Chip and Joanna Gaines gained notoriety for their home improvement show, Fixer Upper. However, the Gaines' Magnolia Company also caught the attention of the Environmental Protection Agency after Chip and Joanna, via their company, failed to follow strict rules set forth by the EPA when remodeling, leading to the first of larger multi-million dollar lawsuits in the years to come.

The first season of Fixer Upper was a success for Chip and Joanna. But once the EPA caught wind of how the homes were being remodeled, the agency stepped in and put the couple's business and the show's newfound success at risk. Because of this, we will delve into why Chip and Joanna Gaines faced a massive lawsuit for refusing to comply with the government. Additionally, why Chip and Joanna were required to do an informational episode of Fixer Upper to settle the lawsuit will be looked at, and why the two even took an extra step to set up a lead abatement program in Waco, Texas as well.

Chip And Joanna Gaines Were Sued By The EPA For Lead-Abatement Practices

When Chip and Joanna started off improving homes in Waco, Texas, they were not aware of the laws that were in place to remodel homes that were built before 1978. As a result, every home that they remodeled on Fixer Upper and even before, was in violation of the Toxic Substances Control Act (TSCA) Lead Renovation Repair and Painting Rule (RRP Rule).

The TSCA and RRP Rule have specific requirements that need to be adhered to in order to keep not only those renovating the home safe but those who live in the home after. This is because homes that have lead-based paint that is disturbed during renovation can lead to small particles being breathed in. When this happens, according to the Cleveland Clinic, severe health problems can occur. Those health problems include:

• Seizures
• High blood pressure
• Headaches
• Behavioral disorders
• Learning disabilities
• Death

In 2015, the EPA found that there were 33 homes on Fixer Upper that did not appear to comply with the RRP Rule of the TSCA. As a result of Joanna not going to school for design and Chip not going for construction, the couple did not know all the ins and outs of home renovation. Because of this, Chip and Joanna, via Magnolia Companies was sued for five counts each on the homes that appeared on Fixer Upper, regardless of whether the homes were still owned by those the house was renovated for or if the house was sold after renovation. The counts that Chip and Joanna were sued for not complying with include:

• Obtaining certification from the EPA before starting renovations
• Hiring a certified renovator to complete and oversee renovations;
• Giving homeowners a pamphlet about lead-based paint hazards
• Posting signage that defines the work area to keep those not authorized to work in the area out
• Comply with the RRP Rule’s work practice standards
  • Closing doors and windows to the work areas,
  • Covering open floors and ducts with plastic sheeting
  • Covering the ground with plastic sheeting to gather paint chips as they fall from renovation

The EPA was originally asking for $795,080 for 187 fines that occurred on or before 2015 as a result of non-compliance. However, after showing good faith to want to fix their errors, Chip and Joanna wound up with a $40,000 fine.

After the settlement was agreed to, a statement was sent out by a spokesperson for Magnolia Homes.

"Shortly after being first contacted by the EPA three years ago, Magnolia Homes took immediate steps to bring its activities into compliance with [the Toxic Substances Control Act]."

The statement went on to say, "Additionally, to take its commitment a step further, Magnolia Homes made the decision to implement a compliance management program in which it adopted an enhanced renovation record-keeping checklist for use by Magnolia Homes staff and subcontractors."

Despite jumping on the issues that were brought forth in the lawsuit, Chip and Joanna had other requirements they had to meet in order to settle with the EPA and if not met by a certain timeframe, further penalties could have been brought forth.

Other Requirements Chip And Joanna Gaines Had To Meet To Settle The Lawsuit With The EPA

The fine with the EPA was fairly large for Chip and Joanna as they were working on creating a brand for themselves. But it was not only money that needed to be handed over to the government to settle the lawsuit. The couple also had to use their celebrity platform to put out the word about the importance of following the EPA rules when it comes to the abatement of lead paint in homes.

For the first stage of following the terms of the settlement, according to the EPA,a special Fixer Upper episode was filmed. In this episode, a segment was filmed where Chip discussed why lead-paint abatement by a professional was important as well as all of the ways to stay safe when lead-paint is being removed from the home.

Additionally, at the end of the episode, Chip again touched on the points of the importance of proper lead-paint removal to ensure that the message was heard loud and clear by fans of Fixer Upper.

Once the audience on Fixer Upper was addressed, Chip then had three months to take to social media to put together a "stand alone" video via Magnolia Companies to discuss the importance of following the EPA standards when it came to RRP Rules. The company was also required to put up the RRP Rule on its website for those visiting the Magnolia Company page so that lead-paint could be removed properly in Waco and beyond.

Chip And Joanna Gaines Set Up A Lead-Paint Abatement Program In Waco, Texas

A fair share of houses in Waco were built before 1978. This means that those that have yet to be renovated still have lead-painted walls that have the potential to get residents sick when holes are drilled in walls to decorate or paint chips off the walls. While not all residents are aware that lead-paint has the potential to make them ill, some that do, do not have the financial means to take care of the lead-paint abatement. Because of this, Chip and Joanna set up a fund to help those who need assistance financially remove the lead-paint from their homes.

Chip and Joanna set up a fund with $160,000 in it to help Waco residents with lead-paint abatement. As such, instead of paying the nearly $800,000 fine that the EPA was originally asking for, Chip and Joanna were able to bring the grand total for their fines to $200,000.

The EPA was happy with the settlement that was agreed on due to the good that Chip and Joanna were going to do for the people of Waco, saying as much in a statement after the case was over.

"Through this settlement, Magnolia is putting in place safeguards to ensure the safety of its renovation work and making meaningful contributions toward the protection of children and vulnerable communities from exposure to lead-based paint."

It is unknown how many people have taken advantage of the lead-paint abatement fund that was set up by Chip and Joanna. But what is known is that the lesson has been learned by the duo when it comes to doing renovations by the book. If there is any question about lead-paint or any other substance that needs to be abated, Chip is the first to get someone on the phone and out for an inspection, as has been seen a time or two on Fixer Upper.

Had Chip and Joanna not been in the spotlight, the EPA likely never would have gotten involved given the size of Waco. But with their celebrity status, the couple did not try to fight the lawsuit. Instead, they used it as a teachable experience so that others in the business of renovation or those who do it as a hobby know how to keep themselves safe from the beginning to the end of a project.