SEATTLE WASHINGTON BUILDING EXPERT
DIRECTORY AND CAPABILITIES

No Signature, No Problem: Texas Court Holds Contractual Subrogation Waiver Still Enforceable

April 10, 2023 — Gus Sara - The Subrogation Strategist
In Chubb Lloyds Inc. Co. of Tex. v. Buster & Cogdell Builders, LLC, No. 01-21-00503-CV, 2023 Tex. App. LEXIS 676, the Court of Appeals of Texas, First District (Court of Appeals) considered whether the lower court properly dismissed the plaintiff’s subrogation case by enforcing a subrogation waiver in a construction contract which was not fully executed. The contract was signed by only one of the two subrogors and was not signed by the defendant general contractor. The Court of Appeals affirmed the trial court’s decision, holding that despite the lack of signatures, the evidence established mutual assent to the contractual terms by all parties. The plaintiff’s subrogors, Jeffrey and Mary Meyer (collectively, the Meyers), retained defendant Buster & Codgell Builders (BCB) to expand their residence. BCB drafted a contract using the American Institute of Architects (AIA) standard form contract for residential construction. The AIA contract included, by reference, a subrogation waiver that applied to BCB and its subcontractors. Prior to beginning the work, BCB emailed Jeffrey Meyer a version of the contract that only had one signature block for both Jeffrey and Mary Meyer. Minutes later, BCB sent a second version of the contract which had a signature line for each of the Meyers. However, Jeffrey Meyer signed the first version of the contract and emailed it back to BCB. In the subject line of his email, Mr. Meyers asked that BCB countersign and return the contract. BCB did not sign and return the contract. 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

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‘Revamp the Camps’ Cabins Displayed at the CA State Fair

July 30, 2014 — Beverley BevenFlorez-CDJ STAFF
This year, the California State Fair is displaying “four modern, environmentally friendly cabins” as “part of the ‘revamp the camps’ mission by the Forward Parks Commission, California State Parks and 12 architecture graduate students at Cal Poly Pomona,” according to the Sacramento Bee. The commission’s purpose is “to find solutions for the financial, cultural and population changes affecting state parks” including “drawing millennials and urban residents who live far from traditional state parks.” Guidelines stated that the cabins “had to be portable, accessible to the physically disabled and made from sustainable materials.” Furthermore the cabins had to be under $15,000 each, have no running water or electricity, and “[y]et the design had to appeal to a younger market.” “After a review of the surveys and recommendations from the Parks Forward Commission, the hope is to place the prototypes in state parks for public use,” the Sacramento Bee reported. Read the court decision
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Texas contractual liability exclusion

May 18, 2011 — CDCoverage.com

In Ewing Construction Co., Inc. v. Amerisure Ins. Co., No. C-10-256 (S.D. Tex. April 28, 2011), insured Ewing was the general contractor for an athletic facility constructed for a school district. The school district sued Ewing alleging defective construction of the project. The underlying complaint included contract and negligence causes of action, and sought damages for the repair of the damages and loss of the use of the project. The complaint did not allege damage to any property other than the project itself. Ewing tendered its defense to its CGL insurer Amerisure. Amerisure denied a defense and Ewing filed suit against Amerisure. The federal district trial court entered summary judgment for Amerisure. Applying Texas law, the court held that all of the damages fell within the “contractual liability” exclusion precluding any duty to defend or indemnify.



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Reprinted courtesy of CDCoverage.com

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Housing Bill Threatened by Rift on Help for Disadvantaged

April 09, 2014 — Cheyenne Hopkins and Clea Benson - Bloomberg
Efforts to overhaul the U.S. housing-finance system could hinge on how far Congress is willing to go to ensure that young, low-income and minority homebuyers can get mortgages. A bipartisan bill drafted by Senate Banking Committee leaders Tim Johnson and Mike Crapo relies on incentives to persuade financiers to lend to groups with higher risk profiles. Consumer and civil-rights organizations are pushing instead for a mandate that those groups must be served, a concept that has become a political flash point since the housing bubble burst. Key Democrats on the banking panel whose support is needed to pass the measure may vote against a bill that doesn’t include a mandate, especially as mortgage borrowing has dropped among blacks, Latinos and first-time buyers. Ms. Hopkins may be contacted at chopkins19@bloomberg.net; Ms. Benson may be contacted at cbenson20@bloomberg.net Read the court decision
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Reprinted courtesy of Cheyenne Hopkins and Clea Benson, Bloomberg

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Construction Defect Leads to Death of Worker

January 28, 2013 — CDJ STAFF
The family of a Florida man has received $2.4 million in damages as a result of his death. Victor Lizarraga was killed when a steel column fell due to the anchor bolts being improperly secured. The general contractor on the project, R. L. Haines, told subcontractors that the epoxy had sufficient time to cure. An OSHA investigation determined that the epoxy was not used properly. Mr. Lizarraga worked for a subcontractor on the project. Mr. Lizarraga and his coworkers were hired to erect steel columns. The epoxy failed, sending a 1,750-pound column down onto Mr. Lizarraga. According to the lawsuit, "due to the sudden and unexpected nature of this incident Mr. Lizarraga had no ability, opportunity or time to get out of the way of the falling column." Other parties in the lawsuit settled with the family. R. L. Haines was the only defendant to go to a jury trial. Read the court decision
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Illinois Non-Profit Sues over Defective Roof

November 27, 2013 — CDJ STAFF
Coordinated Youth and Human Services (CYHS), a family services organization hired Honey-Do Home Repair to design and install a new roof for its building in Granite City, Illinois. Honey-Do removed portions of the roof for testing. A few day later during a rainstorm, a tarp failed, leading to water intrusion and damage to the building. The CYHS is suing the contractor for $400,000. It is claiming that repairing the damage cost the organization $200,000, and it seeks additional damage and court costs. Read the court decision
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Happy Thanksgiving from CDJ

November 27, 2013 — CDJ STAFF
As Thanksgiving kicks off this holiday season, all of us at CDJ would like to gratefully acknowledge all of our valued readers and contributors in the construction defect and claims community. This November marks CDJ’s third anniversary. With your continued support we are looking forward to expanded coverage and features in our 4th year. Best wishes to you and yours this holiday season! Read the court decision
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When Must a New York Insurer Turn Over a Copy of the Policy?

December 23, 2023 — Nicholas P. Hurzeler - Lewis Brisbois
New York, N.Y. (December 7, 2023) - It has long been the rule in New York that a defendant should disclose all insurance policies that might provide coverage to the plaintiff for an underlying claim. McKiernan v Vaccaro, 168 AD3d 827 [2d Dept 2019]; Keenan v Harbor View Health & Beauty Spa, 205 AD2d 589 [2d Dept 1994]. This rule applies to all tort cases, including motor vehicle; however, it does not apply to lawsuits seeking to recover No Fault expenses (see, CPLR 3101(f)(5)). Frequently, a plaintiff will demand a copy of the policy even when the claim is still pre-suit. This raises the question of when the insurer must comply with this specific type of discovery demand in New York. Read the court decision
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Reprinted courtesy of Nicholas P. Hurzeler, Lewis Brisbois
Mr. Hurzeler may be contacted at Nicholas.Hurzeler@lewisbrisbois.com

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