On December 2, 2009 the Judicial Panel on Multi-District Litigation (“JPML”) ruled that an action alleging damage from North American manufactured drywall should not be transferred to the federal Chinese Drywall Multi-District Litigation (“MDL”) pending in the Eastern District of Louisiana (In Re: Chinese-Manufactured Drywall Product Liability Litigation, MDL No. 2047).

Swidler, et al. v. Georgia-Pacific Gypsum, et al., No. 09-181 (M.D. Fla.) is a class action, originally filed in the Middle District of Florida, that had been conditionally transferred to the MDL. The MDL Plaintiffs’ Steering Committee (“PSC”) argued in favor of transfer to the MDL, while all parties to the action opposed transfer.

In vacating the conditional transfer order, the JPML noted that the drywall at issue was not manufactured in China or distributed by the same parties, who are defendants in the MDL. The JPML thus found that much of the discovery conducted in the MDL would be inapplicable to the case.

“Moreover,” the panel wrote, “all parties to the action oppose transfer. Accordingly, we conclude that inclusion of this action in MDL No. 2047 would not serve the convenience of the parties and witnesses or promote the just and efficient conduct of the litigation.”

A copy of the JPML order vacating the transfer is here.