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Mahvi v. Stanley Builders12/9/2005
{ } Plaintiffs-appellants, Pascal and Caryl Mahvi, appeal the judgment of the Geauga County Court of Common Pleas, granting summary judgment in favor of defendant-appellee, Republic Powdered Metals, Inc. ("RPM"). We affirm the decision of the trial court.
{ } In July 1998, appellants purchased a residence ("the home") located at 14611 Shire Court, in Novelty, Ohio, from Elizabeth DeRue, for approximately $700,000. The home was equipped with an Exterior Insulation Finishing System ("EIFS"), a synthetic stucco exterior barrier system. An EIFS generally consists of a substrate made from either plywood and or other materials, such as gypsum board, which are glued together with polystyrene insulation boards, known as EPS boards. This substrate is then followed by a base coat generally consisting of sand, quartz or marble dust, combined with synthetic bonding agents and/or resins, over which fiberglass netting is embedded. Generally, a primer coat is then applied, followed by an acrylic-based exterior finish coat, which is available in a variety of colors.
{ } EIFS systems and their respective components are produced by a variety of different manufacturers and have been used in commercial and residential applications since approximately 1975. Over the ensuing years, a variety of modifications and improvements have been made to EIFS systems. The most significant improvement to EIFS systems during this period is the water management system, which was designed to protect the interior framing of a structure from moisture retention and water incursion. The Mahvi home was not equipped with a water management system, although it is unclear from the record whether water management systems were generally available when the home was constructed sometime in the mid to late 1980's.
{ } In the summer of 2001, the Mahvis decided to build an addition, including a mother-in-law suite, to the home. Pursuant to this plan, Mr. Mahvi brought Bob Bendes in as foreman for the project. Bendes was responsible for the hiring and supervision of all workers involved on the project. On or about August 2001, Bendes contacted All Seasons Stucco, which is in the business of installing EIFS systems, for the purpose of receiving an estimate for the addition. After the bid was accepted, Mark Sturm, owner of All Seasons Stucco, began work.
{ } During construction of the addition, workers discovered that there were problems with the existing EIFS system on the home. There is some disagreement as to when the problems were discovered, and by whom. Mr. Mahvi claimed in his deposition that the problem was discovered when workers removed part of the original EIFS system when framing the addition. Sturm testified in his deposition that he inspected the existing exterior and discovered that the EIFS system was experiencing separation between the EPS board and the exterior gypsum coatings, which Sturm brought to the attention of Bendes. Both Sturm and appellants agree that water leakage had caused problems with the integrity of the EIFS system on the home, although the actual nature and extent of the actual damage remains uncertain, since repairs have not yet been made.
{ } On March 20, 2003, appellants filed a claim in the Geauga County Common Pleas Court against multiple defendants, including RPM, under various theories of liability. On July 16, 2003, the trial court dismissed appellants' claims against all parties for violations of Ohio's Consumer Sales Practices Act and "punitive damages." With leave of court, appellants filed an amended complaint on October 21, 2003. With regard to RPM, appellants alleged claims for breach of express warranty, fraud, negligence, product liability, and brea
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