Federal Court Approves Nationwide Furnace Settlement With Carrier Corporation Involving High-Efficiency Carrier, Bryant, Day & Night and Payne Furnaces

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Class counsel announced that United States District Court Judge Ronald B. Leighton today granted final approval to a nationwide settlement in a class action lawsuit filed by current and past owners of high-efficiency furnaces manufactured and sold by Carrier Corporation starting in 1989 and equipped with polypropylene-laminated condensing heat exchangers ("CHXs").

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After several years of hard-fought litigation in four different U.S. courts, we are pleased that the Court approved the settlement

    "After several years of hard-fought litigation in four different U.S. courts, we are pleased that the Court approved the settlement," stated plaintiffs' counsel Jonathan D. Selbin of the New York office of Lieff Cabraser Heimann & Bernstein, LLP. "It is an outstanding outcome for consumers, and we commend Carrier for stepping forward and taking care of its customers."

"The settlement provides an enhanced 20-year warranty for consumers whose furnaces have not yet failed that will cover parts and labor for CHX failures," stated Kim D. Stephens, counsel for plaintiffs with the Seattle law firm of Tousley Brain Stephens PLLC. "The settlement also offers a cash payment for consumers who paid to repair or replace the CHX in their high-efficiency Carrier furnaces."

Important Notice for Consumers

The deadline for class members to submit a claim is August 1, 2008. Claim forms are available online at http://www.furnaceclaims.com

Approximately three million U.S. consumers purchased the furnaces covered under the settlement. Carrier sold the furnaces under the Carrier, Bryant, Day & Night and Payne brand-names. A list of the models covered under the settlement can also be found at http://www.furnaceclaims.com

Background on the Litigation

The complaint, originally filed in June 2005, charged that starting in 1989, Carrier began manufacturing and selling high efficiency condensing furnaces manufactured with a secondary CHX made of inferior materials. Plaintiffs alleged that as a result, the CHXs, which Carrier warranted and consumers expected to last for 20 years, failed prematurely. Carrier denied the allegations and vigorously contested the litigation.

Under the settlement, the class consists of all individuals and entities in the United States who currently own a Carrier 90% high efficiency condensing furnace manufactured between January 1, 1989 and April 22, 2008, and equipped with a polypropylene-laminated secondary heat exchanger, and former owners of such furnaces whose furnaces experienced CHX failure.

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