A federal judge has decided that a suit against the Make It Right Foundation should not be heard in federal court and instead should return to state court.
A number of residents who bought some of those homes built in the 9th Ward after Hurricane Katrina say the homes were defective with structural problems such as rotten wood and problems with pluming and electrical systems.
Lawyers for Make It Right and other defendants tried to move the case to federal court. Federal Judge Eldon Fallon ruled against them and returned the case to state court.
After Hurricane Katrina devastated the area in 2005, famed, A-list actor Brad Pitt jumped in to help his then-adopted home town of New Orleans.
He created the Make It Right Foundation and started building homes in the Lower Ninth Ward.
WDSU Investigates first reported issues with dilapidated wood and mold in some of the homes in April.
The city began offering residents, many of whom live in Make It Right homes, free inspections to see if they have natural gas leaking from their homes.
Residents filed a class-action lawsuit claiming their homes were defective.
Pitt has asked that his name be removed from the lawsuit.
The Make It Right Foundation is suing a local architect over the issues with the homes.