Chinese drywall was so bad supplier wouldn't take it for free Read more: http://www.miamiherald.com/2010/06/04/1664344/so-bad-supplier-wouldnt-take-i

Miami-based Banner Supply was so uncomfortable with Chinese-made drywall, the company wouldn't even take it even if it was free, a company executive testified late last month.

That revelation, along with a confidential agreement between Banner and Chinese drywall manufacturer Knauf Plasterboard Tianjin made in 2007 became public Friday, when they were unsealed by Miami-Dade Circuit Court Judge Joseph Farina.
The unsealed documents will play a key role in the first jury trial in the country over Chinese drywall, which begins Monday in Miami-Dade Circuit Court. At issue is drywall linked to corrosion in homes across the U.S., including many in South Florida.

Local and federal lawsuits contend many companies in the drywall production and supply chain intended to deceive consumers.

``Why is it that KPT is still fighting homeowners in the United States? Why not do for Jason and Melissa Harrell what they did for Banner Supply?'' said Miami attorney Victor Diaz, who represents the Harrells and other clients affected by Chinese drywall.

Under the confidential arrangement unsealed Friday, KPT agreed to substitute Banner's remaining supply of drywall from China at no charge, and Banner not say a word to anyone about the switch.
In a statement Friday, KPT said it did not have information from other customers that there were complaints of odor in the company's drywall sold to those customers.
Several months after KPT struck a deal with Banner to swap out Chinese-made drywall with domestic, KPT offered to give Banner the product.
``They offered me the drywall for free and I said no,'' Banner executive Donald ``Mickey'' Coblentz said in a deposition. ``I go, `You take care of your board. I don't want it.' ''

According to the deposition, Coblentz said he explained the situation to a KPT employee like this: ``I said to him if I was a lawyer, OK, I would open this case and close it. Opening arguments would be my closing. I'd go to the jury. I'd take a piece of that drywall, the Chinese, have them smell it. Give them a piece of American, have them smell it. And I'd say at the end what house do you want to live in.''

In an interview Friday, Banner attorney Michael Peterson said his company is a victim alongside homeowners. His company turned to KPT when installers told Banner there was a smell coming from some of the drywall.

KPT tested the product -- including for the emission of sulfur compounds now blamed for the product's corrosive effects -- and found no health risk.

``Banner as a distributor is not responsible for testing its products,'' Peterson said. ``We, just like the homeowners, expect [KPT] to step up and pay for the damage.''

Homeowners Armin and Lisa Seifart of Miami are among those suing Banner -- and whose case goes to trial Monday.

The documents establish ``that the defendant had actual knowledge with the problems with the drywall . . . that Banner wanted to take care of itself and nobody else,'' said Miami attorney Ervin Gonzalez, who is representing the Seifarts. ``In essence, KPT recalled the product for [Banner]. Banner didn't have the courtesy to recall the product for it's own customers.''

Read this article at it's source: The Miami Hearald