Fairfield Connecticut Building Expert Directory

Two-Part Series on Condominium Construction Defect Issues

May 19, 2014 — Beverley BevenFlorez-CDJ STAFF
Gregory L. Shelton, construction law attorney at Horack, Talley, Pharr & Lowndes, P.A., wrote a two-part series in the Charlotte Observer about condominium construction defect issues. The first part described “common defects and their consequences,” while the second part explained “how legal time limits can prevent the association or its owners from suing the parties responsible for defective construction.” If interested in purchasing a condo unit, Shelton recommended hiring a building inspector, though he cautioned that “the inspector should be truly independent. His client should be you and not ‘the sale.’” In the second part, Shelton discussed the complexities of statutes of limitations and statutes of repose. Read the full story, Part 1... Read the full story, Part 2... Read the court decision
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Minnesota Addresses How Its Construction Statute of Repose Applies to Condominiums

April 27, 2020 — William L. Doerler - The Subrogation Strategist
Courts often struggle with the question of when the statute of repose starts to run for construction projects that involve multiple buildings or phases. In Village Lofts at St. Anthony Falls Ass’n v. Housing Partners III-Lofts, LLC, 937 N.W.2d 430 (Minn. 2020) (Village Lofts), the Supreme Court of Minnesota addressed how Minnesota’s 10-year statute of repose, Minn. Stat. § 541.051, applies to claims arising from the construction of a condominium complex. The court held that the statute of repose begins to run at different times for: a) statutory residential warranty claims brought pursuant to Minn. Stat. §§ 327A.01 to 327A.08, et. seq.; and b) common law claims arising out of the defective and unsafe condition of the condominium buildings. As stated in Village Lofts, Housing Partners III-Lofts, LLC (Housing Partners) developed the Village Lofts at St. Anthony Falls, a condominium complex consisting of Building A and Building B. Housing Partners retained Kraus-Anderson Construction Company (Kraus-Anderson) as the general contractor for Building A. Kraus-Anderson retained Elness Sweeney Graham Architects, Inc. (ESG), Doody Mechanical, Inc. (Doody) and Kenneth S. Kendle, P.E. (Kendle) to work on Building A. In September 2002, the City of Minneapolis (City) issued a partial certificate of occupancy (CO) for Building A, including the building’s public spaces. On October 4, 2002, Housing Partners filed the declaration creating the Village Lofts at St. Anthony Falls condominium, to be operated by Village Lofts at St. Anthony Association (Village Lofts Association). On October 10, 2002, Housing Partners sold the first unit in Building A and in November of 2003, the City issued a CO for the entire building, excluding two units. Read the court decision
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Reprinted courtesy of William L. Doerler, White and Williams LLP
Mr. Doerler may be contacted at doerlerw@whiteandwilliams.com

Illinois Supreme Court Rules Labor Costs Not Depreciated to Determine Actual Cash Value

November 19, 2021 — Tred R. Eyerly - Insurance Law Hawaii
The Illinois Supreme Court determined that a homeowner insurer may not depreciate labor costs in calculating actual cash value (ACV) after a loss under the policy. Sproull v. State Farm Fire and Casualty Co., 2021 Ill. LEXIS 619 (Ill. Sept. 23, 2021). Plaintiff was insured under a homeowner's policy that provided replacement cost coverage for structural damage. Under the policy, the insured would initially receive an ACV payment but then could receive replacement cost value (RCV) if repairs or replacement were completed within two years and the insurer was timely notified. The policy did not define "actual cash value." Plaintiff suffered wind damage to his residence and timely submitted a property damage claim to State Farm. The adjuster determined that the building sustained a loss with RCV of $1711.54. In calculating ACV, State Farm began with the RCV and then subtracted plaintiff's $1000 deductible and an additional $394.36, including taxes, for depreciation. Plaintiff thus received an ACV payment of $317.18. Plaintiff claimed that he was underpaid on his ACV claim because State Farm depreciated labor, which is intangible and thus not subject to wear, tear, and obsolescence. Further, labor should not have been depreciated because it was not susceptible to aging or wearing and its value did not diminish over time. 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

Did the Court of Appeals Just Raise the Bar for California Contractors to Self-Report Construction-Related Judgments?

June 10, 2015 — Garret Murai – California Construction Law Blog
An interesting construction case just came out from the California Court of Appeals for the Second District this past month – Pacific Caisson & Shoring, Inc. v. Bernards Bros., Inc., California Court of Appeals for the Second District, Case No. B248320 (May 19, 2015) – which discusses a number of intertwining issues that can be faced by contractors in California and concludes with a result that I’m not sure I quite agree with. Among the issues discussed by the Court of Appeal were:

The application of the dreaded Business and Professions Code section 7031 which: (1) precludes a contractor from making a claim for payment for work performed; and (2) requires a contractor to disgorge all monies received for work performed, if the contractor was not properly licensed at all times that work was performed;
The impact of an unsatisfied judgment against one contractor on the license of another “related” contractor; and
Whether a stipulated judgment providing for payments over time is an unsatisfied final judgment under the Licensing Law.

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Reprinted courtesy of Garret Murai, Wendel Rosen Black & Dean LLP
Mr. Murai may be contacted at gmurai@wendel.com

Boston Team Obtains Complete Defense Verdict for Engineering Firm in Professional Liability Matter

June 08, 2020 — Kenneth Walton & Oliver Vega - Lewis Brisbois
Boston, Mass. (June 5, 2020) - Boston Partner Kenneth B. Walton and Associate Oliver J. Vega recently obtained a complete defense verdict after a 10-day bench trial in the U.S District Court for the District of South Carolina. The plaintiff in this matter, who is the owner of a newly acquired food processing facility, alleged breach of contract and breach of fiduciary duty claims against our client, a Massachusetts engineering firm, arising out of allegedly defective design and construction management services provided during the renovation of and addition to said facility. Reprinted courtesy of Kenneth Walton, Lewis Brisbois and Oliver Vega, Lewis Brisbois Mr. Walton may be contacted at Ken.Walton@lewisbrisbois.com Mr. Vega may be contacted at Oliver.Vega@lewisbrisbois.com Read the court decision
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Sustainable, Versatile and Resilient: How Mass Timber Construction Can Shake Up the Building Industry

April 10, 2023 — Cait Horner, Adam J. Weaver & Allan C. Van Vliet - Gravel2Gavel Construction & Real Estate Law Blog
Design professionals, real estate developers and builders alike are advocating for a relatively new way of using one of the world’s oldest building materials—wood—in large-scale commercial and residential construction projects. Mass timber, or structural timber, touts such benefits as carbon reduction and seismic durability—all with a lower construction time. With ESG on the minds of clients, investors and tenants, mass timber projects present an attractive construction option for the integration of sustainable resources and these various benefits. The most common and popular form of mass timber, cross-laminated timber (CLT), has been recently gaining popularity in the U.S. after widespread adoption in Europe over the past 20 years. CLT consists of layers of trimmed and kiln-dried lumber boards, usually three, five or seven across, stacked and glued crosswise at 90-degree angles. These stacked lumber boards create large slabs that are used to build floors, walls and ceilings—put those fabricated pieces together, and you have a whole building constructed of CLT. Reprinted courtesy of Cait Horner, Pillsbury, Adam J. Weaver, Pillsbury and Allan C. Van Vliet, Pillsbury Ms. Horner may be contacted at cait.horner@pillsburylaw.com Mr. Weaver may be contacted at adam.weaver@pillsburylaw.com Mr. Van Vliet may be contacted at allan.vanvliet@pillsburylaw.com Read the court decision
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No Coverage for Faulty Workmanship Based Upon Exclusion for Contractual Assumption of Liability

August 06, 2019 — Tred R. Eyerly - Insurance Law Hawaii
The Supreme Court for West Virginia determined the policy's contractual assumption exclusion barred coverage for the general contractor based upon claims of faulty workmanship. J.A. St & Assocs. v. Bitco Gen. Ins. Corp., 2019 W. Va. LEXIS 205 (May 1, 2019). J.A. Street & Associates, Inc. entered a contract with the developer, Thundering Herd Development, L.L.C., to build a commercial shopping center on seventy-eight acres of land. Street agreed to oversee the site preparation for the development and the construction of many of the buildings. Thundering Herd retained an engineering firm, S&ME, Inc. to do geotechnical exploration and to provide advice regarding land preparation for the shopping center. Thundering Heard also entered an agreement with the Target Corporation to construct a store on a pad to be prepared at the shopping center. Street hired subcontractors to prepare the site by grading the land and installing fill material. A slope was constructed at the rear of the proposed Target site, but it failed, causing a landslide, damage to the pad, and damage to adjacent property owned by a third party. Thundering Heard incurred $721,875 in additional costs to repair this slope, reconstruct the Target site, and compensate the neighbor for the damage to the adjacent property. 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

Appraiser Declarations Inadmissible When Offered to Challenge the Merits of an Appraisal Award

March 14, 2018 — Valerie Moore and Christopher Kendrick - Publications & Insights
In Khorsand v. Liberty Mutual Fire Ins. Co. (No. B280273, filed 2/27/18), a California appeals court affirmed an appraisal award favorable to a homeowners insurer, ruling that it was improper to admit as evidence in opposition to a petition to confirm the award a declaration from the policyholders’ appraiser, except for the limited purpose of showing improprieties in the appraisal, bias, partiality or other improper conduct. The homeowners had a pipe leak and submitted a claim. The insurer responded to an estimate from the owners’ adjuster by retaining an expert and paying an undisputed amount that was significantly less. Eleven months later the owners had upper deck damage and submitted another claim. Relying on the same expert, the insurer paid another undisputed amount significantly less than the owner’s estimate. The owners requested appraisal but the insurer denied the request, contending that the dispute was over coverage and outside the scope of appraisal. The owners’ petition for appraisal was granted, with the court ordering separate listing of items the insurer disputed regarding coverage or causation. The appraisal panel issued an award stating that total damage was $132,293, of which $96,530 was contested by the insurer. The insurer filed a petition to confirm the award, which was granted despite the fact that the owners’ appraiser had refused to sign it. Reprinted courtesy of Valerie Moore, Haight Brown & Bonesteel LLP and Christopher Kendrick, Haight Brown & Bonesteel LLP Ms. Moore may be contacted at vmoore@hbblaw.com Mr. Kendrick may be contacted at ckendrick@hbblaw.com Read the court decision
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