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INFORMATION BULLETINS
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DIP TUBE Class Action Suit

As many as 24 million hot water heaters in the United States and Canada have been found to have a defective part, called a dip tube, installed in them. The dip tube in a water heater directs incoming cold water to the bottom of the tank, where the water rises as it becomes warmer. Without it, your water heater will emit lukewarm water not long after turning on the faucet. All six manufacturers in the suit bought the dip tubes from the same company, Perfection Corp., a Madison, Ohio company. It is a defendant in the class-action suit, which also names the six manufacturers -- A.O. Smith Corp. of Irving, Texas; American Water Heater of Johnson City, Tenn.; Bradford White Corp. of Ambler, Pa.; Lochinvar Corp. of Nashville, Tenn.; Rheem Manufacturing Co. of Montgomery, Ala.; and State Industries of Ashland City, Tenn.

Recently it was discovered that the dip tubes that were manufactured between 1993 and 1996 were affected by a change in the manufacturing process. Consumers discovered the problem when many people found chunks of plastic in their faucet strainers or lodged in washing machines and dishwashers, causing those appliances to malfunction. As the tube dissolves, water heater water turns cooler; unsuspecting homeowners typically respond by simply turning up the thermostat.

Manufacturers are already compensating customers who bought potentially defective water heaters made between August 1993 and October 1996 and have agreed to replace any dip tube in any water heater manufactured during this period regardless of whether the dip tube is failing or not.

The settlement allows all customers who bought water heaters with defective dip tubes to file a claim before Dec. 31, 2000. To find out whether a water heater is covered by the settlement, call 1-800-329-0561 or write to Dip Tube Litigation, Claims Administration, P.O. Box 9338, Garden City, NY 11530-9338.

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