SEATTLE WASHINGTON BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Surplus Lines Carrier Can Force Arbitration in Louisiana Despite Statute Limiting Arbitration

February 12, 2024 — Tred R. Eyerly - Insurance Law Hawaii
The federal district court granted the surplus lines insurer's motion to compel arbitration despite a Louisiana statute barring policies from depriving courts of jurisdiction in cases against insurers. Queens Beauty Supply, LLC v. Indep.Specialty Ins. Co., 2023 U.S. Dist. LEXIS 195372 (E.D. La. Oct. 31, 2023). Hurricane Ida damaged property leased by Queens. Queens filed suit against its insurer, Independent Specialty Insurance Company (ISIC) for breath of contract and bad faith for failing to pay the full amount Queens contends it was owed for the damage. ISIC moved to compel arbitration. Queens argued that ISIC waived its right to enforce the policy's arbitration clause by its actions before the court, including failing to opt-out of the settlement program adopted for Hurricane Ida cases. The court disagreed, ISIC had taken no overt act that evidenced a desire to resolve the instant dispute through litigation rather than arbitration. ISIC asserted as an affirmative defense that Queens's claims were barred by the arbitration clause in the policy. ISIC then participated in the settlement program for Hurricane Ida cases, which evidences a desire to settle the dispute, not to resolve it by litigation. Therefore, ISIC had not waived its right to arbitrate. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

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New York's De Blasio Unveils $41 Billion Plan for Affordable Housing

May 07, 2014 — Henry Goldman – Bloomberg
New York Mayor Bill de Blasio presented plans to build and preserve 200,000 units of affordable housing in the next decade by increasing rent protections for the poor and requiring developers to include below-market apartments in newly zoned areas. The $41.1 billion program, paid for with city, state, federal and private funds, would focus 60 percent on preservation and 40 percent on new construction. About $8.2 billion of the cost would be borne by the city, according to a 116-page report detailing the plan, which de Blasio called the “largest, fastest” affordable-housing program ever attempted at the local level. De Blasio, 52, a self-described progressive and the city’s first Democratic mayor in 20 years, took office in January after describing income inequality as the most serious issue facing the most populous U.S. city. He turned his attention to housing today after pushing the state legislature in March to grant the city $300 million to institute universal all-day pre-kindergarten. Read the court decision
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Reprinted courtesy of Henry Goldman, Bloomberg
Mr. Goldman may be contacted at hgoldman@bloomberg.net

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Homebuilders Leading U.S. Consumer Stocks: EcoPulse

February 14, 2014 — Anna-Louise Jackson and Anthony Feld – Bloomberg
Shares of U.S. homebuilders are leading consumer discretionary stocks as the new home market is poised to rebound faster than other cyclical purchases this year. The Standard & Poor’s Supercomposite Homebuilding Index -- made up of Toll Brothers Inc. (TOL), NVR Inc. and nine others -- has risen 20 percent since Nov. 11. The S&P 500 GICS Consumer Discretionary Sector Index -- which includes Lennar Corp. (LEN), PulteGroup Inc. (PHM), D.R. Horton Inc. and 81 other companies such as Home Depot Inc. and Lowe’s Cos. -- is up 1.9 percent during the same period. This follows about 10 months when homebuilders lagged behind by 45 percentage points. Shares of companies that construct new residences are a source of relative strength in what’s proven to be a “more difficult market” this year, as the S&P 500 slid almost 6 percent in less than three weeks, said Michael Shaoul, chairman and chief executive officer of Marketfield Asset Management LLC in New York, which has more than $20 billion in assets. The recent rally in homebuilders suggests “a very important transition of leadership within the consumer discretionary sector” is underway, benefiting this segment of the broader cyclical group, he said. Ms. Jackson may be contacted at ajackson36@bloomberg.net; Mr. Feld may be contacted at afeld2@bloomberg.net Read the court decision
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Reprinted courtesy of Anna-Louise Jackson and Anthony Feld, Bloomberg

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Sometimes a Reminder is in Order. . .

June 21, 2021 — Christopher G. Hill - Construction Law Musings
Recently, I was talking with my friend Matt Hundley about a recent case he had in the Charlottesville, VA Circuit Court. It was a relatively straightforward (or so he and I would have thought) breach of contract matter involving a fixed price contract between his (and an associate of his Laura Hooe) client James River Stucco and the Montecello Overlook Owners’ Association. I believe that you will see the reason for the title of the post once you hear the facts and read the opinion. In James River Stucco, Inc. v. Monticello Overlook Owners’ Ass’n, the Court considered Janes River Stucco’s Motion for Summary Judgment countering two arguments made by the Association. The first Association argument was that the word “employ” in the contract meant that James River Stucco was required to use its own forces (as opposed to subcontractors) to perform the work. The second argument was that James River overcharged for the work. This second argument was made without any allegation of fraud or that the work was not 100% performed. Read the court decision
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

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Toll Brothers Surges on May Gain in Deposits for New Homes

June 01, 2020 — Prashant Gopal - Bloomberg
Toll Brothers Inc. shares surged after the company posted profit that beat estimates and said deposits on new homes were up in recent weeks, a potential sign of optimism for the luxury housing market. The homebuilder, which focuses on higher-end customers, has struggled during the pandemic. It reported orders for the second quarter that missed estimates and said the key metric had plunged starting March 16, when much of the economy shut down. But investors shrugged off those results, focusing instead on a 13% year-over-year gain this month in deposits, which the company called a “leading indicator of current market demand.” Read the court decision
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Reprinted courtesy of Prashant Gopal, Bloomberg

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New Jersey Judge Declared Arbitrator had no Duty to Disclose Past Contact with Lawyer

October 22, 2014 — Beverley BevenFlorez-CDJ STAFF
According to the New Jersey Law Journal, in a recent ruling, a federal judge in Newark “ruled that an arbitration award should not be vacated based on the arbitrator’s failure to disclose his professional contacts with defense counsel during his prior career as a federal judge.” The plaintiff had sought to vacate an award “because he failed to disclose interactions he had with Dennis Drasco, the lawyer for the defendant, while serving on the bench. But Brown was not required to disclose his contacts with Drasco because they would not cause a reasonable person to question Brown’s impartiality, U.S. District Judge William Walls ruled Oct. 21,” reported the New Jersey Law Journal. The plaintiff’s assertions “suggest nothing more than that Judge Brown and Mr. Drasco were familiar with one another in their professional capacities,” Walls stated, as quoted by the New Jersey Law Journal. Read the court decision
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California Contractors: New CSLB Procedure Requires Non-California Corporations to Associate All Officers with Their Contractor’s License

April 19, 2021 — Amy Pierce, Mark Oertel & John Lubitz - Lewis Brisbois
As of July 1, 2020, “[e]very person who is an officer, member, responsible manager, or director of a corporation or limited liability company seeking licensure under this chapter shall be listed on the application as a member of the personnel of record,” and they must match those officers listed on California Secretary of State’s (SOS) records. (Cal. Bus. & Prof. Code § 7065 (b)(1)). This is a deviation from the Contractors State License Board’s (CSLB) past practice of requiring foreign corporations to associate as personnel of record only their president, in contrast to requiring domestic corporations to associate their president, secretary, and treasurer. Beware that the CSLB may discover that the licensee’s personnel of record are incomplete or incorrect when reviewing a license renewal application, because it will compare the SOS’s records to the license renewal application. A license renewal application requires the licensee to list its qualifier and personnel of record. If the SOS and CSLB records do not match, this could delay approval of the license renewal application until the missing personnel are added and fingerprinted. Reprinted courtesy of Amy Pierce, Lewis Brisbois, Mark Oertel, Lewis Brisbois and John Lubitz, Lewis Brisbois 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 Read the court decision
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Homeowner Has No Grounds to Avoid Mechanics Lien

September 01, 2011 — CDJ STAFF

The California Court of Appeals has rejected a motion by a homeowner in a dispute with the contractor who built an extension to his home. In McCracken v. Pirvulete, Mr. McCracken filed a mechanics lien after Mr. Pirvulete failed to complete payment. The matter went to trial with a series of exhibits that showed “the contractual relationship was strained and the parties disagreed over performance and payment.” As a result of the trial, the court awarded Mr. McCracken, the contractor, $1,922.22.

Mr. Pirvulete appealed, contending that the court had not allowed his daughter to act as a translator, that the court had failed to give him sufficient time to present his case, that the mechanics lien should have been dismissed, and several other claims, all before a formal judgment was issued. After the court formalized its judgment and rejected the appeal, Mr. Pirvulete appealed again.

The appeals court found that Mr. Pirvulete did not provide an adequate record for review. The court dismissed Mr. Pirvulete’s claims. The court notes that Mr. Pirvulete claimed that a request for a discovery period was denied, however, he has provided neither the request nor the denial. The trial court has no record of either.

Nor was there a record of a request that Mr. Pirvulete’s daughter provide translation. The court notes, “so far as we can glean from the record provided, the Register of Actions states, ‘Trial to proceed without Romanian Interpreter for Defendant; Daughter present to interpret if needed.’” Additionally, the court found that “there has been no showing that his facility with the English language is or was impaired in any way or that there was any portion of any proceeding, which he did not understand.”

Further, the appeals court found there were no grounds for a new trial, despite Mr. Pirvulete’s filings. The court concluded, “The owner has failed to provide a record adequate for review of most, if not all, of the claims of error. Some issues are not cognizable because they relate to entirely separate proceedings, and not the trial below. To the limited extent that the claims are examinable, the owner has made no showing of error.” The court affirmed the judgment of the lower court against Mr. Pirvulete.

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