Seattle Washington Building Expert Directory

Do You Have A Florida’s Deceptive And Unfair Trade Practices Act Claim

April 27, 2020 — David Adelstein - Florida Construction Legal Updates
In previous articles, I discussed Florida’s Deceptive and Unfair Trade Practices Act referred to as “FDUTPA”…but, it has been awhile. (For more information on FDUTPA, check here and here.) Now is as good of a time as any to discuss it again because FDUTPA provides a private cause of action and, perhaps, there may be a consideration as to whether such claim can be (or is) properly asserted in the context of your circumstances. FDUTPA is a statutory scheme designed, “To protect the consuming public and legitimate business enterprises from those who engage in unfair methods of competition, or unconscionable, deceptive or unfair acts or practices in the conduct of any trade or commerce.” Fla. Stat. s. 501.201(2). In doing so, FDUTPA authorizes three avenues of legal recourse against an offending party: “(1) declaratory relief; (2) injunctive relief; and (3) [monetary] damages.” Webber v. Bactes Imaging Solutions, Inc., 45 Fla. L. Weekly D125a (Fla. 2d DCA 2020);Fla. Stat. s. 501.211. “An unfair practice is ‘one that “offends established public policy” and one that is ‘immoral, unethical, oppressive, unscrupulous or substantially injurious to consumers.’” Webber, supra, (citation omitted). Read the court decision
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Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

Business Risk Exclusions Bar Coverage for Construction Defect Claims

June 28, 2013 — Tred Eyerly
The federal district court assumed there was "property damage" caused by an "occurrence," but found the business risk exclusions barred coverage for construction defect claims. Hubbell v. Carney Bros. Constr., 2013 U.S. Dist. LEXIS 68331 (D. Colo. May 13, 2013). The plaintiffs entered a construction contract with the insured general contractor to build a home. After the project was one-third completed, plaintiffs terminated the contract. Experts hired by plaintiffs found a failure to properly site the residence, as the house was constructed 48 feet from the intended location; violations of county height restrictions; failure to follow building plans, which were themselves deficient; and an improperly poured foundation. The experts estimated that the costs of repairing the property to be between $1.3 and $1.5 million, and that the cost of demolishing the structure and rebuilding it would be between $1.1 and $1.3 million. After plaintiff filed suit, a stipulated judgment of $1.952 million was entered. Read the court decision
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Reprinted courtesy of Tred Eyerly
Tred Eyerly can be contacted at te@hawaiilawyer.com

Assessing Defective Design Liability on Federal Design-Build Projects

March 22, 2021 — Dirk Haire, Adam Hamilton & Dana Molinari - ConsensusDocs
A common misconception by many government officials is that a design-builder is always responsible for every design error or omission on a design-build project. This article examines the actual liability standard applied by the courts and boards of contract appeals when a design defect arises on a federal design-build project. Background: Design-Build Contracts and the Spearin Doctrine Design-build contracts combine the design and construction elements of a construction project into one contract. Design-build contracts often include two types of specifications: design and performance. Design specifications may set forth various parameters, such as precise measurements, tolerances, and materials. In doing so, the specifications create a fixed “roadmap” governing a contractor’s performance of the project. Performance specifications, on the other hand, set forth “operational characteristics” to achieve a particular objective or standard, but generally leave the details to the contractor. Reprinted courtesy of Dirk Haire, Fox Rothschild LLP, Adam Hamilton, Fox Rothschild LLP and Dana Molinari, Fox Rothschild LLP Mr. Haire may be contacted at dhaire@foxrothschild.com Mr. Hamilton may be contacted at ahamilton@foxrothschild.com Ms. Molinari may be contacted at dmolinari@foxrothschild.com Read the court decision
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Staying the Course, Texas Supreme Court Rejects Insurer’s Argument for Exception to Eight-Corners Rule in Determining Duty to Defend

April 27, 2020 — John C. Eichman, Sergio F. Oehninger, Grayson L. Linyard & Leah B. Nommensen - Hunton Insurance Recovery Blog
In responding to a certified question from the Fifth Circuit in Richards v. State Farm Lloyds, the Texas Supreme Court held that the “policy-language exception” to the eight-corners rule articulated by the federal district court is not a permissible exception under Texas law. See Richards v. State Farm Lloyds, 19-0802, 2020 WL 1313782, at *1 (Tex. Mar. 20, 2020). The eight-corners rule generally provides that Texas courts may only consider the four corners of the petition and the four corners of the applicable insurance policy when determining whether a duty to defend exists. State Farm argued that a “policy-language exception” prevents application of the eight-corners rule unless the insurance policy explicitly requires the insurer to defend “all actions against its insured no matter if the allegations of the suit are groundless, false or fraudulent,” relying on B. Hall Contracting Inc. v. Evanston Ins. Co., 447 F. Supp. 2d 634, 645 (N.D. Tex. 2006). The Texas Supreme Court rejected the insurer’s argument, citing Texas’ long history of applying the eight-corners rule without regard for the presence or absence of a “groundless-claims” clause. The underlying dispute in Richards concerned whether State Farm must defend its insureds, Janet and Melvin Richards, against claims of negligent failure to supervise and instruct after their 10-year old grandson died in an ATV accident. The Richardses asked State Farm to provide a defense to the lawsuit by their grandson’s mother and, if necessary, to indemnify them against any damages. To support its argument that no coverage under the policy existed, and in turn, it had no duty to defend, State Farm relied on: (1) a police report to prove the location of the accident occurred off the insured property; and (2) a court order detailing the custody arrangement of the deceased child to prove the child was an insured under the policy. The federal district court held that the eight-corners rule did not apply, and thus extrinsic evidence could be considered regarding the duty to defend, because the policy did not contain a statement that the insurer would defend “groundless, false, or fraudulent” claims. In light of the extrinsic police report and extrinsic custody order, the district court granted summary judgment to State Farm. Reprinted courtesy of Hunton Andrews Kurth attorneys John C. Eichman, Sergio F. Oehninger, Grayson L. Linyard and Leah B. Nommensen Mr. Oehninger may be contacted at soehninger@HuntonAK.com Mr. Linyard may be contacted at glinyard@HuntonAK.com Ms. Nommensen may be contacted at leahnommensen@HuntonAK.com Read the court decision
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Colorado Adopts Twombly-Iqbal “Plausibility” Standard

July 14, 2016 — Jesse Howard Witt – The Witt Law Firm Blog, Acerbic Witt
Last week, the Colorado Supreme Court announced a dramatic shift in its rules of pleading, adopting the federal courts’ requirement that a claim must be “plausible on its face” to survive a motion to dismiss. Although seemingly subtle, this change transfers much more power to district court judges and weakens the right to a jury in civil actions. For decades in Colorado, courts have held that a plaintiff’s complaint need merely provide a defendant with notice of the transaction that caused an alleged injury. Judges would not dismiss the complaint unless it appeared “beyond doubt” that the plaintiff could prove “no set of facts” which would entitle him or her to relief. See Davidson v. Dill, 180 Colo. 123, 131, 503 P.2d 157, 162 (1972), quoting Conley v. Gibson, 355 U.S. 41 (1957). This was rooted in the notion that the civil jury was the ultimate arbiter of disputed facts in American jurisprudence. Every party was entitled to have his or her “day in court” and present claims to a group of jurors selected from the community, rather than a judge appointed by the governor. Reprinted courtesy of Jesse Howard Witt, Acerbic Witt Mr. Witt welcomes comments at www.witt.law Read the full story... Read the court decision
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Attorney Writing Series on Misconceptions over Construction Defects

June 28, 2013 — CDJ STAFF
Mark Wiechnik, a litigation partner at Herrick, Feinstein LLP, has started a seven-part series in which he looks at the misconceptions homeowner board members have when they’re facing construction defect lawsuits. He opens by setting the scene of unit owners “complaining of leaks, roof problems, mold and myriad of other issues”, but conflicting views on what to do about them. In his series, he looks at some of the most common mistaken assumptions and discusses how board members should respond. Wiechnik’s first misconception examined is the claim that “we should file a homeowners warranty claim right away!” He notes that this is “rarely a good idea,” since if the building is more than two years old, the warranty will only be worthwhile if the building is near collapse. He also notes that once you file a warranty claim, “the association is precluded from ever filing a lawsuit on that issue.” Additionally, Wiechnik points out that filing a warranty claim puts everything into the hands of an arbitrator, who gets control of the whole process and whose decision is final, whether the association is happy with the results. Further, he notes, “the program favors builders and contractors over the homeowners.” In his second section, he looks at the fears that if the developer is bankrupt, there is no point is suing. Here he notes that the money for repairs does not come from the developer, but “from the developer’s and subcontractor’s insurance carriers.” Read the court decision
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New York Developer’s Alleged Court Judgment Woes

May 13, 2014 — Beverley BevenFlorez-CDJ STAFF
According to The Real Deal, the New York Developer Jeshayahu “Shaya” Boymelgreen claims to owe $50 million in court judgments. Currently, Boymelgreen faces “a $1.2 million judgment in a lawsuit connected to his River Lofts condominium in Tribeca.” Furthermore, Boymelgreen is a co-defendant (along with Africa Israel) “in a separate suit at 15 Broad Street, where New York state Attorney General Eric Schneiderman is investigating the developers over the failure to obtain a certificate of occupancy at the condominium, which is marketed under the name Downtown By Starck.” Boymelgreen had been “held in contempt after failing to respond to a 2013 subpoena…requesting all financial and legal records.” The Real Deal reported that Boymelgreen declared that all documents were lost when his company’s offices “were taken by eminent domain about five years ago.” The Real Deal could not reach Boymelgreen or his lawyer for comment. Read the court decision
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Spotting Problem Projects

October 26, 2017 — David R. Cook Jr. - Autry, Hanrahan, Hall & Cook, LLP
Perhaps more than any other specialty contractor, electrical contractors bear the brunt of the “problem project.” Long after most other trades have completed their work and scattered in the wind, electrical contractors remain on site until the owner’s last inspection. And when the project is a “problem project,” the owner or prime contractor tend to liberally share their losses and liquidated damages among those specialty contractors remaining on site at the end. So what is an electrical contractor to do when the project starts coming off the rails? What is a Problem Project? First, it helps to identify the attributes of a problem project. While there are many negative qualities of a bad job, a problem project is one that busts budgets – whether labor, material, or time. Most commonly, the problem project will significantly exceed the labor budget. Because an electrical contractor’s most important (and understandably expensive) resource is its people, the labor budget is critical to the success of a job. When a project suffers delays or is ineptly managed, the labor costs soar, turning a potentially profitable job into a disaster. Read the court decision
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Reprinted courtesy of David R. Cook, Autry, Hanrahan, Hall & Cook, LLP
Mr. Cook may be contacted at cook@ahclaw.com

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