'Dad, The House Is Underwater' — Florida Family's $3,500 Costco Fridge Turns Into $700,000 Nightmare: 'They Drop the Ball, I Foot The Bill'

Ivy Grace

Sat, Jun 7, 2025, 10:46 AM 4 min read

According to WJXT-TV's News4JAX in Jacksonville, Saint. John's resident Bradley Byrd and his family purchased a $3,500 KitchenAid refrigerator from Costco in December. The fridge was delivered and installed by a third-party company contracted by the warehouse-club chain — but just six hours later, Byrd got a FaceTime call from his daughter that stopped him cold.

"Dad, the house is underwater," she told him.

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Byrd rushed home to find water flooding the floors. Video footage he later shared shows the damage: soaked carpets, standing water, and furniture floating. The family says the refrigerator's water line had been installed incorrectly — a critical error that allegedly caused the line to rupture after being pinched beneath the fridge's wheels.

"They allowed the refrigerator's wheels to sit on a line, which caused a crack that grew larger and larger," Byrd told News4JAX.

The result? Mold, structural damage, and a $700,000 headache, according to a public adjuster's estimate. The family was forced to evacuate their home just before Christmas and spent months living in an Airbnb. They've since returned, but Byrd says their home is still partially unlivable — with no working kitchen or bathroom, and lawn chairs and folding tables standing in for real furniture.

"We purchased these lovely tables to prepare food on and to eat at," Byrd said, with dry irony.

So far, Byrd estimates he's spent around $300,000 out-of-pocket on remediation, storage, testing, and repairs. While Costco has provided $38,000 for temporary living expenses and — according to Byrd — offered $175,000 toward damages, the family has not accepted the settlement. Legal action is now on the table.

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News4JAX reports that its team reached out to Costco multiple times via phone, email, and social media. As of publication, the company had not responded. The contractor responsible for delivery and installation, RXO Last Mile, declined to comment, reportedly stating that the issue is not its to resolve

"They drop the ball and are hoping that I foot the bill with my life savings for their bottom line," Byrd told News4JAX.

He's now documenting the ordeal publicly on CostcoWaterDamage.com and even paid for local billboards to raise awareness. His site includes a detailed cost breakdown, showing the scope of the damage and his mounting expenses, which include:

$360,000 in estimated damage to the home
$76,000 in personal property losses
$78,000 in alternative housing expenses
$117,000 for mitigation, moving, and storage
$72,000 in professional services and legal preparation

Who's Liable?

At the center of the story is a growing concern many homeowners may not think about: who's responsible when a third-party contractor makes a mistake? Costco contracts out appliance installations to outside vendors — in this case, RXO — and the legal responsibility for any errors may ultimately depend on what's proven in court.

While Costco did provide some assistance, the Byrds say it's not nearly enough. As of now, no lawsuit has been filed, but Byrd told News4JAX, "I think that, unfortunately, is the next step."

Can Homeowners Protect Themselves?

This case has raised questions about what recourse homeowners have when something goes wrong with a professional installation. In many cases, appliance damage caused by poor installation may not be fully covered by a standard homeowners insurance policy — especially if the damage is considered preventable or due to contractor error.

Some experts suggest:

Always photograph the installation as it happens
Check water lines and electrical connections before accepting delivery
Request the installer's credentials and inquire whether the work is bonded or insured
Consider supplemental liability insurance or home warranties that cover third-party work

As for the Byrds, they're still hoping for resolution — and a return to normal life. Until then, their kitchen remains unfinished, their bathroom nonfunctional, and their story a cautionary tale for anyone who assumes a fridge upgrade is as simple as plug-and-play.

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Image: Shutterstock

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This article 'Dad, The House Is Underwater' — Florida Family's $3,500 Costco Fridge Turns Into $700,000 Nightmare: 'They Drop the Ball, I Foot The Bill' originally appeared on Benzinga.com

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