FAIRFIELD CONNECTICUT BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Homebuilders Opposed to Potential Change to Interest on Construction Defect Expenses

January 22, 2013 — CDJ STAFF
In 2008, the Colorado Supreme Court concluded that in calculating interest on the expense of repairing construction defects would start at the time that the defect was repaired. In 2009, the Colorado State Legislature introduced a bill that would have made homeowners eligible for interest back to the purchase date of their homes. The Colorado Springs Business Journal notes that the Colorado Springs Housing and Building Association is concerned that the legislature might take up the issue again, in which case, the HBA would oppose it. Read the court decision
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An Upward Trend in Commercial Construction?

March 28, 2012 — Melissa Brumback, Construction Law in North Carolina

Year-end economic indicators demonstrate that private commercial construction may be increasing in 2012, primarily as demand grows for new projects built in the United States.



According to an article in Businessweek, the Architecture Billings Index held at 52 in December, indicating a modest expansion in the market. The American Institute of Architects said that the commercial and industrial component of the number climbed to 54.1 in December, the highest in 10 months.



The monthly survey of U.S.-based architecture firms is one of the main indicators of nonresidential construction, and these numbers suggest that modest improvement may be on the horizon.



The information is confirmed by data from the Census Bureau that shows that spending on lodging, office, commercial and manufacturing buildings grew 8.2 percent in November to $9.2 billion from a year ago. These types of commercial and industrial projects are historically canaries in the mine and are usually the first part of the industry to improve as the economy expands.

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Reprinted courtesy of Melissa Dewey Brumback of Ragsdale Liggett PLLC. Ms. Brumback can be contacted at mbrumback@rl-law.com.

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Contractor Entitled to Defense for Alleged Faulty Workmanship of Subcontractor

February 10, 2020 — Tred R. Eyerly - Insurance Law Hawaii
Applying Nevada law, the Federal District Court in Florida found that the general contractor was entitled to a defense of claims based upon alleged faulty workmanship of a subcontractor. KB Home Jacksonville LLC v. Liberty Mutual Fire Ins. Co, 2019 U.S. Dist. LEXIS 151235 (M.D. Fla. Sept 5, 2019). KB Home completed six residential developments utilizing various subcontractors. One subcontractor was Florida State Plastering, LLC (FSP) for installing stucco. Eighty-eight complaints against KB Home implicated FSP's stucco work. Plaintiffs alleged that the stucco subcontractor's work suffered from construction defects, causing damages not only to the exterior stucco, but also the underling wire lath, paper backing, house wrap, wood sheathing, interior walls, interior floors and other property. Ironshore insured FSP under a CGL policy. KB Home was an additional insured for liability for property damage caused by "your work." KB Home was also insured under its own CGL policy with Liberty Mutual. Both insurers refused to defend. 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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Insurance Agent Sued for Lapse in Coverage after House Collapses

October 29, 2014 — Beverley BevenFlorez-CDJ STAFF
Property Casualty 360 reported a Hawaii case where the court ruled that an “insurance brokerage firm is responsible for the wrongful conduct of its employees, agents and independent contractors as long as they give the public the appearance that the individual is working as an agent of the brokerage.” The case involved a home that collapsed “during an attempted structural renovation.” The original insurance policy had lapsed, and the “application used to procure the second policy stated that there was no renovation work underway on the property, and thus contained a material misrepresentation which voided the second policy, the [homeowners] were left without insurance on the house.” Read the court decision
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Texas Shortens Its Statute of Repose To 6 Years, With Limitations

October 02, 2023 — Jason Daniel Feld & Roni Most - Kahana Feld
Effective June 9, 2023, Texas has shortened its statute of repose from the existing 10-year statute for builders of new homes to 6-years under specific conditions. The significantly shorter statute of repose bars suits against construction contractors of detached one-and two-family homes and townhomes, filed six years after the substantial completion of such homes, where the contractor also furnished a written warranty in compliance with the statute. Notably, projects including apartments, mixed-use, and hotels are not covered by the new law. It is also noted that a grey area in the law exists as to whether condominiums will be covered by the statute. The statute of repose strictly bars the filing of any action, claim or arbitration demand regardless of when the injury was actually discovered (latent defects) and is separate and distinct from any applicable statute of limitations. The New Texas Statute of Repose Law Under the Texas Civil Practice & Remedies Code § 16.009, persons who construct or repair improvements to real property cannot be sued for defective or unsafe conditions of the property or deficiencies in the construction or repair of the improvement later than 10 years after substantial completion of the improvement, except in certain narrow circumstances. This statute is known as the “statute of repose.” The statute applies not only to suits for construction defects, but also personal injury, wrongful death, contribution, and indemnity. Reprinted courtesy of Jason Daniel Feld, Kahana Feld and Roni Most, Kahana Feld Mr. Feld may be contacted at jfeld@kahanafeld.com Mr. Most may be contacted at rmost@kahanafeld.com Read the court decision
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Hurricane Ian: Florida Expedites Road Work as Damage Comes Into Focus

October 10, 2022 — Derek Lacey - Engineering News-Record
Hurricane Ian’s devastation is coming into view days after the storm decimated southwest Florida. Work is underway to rebuild much of the state’s electrical, transportation and other infrastructure, with certain emergency road repairs expedited and restoration of power prioritized after the storm's devastation left millions in the dark and washed out roadways serving as the only access to barrier islands such as Sanibel Island and Pine Island. Reprinted courtesy of Derek Lacey, Engineering News-Record Mr. Lacey may be contacted at laceyd@enr.com Read the full story... Read the court decision
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World’s Biggest Crane Lifts Huge Steel Ring at U.K. Nuclear Site

January 25, 2021 — Rachel Morison - Bloomberg
The world’s largest crane hoisted the first of three massive steel rings that will encase one of the reactors at Electricite de France SA’s nuclear construction site in the U.K., a key milestone in getting the project completed on time. Operators of the 250-meter (820-foot) tall crane, affectionately known as “Big Carl,” lifted the ring that weighs as much as a jumbo jet overnight to take advantage of windless conditions. Hinkley Point C is the U.K.’s first new nuclear power plant in more than two decades. Once up and running the reactor will generate electricity for six million homes by 2025. It’s the largest and most advanced infrastructure project in the country and, when finished, will contain 3 million tons of concrete and 50,000 tons of structural steel, enough to build a railway line between London and Rome. Read the court decision
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Reprinted courtesy of Rachel Morison, Bloomberg

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Winning Attorney Fees in Litigation as a California Construction Contractor or Subcontractor

December 27, 2021 — William L. Porter - Porter Law Group
The General Rule in California: The Winner Does NOT Receive Attorney Fees and Costs: There is a common misconception that court decisions require the loser in a lawsuit to reimburse the winner for the fees and costs incurred during the lawsuit. Reliance on this misconception in developing a legal strategy for dealing with disputes is a serious strategic error. Where the legal issue is, for example, “breach of contract,” the general rule in California is that there are only two methods by which the winning litigant will be awarded the attorney fees and costs incurred in bringing or defending the lawsuit. The first of these is if the contract in question contains an effective attorney fee clause specifically providing that the prevailing party will recover their attorney fees and costs. The second is if there is a statute on point which provides that the prevailing party will be awarded those fees and costs. The general rule in California is that each party pays their own attorney fees and costs, unless there is an independent legal basis that provides otherwise. This is known as the “American Rule,” used throughout most of the country. The Issue is Important Because Spending More Money Than You Can Be Awarded is a Losing Strategy: The importance of whether the prevailing party in a lawsuit will be awarded their fees and costs cannot be underestimated. The party contemplating whether to bring a lawsuit must seriously consider whether it is even worth the trouble. In many cases, unless the one bringing the lawsuit (the “plaintiff”) is entitled to be reimbursed for the considerable attorney fees and costs incurred in bringing the case, it is just not worth doing so. There is no point spending $50,000 on attorneys on a $40,000 claim unless the plaintiff can be awarded both the $40,000 and the $50,000 if the plaintiff wins. Unless fees and costs are awarded, the plaintiff will still be out $10,000 in the very best of cases. For a party sued (the “defendant”) a similar situation arises in that the defendant faces the reality that it may be less expensive to just pay on a frivolous or false claim than to fight it. Either scenario is unsatisfactory. On the whole, it is beneficial to have an attorney fee clause in a contract when either a plaintiff or a defendant must vindicate its rights. Both deserve to be fully compensated to achieve justice. It is also beneficial to have an attorney fee clause in a contract to encourage the one who is at fault to resolve the case rather than risk paying the fees and costs of the other party who is likely to win the case. In either case, the presence of an attorney fee clause facilitates the party in the right and encourages resolution outside of litigation. These are admirable societal goals. Read the court decision
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Reprinted courtesy of William L. Porter, Porter Law Group
Mr. Porter may be contacted at bporter@porterlaw.com

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