Industry Insight: Alleged Steel Ground Wire Suit Hits Florida Contractor

Background: A Construction-Defect Suit Over Exterior Grounding Wire

A construction-defect dispute in Central Florida is drawing attention from homeowners, inspectors, and claims professionals. According to reporting by Insurance Journal, which cites the Orlando Sentinel, the founder of Sanford-based Strada Services says the company will inspect and replace exterior electrical ground wires that may not meet building code. The announcement follows a lawsuit filed by homeowners. The founder, Joe Strada, is also a candidate for Florida's District 11 congressional seat.

This is an industry-insight piece, not a court ruling. The suit is at an early stage, and the claims described below are allegations. No court has made findings of fact or liability. Even so, the dispute raises issues that public adjusters (PAs) and policyholders see regularly: hidden defects, construction-era material substitutions, notice requirements, and filing deadlines.

What the Lawsuit Alleges

The suit was initially brought by four Central Florida homeowners. It alleges that during the COVID-19 pandemic years, when building materials were in short supply, company crews may have substituted copper-clad steel exterior grounding wire for fully copper wire. The complaint contends that steel wire is not approved under most building codes and can overheat, potentially causing fires. The installations were reportedly made between 2020 and 2022.

The company's counsel has reportedly argued that the homeowners did not provide the statutorily required 60-day notice of construction defects before filing suit. The Sentinel also reported that a lawyer for the firm had earlier indicated that the homes with the allegedly subpar wire had not yet been identified. Mr. Strada has since said that remediation efforts are underway. The campaign could not immediately be reached for comment when Insurance Journal published.

Key Legal Issues to Watch

1. Pre-Suit Notice of Construction Defects

Florida's construction-defect statute, Chapter 558, generally requires a claimant to serve written notice on the contractor before filing an action. The statute then gives the contractor a window to inspect, offer repair, or settle. Whether the homeowners satisfied that requirement is the procedural argument the defense has raised. How the court handles it could affect whether the case is paused, dismissed, or allowed to proceed, and it may shape how similar claims are brought.

2. The Time Limit for Filing

The suit was reportedly filed with about a year left before Florida's construction-defect time limit would bar at least some of the claims. Insurance Journal notes that a 2023 Florida law shortened the period, giving property owners and insurers seven years instead of 10 to file suit. For work completed in 2020 through 2022, that clock matters. Homeowners with similar installations may have limited time left, and the exact deadline depends on when the statute's period began to run for their property.

3. Proving the Defect

Proof may be the practical hurdle. Real estate broker and general contractor Alan Atchley of Atchley Realty in Sarasota told Insurance Journal that steel grounding wire can be hard to spot, even for inspectors. He recommended that buyers of 2020-2022 construction ask about the exterior grounding wire by name and pay an electrician to examine it, since a general inspector is not the right tool for that job. The Sentinel also noted a simple field indicator: a magnet will not stick to true copper wire but will be attracted to steel.

Why This Matters to Public Adjusters

Most first-party property claims do not begin as construction-defect cases. But defective workmanship and materials often show up in the facts of a loss. A few points are worth keeping in mind:

• Cause-of-loss analysis. If an electrical fire or overheating event is later tied to substandard grounding components, the cause-of-loss narrative becomes central. Carriers commonly examine exclusions for faulty, inadequate, or defective workmanship and materials. Many policies also contain ensuing-loss language that can restore coverage for a covered peril, such as fire, that results from an excluded cause. Policy wording varies, so each policy must be read on its own terms.
• Documentation. The advice to keep builder paperwork applies equally to claims. Permits, inspection records, invoices, material specifications, and contractor communications can establish what was installed and when.
• Expert involvement. As Mr. Atchley noted, identifying a wire type may require a licensed electrician rather than a general inspector. In a disputed claim, an electrical or fire-cause expert may be needed early to preserve evidence.
• Parallel recovery paths. A homeowner may have both a first-party claim against an insurer and a separate claim against the contractor. These are governed by different rules, deadlines, and notice requirements, and they can affect each other.

Practical Takeaways

1. Do not assume the problem is isolated. If a client's home was built or renovated between 2020 and 2022 and any fire, electrical, or grounding concern arises, ask what exterior grounding wire was used.
2. Preserve evidence. If a component is removed or replaced, photograph it, label it, and keep it. Replacement during remediation can destroy proof.
3. Track deadlines separately. Policy suit-limitation provisions, claim notice requirements, and the construction-defect time limit are different clocks. Calendar each one independently.
4. Watch the notice question. The pre-suit notice dispute in this case is a reminder that Chapter 558 compliance can become a threshold fight. Claimants should confirm that notice was properly served before filing.
5. Be careful with public statements. The allegations here are unproven and the company disputes parts of the case. Stick to documented facts when advising clients.

What Homeowners Can Do Now

Homeowners with work from 2020 to 2022 can ask their builder or electrician which exterior grounding wire was installed and request a written answer. Hiring a licensed electrician to inspect the grounding system is a reasonable step if there is any doubt. Homeowners should also gather all builder documentation and keep it together with their insurance policy and claim records. If a contractor offers remediation, they should document the scope of work and obtain written confirmation of what was repaired or replaced before signing any release.

The Bigger Picture

Supply shortages during the pandemic years put pressure on builders and trades across the country. Whether any substitution actually occurred here, and whether it violated code, will be determined through the legal process. For claims professionals, the broader lesson is that hidden installation defects can surface years later, and the combination of shortened filing periods and strict notice rules can leave little room for error.

How Louis Law Group Can Help

Louis Law Group represents Florida policyholders in property damage disputes, including claims involving fire, electrical failure, and denied or underpaid coverage. If your client's loss may involve defective construction or materials, we can review the policy, evaluate coverage and exclusion issues, and help coordinate deadlines and evidence preservation. We work alongside public adjusters to build well-documented claims. Contact us at (833) 657-4812 to discuss a claim.

Source: Insurance Journal - Florida Congressional Candidate Says Home Ground Wires to Be Replaced After Suit