VERTEX was retained to conduct a site inspection and review costs for mold remediation and site restoration for a claim that occurred in a public housing building in New York City. In May 2019, a fire occurred within one of the apartment units of a residential building. Although the fire was contained to one (1) unit, fire suppression efforts resulted in extensive water damage in multiple additional units. Restoration activities were delayed because of ongoing fire investigations and legal pursuits. The building remained vacant for approximately three years.
In May 2022, VERTEX conducted a site inspection to assess reported impacts which included fire, water, mold, and animal impacts. VERTEX inspected seven (7) representative units, collected photographic documentation, conducted moisture mapping, and collected measurements of mold impacted areas.
VERTEX provided claim management including evaluating proposed costs associated with the restoration and remedial work. VERTEX reviewed approximately $375,000 in proposed costs to remediate impacts as a result of the fire and fire suppression. Our client’s focus was solely related to mold impacts and excluded any impacts associated with water damage from fire suppression and water infiltration associated with temporary building abandonment. VERTEX determined that since a portion of the proposed costs were associated with the combined remediation of mold, water, and animal impacts, these costs would be subject to a 33% allocation and any costs explicitly not associated with mold remediation were disputed. This resulted in a successful dispute of approximately $182,000 of proposed costs with the remainder being considered reasonable and necessary for mold remediation.