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    433 Meadow St
    Fairfield, CT 06824

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    Can a Lease Force a Tenant's Insurer to Defend the Landlord?

    October 10, 2022 —
    Can an indemnification clause in a commercial lease obligate a tenant’s insurer to defend a landlord? Recently, the United States District Court for the Northern District of New York said, “Yes!” On August 9, 2022, the district court issued a decision in ConMed Corp. vs. Federal Insurance Company, holding that the indemnification clause in a policyholder’s lease triggered the insurer’s duty to defend the landlord in an action arising out of the tenant’s negligence. Facts of the Case ConMed is a medical technology company that leases warehouse space in Georgia from Breit Industrial Canyon (“the Landlord”) to sterilize its medical equipment. ConMed’s employees filed suit against ConMed and a contractor that performed the sterilization, alleging injuries caused by exposure to excessive amounts of chemicals used in the sterilization process (the “ConMed Action”). Thereafter, ConMed’s employees filed a separate lawsuit against the Landlord, alleging that the Landlord permitted storage of unsafe levels of the chemicals at the warehouse without adequate ventilation (the “Landlord Action”). The lease agreement required ConMed to indemnify the Landlord “except in the event of, and to the extent of, Landlord’s negligence or willful misconduct.” Read the court decision
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    Reprinted courtesy of Kerianne Kane Luckett, Saxe Doernberger & Vita, P.C.
    Ms. Luckett may be contacted at KKane@sdvlaw.com

    No Coverage Where Cracks in Basement Walls Do Not Amount to Sudden Collapse

    January 10, 2018 —

    In another of a series of collapse cases arising out of Connecticut, the federal district court found there was no coverage for the homeowner's cracked basement wall caused by defective concrete. Liston-Smith v. CSAA Fire & Cas. Ins. Co., 2017 U.S. Dist. LEXIS 206211 (D. Conn. Dec. 15, 2017).

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    Reprinted courtesy of Tred Eyerly, Insurance Law Hawaii
    Tred Eyerly may be contacted at te@hawaiilawyer.com

    You’ve Been Suspended – Were You Ready?

    April 20, 2020 —
    “Effective tomorrow … the City is suspending all regular activity at construction sites in Boston.” This was just one of the surprises that greeted contractors last week. Contractors and owners with projects across the country are scrambling to comply with mandated governmental suspensions. Project participants should begin contingency planning for possible project shutdowns. Reacting to Suspension Your legal rights and remedies will be largely determined by your contract and the laws applicable to it. But some basic principles will be applicable depending on the source of the suspension. Suspension by the Owner: An owner work suspension suggests review of the contract’s suspension of work clause. Federal contractors would look to the FAR Suspension of Work clause, FAR 52.242-14, but that is applicable if the suspension is by the Contracting Officer; the US would argue that a systemic suspension was a sovereign act and outside the FAR clause. Contractors for private work and state or municipal work may have contractual suspension of work clauses. At least some suspension clauses provide relief for time and money. Reprinted courtesy of Peckar & Abramson attorneys Curtis W. Martin, Patrick J. Greene and Levi W. Barrett Mr. Martin may be contacted at cmartin@pecklaw.com Mr. Greene may be contacted at pgreene@pecklaw.com Mr. Barrett may be contacted at lbarrett@pecklaw.com Read the court decision
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    3M PFAS Water Settlement Could Reach $12.5B

    July 16, 2023 —
    3M Co. has offically moved to settle claims of fouled drinking water stemming from the use of so-called “forever chemicals,” striking a deal with U.S. public water systems that could total $10.5 billion to $12.5 billion over 13 years, it said in a June 22 federal filing. Reprinted courtesy of Jim Parsons, Engineering News-Record and Debra K. Rubin, Engineering News-Record Ms. Rubin may be contacted at rubind@enr.com Read the full story... Read the court decision
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    Are “Green” Building Designations and Certifications Truly Necessary?

    January 28, 2019 —
    As anyone who reads this construction blog on a regular basis knows, I believe that the move to newer sustainable building practices (while bringing about a new or different set of potential risks) is both necessary and laudable. Because of this fact, you may be asking why the headline for today’s post. After all, I am a LEED AP and assisted in the drafting of the LEED/Green Building addendum to the ConsensusDOCS so I must be pro LEED (or any other) certification of buildings. To the extent that such certification encourages best practices and more sustainable building stock, I am pro certification. However, certification is not a necessary carrot to bring builders around to such practices. As a recent article in EcoHome Magazine (thanks to Todd Hawkins at BuilderFish for alerting me to the article) points out, companies are already moving toward these practices with or without certification and it’s added layer of expense. Economic, air quality, and moral (“its the right thing to do”) factors are pushing executives to such practices. According to EcoHome Magazine, while LEED retains the lions share of green certifications, more and more companies are either using internal standards or trying out other certification programs, including Energy Star. 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

    Not a Waiver for All: Maryland Declines to Apply Subrogation Waiver to Subcontractors

    September 23, 2024 —
    In Lithko Contr., LLC v. XL Ins. Am. Inc., No. 31, Sept. Term, 2023, 2024 Md. LEXIS 256, the Supreme Court of Maryland considered whether a tenant who contracted for the construction of a large warehouse facility waived its insurer’s rights to subrogation against subcontractors when it agreed to waive subrogation against the general contractor. The court ultimately decided that the unambiguous language of the subrogation waiver in the development agreement between the parties did not extend to subcontractors. The court also held that the tenant’s requirement that subcontracts include a subrogation waiver did not, in this case, impose a project-wide waiver on all parties. The court, however, found that the requirement that the subcontracts include a similar, but not identical, waiver provision rendered the subcontract’s waiver clauses ambiguous and remanded the case to the lower court to determine if the parties to the development agreement – i.e., Duke Baltimore LLC (“Duke”) and Amazon.com.dedc, LLC (“Amazon”) – intended that the waiver clause in the subcontracts covered claims against subcontractors. This case involved roof and structural damage to a warehouse in Baltimore, Maryland that Duke owned. In March 2014, Amazon entered into a development agreement with Duke for the construction of the warehouse. Amazon also agreed to subsequently lease the warehouse from Duke. Although Amazon essentially owned and/or developed the project, the development agreement identified Duke as “Landlord” and Amazon as “Tenant.” Read the court decision
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    Reprinted courtesy of Gus Sara, White and Williams
    Mr. Sara may be contacted at sarag@whiteandwilliams.com

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

    January 13, 2017 —
    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

    Lien Claimant’s Right to Execute against Bond Upheld in Court of Appeals

    February 10, 2012 —

    Stonewood v. Infinity Homes is a simple construction dispute over a matter of about $9,000.00. But sometimes these tiny little disputes turn into expensive legal battles over mere procedural quivering. In Stonewood, a small subcontractor won a big victory yesterday when the Divison 1 Court of Appeals upheld its judgment against a lien release bond posted by an owner.

    Infinity Homes contracted with Stonewood Design to lay tile in one of its customer’s homes. Stonewood did the work, but Infinity withheld roughly $9,000.00 of the contract sums for what it alleged were trade damages left on the tile. The two parties were unable to come to an agreement over payment and Stonewood proceeded with a lien under RCW 60.04. It then filed an action to enforce the lien against the homeowner, Infinity and its bonding company.

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    Reprinted courtesy of Douglas Reiser of Reiser Legal LLC. Mr. Reiser can be contacted at info@reiserlegal.com

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