Cambridge Massachusetts Building Expert Directory

Award Doubled in Retrial of New Jersey Elevator Injury Case

February 14, 2014 — Beverley BevenFlorez-CDJ STAFF
Richard Tufaro, a New Jersey carpenter who suffered injuries from an elevator accident in 2005, had lost a $4 million award on appeal, but has recently “won $8million on retrial” according to The New Jersey Law Journal. In March of 2012, during the first trial, the “jury awarded $2.8 million for pain and suffering, $233,000 in medical expenses and $950,000 per quod to Tufaro's wife, totaling about $4 million.” In March 2013 the ruling was reversed by the Appellate Division who found “the verdict sheet and Coburn's jury instructions ‘together created a misleading and ambiguous deliberative environment, fully capable of engendering an unjust result.’" On February 11th, at the conclusion of the retrial, the jury “found Schindler Elevator and Escalator Co.'s negligent maintenance of an elevator led to a two-and-a-half-story plunge that left Richard Tufaro with neck and back injuries” and awarded Tufaro “$5.5 million for pain and suffering, $2.25 million per quod and $250,000 in medical expenses.” Read the court decision
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Supplement to New California Construction Laws for 2019

January 08, 2019 — Daniel F. McLennon - Smith Currie
A representative of the Contractors State License Board would like to emphasize a benefit of SB 1042 not mentioned in the report below that Smith Currie published recently. Importantly, the new law allows the CSLB to work with licensees, resolve complaints informally, and avoid a full Administrative Procedure Act hearing brought by the California Attorney General’s office. If the CSLB and licensee are unable to resolve a citation informally, the licensee is still entitled to the APA hearing. Contractors receiving CSLB citations are wise to avail themselves of this process. Read the court decision
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Reprinted courtesy of Daniel F. McLennon, Smith Currie
Mr. McLennon may be contacted at dfmclennon@smithcurrie.com

D.R. Horton Earnings Rise as Sales and Order Volume Increase

May 07, 2015 — John Gittelsohn – Bloomberg
D.R. Horton Inc., the largest U.S. homebuilder by revenue, said fiscal second-quarter earnings rose as sales increased in a sign of growing demand for new homes. Net income climbed to $147.9 million, or 40 cents a share, for the three months ended March 31 from $131 million, or 38 cents, a year earlier, the Fort Worth, Texas-based company said Wednesday in a statement. The average of 15 analyst estimates was 38 cents a share, according to data compiled by Bloomberg. “The spring selling season at D.R. Horton is off to a strong start,” Chairman Donald R. Horton said in the statement. “Our increasingly diverse product offerings are enabling us to expand our industry-leading market share.” Read the court decision
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Reprinted courtesy of John Gittelsohn, Bloomberg
Mr. Gittelsohn may be contacted at johngitt@bloomberg.net

Umbrella Policy Must Drop Down to Assist with Defense

May 12, 2016 — Tred R. Eyerly – Insurance Law Hawaii
The court determined that an umbrella carrier was obligated to assist the general liability insurer in defending the insured. Am. States Ins. Co. v. Insurance Company of the State of Pennsylvania, 2016 U.S. Dist LEXIS 38128 (E.D. Cal. March 23, 2016). Sierra Pacific Industries obtained rights to timber harvesting operation on a parcel of land in northern California. Sierra hired Howell's Forest Harvesting to perform certain timber harvest operations under the terms of a logging agreement. The logging agreement required Howell to obtain a CGL policy and to name Sierra as an additional insured. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Emotional Distress Damages Not Distinct from “Annoyance and Discomfort” Damages in Case Arising from 2007 California Wildfires

February 16, 2017 — Kirsten Lee Price & Lawrence S. Zucker II - Haight Brown & Bonesteel LLP
In Hensley v. San Diego Gas & Elec. Co., (No. D070259, filed 1/31/17), the California Court of Appeal for the Fourth Appellate District held that emotional distress damages are available on claims for trespass and nuisance as part of “annoyance and discomfort” damages. In Hensley, plaintiffs sustained fire damage to their home and property during the 2007 California wildfires. The Hensleys were forced to evacuate as the fires advanced. Although their home was not completely destroyed, it sustained significant damage and they were not able to return home permanently for nearly two months. Thereafter, the Hensleys filed suit against San Diego Gas and Electric Company (“SDG&E”) asserting causes of action for trespass and nuisance, among others. Mr. Hensley, who had suffered from Crohn’s disease since 1991, further claimed that as a result of the stress from the fire, he experienced a substantial increase in his symptoms and his treating physician opined that “beyond a measure of reasonable medical certainty... the stress created by the 2007 San Diego fires caused an increase of [Mr. Hensley’s] disease activity, necessitating frequent visits, numerous therapies, and at least two surgeries since the incident.” SDGE moved, in limine, to exclude evidence of Mr. Hensley’s asserted emotional distress damages arguing he was not legally entitled to recover them under theories of trespass and nuisance. The trial court agreed and excluded all evidence of such damages. Reprinted courtesy of Kirsten Lee Price, Haight Brown & Bonesteel LLP and Lawrence S. Zucker II, Haight Brown & Bonesteel LLP Ms. Price may be contacted at kprice@hbblaw.com Mr. Zucker may be contacted at lzucker@hbblaw.com Read the court decision
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60-Mile-Long Drone Inspection Flight Points to the Future

January 15, 2019 — Tom Sawyer - Engineering News-Record
Black & Veatch announced in December the successful conclusion of a 60-mile-log, non-stop, proof-of-concept drone-based inspection flight conducted by a remote pilot in a command center miles away in rural Illinois. Read the court decision
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Reprinted courtesy of Tom Sawyer, ENR
Mr. Sawyer may be contacted at sawyert@enr.com

Construction Law Client Alert: California Is One Step Closer to Prohibiting Type I Indemnity Agreements In Private Commercial Projects

June 15, 2011 — Haight Brown & Bonesteel, LLP

On June 1, 2011 by majority vote, the California Senate passed Senate Bill 474, which would amend Civil Code section 2782, and add Civil Code section 2782.05. The passage of this new law is a critical development for real estate developers, general contractors and subcontractors because it will affect how these projects are insured and how disputes are resolved.

Civil Code section 2782 was amended in 2007 to prohibit Type I indemnity agreements for residential projects only. Since 2007, various trade associations and labor unions have lobbied to expand those very same restrictions to other projects. These new provisions apply to contracts, entered into after January 1, 2013, that are not for residential projects, and that are not executed by a public entity. The revisions provide that any provision in a contract purporting to indemnify, hold harmless, and defend another for their negligence or other fault is against public policy and void. These provisions cannot be waived.

A provision in a contract requiring additional insured coverage is also void and unenforceable to the extent it would be prohibited under the new law. Moreover, the new law does not apply to wrap-up insurance policies or programs, or a cause of action for breach of contract or warranty that exists independently of the indemnity obligation.

The practical impact of this new law is that greater participation in wrap-up insurance programs will likely result. While many wrap-up programs suffer from problems such as insufficient limits, and disputes about funding the self-insured retention, the incentive for the developer or general contractor to utilize wrap-up insurance will be greater than ever before because they will no longer be able to spread the risk of the litigation to the trades and the trade carriers.

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Reprinted courtesy of Steve Cvitanovic of Haight Brown & Bonesteel, LLP.

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N.J. Appellate Court Applies Continuous Trigger Theory in Property Damage Case and Determines “Last Pull” for Coverage

November 15, 2017 — K. Alexandra Byrd – Saxe Doernberger & Vita, P.C.
The New Jersey Superior Court, Appellate Division, published an important decision addressing several fundamental issues regarding how a commercial general liability (CGL) policy applies to long-term property damage. The court held that: (1) a continuous trigger theory of coverage may be applied to third-party liability claims involving progressive property damage caused by an insured’s allegedly defective work; (2) the “last pull” (i.e., the cutoff point) of the continuous trigger is when the “essential nature and scope” of the property damage first becomes known or could reasonably be known; and (3) the “last pull” is not when the property damage is “attributed” to the insured’s faulty work. The underlying action in Air Master & Cooling Inc. v. Selective Ins. Co., et al. 1 concerned property damage arising out of the construction of a seven-story, 101-unit condominium building in Montclair, New Jersey. The project’s construction manager hired Air Master & Cooling, Inc. (Air Master) to perform HVAC work on the project, including installing individual HVAC equipment in each resident’s unit from 2005 to 2008. In early 2008, unit owners began complaining about water infiltration and damage to their windows, ceilings, and other portions of their units. The general contractor and developer began assessing the damage and making repairs. Eventually, in April 2010, an expert consultant performed a moisture survey of the roof and discovered 111 areas that were damaged by water infiltration. The expert report indicated that “it [was] impossible to determine when [the] moisture infiltration occurred.” Read the court decision
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Reprinted courtesy of K. Alexandra Byrd, Saxe Doernberger & Vita, P.C.
Ms. Byrd may be contacted at kab@sdvlaw.com

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