AKRON (Oct. 20, 2003) — Goodyear will pay $236 million in a settlement the company reached in a case involving its Entran II radiant heating or snow melting hose.
A U.S. district court judge in New Jersey has certified a national class and conditionally approved settlement between Goodyear and property owners where Entran II radiant heating or snow melting hose was installed.
Goodyear agreed to contribute $76 million to a settlement fund over the next five years and could add up to $40 million in contingency payments, if outlined performance goals are met, from 2004 through 2007. The national settlement class currently includes property owners in Colorado and New Mexico, though motions in courts in both states to prevent the company from taking steps affecting owners' rights have been filed.
A hearing in the New Jersey federal court is scheduled for Oct. 24 to review whether state court activities are interfering with the national settlement agreement.
Goodyear supplied the hose from 1989 to 1993 to Chiles Power Supply Inc., which did business as Heatway Systems, a now-bankrupt heating system designer. Suits filed against Goodyear and Heatway have claimed the Entran II hose is defective, an allegation Goodyear does not believe and has defended against.