National Demand Increases for Apartments, Refuting Calls for Construction Defect Immunity in Colorado
September 08, 2016 —
Jesse Witt – The Witt LawfirmFor the last four years, the homebuilders’ lobby has been aggressively pushing the idea that consumer protection laws are stifling condominium construction in Colorado. The lobbyists claim that the fear of liability for construction defects has forced many local developers to build apartments instead of condominiums. They have dismissed the notions that the shift to apartments merely reflects supply and demand, or that modern families might actually prefer to rent rather than buy. To support this theory, they have touted high condominium sales in other states. A new story from NPR’s Here & Now refutes this claim, however.
Contrary to what the lobbyists have been saying, data now confirm that large numbers of Americans prefer to rent, not buy, their homes. NPR reported today that home ownership in the U.S. fell to its lowest rate since 1965, while the share of U.S. households who rent is nearing a 50-year high. This trend appears nationwide and can hardly be blamed on consumer protection laws in Colorado.
Reprinted courtesy of
Jesse Howard Witt, Acerbic Witt
Read the full story... Read the court decisionRead the full story...Reprinted courtesy of
Mr. Witt welcomes comments at www.witt.law
Canada’s Largest Homebuilder Sets U.S. Growth Plan
April 01, 2015 —
Beverley BevenFlorez-CDJ STAFFAccording to Builder magazine, after conquering the Canadian market, Mattamy Homes seeks to build more homes in the U.S. Mattamy’s Jim Leiferman had been asked to promote the company in the Orlando-area, however, “he went above and beyond that mission, growing the company’s footprint well beyond the metro area.”
Brian Johnson, COO of Mattamy, told Builder, “[Jim Leiferman] was promotable, like any division president, but Jim proved to really, in a very short period of time, have a very strong in understanding of the business. He’s thoughtful and goes beyond our expectations.”
Read the court decisionRead the full story...Reprinted courtesy of
Potential Coverage Issues Implicated by the Champlain Towers Collapse
March 21, 2022 —
Theresa A. Guertin & Holly A. Rice - Saxe Doernberger & Vita, P.C.In June 24, 2021, the Champlain Towers South in Surfside, Florida collapsed, killing nearly 100 individuals (the “Collapse”). As experts uncover more information regarding the cause of the Collapse, those individuals who have filed lawsuits as well as the potentially culpable defendants are looking to insurers for coverage of their bodily injury and property damage claims.
Contractors, engineers, and other professionals are or anticipate being sued for their roles in the Collapse. Those professionals have professional liability policies and/or director and officer liability policies. Likewise, the condominium association’s commercial general liability (CGL) policies and its business property policy may have a duty to defend and/or indemnify their insureds as well. Finally, individual unit owners/renters may look to their homeowners’ insurance, auto insurance, health insurance, and/or life insurance policies for coverage.1
The potential breadth of insurance coverage issues raised by the Collapse is beyond the scope of this article. The article will consider some concerns that could impact insurance coverage under a standard CGL policy in the case of a building collapse.
Reprinted courtesy of
Theresa A. Guertin, Saxe Doernberger & Vita, P.C. and
Holly A. Rice, Saxe Doernberger & Vita, P.C.
Ms. Guertin may be contacted at TGuertin@sdvlaw.com
Ms. Rice may be contacted at HRice@sdvlaw.com
Read the court decisionRead the full story...Reprinted courtesy of
Melissa Pang Elected Vice President of APABA-PA Board of Directors
December 21, 2016 —
White and Williams LLPMelissa Pang has been elected Vice President of the Asian Pacific American Bar Association of Pennsylvania's (APABA-PA) Board of Directors. She will serve a one-year term in the position, beginning January 1, 2017. As part of her responsibilities, Melissa will co-chair the National Asian Pacific American Bar Association Northeast Regional Conference, which will be hosted by the APABA-PA in Philadelphia.
Melissa has been a member of the APABA-PA since 2010 and has served on the board since 2015. Her involvement includes participation on the Law Student Outreach Committee as well as the Annual Banquet Committee. In 2016, she chaired the organization's Lunar Banquet.
Read the court decisionRead the full story...Reprinted courtesy of
Melissa Pang, White and Williams LLPMs. Pang may be contacted at
pangm@whiteandwilliams.com
Attorney’s Fees Entitlement And Application Under Subcontract Default Provision
May 06, 2019 —
David Adelstein - Florida Construction Legal UpdatesMany subcontracts contain a provision in the default section that reads something to the effect:
“Upon any default, Subcontractor shall pay to Contractor its attorney’s fees and court costs incurred in enforcing this Subcontract or seeking any remedies hereunder.”
Oftentimes, a party may wonder as to the enforceability of the provision and how it is applied in the context of a dispute between a contractor and its subcontractor where both parties have asserted claims against the other.
In an opinion out of the Middle District of Georgia, U.S. f/u/b/o Cleveland Construction, Inc. v. Stellar Group, Inc., 2019 WL 338887 (M.D.Ga. 2019), a subcontractor and prime contractor on a federal construction project each asserted claims against the other in the approximate amount of $4 Million, meaning there was a potential $8 Million swing in the dispute.
The subcontract contained a provision entitling the contractor to recover attorney’s fees incurred in enforcing the subcontract or seeking remedies under the subcontract upon any default, identical to the provision above.
Read the court decisionRead the full story...Reprinted courtesy of
David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Construction Litigation Roundup: “Who Needs Them”
August 28, 2023 —
Daniel Lund III - LexologyWho needs them?
So argued a surety pursuing recovery under its general agreement of indemnity when the indemnitors urged a Louisiana federal court to dismiss the surety’s complaint for failure to join various allegedly required parties as defendants in the litigation.
As part of its court action, the surety moved for preliminary injunction to enforce its collateral security rights. In response thereto, the indemnitors informed the court that if the injunction were to be granted, the indemnitors would “be forced to sell assets that are encumbered by security interests senior to those held by” the surety. In connection therewith, the indemnitors demanded that the other creditors be joined in the action or the lawsuit dismissed. The indemnitors also urged that the public project owner be joined as a party because the surety was seeking proceeds from the project that were still in the possession of the project owner.
Read the court decisionRead the full story...Reprinted courtesy of
Daniel Lund III, PhelpsMr. Lund may be contacted at
daniel.lund@phelps.com
U.S. Housing Starts Exceed Estimates After a Stronger December
January 04, 2018 —
Sho Chandra - BloombergOriginally Published by CDJ on February 16, 2017
Builders started work on more U.S. homes than forecast in January after an upward revision to starts in the prior month, a sign construction was on a steady path entering 2017.
Residential starts totaled an annualized 1.25 million, easing from a 1.28 million pace in the prior month, a Commerce Department report showed Thursday. The median forecast of economists surveyed by Bloomberg was 1.23 million. Permits, a proxy for future construction, increased at the fastest pace since November 2015 on a pickup in applications for apartment building.
Read the court decisionRead the full story...Reprinted courtesy of
Sho Chandra, Bloomberg
Association Insurance Company v. Carbondale Glen Lot E-8, LLC: Federal Court Reaffirms That There Is No Duty to Defend or Indemnify A Builder For Defective Construction Work
December 20, 2017 —
David M McLain - Colorado Construction Litigation BlogIn a case that squarely confronts the juxtaposition of an insurer’s duty to defend or indemnify its insured for construction related defects, the United States District Court for the District of Colorado recently granted an insurer’s motion for summary judgment on both matters against a construction subrogee, in Ass’n Ins. Co. v. Carbondale Glen Lot E-8, LLC, No. 15-cv-02025-RPM, 2016 WL 9735743, at *1 (D. Colo. Oct. 10. 2017).
Mountainview Construction Services, LLC (“MCS”) served as the general contractor for the construction of a residence on a lot owned by Glen Lot E-8, LLC (“E-8”). MCS took out a Commercial General Liability Policy (“Policy”) with Association Insurance Company (“AIC”) that provided coverage to MCS for the relevant time period for the construction of the residence. E-8 then asserted a series of claims against MCS, based on the allegation that MCS and its subcontractors defectively constructed the home by, among other things, building the residence two feet too high in violation of applicable codes. E-8 also argued that MCS and its subcontractors made significant alterations and/or deviations from the original project specifications without obtaining E-8’s consent or approval from relevant authorities. MCS tendered the claim to AIC for defense and indemnity. In turn, AIC declined coverage on the argument that the Policy precluded any coverage for defective work MCS may have performed on the project, absent damage to person or other property.
Read the court decisionRead the full story...Reprinted courtesy of
David M McLain, Higgins, Hopkins, McLain & Roswell, LLCMr. McLain may be contacted at
mclain@hhmrlaw.com