FAIRFIELD CONNECTICUT BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Quick Note: Third-Party Can Bring Common Law Bad Faith Claim

July 01, 2019 — David Adelstein - Florida Construction Legal Updates
A third-party claimant may bring a common law bad faith claim against a defendant’s liability insurer. Mccullough v. Royal Caribbean Cruises, 2019 WL 2076192, *2 (S.D.Fla. 2019). “A bad faith claim may be brought by a third party absent an assignment from the [defendant] insured.” Id. This can only be done in the third-party bad faith context with the argument that the insurer’s “bad faith” conduct resulted in a judgment against the defendant-insured in excess of the policy limits. However, in any third-party bad faith claim (and, really, bad faith claim in general), coverage must first be determined under the policy. Read the court decision
Read the full story...
Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

---

Courts Will Not Rewrite Your Post-Loss Property Insurance Obligations

June 14, 2021 — David Adelstein - Florida Construction Legal Updates
In the preceding posting, I wrote about making sure you comply with your property insurance policy’s post-loss policy obligations. By failing to comply, you can render your policy ineffective meaning you are forfeiting otherwise valid insurance coverage, which was the situation discussed in the preceding posting. As an insured, you should never want this to occur! In another case, discussed here, the property insurance policy had a preferred contractor endorsement. This means that instead of paying the insured insurance proceeds, the insurer could perform the repairs with its preferred contractor. Typically, the insured will pay a discount on their premium for this preferred contractor endorsement. The insurer elected to move forward with the repairs based on the preferred contractor endorsement but the insured performed the repairs on his own and then sold the house. By doing this, the appellate court held the insured rendered his policy ineffective by breaching his own policy (and failing to allow this post-loss obligation to take place). The explicit terms of the policy allowed the insurer to perform the repairs instead of paying the insured insurance proceeds. The court could NOT rewrite the post-loss obligations in the policy by requiring the insurer to pay insurance proceeds when the insurer, per the preferred contractor endorsement, elected to perform the repairs. Read the court decision
Read the full story...
Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

---

Bridges Need More Attention

July 31, 2023 — Christoph Klauser - Construction Executive
Since it became possible to calculate the specific design-build needs of bridges with increasing accuracy in the 19th century, and new materials—beginning with cast iron and steel, followed by reinforced and prestressed concretes—also became available to build them, the number of bridges constructed all over the world has increased. It is evident today that many of these bridges have aged considerably, conditions which often lead to collapse despite regular inspections and repairs. The Fern Hollow Bridge in Pittsburgh, an approximately 440-foot-long, three-span steel bridge over a forest ravine, collapsed in January 2022. Fortunately, no fatalities occurred, although several vehicles, including a bus, were involved in the collapse. How can accidents of this nature be avoided, and which technologies are available to protect bridges more effectively? Bridges all over the world can be efficiently monitored with weigh in motion (WIM) and structural health monitoring (SHM), extending their service life and, in a worst-case scenario, preventing their collapse. Reprinted courtesy of Christoph Klauser, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
Read the full story...
Reprinted courtesy of

---

Benefits to Insureds Under Property Insurance Policy – Concurrent Cause Doctrine

December 08, 2016 — David Adelstein – Florida Construction Legal Updates
The Florida Supreme Court in Sebo v. American Home Assurance Co., Inc., 41 Fla. L. Weekly S582a (Fla. 2016) gave really good news to claimants seeking recovery under a first-party all-risk property insurance policy. The Court held that the concurrent cause doctrine and not the efficient proximate cause doctrine was the proper theory of recovery to apply when multiple perils—an excluded peril and a covered peril-combined to create a property loss. Read the court decision
Read the full story...
Reprinted courtesy of David Adelstein, Katz, Barron, Squitero, Faust, Friedberg, English & Allen, P.A.
Mr. Adelstein may be contacted at dma@katzbarron.com

---

Contractors: Consult Your Insurance Broker Regarding Your CGL Policy

February 15, 2018 — David Adelstein – Florida Construction Legal Updates

Contractors: do yourself a favor and consult your insurance broker regarding your commercial general liability (CGL) policy. Do this now, especially if you subcontract out work.

CGL policies contain a “your work” exclusion. The CGL policy is written such that it excludes “‘property damage’ to ‘your work’ arising out of it or any part of it and included in the ‘products-completed operations hazard.’” This exclusion will be raised in the post-completion latent construction defect scenario. (There are other exclusions that will be raised to a defect discovered during construction.) Certain policies will contain a subcontractor exception to this “your work” exclusion. You WANT this exception- no doubt about it so that this exclusion does not apply to work performed by your subcontractors. Without this subcontractor exception, truth be told, this “your work” exclusion is a total back-breaker to contractors. It will give your insurer an immediate out for many latent defect property scenarios since excluded from coverage is property damage to your work including work performed by your subcontractors.

Read the court decision
Read the full story...
Reprinted courtesy of David Adelstein, Florida Construction Legal Updates
Mr. Adelstein may be contacted at dadelstein@gmail.com

---

New Jersey Judge Found Mortgage Lender Liable When Borrower Couldn’t Pay

August 06, 2014 — Beverley BevenFlorez-CDJ STAFF
According to the New Jersey Law Journal, Freedom Mortgage Corporation has to pay treble damages and legal fees after Bergen County Superior Court Judge Gerald Escala found the company “liable under New Jersey’s Consumer Fraud Act for providing a home refinance loan to a 70-year-old borrower it should have known would be unable to make the payments.” “Escala further ruled that Freedom Mortgage must hold off on obtaining a foreclosure judgment for a year to allow an opportunity for borrower Mamie Major to look for someone to buy the property or to obtain refinancing elsewhere,” the New Jersey Law Journal reported. Read the court decision
Read the full story...
Reprinted courtesy of

---

2022 Construction Outlook: Continuing Growth But at Slower Pace

January 24, 2022 — Garret Murai - California Construction Law Blog
In the midst of a pandemic that has lasted far longer than I think many of us thought it would, it’s been a study in contrasts:

• There has been over 305 million COVID-19 cases and 5.5 million deaths worldwide since the start of the pandemic.
• The U.S. stock market gained a whopping 26.9% in 2021.
• The annual rate of inflation in the U.S. hit 6.8% in November 2021 the highest it has been in nearly 40 years.
• The U.S. unemployment rate stood at 4.2% at the end of 2021, down from 14.7% in April 2020, the second highest unemployment rate since the Great Depression.
• The Doomsday Clock struck 100 seconds before midnight in 2021 as scientists warn that global leaders are doing too little too late to combat climate change that has seen global temperatures rise roughly 2 degrees Fahrenheit since the pre-industrial era.
• 2021 saw the launch of the first all-civilian spaceflight by Elon Musk’s Space X which was just one of 16 private spaceflights by tech billionaires Richard Branson’s Virgin Galactic and Jeff Bezos’ Blue Origin.

For the construction industry, when we started out in 2021, economists were estimating that construction starts would be up just 4% in 2021 after taking a 14% free-fall in 2020. As it turned out, construction starts increased 12% in 2021. That’s why economic forecasts should be viewed less like a marksmanship competition and more like horseshoes and hand grenades. Close is about the best you can realistically hope for. Read the court decision
Read the full story...
Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

---

Is it time for a summer tune-up?

September 20, 2017 — Christopher G. Hill - Construction Law Musings
For this week’s Guest Post Friday readers are in for a treat. Lance Godard, founder of The Godard Group, has provided marketing and business development solutions to global law firms for nearly 20 years. He has particular expertise developing strategies that allow lawyers to identify client opportunities, communicate their messages, and grow their practices. Lance has been called a “provocative and engaging leader in the legal profession and social media” and was named one of the “20 Twitterers Lawyers should follow on Twitter.” He is the founder of 22 Tweets, live Twitter interviews with practicing lawyers, which provides a forum for lawyers to tell their story using social media. The market appears to be picking up. Clients are getting back to work. New opportunities can’t be far behind. What are you doing to find them? To make sure they show up on your radar? To put yourself in a position to see those opportunities that do present themselves, and to land the work when you pitch for it? Maybe it’s time for a marketing tune-up. Read the court decision
Read the full story...
Reprinted courtesy of Christopher G. Hill, The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

---