Seattle Washington Building Expert Directory

Eighth Circuit Considers Judicial Estoppel in Hazardous Substance Release-Related Personal Injury Case

April 11, 2018 — Anthony B. Cavender - Gravel2Gavel Construction & Real Estate Law Blog
On April 5, the U.S. Court of Appeals for the Eighth Circuit decided the case of Kirk v. Schaeffler Group USA, Inc., et al., a personal injury action commenced in the U.S. District Court for the Western District of Missouri alleging injury resulting from the release of thousands of gallons of trichloroethylene (TCE) at the FAG Bearings Corporation’s (FAG Bearings) facility in Joplin, MO. The Court of Appeals reversed the District Court’s judicial estoppel ruling on the successor liability issue and concluded that the jury’s verdict on compensatory damages stands but their general verdict requires a new trial on Plaintiff’s punitive damages claim against FAG Bearings. Read the court decision
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Reprinted courtesy of Anthony B. Cavender, Pillsbury Winthrop Shaw Pittman LLP
Mr. Cavender may be contacted at anthony.cavender@pillsburylaw.com

No Coverage for Subcontractor's Faulty Workmanship

November 28, 2022 — Tred R. Eyerly - Insurance Law Hawaii
Finding faulty workmanship that did not cause property damage beyond the subcontractor's work, the court found there was no coverage under the CGL policy. Middlesex Ins. Co. v. Dixie Mech., Inc., 2022 U.S. Dist. LEXIS 175190 (N. D. Ga. Sept. 27, 2022). The case involved a construction project on Elba Island, Georgia. IHI E&C International Corporation (IHI) filed suit against Robinson Mechanical Contractors ("Robinson") for faulty construction work, including a pipe rack and process module installation. The pipe racks allegedly contained defective welds. Robinson filed a third-party complaint against Patriot Modular, Inc. (Patriot), Robinson's subcontractor, for faulty work for IHI. Finally, Patriot filed a fourth-party complaint against Dixie Mechanical, Inc. (Dixie), alleging it subcontracted with Dixie to perform fabrication, welding, testing, and inspection of pipes under Patriot's subcontract with Robinson. Patriot contended that to the extent it was found liable to Robinson for any defective work, delays or breaches of contract for Dixie's work, Patriot was entitled to recover such amounts from Dixie. In this case, Dixie's insurer, Middlesex Insurance Company, sought a declaration that it had no duty to defend or to indemnify Dixie. Middlesex contended that the claims of faulty workmanship in the underlying complaints constituted neither an "occurrence" nor "property damage." 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

Indiana Court of Appeals Holds That Lease Terms Bar Landlord’s Carrier From Subrogating Against Commercial Tenant

April 03, 2019 — Gus Sara - The Subrogation Strategist
In Youell v. Cincinnati Ins. Co., 2018 Ind. App. LEXIS 497 (2018), the Court of Appeals of Indiana considered whether a landlord’s carrier could bring a subrogation claim against a commercial tenant for fire-related damages when the lease, which did not reference subrogation, explicitly required the landlord to maintain fire insurance coverage for the leased premises. The court held that subrogation was barred because the provision requiring the landlord to maintain fire insurance established an agreement to provide both parties with the benefits of insurance. The Youell case establishes that, in Indiana, if the lease explicitly states that the landlord will maintain fire casualty insurance for the building, the lease evidences an agreement by the parties to shift the risk of loss to the insurer. This agreement bars a landlord’s insurance carrier from subrogating against a commercial tenant in the event of a casualty. In 2013, the building owner, Greg Dotson, began leasing a commercial building to Robert Youell for his tire business, Best One Giant Tire, Inc. (collectively, Youell). The lease agreement required that the landlord maintain fire and extended coverage insurance on the building and the leased premises. The lease also required the tenant to purchase fire and extended coverage insurance for its personal property. The lease did not mention subrogation. Dotson obtained a property insurance policy through Cincinnati Insurance. Read the court decision
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Reprinted courtesy of Gus Sara, White and Williams LLP
Mr. Sara may be contacted at sarag@whiteandwilliams.com

Around the State

March 27, 2019 — Richard Glucksman & Chelsea Zwart – Construction Claims Magazine
In late 2018, Governor Jerry Brown signed two potentially impactful Senate bills relating to the construction of apartment buildings. These bills, discussed further below, were introduced, in part, in response to the Berkeley balcony collapse in June 2015, which was determined by the California Contractors State License Board to have been caused by the failure of severely rotted structural support joists—the repairs of which were deferred by the property manager despite indications of water damage. In addition, 2018 saw the passage of California’s updated 2019 Building Energy Efficiency Standards. The new standards, which take effect in 2020, require, in part, the installation of solar systems on certain homes. The goal of the standards is to significantly decrease the energy usage in new homes while contributing to California’s greenhouse gas emissions reduction plans. Relatedly, new legislation, effective in 2019, aims to increase consumer protections for homeowners purchasing solar energy systems. Reprinted courtesy of Richard H. Glucksman, Chapman, Glucksman, Dean, Roeb & Barger and Chelsea Zwart, Chapman, Glucksman, Dean, Roeb & Barger Mr. Glucksman may be contacted at rglucksman@cgdrblaw.com Ms. Zwart may be contacted at czwart@cgdrblaw.com Read the court decision
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Manhattan Developer Breaks Ground on $520 Million Project

November 18, 2011 — CDJ STAFF

Rebuilding an area of Midtown West that has been condemned for decades, the Gotham Organization has broken ground on a 1,200-unit project that will include housing for a variety of household incomes and a school. One unit of the project will be affordable housing for families of annual incomes up to $40,000. Another will be for middle-income households. Additionally, there will be a 31-story tower with 550 luxury units.

The site CityBiz quotes Mayor Michael Bloomberg, as saying that the project “will grow our economy by creating 2,900 construction-related jobs.” The president of the Gotham Organization, David L. Picket notes that it will “create hundreds of new jobs, generate millions of dollars in revenue for the construction industry, contribute towards the building of a new primary, and provide homes to thousands of New Yorkers.”

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White and Williams Elects Four Lawyers to Partnership, Promotes Six Associates to Counsel

January 13, 2017 — White and Williams LLP
White and Williams is pleased to announce the election of Edward Beitz, Justin Fortescue, Jennifer Santangelo and Amy Vulpio to the partnership and the promotion of Paul Briganti, Joshua Galante, Dana Spring Monzo, George Morrison, Craig O’Neill and Steven Urgo from associate to counsel. The newly elected partners and promoted counsel represent the wide array of practices that White and Williams offers its clients, including bankruptcy, corporate, finance, healthcare, insurance coverage, labor and employment, real estate and reinsurance. These lawyers have earned their elevations based on their contributions to the firm and their practices. “We are thrilled to elect these four lawyers to the partnership and promote six associates to counsel. These promotions are representative of the breadth of services and deep bench that we have to offer at White and Williams,” said Patti Santelle, Managing Partner. “The election of our new partners and promotion of our counsel is a reflection of their success and dedication as well as the continued health of the firm.” Read the court decision
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Reprinted courtesy of White and Williams LLP

Transplants Send Nashville Home Market Upwards

October 10, 2013 — CDJ STAFF
Home sales and prices are up in Nashville, Tennessee, but it isn’t the locals who are responsible. “People are moving from Florida, California, Texas, Arizona. People come from New York and New Jersey and can’t believe the home values and low taxes,” said Margaret Dixon, a Tennessee realtor. And they’re moving to areas that the locals haven’t embraced. They “don’t have imaginary boundaries in their heads.” As a result, home sales are up 22% in the third quarter with a 9% rise in prices, as compared to the same quarter last year in Davidson County, where Nashville is located. In adjacent Williamson County, sales were up even more, with a 31% increase in volume and a 12% increase in price. Smyrna, home of Nissan’s LEAF electric car, saw a 25.5% increase in sales volume. Read the court decision
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U.S. Housing Starts Exceed Estimates After a Stronger December

January 04, 2018 — Sho Chandra - Bloomberg
Originally Published by CDJ on February 16, 2017 Builders started work on more U.S. homes than forecast in January after an upward revision to starts in the prior month, a sign construction was on a steady path entering 2017. Residential starts totaled an annualized 1.25 million, easing from a 1.28 million pace in the prior month, a Commerce Department report showed Thursday. The median forecast of economists surveyed by Bloomberg was 1.23 million. Permits, a proxy for future construction, increased at the fastest pace since November 2015 on a pickup in applications for apartment building. Read the court decision
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Reprinted courtesy of Sho Chandra, Bloomberg

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