim, subject to certain maximum limits. All eligible claimants will be entitled to receive compensation regardless of having incurred expenses for reasonable and necessary repairs to a PB plumbing System, PB hot water heating system, PB yard service line, or for damage to tangible property due to a qualified leak, or PB related failure.

The settlement does not cover water bills; lost time from work, tenant related expenses, bodily injury or pain and water bills; lost time from work, tenant related expenses, bodily injury or pain and suffering. For further information regarding the maximum settlement amounts payable to eligible class members, a copy of the Shell settlement agreement is posted on the settlement administrator’s website.

Property owners should examine the plumbing system anywhere there is accessible plumbing, such as under kitchen and bathroom sinks, at the water heater, or in a crawlspace or attic. Please refer to the photos section of the settlement website for photos of polybutylene plumbing systems. Readable markings on the pipes might include “BOW”, “PLASCO”, “CSA”, “PB 2110M”, “Qest”, “SG” and “VANGUARD,” among others.

Polybutylene plumbing inside a structure is a potable water supply system containing polybutylene pipe (PB) and either acetal (plastic) or metal insert fittings. This PB pipe is non-rigid, and usually gray, silver, or black. When used in the underground service from the water company to a structure (a yard service line"), PB pipe is blue, gray, or black. It is not used for drains, waste, or vent pipe. As defined by the settlement, it does not include yard sprinkler systems, irrigation systems, fire sprinkler systems, sewer lines, faucets, or fixtures. Insert fittings are used to join pieces of PB pipe. The insert fitting is inserted into the pipe and clamped with a metal crimp ring over the outside of the pipe. Metal insert fittings are either copper or brass. Acetal insert fittings are hard gray or white plastic, never black.

This settlement covers plumbing in mobile homes, single-family site-built houses, single-family units within a multi-unit structure such as a duplex, condominium or apartment building, or each part of a commercial or other structure occupied by a single tenant. It does not cover portable restrooms, temporary buildings, airplanes, boats,recreational vehicles, travel trailers, or other motorized vehicles or vehicles intended for regular use on public roads. It also does not include waste, vent or sewer lines, fixtures (shower heads, faucets, toilets, washing machines, and hot water heaters), or piping servicing pools or exterior spas.

Any plumbing leaks in a PB system, hot water heating, or yard service line, should be reported to the settlement administrator, using the claim form application process for evaluation. Call a plumber to perform any repairs, save all receipts, and report the expenses incurred, along with copies of all receipts for any repairs performed to the administrator for evaluation. If you have already performed repairs, you may be entitled to a full or partial reimbursement of your unreimbursed expenses. If you have PB piping that has not developed leaks, you may still be eligible to receive payment, dependent on the type of PB system installed on your property. Former owners of property on which PB pipe was installed during the applicable period, and who conducted repairs on their PB systems may also be eligible to receive a portion of the settlement fund.

If you incur expenses to repair a previous owner’s leaks, you may eligible to file a claim as a current homeowner, as long as you owned the home on or before June 11, 2004. This does not include fixing property damage caused by a leak repaired by a previous unit owner.

Excluded from the Shell settlement are all persons who have previously executed a release with, or received relief from the Consumer Plumbing Recovery Center or Plumbing Claims Group, Inc., and all builders, manufacturers, dealers, retailers, or other commercial resellers of units, unless that person actually occupies the property or rents it out to another person.

If you have any questions about the settlement, you may communicate with the settlement administrator by calling 1-866-348-0333, emailing polypipes@crawco.ca, or writing:

Claims Administrator
Polybutylene Pipe Settlement,
133 Weber Street, N, Suite 3-505,
Waterloo, Ontario, N2J 3G9

The DuPont Settlement

DuPont USA has reached a settlement valued at $30 million CDN with all persons who own or previously owned property in any of the Canadian provinces or territories in which there is or was during the time of such ownership, a PB plumbing or heating system with acetal insert fittings. DuPont will pay 25% of the cost to re-plumb a PB plumbing or heating system and repair any damage caused by leaks. Alternately, DuPont will pay $200 CDN for the repair and removal of all acetal plastic insert fittings from your PB heating system. Plumbing and heating systems covered by the settlement generally contain gray plastic pipes made of PB and gray plastic fittings made of acetal that may, but do not necessarily, carry the following markings: bow, Q, SG, W, or A/I.

These payments are available only if the replacement and repairs are completed by May 31, 2005, or within 15 years of the date of installation of the polybutylene system, whichever date is later.

You may contact the class administrator by writing to:

Canadian Polybutylene Claims Facility
90 Allstate Parkway, 7th Floor
Markham, Ontario
L3R 6H3
Canada

or calling 1-866-599-4599 (toll-free).