Madison - St. Clair Record

Tuesday, July 23, 2019

Asbestos attorney’s fraud suit stayed pending builder’s bankruptcy

Lawsuits

By Heather Isringhausen Gvillo | Aug 1, 2018


Madison County Associate Judge Clarence Harrison filed an order to stay an asbestos attorney’s lawsuit alleging mold and water infiltrated his $775,000 Troy home.

On July 6, Harrison stayed the case pending defendant Kevin Kahrig’s bankruptcy proceeding.

Kahrig filed a petition for Chapter 13 bankruptcy on May 16.


Guinn

The defendant filed a suggestion of bankruptcy on July 3 through attorney Steven Stanton of Maryville, stating that the bankruptcy petition “operates as a stay, applicable to all entities, of the commencement or continuation of certain legal action against the defendant(s).”

Simmons attorney Christopher Guinn and his wife Mary Jo Guinn filed the lawsuit against Customary Construction and builder Kahrig in April 2016 through HeplerBroom LLC in Edwardsville. They claim their home, located on Tyler Dr. in Troy, is uninhabitable due to mold. They purchased the home from Kahrig in September 2014 for $775,000.

The Guinns allege an inspection report listed numerous defects in construction, including improperly constructed exterior walls and deck, which they say caused the water infiltration.

The plaintiffs claim they have been forced to live in a separate location and will continue to do so until the defects are fixed.

The defendants previously argued that the damages sought for fraud are not recoverable.

Kahrig had been represented by the Maag Law Firm in Wood River. The firm filed a motion to withdraw in March, stating that there had been a breakdown of the attorney-client relationship.

The plaintiffs then filed a motion for default judgment against Kahrig on May 11, arguing that Kahrig failed to enter an appearance or obtain new counsel within 21 days.

“Defendant is in default and a default judgment order should be entered against defendant as a consequence of his failure to enter an appearance …” the motion stated.

A hearing had been scheduled for July 12 before Kahrig filed for bankruptcy relief.

Harrison set a status conference for one year from now, on July 11, 2019.

Madison County Circuit Court case number 16-L-443

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HeplerBroom Madison County Circuit Court

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