Winchester, Va.-based Trex Co. announced that on Dec. 16, the U.S. District Court for the Northern District of California granted final approval of a settlement that resolves a nationwide class action lawsuit alleging misrepresentations and defects in Trex’s first-generation composite products relating to mold growth and color issues.
The cost to Trex under the settlement is capped at $8.25 million, plus $1.475 million in attorneys’ fees.
“We are pleased to have a final resolution of this matter, with terms we feel are fair to both Trex and our consumers,” said Ronald W. Kaplan, chairman, president and CEO of Trex. “This settlement allows Trex to focus its attention on delivering our next generation of award-winning, high-performance outdoor living products.”
Under the terms of the settlement, Trex will provide a one-time cash payment or a rebate certificate on its newer-generation shelled products -- Trex Transcend and Trex Enhance. The relief applies to consumers who bought Trex products between Aug. 1, 2004, and Aug. 27, 2013, and who experienced mold or color fading.