When an elevator company designs and manufactures a quality residential elevator, it stands to reason that the product is tested for operational safety. After all, if a number of buyers come through, an elevator system may be installed at facilities, office buildings, apartment towers and other buildings all over the world. Look at a city like Toronto, Canada, which is home to more than 2.5 million people, making it the largest city in Canada. Thousands of people live in apartment buildings in Toronto, so elevators are a relatively common part of life to many.
But what happens when the elevators aren’t made properly? Well, it leads to a class-action lawsuit. The Toronto Star reports that ThyseenKrupp, an elevator industry leader, has to pay for repairs that have been made to more than 2000 elevators:
“In a mediated settlement approved by the Ontario Superior Court of Justice, ThyssenKrupp Elevator Canada Ltd. will compensate companies that were charged in 2006 to replace a part called a sheave jammer, under orders from the Technical Standards and Safety Authority (TSSA).”
The sheave jammer, according to the article, is common in traction elevators, which utilize steel ropes that are attached to a sheave (or pulley) system. Issues were discovered with the sheaves by the TSSA, leading to more than $12 million in repairs needed. In 169 elevators owned by the Toronto Community Housing Corporation, the repairs cost almost $2 million to complete. The settlement won’t cover all of the costs though:
“Based on an average replacement cost of $10,000 per sheave jammer, if the owners of all 2,100 sheave jammers covered by the settlement make claims, each company will recover about 57 per cent of its cost, wrote Justice Carolyn Horkins, of the Ontario Superior Court of Justice.”
If only 60% of the companies who paid for the repairs claim a share, the article says that the costs will be recouped up to 95% by each.