Sanctions Issued for Frivolous Hurricane Sandy Complaint Filed Against Insurer
February 26, 2015 —
Tred R. Eyerly – Insurance Law HawaiiThe federal district court for the district of New Jersey cracked down on a Texas law firm that filed 250 Hurricane Sandy related cases against insurers without adequate investigation. Lighthouse Point Marina & Yacht Club, LLC v. Int'l Marine Underwriters, 2015 U.S. Dist. LEXIS 6430 (D. N.J. Jan. 20, 2015).
The Texas firm filed more that 250 actions in New Jersey courts against insurers to recover for alleged property damage caused by Hurricane Sandy. The original complaints were nearly identical with the same typos. The complaint in this case alleged that the insurer did not pay benefits under the policy for "extreme external and internal damages, as well as other wind-related loss," but did not specify the value or nature of the damage. The insurer answered that it sent an adjuster to the property soon after the storm and found wind damages to two fences, but no damage to any building on the property. The adjuster valued the claim at $1,612.00 and recommended a payment of $612.00, after applying the $1000 deductible.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Distressed Home Sales Shrinking
October 22, 2014 —
Beverley BevenFlorez-CDJ STAFFAccording to Molly Boesel in CoreLogic, “Distressed sales (REO and short sales) accounted for 11.2 percent of total home sales in August 2014, the lowest share since December 2007 and a strong improvement from the same time a year ago when this category made up 15 percent of total sales.”
Michigan had the largest amount of distressed sales, with 25.5 percent in August, while California “saw the largest improvement from peak distressed sales share of any state, falling 55.3 percent from the January 2009 peak share of 67.4 percent.”
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Committeewoman Requests Refund on Attorney Fees after Failed Legal Efforts
February 10, 2014 —
Beverley BevenFlorez-CDJ STAFFWest Deptford, New Jersey township redevelopment counsel Mark Cimino had spent a year arguing that the city should receive a $4 million reduction in construction costs due to “inadequate documentation provided by the bank, as well as receipts showing disbursement had ‘improperly’ been made toward uses other than construction,” according to a December 30th 2013 article in the South Jersey Times. However, a state appellate court upheld the ruling that “the township had no basis” to request the reduction.
Now, Committeewoman Denice DiCarlo is “seeking a $10,000 refund on the attorney fees paid” to Cimino, the South Jersey Times reported on February 6th. “This entire matter has been a monumental waste of tax dollars, and I am angry that the entire township committee was misled by Mr. Cimino and induced to believe we had any reasonable chance of recovering loan proceeds from this lawsuit,” DiCarlo stated in a letter to Mayor Raymond Chintall.
Not all committee members agree with DiCarlo. Committeeman Sam Cianfarini told South Jersey Times that “he still believed Fulton Bank owed it to West Deptford to answer for any funds put toward anything other than construction.”
Cimino declared “that both the lawsuit and appeal were valid,” according to the February 6th article. He “accused DiCarlo of ‘playing politics.’”
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These Pioneers Are Already Living the Green Recovery
June 01, 2020 —
Laura Millan Lombrana & Akshat Rathi - BloombergIn the wake of the historic global economic shutdown in response to the Covid-19 pandemic, governments are unleashing trillions of dollars in a bid to create jobs and spur economic recovery. The scale of this stimulus is unprecedented, in some cases amounting to more than 10% of countries’ gross domestic product. At the same time, an overwhelming number of economists, finance ministers, and business leaders are saying that much of that money needs to help—and certainly not hinder—our ability to cut emissions.
If that advice is heeded, these funds will go to emerging technologies that would have sounded like science fiction not so long ago. Now they have ambitions to help lower greenhouse gas emissions on an industrial scale.
Leading the way is the European Union, which was planning a green transformation even before the outbreak began. It aims to make the 27-member bloc the first carbon neutral continent by 2050, and the pandemic hasn’t changed that.
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Laura Millan Lombrana & Akshat Rathi, Bloomberg
Be Careful When Requiring Fitness for Duty Examinations
October 21, 2015 —
Craig Martin – Construction Contractor AdvisorFitness for Duty examinations can be an important part of an employer’s hiring and retention protocol. The Nebraska Supreme Court recently clarified when an employer may require applicants and employees to undergo fitness for duty examinations. In Arens v. Nebco, Inc., the court ruled that an employer must have a legitimate, nondiscriminatory reason for its demand that a current employee submit to a fitness for duty examination.
In this case, Lenard Arens suffered two significant injuries over the course of his 25 years of employment with Nebco. The second injury, a closed head injury, limited the type of work he could do and required written instructions due to short term memory loss. Arens was assigned to drive tractor-trailer trucks. Several years after returning to work, Arens had two minor accidents with his truck within a matter of days. Arens supervisor required him to undergo fitness for duty examination. Arens failed the fitness for duty examination and was terminated. Arens filed suit, claiming that Nebco discriminated against him by making him take a fitness for duty test.
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Craig Martin, Lamson, Dugan and Murray, LLPMr. Martin may be contacted at
cmartin@ldmlaw.com
Tesla Powerwalls for Home Energy Storage Hit U.S. Market
May 12, 2016 —
Dana Hull – BloombergTo Steve Yates, the best thing about his new Tesla Powerwall is that he doesn’t have to worry anymore about the lights going out during a storm. Or maybe it’s how cool an addition it is to the entryway of his house in Monkton, Vermont.
“I’ve always wanted to have a backup power source,” said Yates, who was without electricity for 36 hours during Hurricane Irene in 2011. He also admires the Powerwall’s sleek white contours. “It’s kind of art-deco looking.”
A year after Elon Musk unveiled the Powerwall at Tesla Motors Inc.’s design studio near Los Angeles, the first wave of residential installations has started in the U.S. The 6.4-kilowatt-hour unit stores electricity from home solar systems and provides backup in the case of a conventional outage. Weighing 214 pounds and standing about 4-feet tall, it retails for around $3,000. But hookup by a trained electrician is required, as is something called a bi-directional inverter that converts direct-current electricity into the kind used by dishwashers and refrigerators. The costs add up quickly -- which has fueled skepticism about Musk’s dream of changing the way the world uses energy.
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Dana Hull, Bloomberg
Ex-Turner Exec Gets 46 Months for Bloomberg Construction Bribes
July 11, 2021 —
Eydie Cubarrubia - Engineering News-RecordA third New York City-based construction executive was sentenced to federal prison June 15, receiving 46 months, as part of the $15-million bribery scheme involving interiors work for financial giant Bloomberg LLP at its Manhattan headquarters.
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Eydie Cubarrubia, Engineering News-Record
Ms. Cubarrubia may be contacted at cubarrubiae@enr.com
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U.K. High Court COVID-19 Victory for Policyholders May Set a Trend in the U.S.
November 09, 2020 —
Andres Avila & Anastasiya Collins - Saxe Doernberger & VitaOn September 15, 2020, in a matter entitled The Financial Conduct Authority v. Arch & Others1, the High Court of Justice of England and Wales, the equivalent of a trial court in the U.S., issued a ruling on a COVID-19 business interruption insurance case (the “Judgment”). Significantly, the Court sided with policyholders on most key coverage issues under specific non-damage business interruption insurance coverage forms. U.S. policyholders should review whether any of their policies issued by U.K.-based carriers, which may be subject to English law and have the forms discussed below, are impacted by this favorable decision.
The Financial Conduct Authority (“FCA”), the U.K. financial regulatory body, brought the case to establish liability under 21 lead representative sample policy wordings from eight insurer defendants. The case was filed on an expedited basis on June 9, 2020 under the Financial Market Test Case Scheme, which is used for claims of general importance that require authoritative court guidance. Although the Judgment is legally binding only on the carriers who were parties to the action, the FCA estimates the case could affect 700 types of policies across 60 different insurers, and 370,000 small to medium-sized enterprises policyholders (“SME”) in the U.K. While the Judgment may be appealed, it is expected to incentivize insurers to settle their claims before the outcome of an appeal is known.
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Andres Avila, Saxe Doernberger & Vita and
Anastasiya Collins, Saxe Doernberger & Vita
Mr. Avila may be contacted at AAvila@sdvlaw.com
Ms. Collins may be contacted at ACollins@sdvlaw.com
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