Fairfield Connecticut Building Expert Directory

Third Circuit Holds No Coverage for Faulty Workmanship Despite Insured’s Expectations

November 21, 2018 — Brian Margolies - TLSS Insurance Law Blog
In its recent decision in Frederick Mut. Ins. Co. v. Hall, 2018 U.S. App. LEXIS 31666 (3d Cir. Nov. 8, 2018), the United States Court of Appeals for the Third Circuit had occasion to consider Pennsylvania’s doctrine of reasonable expectations in the context of a faulty workmanship claim. Hallstone procured a general liability policy from Frederick Mutual to insure its masonry operations. Notably, when purchasing the policy through an insurance broker, Hallstone’s principal stated that he wanted the “maximum” “soup to nuts” coverage for his company. Hallstone was later sued by a customer for alleged defects in its masonry work. While Frederick agreed to provide a defense, it also commenced a lawsuit seeking a judicial declaration that its policy excluded coverage for faulty workmanship. The district court agreed that the business risk exclusions applied, but nevertheless found in favor of Hallstone based on the argument that Hallstone had a reasonable expectation that when applying for an insurance policy affording “soup to nuts” coverage, it this would include coverage for faulty workmanship claims. Read the court decision
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Reprinted courtesy of Brian Margolies, Traub Lieberman Straus & Shrewsberry LLP
Mr. Margolies may be contacted at bmargolies@tlsslaw.com

Real Estate & Construction News Roundup (1/24/24) – Long-Term Housing Issues in Hawaii, Underperforming REITs, and Growth in a Subset of the Hotel Sector

February 19, 2024 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
In our latest roundup, commercial real estate’s relationship with technology, towns and cities across the country prevent dollar stores from opening, empty offices and other commercial buildings are reused for housing, and more!

Between 1988 and September 2023, the hotel room supply in the select service and extended stay hotel sector has increased by 60% greater than full-service hotel room supply growth. (Michele Laufik, Hotel Dive)
With high mortgage rates and home prices, would-be buyers are understandably looking for deals — even if they need to move to a different city, state or region to find them. (Ana Teresa Solá, CNBC)
Roughly 60 towns and cities have made changes to their zoning laws since 2018 to prevent dollar stores from opening within their limits. (Alex Bitter, Business Insider)

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Reprinted courtesy of Pillsbury's Construction & Real Estate Law Team

EPA Announces Decision to Retain Current Position on RCRA Regulation of Oil and Gas Production Wastes

June 03, 2019 — Anthony B. Cavender - Gravel2Gavel
After much study, EPA has decided against changing its current RCRA Subtitle D rules affecting the state regulation of oil and gas exploration & production waste. Since 1988, EPA has determined that most such wastes should be regulated as only non-hazardous wastes subject to RCRA Subtitle D, and not the more onerous hazardous waste provisions of RCRA Subtitle C. (See the Regulatory Determination of Oil and Gas and Geothermal Exploration, Development and Production Wastes, 53 FR 25,446 (July 6,1988).) As a result, under the Subtitle D rules, the primary regulators of such waste are state regulatory agencies, which follow the state plan non-hazardous waste guidelines developed by EPA. This regulatory disposition has proven to be fairly controversial, and it was recently challenged in a lawsuit filed in the U.S. District Court for the District of Columbia: Environmental Integrity Project, et al. v. McCarthy. To settle this lawsuit, EPA and the plaintiffs entered into a consent decree by which EPA was to make certain determinations about the future of the program after conducting an appropriate study. That study, Management of Exploration, Development and Production Wastes: Factors Informing a Decision on the Need for Regulatory Action, has been completed, and it concludes, after a fairly comprehensive review of these state regulatory programs, that “revisions to the federal regulations for the management of E&P wastes under Subtitle D of RCRA (40 CFR Part 257) are not necessary at this time.” In a statement released on April 23, 2019, EPA accepted these findings and promised that it would continue to work with states and other stakeholders to identify areas for improvement and to address emerging issues to ensure that exploration, development and production wastes “continue to be managed in a manner that is protective of human health and the environment.” Read the court decision
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Reprinted courtesy of Anthony B. Cavender, Pillsbury
Mr. Cavender may be contacted at anthony.cavender@pillsburylaw.com

Facebook Posts “Not Relevant” Rules Florida Appeals Court

February 07, 2014 — Beverley BevenFlorez-CDJ STAFF
A Cape Coral, Florida resident is suing the city and construction companies over alleged negligence “for failing to use reasonable care in keeping the construction site safe for pedestrians,” according to News-Press. The lawsuit was filed after a three-year old boy “jumped out of a wagon pulled by his aunt and darted across the construction zone before being” hit and dragged by a vehicle. The boy “suffers neurological problems from the crash.” The defendants wanted to use Facebook posts made by the Plaintiff about the city, contractors, and subcontractors, as evidence. However, the 2nd District Court of Appeals ruled that the Facebook posts were irrelevant to the case. Todd Robert Falzone, the Plaintiff attorney, said that “it’s becoming more common for defense lawyers to try and introduce social media into any case, but the law is new and there isn’t a lot of guidance for lawyers or judges,” according to News-Press. The defendants’ attorneys did not return News-Press’s calls asking for comments. Read the court decision
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New FAR Rule Mandates the Use of PLAs on Large Construction Projects

October 10, 2022 — Reggie Jones - ConsensusDocs
The Federal Acquisition Regulatory Council recently published a proposed ruled that, once implemented, will require the use of project labor agreements (PLAs) on federal construction projects with a contract value of $35 million or greater. The proposed rule revokes President Obama’s Executive Order 13502 and implements an Executive Order 14063 (E.O. 14063) issued on February 9, 2022. E.O. 14063 addresses the use of PLAs in the government contracts. Under the current Federal Acquisition Regulation (FAR), the use of PLAs on “large-scale construction projects” is discretionary. The new rule proposed by the Department of Defense (DOD), General Services Administration (GSA), and National Aeronautics and Space Administration (NASA) revises the FAR contract clauses making the use of PLAs mandatory. Under the proposed rule, contractors performing “large-scale construction projects” will be required to “negotiate or become a party to a [PLA] with one or more appropriate labor organizations.” FAR 52.222-33. A PLA is in essence a collective bargaining agreement between a local trade union and contractor that governs employment terms, including wages and benefits, for union and non-union workers. Although the PLA mandate only applies to large-scale construction projects with the contract value of $35 million and more, under the proposed rule, agencies have the option to include the PLA requirement for construction projects that are under the $35 million threshold. The proposed rule also sets out a flow-down requirement, which means that subcontractors working on a large-scale project must likewise be familiar with and comply with terms of the PLA negotiated by a prime contractor. Read the court decision
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Reprinted courtesy of Reggie Jones, Fox Rothschild LLP (ConsensusDocs)
Mr. Jones may be contacted at rjones@foxrothschild.com

Another (Insurer) Bites The Dust: Virginia District Court Rejects Narrow Reading of Pollution Exclusion

September 10, 2018 — Michael S. Levine & Latosha M. Ellis - Hunton Insurance Recovery Blog
In a victory for policyholders, and an honorable mention for Merriam-Webster’s Dictionary, a federal judge in Virginia ruled that the dispersal of concrete dust that damaged inventory stored in an aircraft part distributor’s warehouse was a pollutant, as defined by the policy, but that it also constituted “smoke” as that term was defined in the dictionary, thereby implicating an exception to the policy’s pollution exclusion. The Court then granted summary judgment for the policyholder, who had suffered a $3.2 million loss. Reprinted courtesy of Michael S. Levine, Hunton Andrews Kurth and Latosha M. Ellis, Hunton Andrews Kurth Mr. Levine may be contacted at mlevine@HuntonAK.com Read the court decision
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The Impact of Nuclear Verdicts on Construction Businesses

October 28, 2024 — Craig Tappel - Construction Executive
A rush to build at a time when the U.S. housing supply continues to fall short may come with a cost to the construction industry. Particularly in hot markets—Sun Belt states and the Mountain West—the drive to finish fast, if not big, can lead to construction and design-defect litigation. Last fall, for example, $22 million in damages were awarded to 220 unhappy homeowners in a South Carolina subdivision northwest of Charleston, four years after their claim for defective work was filed against a major U.S. homebuilder and its subcontractors. Defective work is one of three areas where the construction industry is particularly vulnerable as class-action litigation and thermonuclear verdicts surge. Another is the risk of loss of life or permanent disability on a site, and not solely involving workers: Over $860 million was awarded in 2023 to the family of a woman who was killed in a 2019 crane collapse at a Dallas construction site. Reprinted courtesy of Craig Tappel, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Contractor Sues Construction Defect Claimants for Defamation

June 28, 2013 — CDJ STAFF
Andrew Smith and Armando Delgado both own condos in the Willowbrook condominium complex in East Manatee, Florida, and they’ve both been dealing with structural problems with their homes. Now they’re together in another matter as the contractor who has been hired to do the repairs has sued them for defamation. The homeowners claim that the construction company is trying to intimidate them. KB Homes, which built the Willowbrook complex, hired Dueall Construction to repair the buildings. Anthony Robbins, one of the owners of Dueall, is currently on probation for cocaine trafficking. Smith put this information on a website associated with complaints about KB Homes, while Delgado put a banner on the back of his pickup truck. The lawsuit claims that Smith and Delgado “have initiated a campaign to smear and defame Dueall and its owners.” Read the court decision
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FAIRFIELD CONNECTICUT BUILDING EXPERT DIRECTORY AND CAPABILITIES