SEATTLE WASHINGTON BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Fifth Circuit -- Damage to Property Beyond Insured’s Product/Work Not Precluded By ‘Your Product/Your Work Exclusion’

January 24, 2022 — Anthony L. Miscioscia & Marianne Bradley - White and Williams LLP
On January 11, 2022, the United States Court of Appeals for the Fifth Circuit issued its decision in Siplast, Incorporated v. Employers Mutual Casualty Company, 2022 U.S. App. LEXIS 795 (5th Cir. Jan. 11, 2022), finding that an insurer had a duty to defend its insured in a construction defect case where the underlying complaint alleged damage to property beyond the product and work of the insured. Siplast, Inc. (Siplast) had contracted with the Archdiocese of New York (the Archdiocese) to install a roof membrane system at a high school in the Bronx, New York. Id. at *1. As part of the contract, Siplast guaranteed that the roof membrane system would remain in a watertight condition for at least twenty years. Id. at *2. If it did not, Siplast would repair the roof membrane system at its own expense. Id. Several years after the installation, the Archdiocese observed water damage in the ceiling tiles at the high school. Id. The Archdiocese contacted Siplast, who attempted to repair the damage and prevent further leaks; however, leaks and resultant damage continued to occur. Id. Siplast subsequently refused to make any more improvements to the roof. Id. Reprinted courtesy of Anthony L. Miscioscia, White and Williams LLP and Marianne Bradley, White and Williams LLP Mr. Miscioscia may be contacted at misciosciaa@whiteandwilliams.com Ms. Bradley may be contacted at bradleym@whiteandwilliams.com Read the court decision
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Malerie Anderson Named to D Magazine’s 2023 Best Lawyers Under 40

January 17, 2023 — Malerie Anderson - Lewis Brisbois Newsroom
Dallas, Texas (January 12, 2023) - Dallas Partner Malerie T. Anderson has been named to D Magazine’s 2023 Best Lawyers Under 40 list for Business/Commercial Litigation. This is her second year appearing on this list.  According to D Magazine, the attorneys on its Best Lawyers Under 40 list are representative of up-and-coming attorneys in Dallas, who are nominated by their peers outside their own firm. The magazine asks nominating lawyers to think about “which lawyers under 40, of those whose work you have witnessed firsthand, would you rank among the current best?”   Ms. Anderson regularly advises business entities, real estate brokers, and licensed real estate agents to prevent litigation and defends against claims of all kinds, including breach of fiduciary duty and breach of contract claims. Her experience handling various disputes has led her to work closely with clients to develop and implement procedures to avoid future litigation.   Read the court decision
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Reprinted courtesy of Malerie Anderson, Lewis Brisbois
Ms. Anderson may be contacted at Malerie.Anderson@lewisbrisbois.com

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Ninth Circuit Reverses Grant of Summary Judgment to Insurer For Fortuitous Loss

July 01, 2019 — Tred R. Eyerly - Insurance Law Hawaii
The Ninth Circuit reversed the district court's issuance of summary judgment regarding coverage for damages when the insured's plant had to be shut down due to an accident. Ingenco Holdings, LLC v. Ace American Ins. Co., 2019 U.S. App. LEXIS 10946 (9th Cir. April 15, 2019). Ingenco operated a gas purification plant which converted raw landfill gas into usable natural gas. The final step in the purification process involved the removal of excess nitrogen from the landfill gas. The gas was directed through adsorbent beads, to which nitrogen adhered, contained within pressure vessels.The beads could not withstand the direct pressure of the landfill gas inflow. which, if untreated, could grind the beads down into dust. To reduce the force of the gas flow on the beads, a "diffuser basket" was suspended from the top of each bead-filled pressure vessel. The diffuser basket acted as a shield that prevented the full force of the incoming landfill gas from striking the beads directly. In 2010, metal brackets securing a diffiuser basket broke. This resulted in damage to other components and an eventual shutdown of the entire facility. The plant remained idle for several months as Ingenco investigated alternative nitrogen filtration options and undertook repairs. 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

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Travelers’ 3rd Circ. Win Curbs Insurers’ Asbestos Exposure

May 03, 2017 — Gregory D. Podolak - Saxe Doernberger & Vita, P.C.
In breaking news this week, LAW360.com posted that the Third Circuit ruled Friday that “a common exclusion found in a Travelers policy bars coverage for claims arising out of asbestos in any form, limiting insurers’ potential exposure to asbestos injury claims by precluding policyholders from arguing that the exclusionary language is ambiguous and doesn’t extend to products containing the carcinogen.” In its detailed analysis of the decision, LAW360 turned to Greg Podolak for his analysis. Gregory D. Podolak, managing partner of Saxe Doernberger & Vita PC’s Southeast office, said the ruling is a cautionary tale that should galvanize policyholders and their insurance brokers to take a closer look at policies to delete or curtail broad “arising out of” language in exclusions. Otherwise, insureds could find themselves without any coverage for claims even remotely related to a certain product, he said. Read the court decision
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Reprinted courtesy of Gregory D. Podolak, Saxe Doernberger & Vita, P.C.
Mr. Podolak may be contacted at gdp@sdvlaw.com

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Design-Assist, an Ambiguous Term Causing Conflict in the Construction Industry[1]

December 02, 2019 — John P. Ahlers - Ahlers Cressman & Sleight PLLC
“Design-Assist” is one of the recent cost-saving trends being touted for construction projects and, in particular, construction projects utilizing alternative procurement methods. If an internet search for the term, “design-assist” is made, the result will be numerous construction industry articles and white papers lauding “design-assist” as a recent cost-saving trend in construction procurement. From a legal perspective, however, the term “design-assist” is notably absent from court opinions and most state licensing laws. With the exception of the ConsensusDocs, few standard form contracts even include the term “design-assist” in their text. The ConsensusDocs agreement provides examples of the Constructor’s obligations to perform “assisting activities” (the term “design-assist” is not used) and states that, notwithstanding the performance of such “assisting activities” by the Constructor, the responsibility of the design remains with the Designer unless otherwise stated in the Contract:

• Article 4.5 DESIGN PROFESSIONAL’S RESPONSIBIITIES The Designer shall furnish or provide all design and engineering services necessary to design the Project in accordance with the Owner’s objectives … the Designer shall draw upon the assistance of Constructor and others in developing the design, but the Designer shall retain overall responsibility for all design decisions….
• Article 4.6 CONSTRUCTOR’S RESPONSIBILITIES [T]he Constructor shall assist the Designer in the development of the Project Plan and Project Design but shall not provide professional services which constitute the practice of architecture or engineering unless the Constructor needs to provide such services in order to carry out its responsibilities … or unless specifically called for by the Contract Documents.

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Reprinted courtesy of John P. Ahlers, Ahlers Cressman & Sleight PLLC
Mr. Ahlers may be contacted at john.ahlers@acslawyers.com

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Is Construction Defect Litigation a Cause for Lack of Condos in Minneapolis?

September 17, 2015 — Beverley BevenFlorez-CDJ STAFF
According to Peter Callaghan writing for the Minn Post, while multi-family residential real estate is “hot” right now, most developers are building apartments rather than condos. Four developers spoke on the topic during Minneapolis City Council Member Lisa Goodman’s monthly “Lunch with Lisa” program. The developers stated that financing is more difficult for condos than it is for apartments, and millennials and baby boomers seem to prefer renting over buying. However, some developers stated that “the 10-year liability exposure for construction defects” was another reason to avoid condo building. However, not all developers avoid condo building in Minneapolis. Jim Stanton, owner of Shamrock Development, said that he still is building condos. Stanton declared that he “has a good relationship with his lender,” and “he hasn’t been sued a lot and has never had a suit reach court.” Read the court decision
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Maintenance Issues Ignite Arguments at Indiana School

January 31, 2014 — Beverley BevenFlorez-CDJ STAFF
Students and faculty at Roosevelt College and Career Academy in Gary, Indiana have dealt with the building’s burst pipes since last year, however, the recent cold temperatures have worsened the issue, “disrupting classes and causing costly repairs,” according to the Post-Tribune. EdisonLearning now runs the school: “The state tapped the private, for-profit education management company for Roosevelt after six straight years of anemically low test scores.” The “lengthy agreement” between EdisonLearning and the school district states holds the district “responsible for major repairs and to maintain the building just like the other schools it runs.” “The money we were provided is for academic purposes, not for the operation of the building,” said Michael Serpe, spokesman for EdisonLearning told the Post-Tribune. “If you rent a home and the heat doesn’t work, you contact the landlord.” “If the building is monitored properly, we could stop these problems but we have to get to them earlier,” said Charles Prewitt, the district’s director of building, grounds and maintenance, as reported by the Post-Tribune. Prewitt added that part of the maintenance problems is lack of access. He alleges that “EdisonLearning changed the locks and provided a swipe card for only one door.” “There always seem to be reasons that things don’t get fixed at Roosevelt when they get fixed everywhere else,” Serpe retorted. Read the court decision
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Select the Best Contract Model to Mitigate Risk and Achieve Energy Project Success

October 17, 2022 — Gregory S. Seador - Construction Executive
Power and energy projects are inherently complex and risky. Therefore, management and proper allocation of risk among project participants are essential to success. Careful drafting of the engineering, procurement and construction (EPC) contract is a critical first step in managing risk. The standard contract format used for power and energy construction projects is the EPC contract. In its traditional form, the EPC contract makes the EPC contractor responsible for the entire project, including engineering (design of the power plant), procurement (purchase, installation and performance of all equipment) and construction (construction of the plant). EPC contracts can, however, employ different contract models and pricing structures, each of which carries differing levels of risk for project participants. Selecting the appropriate contract model and pricing structure to meet the unique needs of the project is important. Reprinted courtesy of Gregory S. Seador, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Mr. Seader may be contacted at seador@slslaw.com

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