Rainwater Collecting on Rooftop is not Subject to Policy's Flood Sublimits
October 15, 2024 —
Tred R. Eyerly - Insurance Law HawaiiResponding to a certified question from the First Circuit, the Supreme Judicial Court of Massachusetts determined that rainwater collecting on the insureds' rooftop and causing interior damage was not "flood" as defined in the policy and subject to sublimits. Zurich Am. Ins. Co. v. Medical Properties Trust, Inc., 2024 Mass. LEXIS ___ (Mass. July 23, 2024).
A severe thunderstorm caused heavy rain and strong winds which damaged a hospital. The hospital was owned by Medical Properties Trust, Inc. (MPT) and leased to Steward Health Care System LLC (Steward). Ground water accumulated and flooded the basement. Rainwater also accumulated on the hospital's parapet roofs and on the second-story courtyard, and eventually seeped through the parapet roofs and courtyard to the hospital's upper floors, causing damage to the building and property within.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Precedent-Setting ‘Green’ Apartments in Kansas City
September 17, 2015 —
Beverley BevenFlorez-CDJ STAFFAccording to the Kansas City Star, the Missouri riverfront apartment development, Second and Delaware, is being constructed with “greener-than-green technology” and features the following: “Sixteen-inch-thick concrete walls. Rooftop gardens. A 90 percent reduction in energy use compared to current building codes.”
The two buildings “will comprise the largest U.S. multifamily apartment project using Passive House Institute-certified construction, a system that’s more energy-efficient than the highest LEED (Leadership in Energy and Environmental Design) building standard.”
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Asbestos Confirmed After New York City Steam Pipe Blast
July 21, 2018 —
Eydie Cubarrubia - Engineering News-RecordAsbestos has been found at the site where an underground steam pipe exploded early Thursday morning near the Flatiron building in midtown Manhattan.
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Eydie Cubarrubia, ENRMs. Cubarrubia may be contacted at
cubarrubiae@enr.com
Washington, DC’s COVID-19 Eviction Moratorium Expires
August 23, 2021 —
Zachary Kessler, Amanda G. Halter & Adam Weaver - Gravel2Gavel Construction & Real Estate Law BlogThroughout the COVID-19 pandemic, federal and local governments have adopted varying moratoria on evictions, enacted as emergency legislative protections for tenants facing eviction. The federal moratorium on eviction, promulgated by the Centers for Disease Control and Prevention (CDC), is set to expire on July 31. While the Supreme Court recently left the moratorium in place, the Court signaled that it would likely be held unconstitutional if extended and challenged again. With the sole federal moratorium expiring, state and local protections may remain in effect; however, many of these local orders are also beginning to expire. Washington, DC’s eviction moratorium, one of the most tenant-friendly pieces of emergency legislation in the country, is one such example, beginning a phaseout process that allows the pace of evictions to slowly begin throughout 2021 before a final legislative sunset in February 2022.
In response to the COVID-19 pandemic, the Council of the District of Columbia and Mayor Muriel Bowser enacted a series of public health emergency legislation. Under the Coronavirus Omnibus Emergency Amendment Act of 2020, the Council put a pause on evictions for nonpayment of rent or violations of lease provisions, prohibiting landlords from filing a complaint to evict a tenant who detained “possession of real property without right” or whose “right to possession has ceased.” Under the moratorium, the Council effectively banned residential evictions, unless a court found that a tenant had performed an “illegal act” within the rental unit, that the tenant was causing undue hardship on the health, welfare, and safety of other tenants or neighbors, or that the tenant had abandoned the premises. The moratorium and other tenant-protections were initially set to remain in place indefinitely, expiring 60 days after the end of Mayor Bowser’s declared COVID-19 emergency period.
Reprinted courtesy of
Zachary Kessler, Pillsbury,
Amanda G. Halter, Pillsbury and
Adam Weaver, Pillsbury
Mr. Kessler may be contacted at zachary.kessler@pillsburylaw.com
Ms. Halter may be contacted at amanda.halter@pillsburylaw.com
Mr. Weaver may be contacted at adam.weaver@pillsburylaw.com
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Fraud Claims and Breach Of Warranty Claims Against Manufacturer
March 04, 2024 —
David Adelstein - Florida Construction Legal UpdatesA recent case touches upon two issues that are noteworthy when considering fraud claims and breach of warranty claims against a manufacturer. Below contains a discussion on these claims.
Independent Tort Doctrine
“Florida’s independent tort doctrine provides that a party may not recover in tort for a contract dispute unless the tort is independent of any breach of contract.” MidAmerica C2L Inc. v. Siemens Energy, Inc., 2024 WL 414620, *6 (M.D.Fla. 2024). This means tort allegations and claims MUST be separate and distinct from performance under the contract. Id. (citation omitted).
In MidAmerica C2L, a plaintiff sued a manufacturer relating to sophisticated equipment for a coal gasification plant. The parties entered into different agreements for the equipment and a license where the plaintiff could use the manufacturer’s patented technology for its coal gasification plants. A dispute arose and the plaintiff sued the manufacturer under various legal theories. The manufacturer moved for summary judgment.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
The Prompt Payment Act Obligation is Not Triggered When the Owner Holds Less Retention from the General Contractor
October 27, 2016 —
John P. Ahlers – Ahlers & Cressman PLLCMost states have laws known as “prompt payment” statutes which govern the timing of payments on public works projects[i] from project owners to general contractors, and from general contractors to subcontractors.[ii] The purpose of these statutes is to ensure that contractors and subcontractors who may have less leverage than the project owners and prime contractors, respectively, are paid for their work on a timely basis.
Prompt Payment Act cases are rare, and, since many of the prompt payment statutes are founded on the same principles, when we come across a Prompt Payment Act case, it is “blog worthy.” This dispute arose from the construction of the Exposition Light Rail Line Project connecting downtown Los Angeles with Culver City on which FCI/Fluor/Parsons (“FFP”) was the prime contractor, and Bloise Construction, Inc. (“Bloise”) was the excavation subcontractor to FFP. Under the prime contract, Expo,[iii] the owner, was permitted to withhold ten percent of the payments owed to FFP, and FFP, pursuant to its subcontract with Bloise, was entitled to also withhold ten percent of the payments to Bloise as retention.
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John P. Ahlers, Ahlers & Cressman, PLLCMr. Ahlers may be contacted at
jahlers@ac-lawyers.com
California Contractors – You Should Know That Section 7141.5 May Be Your Golden Ticket
February 18, 2020 —
Amy L. Pierce, Mark A. Oertel & John Lubitz - Lewis Brisbois Bisgaard & Smith LLPUnder California’s Contractors’ State License Law, Cal. Bus. & Prof. Code §§ 7000 et seq., all contractors’ and subcontractors’ licenses expire two years from the last day of the month in which the license issued, or two years from the date on which the renewed license last expired. The Contractors State License Board (CSLB) sends licensees a renewal application 60 to 90 days prior to the date the license is set to expire.
Most contractors have various controls in place to make sure that the renewal application is timely filed and the required fee paid. Even so, we are only human and mistakes are made, and a renewal application filing deadline can be missed for a variety of reasons, e.g., the licensee’s mailing address has not been updated on the CSLB’s records, the individual responsible for filing the license renewal is out on leave, there has been a death in the family or a serious health issue, etc. Quoting Robert Burns, even “[t]he best-laid schemes of mice and men go oft awry” (To a Mouse, 1786).
General contractors should be cognizant of both their and their subcontractors’ license renewal obligations and deadlines.
If a licensee missed timely filing its renewal application, Business & Professions Code Section 7141.5may provide some relief. Section 7141.5 provides that the Registrar of Contractors,
“may grant the retroactive renewal of a license if the licensee requests the retroactive renewal in a petition to the registrar, files an application for renewal on a form prescribed by the registrar, and pays the appropriate renewal fee and delinquency fee prescribed by this chapter. This section shall only apply for a period not to exceed 90 days from the due date and only upon a showing by the contractor that the failure to renew was due to circumstances beyond the control of the licensee.”
Reprinted courtesy of Lewis Brisbois Bisgaard & Smith LLP attorneys
Amy Pierce,
Mark Oertel and
John Lubitz
Ms. Pierce may be contacted at Amy.Pierce@lewisbrisbois.com
Mr. Oertel may be contacted at Mark.Oertel@lewisbrisbois.com
Mr. Lubitz may be contacted at John.Lubitz@lewisbrisbois.com
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Coverage Rejected Under Owned Property and Alienated Property Exclusions
June 06, 2011 —
Tred R. EyerlyThe insured’s request for a defense when sued in a construction defect action was denied under the owned property exclusion and the alienated property exclusion in1777 Lafayette Partners v. Golden Gate Ins. Co., 2011 U.S. Dist. LEXIS 48562 (N.D. Cal. April 29, 2011).
In 1999, Lafayette Partners purchased an abandoned walnut processing factory to convert into living and working units. The property was developed into a rental property from 2000-2001, and thereafter rented. In May 2003, Lafayette Partners entered into a sales agreement with Wolff Enterprises LLC. The sale closed in February 2005. Wolff then converted the rental units into condominiums.
In December 2007, the Walnut Factory Owners Association sued Wolff for construction defects. In Lafayette Partners was added to the suit in 2009. The suit alleged a variety of defective conditions, including the roofs, exteriors, windows, electrical , plumbing, and mechanical components and systems.
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii. Mr. Eyerly can be contacted at te@hawaiilawyer.com
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