A California court has ruled in favor of Lumber Liquidators over claims that the company failed to warn consumers about cancer-causing formaldehyde in its flooring products. The lawsuit originally filed on July 23, 2014 concluded with a settlement from Lumber Liquidators that requires the plaintiffs to pay Lumber Liquidators $100,000 as reimbursement for costs and surrender their right to appeal or challenge the verdict.
The California court ruled that the case against Lumber Liquidators from Global Community Monitor and Sunshine Park lacked evidence to support the claim. In a statement CEO John Presley said:
We have strengthened Lumber Liquidators across every area of our organization, including implementing significant enhancements to our sourcing and compliance practices, and look forward to continuing to deliver products that are compliant with California's environmental standards. As a company, we remain committed to operating with integrity and delivering the highest quality products
Following the news, company shares rose about 7%.
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