Georgia Federal Court Holds That Pollution Exclusion Bars Coverage Under Liability Policy for Claims Arising From Discharge of PFAS Into Waterways
December 18, 2022 —
Paul Briganti - White and WilliamsOn December 5, 2022, the U.S. District Court for the District of Georgia held that a total pollution exclusion (TPE) in a CGL policy relieved the insurer of any obligation to defend or indemnify a recycling company in a putative class action alleging PFAS contamination of Georgia waterways. See Grange Ins. Co. v. Cycle-Tex Inc., et al., Order, Civ. A. No. 4:21-cv-00147-AT (N.D. Ga. Dec. 5, 2022). The decision adds to a slowly-developing body of case law addressing coverage issues arising out of PFAS-related claims.
In Grange, the insured, Cycle-Tex, Inc., was the operator of a thermoplastics recycling facility in Dalton, Georgia. Cycle-Tex and other defendants – which included chemical suppliers, carpet manufacturers, intermediaries, the City of Dalton and the Dalton-Whitfield Solid Waste Authority – were named in a putative class action complaint alleging that residents of Dalton had been injured as a result of the defendants’ discharge of PFAS into local waterways. The complaint sought damages for: (1) alleged harm to the residents’ health by virtue of ingesting contaminated water; (2) alleged property damage resulting from the contamination of the public water supply; and (3) the payment of surcharges and heightened water rates as a result of the alleged contamination.
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Paul Briganti, White and WilliamsMr. Briganti may be contacted at
brigantip@whiteandwilliams.com
Rooftop Owners Sue Cubs Consultant for Alleged False Statements
January 24, 2014 —
Beverley BevenFlorez-CDJ STAFFA disagreement over signage potentially blocking rooftop owner’s views has stalled Wrigley Field’s proposed $300 million renovation, reported the Chicago Tribune. However, a recently lawsuit filed between the two entities regarded allegedly false statements made by Marc Ganic, a Chicago sports business consultant, published in the Chicago Sun-Times: “In the story, Ganis is quoted as saying the rooftop clubs were ‘stealing’ the Cubs product for their own profit,” according to the Chicago Tribune.
The rooftop owners claimed in the suit that “they have a contractual arrangement with the team that allows them to sell tickets to people who want bird’s-eye views of the game.” The Chicago Tribune attempted to contact Ganis for comment, but he “did not return several messages.”
The rooftop owners and the Cubs entered into a “20-year agreement in 2004 in which the rooftop owners pay the Cubs 17 percent of the team's yearly profits in exchange for unobstructed views into the ballpark,” according to ESPN. “The Cubs dispute that notion, however, contending the unobstructed views were guaranteed through the landmarking of the bleachers not with the agreement they have with the rooftop owners.”
Business president Crane Kenney explained to ESPN that the city council amended the landmarking rule for the field: “[The council has] now recognized the outfield is not a historic feature. And above a 10-foot level we can have signage. That was the big win last summer, among many. That's what the rooftops would contest.”
According to ESPN the Cubs will not start the renovation project until they have an agreement with the rooftop owners “that includes a guarantee not to sue the Cubs for breach of contract, which would delay construction.”
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Personal Thoughts on Construction Mediation
September 20, 2021 —
Christopher G. Hill - Construction Law MusingsConstruction Mediation WorksAs I left a mediation last week at 8:30 at night, I realized something that I knew all along. Mediation works.
Why does mediation work? For several reasons that I can think of.
The first, and likely most important is that lawyers are expensive. In most construction cases, we charge by the hour and those hours build up, especially close to a trial date. A mediated settlement can avoid this sharp uptick in attorney fees that always occurs in the last month before trial. Therefore the earlier the better.
The second is the flexibility to make a business decision. Commercial contractors and subcontractors are in a business, and they should be making business decisions. While one such decision can be to go to litigation; litigation is not always the best solution from a financial, or stress perspective. Construction professionals, with the assistance of construction attorneys, can come up with a creative way to deal with a problem and solve it.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
When Your “Private” Project Suddenly Turns into a “Public” Project. Hint: It Doesn’t Necessary Turn on Public Financing or Construction
September 28, 2017 —
Garret Murai - California Construction Law BlogIn 1931, during the Great Depression, the federal government enacted the Davis-Bacon Act to help workers on federal construction projects. The Davis-Bacon Act, also known as the federal prevailing wage law, sets minimum wages that must be paid to workers on federal construction projects based on local “prevailing” wages. The law was designed to help curb the displacement of families by employers who were recruiting lower-wage workers from outside local areas. Many states, including California, adopted “Little Davis-Bacon” laws applying similar requirements on state and local construction projects.
California’s current prevailing wage law requires that contractors on state and local public works projects pay their employees the general prevailing rate of per diem wages based on the classification or type of work performed by the employee in the locality where the project is located, as well as to hire apprentices enrolled in state-approved apprentice programs and to make monetary contributions for apprenticeship training.
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Garret Murai, Wendel Rosen Black & Dean LLPMr. Murai may be contacted at
gmurai@wendel.com
The Indemnification Limitation in Section 725.06 does not apply to Utility Horizontal-Type Projects
February 07, 2018 —
David Adelstein - Florida Construction Legal UpdatesOne of the most important provisions in construction contracts is the indemnification provision. Appreciating contractual indemnification obligations are critical and certainly should not be overlooked. Ever!
Florida Statute s. 725.06 (written about here and here) contains a limitation on contractual indemnification provisions for personal injury or property damage in construction contracts. There should always be an indemnification provision in a construction contract that addresses property damage or personal injury. Always!
Section 725.06 pertains to agreements in connection with “any construction, alteration, repair, or demolition of a building, structure, appurtenance, or appliance, including moving and excavating associated therewith…” If the contract requires the indemnitor (party giving the indemnification) to indemnify the indemnitee (party receiving the indemnification) for the indemnitee’s own negligence, the indemnification provision is unenforceable unless it contains a “monetary limitation on the extent of the indemnification that bears a reasonable commercial relationship to the contract and is part of the project specifications or bid documents, if any.” It is important to read the statute when preparing and dealing with a contractual indemnification provision.
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David Adelstein, Florida Construction Legal UpdatesMr. Adelstein may be contacted at
dadelstein@gmail.com
Tesla Powerwalls for Home Energy Storage Hit U.S. Market
May 12, 2016 —
Dana Hull – BloombergTo Steve Yates, the best thing about his new Tesla Powerwall is that he doesn’t have to worry anymore about the lights going out during a storm. Or maybe it’s how cool an addition it is to the entryway of his house in Monkton, Vermont.
“I’ve always wanted to have a backup power source,” said Yates, who was without electricity for 36 hours during Hurricane Irene in 2011. He also admires the Powerwall’s sleek white contours. “It’s kind of art-deco looking.”
A year after Elon Musk unveiled the Powerwall at Tesla Motors Inc.’s design studio near Los Angeles, the first wave of residential installations has started in the U.S. The 6.4-kilowatt-hour unit stores electricity from home solar systems and provides backup in the case of a conventional outage. Weighing 214 pounds and standing about 4-feet tall, it retails for around $3,000. But hookup by a trained electrician is required, as is something called a bi-directional inverter that converts direct-current electricity into the kind used by dishwashers and refrigerators. The costs add up quickly -- which has fueled skepticism about Musk’s dream of changing the way the world uses energy.
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Dana Hull, Bloomberg
Committeewoman Requests Refund on Attorney Fees after Failed Legal Efforts
February 10, 2014 —
Beverley BevenFlorez-CDJ STAFFWest Deptford, New Jersey township redevelopment counsel Mark Cimino had spent a year arguing that the city should receive a $4 million reduction in construction costs due to “inadequate documentation provided by the bank, as well as receipts showing disbursement had ‘improperly’ been made toward uses other than construction,” according to a December 30th 2013 article in the South Jersey Times. However, a state appellate court upheld the ruling that “the township had no basis” to request the reduction.
Now, Committeewoman Denice DiCarlo is “seeking a $10,000 refund on the attorney fees paid” to Cimino, the South Jersey Times reported on February 6th. “This entire matter has been a monumental waste of tax dollars, and I am angry that the entire township committee was misled by Mr. Cimino and induced to believe we had any reasonable chance of recovering loan proceeds from this lawsuit,” DiCarlo stated in a letter to Mayor Raymond Chintall.
Not all committee members agree with DiCarlo. Committeeman Sam Cianfarini told South Jersey Times that “he still believed Fulton Bank owed it to West Deptford to answer for any funds put toward anything other than construction.”
Cimino declared “that both the lawsuit and appeal were valid,” according to the February 6th article. He “accused DiCarlo of ‘playing politics.’”
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Insurer Not Entitled to Summary Judgment Based Upon Vandalism Exclusion
June 18, 2014 —
Tred R. Eyerly – Insurance Law HawaiiThe court denied the insurer's motion for summary judgment on plaintiff's breach of contract claim because there was a disputed issue of fact regarding the applicability of the vandalism exclusion. Poole v. Untied Servs. Auto. Assn., 2014 N.Y. Misc. LEXIS 2394 (N.Y. Sup. Ct. May 16, 2014).
The plaintiff rented a residence to tenants. The tenants performed repairs to the residence which resulted in damage in excess of $126,000. The tenants vacated the residence. The plaintiff submitted a claim to USAA for benefits under her homeowners' policy.
USAA denied coverage based upon exclusions for damage caused by, among other things, faulty workmanship, renovation and remodeling. Plaintiff sued and USAA moved for summary judgment.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com