Seattle Washington Building Expert Directory

New Index Tracking Mortgages for New Homes

June 18, 2014 — Beverley BevenFlorez-CDJ STAFF
The National Association of Home Builders’ Eye on Housing reported that the Mortage Bankers Association (MBA) completed their Builder Application Survey (BAS), which demonstrated that “mortgage applications for new home purchases decreased by a not seasonally adjusted monthly rate of 8.4% in May 2014. However, on a 12-month basis, mortgage applications for new home purchases in May 2014 were 4.9% higher than their level in May 2013.” According to Eye on Housing, “This is the fifth consecutive month of year-over-year increases in mortgage applications for new home purchases.” Read the court decision
Read the full story...
Reprinted courtesy of

Court Finds No Coverage for Workplace “Prank” With Nail Gun

April 04, 2022 — Craig Rokuson - Traub Lieberman Insurance Law Blog
In the recent case of Metro. Prop. & Cas. Ins. Co. v. Burby, 2022 NY Slip Op 22070, ¶ 1 (Sup. Ct.) Justice Richard M. Platkin of the Supreme Court of Albany County, New York examined a homeowners insurance policy and determined that a duty to defend was triggered in a case seeking recovery for injuries sustained when the insured, Burby allegedly discharged a nail gun in the bathroom of a work facility at which both Burby and the underlying plaintiff worked. Burby pled guilty to assault in the third degree for recklessly causing physical injury. MetLife, Burby’s carrier, disclaimed coverage based on lack of an occurrence, the business activities exclusion and the intentional loss exclusion, which bars coverage for injuries expected or intended by the insured or injuries that are the result of the insured’s intentional and criminal acts or omissions. Justice Platkin initially reviewed the intentional loss exclusion and lack of an occurrence and found that, from a duty to defend perspective, neither provided a dispositive coverage defense. However, the court found that the broadly worded business activities exclusion, which was not the subject of MetLife’s motion and instead was the subject of a cross motion by Burby, applied to bar coverage. In doing so, the court searched the record and granted summary judgment on the issue, despite MetLife not moving for relief under the exclusion. With respect to the expected or intended prong of the intentional loss exclusion, the court found that, even if Burby did intend to pull the trigger of the nail gun, it was not pled in the underlying complaint that the harm that resulted to the plaintiff was expected or intended. As such, the court concluded that MetLife did not prove that there was no possible factual or legal basis upon which it could be found that Burby did not reasonably expect or intend to cause injury to the plaintiff. Read the court decision
Read the full story...
Reprinted courtesy of Craig Rokuson, Traub Lieberman
Mr. Rokuson may be contacted at crokuson@tlsslaw.com

Environmental Justice Update: The Justice40 Initiative

April 29, 2024 — Anthony B. Cavender - Gravel2Gavel Construction & Real Estate Law Blog
Soon after taking office, President Biden issued Executive Order 14008, entitled, “Tackling the Climate Crisis at Home and Abroad.” This is an unusually long and complex executive order and includes many provisions relating to environmental justice and the plight of “disadvantaged communities” that are overwhelmed by many environmental threats. Section 223 of the Order describes the President’s “Justice40 Initiative,” which is designed to ensure that 40% of Federal benefits flow to disadvantaged communities through an “all of government approach.” There is a recognition that some disadvantaged communities lack the personnel and resources to take advantage of this Initiative, so technical training funds will be made available. The Order establishes new offices throughout the Federal bureaucracy to handle and expedite environmental justice matters. The Office of Management and Budget (OMB) and the Council on Environmental Quality (CEQ) play a large role in implementing the Initiative by issuing appropriate guidance and assisting the Federal agencies to locate, among the thousands of programs they supervise, suitable programs that will assist disadvantaged communities. At last count, 518 Federal programs administered by 19 distinct Federal agencies could be a good source for the resources needed by disadvantaged communities to cope with air and water pollution and solid waste issues. Direct grants will be made in many cases, and other programs require the community to apply for the funds promised by the Executive Order. In addition, the Order requires participating Federal agencies to assess the value and effectiveness of the benefits bestowed. OMB and the CEQ have issued guidance documents and conducted many meetings with key personnel and members of the disadvantaged communities. Read the court decision
Read the full story...
Reprinted courtesy of Anthony B. Cavender, Pillsbury
Mr. Cavender may be contacted at anthony.cavender@pillsburylaw.com

Violation of Prompt Payment Statutes is Not a Breach of Contract. But That’s Not the Most Interesting Part

November 01, 2022 — Garret Murai - California Construction Law Blog
While construction projects can get messy, they don’t get much messier than the next case, which, while involving a fairly limited legal issue, has such jaw dropping facts it’s worth a read if only to make you feel a bit better about your own project. The Clark Bros. Case In Clark Bros, Inc. v. North Edwards Water District, 77 Cal.App.5th 801 (2022), general contractor Clark Bros., Inc. was awarded over $3 million in damages against a local water district on a water treatment facility project. The Project The North Edwards Water District serves approximately 220 customers in the Mojave Desert. It has one employee, Dollie Dimples Kostopoulos. Seriously, you can’t make this stuff up. The drinking water it provides to its customers contains three times the legal limit of arsenic, a carcinogen. Read the court decision
Read the full story...
Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

11th Circuit Affirms Bad Faith Judgement Against Primary Insurer

July 24, 2023 — Ashley Kellgren - Traub Lieberman Insurance Law Blog
In American Builders Insurance Co. v. Southern-Owners Ins. Co., 2023 U.S. Dist. LEXIS 15386, No. 21-13496 (11th Cir. June 20, 2023), the Eleventh Circuit affirmed a bad faith judgment against a primary insurer. On April 1, 2019, Ernest Guthrie fell from a roof, causing him to became paralyzed from the waist down. At the time of the accident, Guthrie was employed by his own subcontracting company and was performing work for Beck Construction. Beck Construction was insured under a general liability policy issued by American Builders and an excess policy issued by Evanston. Each of those policies provided $1 million in liability limits. Guthrie’s company was insured under a policy issued by Southern-Owners, which provided a per occurrence limit of $1 million. Under the Southern-Owners policy, Beck Construction was an additional insured and coverage was provided to Beck Construction on a primary basis. Read the court decision
Read the full story...
Reprinted courtesy of Ashley Kellgren, Traub Lieberman
Ms. Kellgren may be contacted at akellgren@tlsslaw.com

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
Read the full story...
Reprinted courtesy of Sho Chandra, Bloomberg

Construction Litigation Roundup: “That’s Not How I Read It”

June 05, 2023 — Daniel Lund III - Lexology
A general contractor seeking to litigate with its subcontractor concerning a construction project in Indiana found itself fighting in court against assertions by the sub that arbitration of the dispute was required. The GC was already in litigation in federal court with the project owner. The GC filed a third-party demand against the sub, which was met with a motion to stay and to compel arbitration. At the crux of the sub’s argument was this clause in its subcontract: “Subcontractor agrees that the dispute resolution provisions of the Prime Contract between [GC] and Owner, if any, are incorporated by reference as part of this Subcontract so as to be binding as to disputes between Subcontractor and [GC] that involve, in whole or in part, questions of fact and/or law that are common to any dispute between [GC] and Owner or others similarly bound to such dispute resolution procedures... ." Read the court decision
Read the full story...
Reprinted courtesy of Daniel Lund III, Phelps
Mr. Lund may be contacted at daniel.lund@phelps.com

Your “Independent Contractor” Clause Just Got a Little Less Relevant

January 12, 2015 — Garret Murai – California Construction Law Blog
Construction projects are complex, multi-partied, multi-disciplinary endeavors, in which subcontracting all or a portion of the work to be performed is not uncommon. When subcontracting work, parties usually make it clear in their contracts that the party performing work is acting as an “independent contractor.” Here’s a fairly typical provision from the AIA A201 General Conditions:

The parties agree that the contractual relationship on Contractor to Owner is one solely of an independent contractor in all respects and that the Contract Documents do not in any way create a partnership, joint venture or any other relationship between Owner and Contractor other than the contractual relationship as specified in this Agreement.

These provisions are intended to shield the contracting party from claims that it is responsible for workers’ compensation premiums, retirement contributions, health care insurance, or other benefits provided for the benefit of employees of the company performing the work. Fair enough. Read the court decision
Read the full story...
Reprinted courtesy of Garret Murai, Wendel Rosen Black & Dean LLP
Mr. Murai may be contacted at gmurai@wendel.com

SEATTLE WASHINGTON BUILDING EXPERT DIRECTORY AND CAPABILITIES