Whole Foods Faces Asbestos Nightmare: Lawsuit Filed Over Greensboro Store Contamination

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News Summary

Whole Foods is suing for over $1 million in damages due to asbestos contamination at its Greensboro store, highlighting serious negligence by CBL Properties and Transformco.

Whole Foods Faces Asbestos Nightmare: Lawsuit Filed Over Greensboro Store Contamination

Whole Foods Market Group Inc. is embroiled in a contentious legal battle, suing CBL Properties and Transformco for more than $1 million in damages due to troubling asbestos contamination issues at its Greensboro store. The lawsuit, which was filed in early March 2023, has been assigned to the North Carolina Business Court, and it highlights serious allegations regarding lapses in safety protocols and responsibilities of the co-defendants.

The Background of the Greensboro Store

Whole Foods opened its doors in Greensboro back in 2012, leasing an impressive 34,000 square feet space from the former Sears building. This location, however, has since become a source of distress for the organic grocery chain, as the asbestos problems have persisted.

Transformco came into existence in 2019 after acquiring the assets of Sears Holdings Corp., which had filed for Chapter 11 bankruptcy in 2018. This complicated ownership palette has played a critical role in the current legal landscape surrounding the Greensboro store.

Demolition and Reconstruction Efforts

In April 2023, Whole Foods reached an agreement with CBL and Transformco to demolish and reconstruct several parts of the former Sears building adjacent to its store. D.H. Griffin Construction Co. was brought on board to carry out this significant demolition and reconstruction project. The company subcontracted the asbestos abatement to Demolition & Asbestos Removal Inc. (DARI), which would later become a focal point in the legal complaints.

Water Leak and Contamination Conundrum

Whole Foods alleges that negligent pressure washing by DARI triggered a disastrous series of events that allowed water to infiltrate the store, ultimately bringing asbestos inside. Additionally, there were accusations that asbestos-containing materials had been negligently left behind by Sears in the ceiling area of the store, setting the stage for this ongoing health hazard.

Compounding the issue, vibrations from the demolition work are reported to have dislodged some asbestos-containing material, further causing contamination within the grocery chain’s premises. This series of unfortunate events culminated in the detection of asbestos in the Whole Foods store on September 12, 2023.

Store Closure and Financial Impact

The grim discovery prompted an immediate closure of the store, lasting until October 4, 2023. Whole Foods incurred over $1 million in damages during the closure, attributed to cleaning expenses and loss of perishable inventory. The lawsuit emphasizes that the presence of asbestos had a detrimental effect on the store’s business operations, leading to significant lost profits and further troubles for the grocery chain.

Legal Arguments and Allegations

Whole Foods asserts that both CBL and Transformco breached their contractual obligations by failing to adequately protect the store from asbestos contamination. Notably, Whole Foods did not receive any information regarding asbestos detection until three days post-reporting to CBL, raising serious concerns about communication failures and the prioritization of safety.

Moreover, an industrial hygienist hired by CBL had prior knowledge of the potential for asbestos migration and had placed monitors inside the Whole Foods store. This raises questions about the extent to which CBL was prepared to manage the risk and minimize contamination.

Impact on Employees and Future Steps

Throughout the closure, Whole Foods maintained their commitment to their employees, continuing to pay staff for scheduled shifts, despite the unforeseen circumstances. The health and safety of customers and employees remain paramount, prompting a full cleaning and remediation effort before reopening.

As the lawsuit progresses, Whole Foods is represented by Baker Donelson Bearman Caldwell & Bekowitz PC, while CBL Properties and Transformco are represented by Ellis & Winters LLP and Womble Bond Dickinson, respectively. As of now, requests for comments from all parties involved have gone unanswered.

As this case unfolds, it stands as a stark reminder of the complexities and dangers associated with asbestos exposure, bringing critical conversations about safety protocols in demolition and renovation projects to the forefront.