FAIRFIELD CONNECTICUT BUILDING EXPERT
DIRECTORY AND CAPABILITIES

The Murky Waters Between "Good Faith" and "Bad Faith"

September 30, 2019 — Theresa A. Guertin - Saxe Doernberger & Vita
In honor of Shark Week, that annual television-event where we eagerly flip on the Discovery Channel to get our fix of these magnificent (and terrifying!) creatures, I was inspired to write about the “predatory” practices we’ve encountered recently in our construction insurance practice. The more sophisticated the business and risk management department is, the more likely they have a sophisticated insurer writing their coverage. Although peaceful coexistence is possible, that doesn’t mean that insurers won’t use every advantage available to them – compared to even large corporate insureds, insurance companies are the apex predators of the insurance industry. In order to safeguard policyholders’ interests, most states have developed a body of law (some statutory, some based on judicial decisions) requiring insurers to act in good faith when dealing with their insureds. This is typically embodied as a requirement that the insurer act “fairly and reasonably” in processing, investigating, and handling claims. If the insurer does not meet this standard, insureds may be entitled to damages above and beyond that which they could otherwise recover for breach of contract. Proving that an insurer acted in “bad faith,” however, can be like swimming against the riptide. Most states hold that bad faith requires more than just a difference of opinion between insured and insurer over the available coverage – the policyholder must show that the insurer acted “wantonly” or “maliciously,” or, in less stringent jurisdictions, that the insurer was “unreasonable.” Read the court decision
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Reprinted courtesy of Theresa A. Guertin, Saxe Doernberger & Vita
Ms. Guertin may be contacted at tag@sdvlaw.com

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Real Estate & Construction News Round-Up (08/17/22) – Glass Ceilings, Floating Homes and the Inflation Reduction Act

September 12, 2022 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
This week’s round-up features the construction industry’s latest happenings: the Inflation Reduction Act, women shattering the glass ceiling, eco-friendly floating homes, and more.

• The Inflation Reduction Act contains approximately $5 billion for programs to accelerate the construction industry’s shift toward green building materials. (Julie Strupp, Construction Dive)
• According to a new analysis from consultancy Rider Levett Bucknall, the speed of growth for construction costs has only gotten faster. (Erik Sherman, Globe St.)
• Record vacancies in the construction industry has created the opportunity for women to step into what’s previously been an all-male business. (Craig Torres & Maria Paula Mijares Torres, Bloomberg)
• A midlife crisis hits office buildings, with the late-30s/early-40s stable of office product accounting for about a third of the national market today. (Commercial Observer)

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

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Housing Inflation Begins to Rise

February 25, 2014 — Beverley BevenFlorez-CDJ STAFF
According to Kathleen Madigan writing for The Wall Street Journal, “inflation remains muted at the start of 2014” except in one category: housing. Madigan stated that housing costs were “worth watching.” The “owners’ equivalent rent index had been rising at a steady pace through most of 2012 and 2013, with 12-month percent changes hovering around 2%” however, “the pace picked up” at the end of last year. Read the court decision
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Reprinted courtesy of

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Awarding Insurer Summary Judgment Before Discovery Completed Reversed

August 29, 2022 — Tred R. Eyerly - Insurance Law Hawaii
The Florida Court of Appeal reversed the trial court's awarding of summary judgment to the insurer because discovery was not completed. Sacramento v. Citizens Prop. Ins. Corp., 2022 Fla. App. LEXIS 4292 (Fla. Ct. App. June 22, 2022). The insured filed a claim under the all-risk policy for water damage caused by Hurricane Irma. Citizens denied the claim based upon a policy exclusion. The insured filed suit on March 8, 2019. On April 24, 2020, Citizens moved for summary judgment. A hearing was set for August 10, 2020. Citizens filed a notice for a deposition of a Mitigation Company representative scheduled to occur on December 1, 2020. On August 14, 2020, the insured filed an opposition to the summary judgment motion arguing that it would be premature to grant the motion because there were still pending depositions. The insured specifically requested that the trial court not enter summary judgment until the mitigation company's representative was deposed because he was a key witness who would be testifying regarding the cause of loss. 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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Bid Bonds: The First Preventative Measure for Your Project

September 03, 2019 — Christopher G. Hill - Construction Law Musings
For this week’s Guest Post Friday, Construction Law Musings welcomes Danielle Rodabaugh. Danielle is a principal for Surety Bonds.com, an agency that issues surety bonds to individuals and businesses across the nation. She writes articles to clarify bonding rules and regulations for those who have a stake in the surety bond industry–from contractors to telemarketers, and every professional in between. In construction we often value performance and payment bonds when considering how to protect the financial investments put into a project. We do so because these bonds provide a legal financial guarantee that the selected contractor will fulfill the contract. However, a third, equally protective kind of construction bond is often overlooked. Before an official contract has been agreed to and successfully executed, bid bonds guarantee that the selected low-bidder will officially enter into the contract at a later date. Bidders must submit a bid bond with their bid. Without doing so, the bidder becomes non-responsive–or an invalid candidate. Sometimes we overlook the benefits provided by this kind of Virginia surety bond, and yet they frequently act as the only legal protection for a project prior to groundbreaking. 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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2021 2Q Cost Report: Industry Execs Believe Recovery Is in Full Swing

August 04, 2021 — Jonathan Keller - Engineering News-Record
The first six months of 2021 have seen big materials cost hikes, increasing labor shortages and uncertainty over federal action on a major infrastructure package. Despite the headwinds, ENR’s Construction Industry Confidence Index has surged up 17 points to a rating of 68—the highest single jump between quarters since the index was started in 2009. The previous record was 16 points between Q4 of 2011 and Q1 of 2012. Reprinted courtesy of Jonathan Keller, Engineering News-Record Mr. Keller may be contacted at kellerj@enr.com Read the full story... Read the court decision
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Traub Lieberman Attorneys Recognized as 2022 Illinois Super Lawyers® and Rising Stars

February 21, 2022 — Traub Lieberman
Traub Lieberman is pleased to announce that two Partners from the Chicago, IL office have been selected to the 2022 Illinois Super Lawyers list. In addition, three Partners have been named to the 2022 Super Lawyers Rising Stars list. 2022 Illinois Super Lawyers

• Brian Bassett – Insurance Coverage
• Dana Rice – Insurance Coverage

2022 Super Lawyers Rising Stars

• Brandt Allen – Insurance Coverage
• Jessica Kull – Civil Litigation: Defense
• Jeremy Macklin – Insurance Coverage

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Reprinted courtesy of Traub Lieberman

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New Green Standards; Same Green Warnings for Architects & Engineers (law note)

January 13, 2014 — Melissa Dewey Brumback - Construction Law in North Carolina
The newest version of the LEED ratings system, LEED v4, has officially been released. For a comparison of the major changes between LEED 2009 and LEEDv4, check out this downloadable form from the USGBC. As the folks at Schinnerer’s pointed out, there is one major change that is fraught with peril for design professionals– the requirement for increased transparency concerning the composition and performance requirements of composition materials. Notes the insurance carrier: “While design firms always had a level of responsibility for ongoing product research, the lack of standardized, affirmative industry data made it difficult for design firms and project owners to assess the impact of building materials on human health. “As with many aspects of sustainability in design and construction, the danger to design firms is likely to come from self-inflicted perils. When a firm accepts responsibility to ‘ensure that a project meets its goals by using the best products that align with project requirements,’ it is essentially giving the project owner a guarantee that is both beyond the firm’s control and uninsurable by any insurance carried by a firm.” Read the court decision
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Reprinted courtesy of Melissa Dewey Brumback
Ms. Brumback can be contacted at mbrumback@rl-law.com

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