SIGAR Report Finds +$15 Billion in “Waste, Fraud and Abuse” in Afghanistan
August 20, 2018 —
Pillsbury's Construction & Real Estate Law Team - Gravel2GavelToday, our colleagues Alex Ginsberg, Glenn Sweatt and Kevin Massoudi published their Client Alert on a recently issued Special Inspector General for Afghanistan Reconstruction (SIGAR) Report that finds over $15 billion in waste, fraud and abuse. In New SIGAR Report Identifies “Waste, Fraud and Abuse” in Afghanistan, our colleagues identify key takeaways from the Report include:
- The Report reviewed public spending for Afghanistan reconstruction efforts and identified at least $15.5 billion in waste, fraud and abuse.
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Pillsbury's Construction & Real Estate Law Team
Delaware State Court Holds that Defective Workmanship Claims do not Trigger Coverage by a Builder’s Commercial General Liability Policy
April 15, 2015 —
Marc S. Casarino – White and Williams LLPGuided by federal case law, on March 31, 2015 a Delaware state court held for the first time in Westfield Ins. Co. v. Miranda & Hardt Contracting and Building Services LLC that a builder’s poor workmanship is not an occurrence for which the builder’s insurance policy affords coverage. In the underlying case giving rise to the coverage dispute, a homeowner alleged that a builder deviated from approved building plans, used inadequate materials, improperly installed materials, violated building codes, and fraudulently represented that a home was properly constructed. The homeowner sued the builder under theories of negligence, negligence per se, and fraud. The insurer denied the builder’s request for defense and indemnification for the homeowner’s claims, citing in part that the allegations of defective workmanship did not qualify as an “occurrence” as defined by the builder’s insurance policy.
The builder did not dispute that the underlying complaint alleged defective workmanship. However, the builder asserted that because it had not yet been proven that its work was defective, the insurer had prematurely denied coverage. The court properly rejected the builder’s argument, and reiterated that under Delaware law the court must compare the allegations of the complaint to the insurance policy terms to make a coverage determination. Whether the complaint’s allegations are ultimately meritorious is irrelevant to the initial coverage determination according to the court.
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Marc S. Casarino, White and Williams LLPMr. Casarino may be contacted at
casarinom@whiteandwilliams.com
KY Mining Accident Not a Covered Occurrence Under Commercial General Liability Policy
December 04, 2018 —
Phillip A. Perez - Saxe Doernberger & Vita, P.C.In Am. Mining Ins. Co. v. Peters Farms, LLC,1 the Kentucky Supreme Court ruled that a mining error was not a covered accident under a commercial general liability insurance policy. The central issue was whether an insured mining company’s unauthorized removal of minerals from a neighboring property was an “occurrence” that unintentionally caused “property damage” as defined by the mining company’s commercial general liability policy (“CGL Policy”).
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Phillip A. Perez, Saxe Doernberger & Vita, P.C.Mr. Perez may be contacted at
pap@sdvlaw.com
U.S. Building Permits Soared to Their Highest Level in Nearly Eight Years
June 17, 2015 —
Michelle Jamrisko – BloombergThrough all its ups and downs, the U.S. homebuilding industry is making slow progress.
While housing starts declined 11.1 percent in May to a 1.04 million annualized rate, it followed a revised 1.17 million pace the prior month to cap the best back-to-back readings since late 2007, Commerce Department data showed Tuesday in Washington. Permits for future projects climbed to the highest level in almost eight years.
The stop-and-go nature of the rebound, which has been exacerbated by the inclement weather that brought construction to a near standstill at the start of the year, masks a steady recovery in the industry at the center of the past recession. While residential real estate has yet to fulfill its typical role as a pillar of this economic expansion, gains in hiring and bigger paychecks are brightening Americans’ moods and could lift home purchases in the second half of 2015.
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Michelle Jamrisko, Bloomberg
What is the Implied Warranty of Habitability?
October 02, 2018 —
Bremer Whyte Brown & O’MearaThe implied warranty of habitability plays an important role in our understanding of the relationship between tenant and landlord; it helps to define the parameters and requirements of contracts between tenant and the owner. In doing so, the implied warranty of habitability is meant to ensure that a home or rental unit is in a livable condition. In this article, we’ll take a look at what the warranty of habitability is, how it developed, and what differentiates the warranty of habitability from the previous landlord-tenant law.
Background of the Implied Warranty of Habitability
When someone hears about the warranty of habitability, their first question is usually “what is the implied warranty of habitability?” This is understandable, given that the implied warranty of habitability isn’t exactly well known. Most renters have probably never heard of the implied warranty of habitability, despite the fact that it provides important safeguards for tenant’s rights. In order to gain a better understanding of what the implied warranty of habitability is, it is helpful to understand what state of affairs existed prior to the adoption of an implied warranty of habitability.
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Bremer Whyte Brown & O’Meara
New Jersey Supreme Court Hears Insurers’ Bid to Overturn a $400M Decision
January 25, 2021 —
Lawrence J. Bracken II, Michael S. Levine & Daniel Hentschel - Hunton Andrews KurthNew Jersey’s highest court heard arguments Monday in the appeal of a ruling that the New Jersey Transit Corp.’s (“NJ Transit”) insurers are required to insure $400 million of water damage loss caused by Hurricane Sandy.
The matter stems from an insurance claim NJ Transit made after the super storm rocked the East Coast in 2012. NJ Transit claimed over $400 million in losses as a result of damage to its tracks, bridges, tunnels and power stations. In response, its tower of property insurers took the position that a $100 million flood sublimit applied to limit NJ Transit’s recovery under its insurance tower, not the policy’s $400 million overall limits.NJ Transit filed a coverage action in state court. The trial court granted summary judgment to NJ Transit, holding that NJ Transit was entitled to full coverage of $400 million under the tower’s named windstorm coverage. The insurers appealed, again arguing that the flood sublimit applied to the claim.
Reprinted courtesy of
Lawrence J. Bracken II, Hunton Andrews Kurth,
Michael S. Levine, Hunton Andrews Kurth and
Daniel Hentschel, Hunton Andrews Kurth
Mr. Bracken may be contacted at lbracken@HuntonAK.com
Mr. Levine may be contacted at mlevine@HuntonAK.com
Mr. Hentschel may be contacted at dhentschel@HuntonAK.com
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London Office Builders Aren’t Scared of Brexit Anymore
May 26, 2019 —
Jack Sidders - BloombergFor London office developers at least, the Brexit waiting game is over.
Developers mostly steered clear of doing new projects on spec in the political upheaval that followed the U.K.’s 2016 vote to leave the European Union. Now the surprising resilience of London’s office market, highlighted by technology giants like Alphabet Inc. committing to open new bases in the city, has convinced them that it’s time to break ground.
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Jack Sidders, Bloomberg
Three-Year Delay Not “Prompt Notice,” But Insurer Not “Appreciably Prejudiced” Either, New Jersey Court Holds
November 04, 2019 —
Anthony L. Miscioscia and Timothy A. Carroll - White and Williams LLPIn Harleysville Preferred Insurance Company v. East Coast Painting & Maintenance, LLC, 2019 U.S. Dist. LEXIS 135295 (D.N.J. Aug. 12, 2019) (East Coast Painting), the U.S. District Court for the District of New Jersey held that an insurer, which received notice of a bodily injury accident three years after it happened, was not “appreciably prejudiced” by such late notice, even as the court acknowledged notice three years later did not satisfy the policy’s “prompt notice” condition. The court also held that the policy’s “Operational Exclusion,” which excluded coverage for bodily injury arising out of the operation of “cherry pickers and similar devices,” did not apply because the accident arose out of the use of a “scissor lift,” which is not a device similar to a cherry picker.
East Coast Painting arose out of a Queens, New York bridge-painting project, during which an employee of the insured, East Coast Painting and Maintenance LLC was injured while “standing on a scissor lift mounted to the back of a truck,” owned and operated by East Coast. The employee sued various project-related entities which, in turn, joined East Coast as a defendant. East Coast sought coverage under its business auto policy, and the insurer agreed to defend the insured under a reservation of rights. The insurer subsequently sought a declaration that it did not owe coverage based on, among other things, the policy’s “Operational Exclusion,” and the insured’s failure to satisfy the policy’s “prompt notice” condition. The insurer moved for summary judgment on both of those bases, but the court in East Coast Painting denied the motion.
As for the insurer’s “prompt notice” defense, the court in East Coast Painting concluded that, the insured’s notice to the insurer was not prompt because it did not receive notice until three years after the accident. But, the court added, the inquiry does not end there. “[T]his Court must determine whether [the insurer] was appreciably prejudiced by that delay.” Reviewing the facts, the court held that the insurer was not “appreciably prejudiced,” even though during the three-year delay the lift truck was “not properly maintained” or “in the same condition it was at the time of the Accident.” The court observed that the insurer had “ample other evidence with which it can defend itself,” such as experts who inspected the lift truck and opined about the cause of the accident.” [Emphasis added.] Further, “there are multiple contemporaneous accident reports,” “a list of the East Coast employees on site at the time,” “photographs of the lift truck and its location when [the employee] was injured,” and “depositions of [the employee] and others regarding the events at issue.” Thus, the court held, the insurer was not prejudiced and summary judgment was inappropriate.
Reprinted courtesy of
Anthony L. Miscioscia, White and Williams LLP and
Timothy A. Carroll, White and Williams LLP
Mr. Miscioscia may be contacted at misciosciaa@whiteandwilliams.com
Mr. Carroll may be contacted at carrollt@whiteandwilliams.com
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