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MONDAY MORNING MESSENGER

Message prepared especially for Members of the American Institute of Inspectors® as well as Home Inspectors abroad

February 5, 2001

GOOOOOD MORNING, A.I.I.™....

It's a great day here in Orem, Utah! We have another busy week shaping up. Last week found me pulling a 36 hour driving trip to Las Vegas to go to the ASHI conference. There was a great turnout of Home Inspectors from around the nation taking advantage of some great seminars and an exceptional gathering of industry vendors. I spent most of my brief time there talking computers and software with Inspectors looking to make a major reporting transformation. I heard the same questions from people in New Jersey, Canada, Florida and California. It seems that we all have something in common....We want to put modern technology to good use so that we can turn out the best reports possible.

Technology is a double-edged sword. It does not necessarily simplify life, but it certainly helps us to create a nicer looking finished product. There is no doubt that my reports today are works of art when compared to those of five years ago. To think that I started with a clipboard, pencil and a fill-in report...... It amazes me that the majority of the industry is still using that method of report preparation. This is what allows the computer literate to command higher inspection fees. Of the vendors in Las Vegas, there were still many that cater to the pencil and checklist crowd..... Each of those companies rely upon future orders of their notebooks, checklists, and home repair books to sustain their bank accounts..... They remind me of drug pushers. I think that I will start a rehab center for recovering "Check-box-aholics" to help them purge the reporting method out of their systems. =:-)


DURON WATER HEATER SETTLEMENT

While trying to find information on how to date Reliance water heaters, I stumbled across this information on the internet. Take notice of the unique construction these units have by incorporating a plastic tank liner and no sacrificial anode rod....

SETTLEMENT HEARING ON STATE INDUSTRIES "DURON" WATER HEATERS SET FOR JUNE 14

At a hearing scheduled for June 14, the court will determine whether a proposed settlement of a class action law suit involving "Duron" water heaters manufactured by State Industries, Inc. is fair and reasonable and
whether a final judgment should be entered approving the proposed settlement. The class action law suit covers all persons in the United States who have purchased, for use other than resale, a "Duron" electric
water heater manufactured by State Industries; or who purchased a home in which a "Duron" electric water heater was installed.

On March 10, the Court made a preliminary finding that the proposed settlement is fair and reasonable and gave its preliminary approval to the proposed settlement.

A "Duron" electric water heater uses a polymer or plastic inner liner rather than a glass lining and is not equipped with a sacrificial anode rod. These water heaters were often sold under the "Duron" trade name but
have also been sold by various retailers under other trade names, most often "Reliance." If the model number of a State Industries electric water heater is CD, SD, TCL, TD or PEX, it is a "Duron" electric water heater. Other model numbers, including T6, SS8 and SSX, may also be "Duron" electric water heaters.

Benefits under the proposed settlement include a certificate for a discount of up to $20 on the purchase of a new State Industries water heater, $15 for each failed heating element, up to $50 for the cost of replacing each failed heating element, up to $150 for each failed tank, and up to $150 for the cost of replacing each failed tank. The benefits for failed heating elements and tanks will be paid only to the extent that they have not already been reimbursed. Under the proposed settlement, the persons who will be eligible for these benefits are those persons who purchased a "Duron" electric water heater (or who purchased a home in which a "Duron" electric water heater was installed) on or after October 1, 1994. All such persons will be entitled to the certificate for the $20 discount on the purchase of a new State Industries water heater, whether or not those persons have experienced any failures of heating elements or tanks. For any of these benefits, a signed Proof of Claim must be mailed on or before December 31, 2001.

In addition, class members can recover for compensable damage done to their homes at any time by leaking "Duron" Electric water heaters, subject to applicable statutes of limitation.

For more information call 1-800-531-3079.

Have you encountered any electric "Duron" water heaters?

Your Name: Please include your name or else I don't know who it is from.


3D INSPECTION SYSTEM - SUBSCRIPTION PLAN

I was able to visit with the owners and salespeople of the 3D Inspection System software at the ASHI conference in Las Vegas. While there I had Charles the Programmer/Owner/Partner load onto my machine the most recent BETA version of the 3D system. This is a major system upgrade that will be available within about 1 month. The Selling price of the software has increased $130 from the current $549. Current owners of 3D will be able to upgrade to the 3.0 software for $149.

The good news is that the early birds will be able to get the worm. 3D has announced an annual subscription plan that I think serious inspectors should consider. It will not be forced upon anybody, but if you want to get the most recent upgrades and improvements, then this is currently the best deal. The subscription plan runs $99 per year and puts you on an automatic upgrade list. This means that the moment improvements are released you will be sent them by CD or e-mail. The $99 paid now will get you the $149 for free. In other words, pay for the subscription plan and you will save $51 for an upgrade you are going to want anyways.

A MESSAGE TO THE DINOSAURS - Those of you with older versions of the 3D software that are working well for you and have no desire to upgrade....more power to you! You do not have to upgrade. The subscription plan is currently only available to those 3D users that have the latest 2.5 version. If you have an older version prior to 2.5 and you want to upgrade to the 2.5 and then the 3.0 I believe that you have to pay about $150 more..... Check with 3D for details at 1-800-745-6126.

AND TO THE WHINERS - I can already hear the weeping and wailing and gnashing of teeth out there.... "What is 3D trying to do, extract more money out of us each year?" The answer is quite simple...... "Yes!" But at the same time, they are continuing to give us more value by the improvements that are made. Does anyone really expect them to continue giving us more product for free??? I purchased my system back in 1996..... Do I expect them to keep me up to date off a 5-year-old investment?? "NO!" When I started with them it was a DOS-based program that has continued to evolve. They have listened to the users and they continue to make improvements and changes. Does the system do everything that I want? "No"..... I would still like to just walk through the house and have the program read my mind and produce itself, but the technology is not yet available.

In defense of 3D, I believe that as far as continued gouging goes, their's is the most reasonable expense I have. $100.00 per year is really very little when you consider how many reports I produce each year. I use this system to produce Home Inspection Reports, Pest Reports, Lead-Based paint Reports, EIFS Reports, Radon Reports, Commercial Reports, Invoices, Service Agreements, all of my correspondence, Follow-up Reports and scheduling. The upgrades have brought me more features, which make my system more functional and make me more productive.

On the productivity note, you should have seen Bill Schwahn's face at 2AM Wednesday morning as we sat in his Las Vegas hotel room while I showed him how to auto-merge information from 3D's Office Management program into Service Agreements, Reports, and Invoices. Currently Bill is producing each of these documents separately and re-inputing the same information over and over again. Now his horizons have been broadened and he is ready to learn how to use the Office Management portion of the 3D Inspection Suite software.


MORE "DREADED LETTER" FEEDBACK

I think the Service Agreement states the particulars of our inspection. Your approach and comment is great, as usual. The comments of Brent Foster concerning the intrusive damage and exceeding our Standards of Practice are appropriate. It is beyond the scope of what we do to gain the insight your client desired. I would have called and explained just the same idea.

As an aside...I had an inspection last week where I performed the Forced Air Gas Furnace checks we normally do. I listed the temperatures and conditions and wrote a short narrative concerning the physical appearance. I stated that there did not appear to be any recent maintenance and recommended that a licensed HVAC technician be contacted for review and comment. The owners called in the gas company who said the furnace was OK. About 5 days later, the furnace goes out and could not to be revived. The clients and the Agent called wanting comment. We reviewed the report and found the Sellers did not do what they were supposed to do...have a review by a licensed HVAC technician. They got a "free" review by the gas company that said it was okay but no functional review and check happened. The report and call to them covered my position adequately. The buyers will now negotiate with the sellers. So standing under our "umbrella" and performing the checks we are supposed to do works. Good inspecting and have a good day! Jim Corbin - Bow, WA


WHAT SAY YE OREGON INSPECTORS? Are you immune to the mold issue???

No, I don't believe we are if we do a WDO report. I am sure that mold is considered a fungus, which is a wood destroying organism in many cases. Not all fungus is wood destroying, but I usually report any fungus or mold I see. It seems many people are not as concerned (homeowners-sellers) by the presence of fungus or mold, or why it is present.

Once, I found black thick mold in an attic space of a two-year-old house. It was hidden between fiberglass insulation and the gable subsiding. I determined the moisture source was from the crawlspace, as it had standing water under same area as the mold. The homeowner was furious with me and would not accept my opinion that there was a problem. Then the listing agent got upset and questioned my opinion rather rudely. I just stuck with what I felt was true and the recommendation to eliminate the moisture source from the crawlspace and contact a biologist to analyze the fungus/mold and offer an opinion to treat or remove. The buyer canceled the sale because she believed and respected my report verses the selling side. As it turns out, she happened to be a registered nurse with much knowledge of airborne hazardous materials.

Sorry for getting away from the question. Yes, I feel it is important to include the word "mold" in all forms and documentation. Especially in light of all the recent horror stories we are hearing about lately. The stuff has been around longer than houses have, but just lately has become a proven health hazard. It should be listed with all the other items in our hazardous materials disclaimers, i.e., Radon, Asbestos, Lead, etc.

The State of Oregon's standards of practice "should" cover us here in Oregon, but I don't think anything can stop a determined attorney from suing us. It surely hasn't thus far even though we have disclaimers, think about it! It seems to me that the only sure protection that we have as inspectors is the wording, design layout, and client initialing provisions in our service agreements. The clients initials next to all limits of liability statements signifying that they read and agreed to the stated limits.

The next important thing is to offer a choice. Best efforts inspection which disclaim ANY liability beyond refund of fee or an inspection that excludes no liability, for an outrageous fee ( of course). Usually 1% or 2% of the homes selling price or value. That gives them a choice and when they sign their choice it shows that they read and agree with the terms that you have written in your disclaimer. Reggie Ayres - Medford,OR.

Good story and feedback Reggie..... Thanks for sharing!

Name, City & State: Please include your name or else I don't know who it is from.


WHICH AII™ MID-YEAR CONFERENCE SEMINAR ARE YOU MOST LOOKING FORWARD TO AND WHY???

I've yet to be able to list "most desired" seminars for our AII™ meetings because they are all outstanding. However, I like to learn more about the liability issues, the expert witness and the mold. Mostly, I look forward to seeing everyone and catching up on the news. Jim Corbin - Bow, WA


PHOTO CHALLENGE #44 FEEDBACK

Rarely do I get this much flack when I have previously posted Photo Challenges. This time, however, it seems that the response box covered part of the photo. As a result I thought that I should defend myself and give you a bit of HTML understanding that will help those of you with internet browser challenges.

When a web page is designed, it is usually laid out to fit any screen at whatever resolution setting that the user has their machine set on. Did you know that you can change that setting??? I don't like to look at small print, so I have set my monitor to the 800x600 resolution setting. This makes everything bigger as though you zoomed in on the screen. Most of you however are still using the stock default settings of 1024x768. Your solution to making the images and words bigger is to buy a larger monitor. Why don't you try going to your desktop.... Right click on the desktop and select Properties. Then choose the Settings tab. On that screen you can change your resolution settings. Try the 800x600 for a week and tell me if you are not happier with your ability to use your computer...... Now, on to the challenge that the response box caused last week.

If you find that the response box is in the way, try making the browser window narrower. Sometimes on the full screen setting you may get interference, while if the screen is narrowed it will reformat the presentation on the screen. This is the beauty and the scorn of the internet. Everbody's computer monitor, resolution, and operating system are different. This increases the challenge tenfold and what may look great on my computer might look like garbage on yours. I apologize for the inconvenience and ask you to try experimenting a little when necessary. Believe me..... I do not take the time to put up lousy work on the internet. I don't cover the photo with a response box just to tick you off..... Then again........ Nah, forget about it!!!

It is a bit difficult since this reply box is covering much of the picture, but I don't see any plates over the plumbing pipes or wiring to prevent nail punctures. The drain appears to vent into the wall space cavity. There is an electrical wire in the pipe penetration hole. The rest is not visible. Where are the supply valves? etc. Reggie Ayres Medford,OR.

Vent pipe not extended through the roof. I'm sure they just forgot?? At least the wall was not enclosed yet so that the condition could be reported. It would be hard to find later and the potential odor source would certainly be difficult to pinpoint. Good discovery. Have a good day! Jim Corbin - Bow, WA

It appears from what I see that the drain discharge vent ends prematurely half way up the wall. Thomas Skrodzki - Westfield, MA

Michael: What I see is that you did not plan ahead on the size of this message box. It is directly in front of the most important part of the picture. We are seeing the reverse side of this installation, but I cannot fathom what the ABS pipe is doing over on the left side of this view where the hot & cold water supply hose bibs should be. Also, it is not clear where the P trap is located. It appears to be in the wrong place, but since I cannot see behind this box that I am presently typing into, this could be an incorrect conclusion. What the heck is the ABS pipe even doing over on that side? The p trap should be installed after the washing machine drain pipe. It looks like that drain pipe will have no protection from sewer gases diffusing into the home. By the way, the ASHI convention is here for the next couple of days and I think I will go see the floor exhibits. Anybody else in the group planning on a visit? Richard Grisham - Las Vegas, NV

Vent pipe to nowhere??? If it is a vent pipe. Was that pipe capped? Can't tell from picture. If pipe is capped, where is the vent pipe located? Are supply pipes protected at blocking? Tom Burnham - Ashland, OR

The plumbing vent pipe ends in the wall cavity behind the appliances, or in this case, directly into the basement. The configuration of the plumbing by and below the hook-ups isn't very clear on my little 13 inch monitor (soon to be upgraded), so I can't quite make out what else is going on. Gary Holzbauer - Junction City , OR

The plumbing vent is located on the sewer side of the trap and does not extend through the roof to the exterior. This installation will vent methane gas into the homes interior. Nathan Buckley - Klamath Falls, OR

This photo has a couple of items that I notified my client about.

By the way, what do you think of the rinky dink corner blocking at the right side of the wall that is used to secure the corner drywall joint??? If you look closely you will see that it isn't much better over on the left side either.


LEAKING WATER HEATER OR CONDENSATION

The following is from a tech bulletin from the A.O. Smith Corporation regarding the diagnostic steps necessary to identify when a unit is leaking and when the moisture is strictly condensate. Although we will rarely be in the home for 8 hours to run the check, I found that the process for making the diagnosis to be very valuable learning.


© A.O. Smith Corporation - TECHNICAL BULLETIN 15

CONDENSATION

SYMPTOMS - The water heater appears to be releasing water while the main burner is on or water is found surrounding the heater shortly after the water heater has been used. This bulletin explains why flue gases condense and how you can differentiate between condensation and leaking.

CAUSES - Condensate is the result of air borne water vapor being chilled below the dew point. The dew point is the temperature at which water vapor turns into liquid. Low incoming water temperatures cool the piping and the heat transfer surfaces of the water heater. When the main burner comes on, the hot flue gases turn into condensate upon contact with these surfaces. The typical home water heater will produce about one-half gallon of water vapor during every hour of operation. Condensate is often mistaken for leaking.

Newer heaters will condensate more than older heaters because modern water heaters are much more efficient than their predecessors. The newer heaters utilize as much of the energy out of the main burner flame as
possible. This lowers the flue gas and tank storage temperature and closer to the dew point temperature.

DIAGNOSIS - To distinguish between a condensating water heater and a leaking water heater:

If no water is under the heater, the water heater was condensating. · If water is under the heater, check further for a loose fitting. If all fittings are tight and the tank is leaking, replace the water heater. Leaking heaters cannot be “repaired”.

HAVE YOU EVER MISDIAGNOSED A LEAKING WATER HEATER FOR ONE WHICH IS REALLY JUST CONDENSATING???

Your Name:City: State:

Please include your name or I don't know who it is from...


PHOTO CHALLENGE #45

We can thank my brother Jimi for today's comedic relief. This photo has been flying around the internet for a little while, yet I have never seen the following story until Jimi forwarded it along. Whether this photo and story are true or not is really irrelevant. Instead, this is another documented evidence of why we recommend licensed tradespeople for repairs and not Harvey Homeowner!!!........

My Friends, I give you… THE DUMBEST GUY ON EARTH!

This picture is real - not doctored in anyway - and was taken by a Transportation Supervisor for a company that delivers building materials for 84 Lumber. When he saw the car in the parking lot of International House of Pancakes, he went and bought a camera to take pictures.

The car is still running, as can be witnessed by the exhaust. A woman is either asleep or otherwise "out" in the front seat passenger side. The guy driving it was jogging up and down on Route 925 (in the background).

Witnesses said their physical state was OTHER than normal. The driver finally came back after the police were called and was found crouched behind the rear of the car attempting to cut the twine around the
load! Luckily, the police stopped him and had the load removed.

The materials were loaded at Home Depot. Their store manager said they had the customer sign a waiver. While the plywood and 2X4s are fairly obvious, what you can't see is the back seat, which contains -- are you ready for this? -- 10 bags of concrete @ 80 lbs. each. They estimated the load weight at 3000 lbs.

Both back tires exploded, the wheels bent and the back shocks were driven through the floorboard. The car, with FL plates (naturally), was headed for Annapolis, where the couple presumably planned to build a new house in which to smoke their crack.

ANY THOUGHTS?

Name, City & State: Please include your name or else I don't know who it is from.


QUOTABLE QUOTES "I would rather pay a teacher than an attorney any day." Scott Clements - Previously of Inspectech

HAVE A GREAT WEEK! =:-)

Michael Leavitt & Co Inspections, Inc.

The Most Qualified Inspector in Northern Utah!


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