Builder that doesn't use WRB – GreenBuildingAdvisor

A small crew builder in my jurisdiction, locally considered by many to be the best, doesn’t use a WRB on new builds.  They advise clients that WRBs cause rot and are unnecessary.  They use standard OSB sheathing, LP Smartside installed directly against the OSB, and dense packed cellulose cavity insulation.

Has anyone else experienced this?  They are building $1,000,000+ homes every year this way and I think it is reckless and irresponsible.  Note that this is zone 7, North Dakota, in a jurisdiction that doesn’t have a building inspector.