Homeowner Can't Sue for Drywall Damage Discovered After Sale, Court Rules

BATON ROUGE, La. - A Louisiana appeals court has ruled that homeowners may not sue a subcontractor and its insurer for Chinese drywall damage discovered after they purchased the residence unless there is evidence that their right of action was assigned or subrogated by the previous owner. Niemann v. Crosby Development Co., et al., No. 2011 CA 1337 (Ct. App. La., 1st Cir.).

In a May 3 decision, the First Circuit Louisiana Court of Appeal held that despite plaintiff Jason and Renee Niemann's insistence to the contrary, the record before the court contained no evidence of subrogation to the right …