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
Preserving Your Construction Claim
February 18, 2015 —
Craig Martin – Construction Contractor AdvisorA recent article in the Construction Executive discussed the importance of preserving your claim, both in terms of timeliness of submitting your claim and making sure that you aren’t waiving portions of your claim when executing releases. These are all excellent points and bear some follow-up.
Timing Your Claim
I often review construction contracts that contain deadlines by which claims must be submitted. It may seem counter intuitive to think that you need to submit a claim when you are discussing the basis for the claim with an upstream contractor or the owner. But, there are more cases than I care to count where a contractor’s claim has been denied because the claim was not timely submitted.
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Craig Martin, Lamson, Dugan and Murray, LLPMr. Martin may be contacted at
cmartin@ldmlaw.com
Hake Law Attorneys Join National Law Firm Wilson Elser
April 02, 2014 —
Beverley BevenFlorez-CDJ STAFFIn a press release published on PRWEB, the national law firm Wilson Elser announced “that Bill Hake, founder of Bay Area–based Hake Law, and 15 members of his team, including attorneys, paralegals and staff, have joined the firm’s San Francisco office effective April 1.”
Specifically, “Wilson Elser has added a total of four partners from Hake Law, including Bill Hake, Melissa Ippolito, Nicolas Martin and Lucy Hoff, and four associates, including Gardiner McKleroy, Jeremy Berla, Molly Friend and Whitney Barnecut, bringing the total attorney headcount in Wilson Elser’s San Francisco office to 40.”
According to the release, “Hake Law was primarily a defense litigation firm focused on product liability, construction defects, D&O, catastrophic injury, toxic tort, white collar criminal, class action and complex litigation defense.” Wilson Elser is a “full-service and leading defense litigation law firm… with nearly 800 attorneys in 25 offices in the United States, one in London and through a network of affiliates in key regions globally.”
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COVID-19 Win for Policyholders! Court Approves "Direct Physical Loss" Argument
October 12, 2020 —
Gregory D. Podolak & Christine Baptiste-Perez - Saxe Doernberger & VitaLate last week, a Missouri federal district court provided a significant victory for insurance policyholders for COVID-19 losses. In Studio 417, Inc. v. The Cincinnati Insurance Company 6:20-cv-03127-SRB (W.D. MO, So. Div., Aug. 12, 2020), the Court was called upon to decide whether allegations involving the presence of COVID-19 in and around physical structures qualify as “direct physical loss or damage” to covered property. For those actively monitoring the COVID-19 insurance coverage litigation landscape, this has been a central question – and hotly contested debate – in virtually all first-party property and business interruption claims. Through a detailed and well-reasoned discussion, the Court answered the question with an emphatic “Yes.”
The Plaintiffs – a proposed class of hair salons and restaurants - purchased “all-risk” property insurance policies (the “Policies”) from Cincinnati. The Policies provide that Cincinnati would pay for “direct ‘loss’ unless the ‘loss’ is excluded or limited.” They also defined a “Covered Cause of Loss” as “accidental [direct] physical loss or accidental [direct] physical damage.” The Policies did not contain a virus exclusion. Anecdotally, Cincinnati has been vocal about the general lack of virus exclusions on its standard forms, having recently publicized that the company considers such exclusions “unnecessary” because, in its view, “a virus does not produce direct physical damage or loss to property.” From Cincinnati’s perspective, the insuring agreement is not triggered by these events, so there’s no need to analyze exclusions. Cincinnati relied heavily on that analysis in this case.
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Gregory D. Podolak, Saxe Doernberger & Vita, P.C. and
Christine Baptiste-Perez, Saxe Doernberger & Vita, P.C.
Mr. Podolak may be contacted at gdp@sdvlaw.com
Ms. Baptiste-Perez may be contacted at cbp@sdvlaw.com
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San Francisco Bucks U.S. Trend With Homeownership Gains
September 24, 2014 —
Prashant Gopal – BloombergHomeownership climbed in a small number of U.S. metropolitan areas last year including San Francisco; Nashville, Tennessee; and Austin, Texas, where strong job growth helped them buck the national trend.
Of 100 metropolitan areas, 17 had an increase in the “true” ownership rate, which measures the number of owner-occupied households per 100 adult residents, according to an analysis by Trulia Inc. of Census Bureau data. Even in those areas, advances were small. San Francisco had the biggest gain in 2013, rising about 0.6 percentage points from a year earlier, the property-information company said today. The Gary, Indiana, region, made up mostly of suburbs, had a similar increase.
The homeownership rate has been falling in much of the U.S. as incomes stagnate and rising prices make housing less affordable and more difficult to finance for entry-level buyers. The regions where the rate is up include strong job markets such as San Francisco and Austin, and areas with stable prices such as Albany, New York, that were spared the brunt of the nationwide foreclosure crisis, Trulia said.
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Prashant Gopal, BloombergMr. Gopal may be contacted at
pgopal2@bloomberg.net
EPC Contractors Procuring from Foreign Companies need to Reconsider their Contracts
July 18, 2018 —
Hwan Kim – Construction & Infrastructure Law BlogA recent California case may force engineering, procurement and construction companies doing business with foreign suppliers to reconsider—and maybe rewrite—their contracts. In Rockefeller Technology Investments (Asia) VII v. Changzhou SinoType Technology Co., Ltd., the California Court of Appeal held that parties may not contract around the formal service requirements of the Convention on the Service Abroad of Judicial and Extrajudicial Documents, commonly referred to as the Hague Service Convention. The decision could have profound implications for international business.
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Hwan Kim, Sheppard, Mullin, Richter & Hampton LLPMr. Kim may be contacted at
hkim@sheppardmullin.com
Traub Lieberman Partners Lisa Rolle, Erin O’Dea, and Nicole Verzillo Win Motion for Summary Judgment in Favor of Property Owner
September 30, 2024 —
Lisa M. Rolle, Erin O’Dea, Nicole Verzillo - Traub LiebermanTraub Lieberman Partners Lisa Rolle, Erin O’Dea, and Nicole Verzillo won motion for summary judgment in a premises liability matter brought before the Supreme Court of the State of New York, Westchester County. The Plaintiff allegedly tripped and fell in a pothole on the common driveway of five abutting properties and sustained an injury. The firm represented one of the multiple property owners. Traub Lieberman moved for summary judgment, asserting that the claims against the firm’s client should be dismissed as they did not own, operate, control or make special use of the driveway where the incident occurred. The firm also asserted that the alleged condition of the driveway that allegedly caused Plaintiff’s accident was a non-actionable, trivial defect. The firm also moved to dismiss the cross-claims asserted against them, contending that there was no evidence of negligence on behalf of the firm’s client. As such, the court found that the defect was a non-actionable, trivial defect. The firm secured dismissal of Plaintiff’s claims against the firm’s clients and against all moving and non-moving Defendants.
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Lisa M. Rolle, Traub Lieberman,
Erin O’Dea, Traub Lieberman and
Nicole Verzillo, Traub Lieberman
Ms. Rolle may be contacted at lrolle@tlsslaw.com
Ms. O'Dea may be contacted at eodea@tlsslaw.com
Ms. Verzillo may be contacted at nverzillo@tlsslaw.com
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New York Appellate Court Addresses “Trigger of Coverage” for Asbestos Claims and Other Coverage Issues
November 30, 2020 —
Paul A. Briganti - Complex Insurance Coverage ReporterOn October 9, 2020, the New York Supreme Court, Appellate Division, Fourth Department, decided an appeal from a trial court’s 2018 summary judgment ruling on a number of coverage issues arising out of asbestos-related bodily injury claims against plaintiffs Carrier Corporation (Carrier) and Elliott Company (Elliott). See Carrier Corp. v. Allstate Ins. Co., No. 396 CA 18-02292, Mem. & Order (N.Y. Sup. Ct. App. Div. 4th Dep’t Oct. 9, 2020).
The Fourth Department reversed the trial court’s ruling that, under New York’s “injury in fact trigger of coverage,” injury occurs from the first date of exposure to asbestos through death or the filing of suit as a matter of law. The parties agreed that, because the policy language at issue required personal injury to take place “during the policy period,” “the applicable test in determining what event constitutes personal injury sufficient to trigger coverage is injury-in-fact, ‘which rests on when the injury, sickness, disease or disability actually began.’” Id. at 3 (quoting Cont’l Cas. Co. v. Rapid-American Corp., 609 N.E.2d 506, 511 (N.Y. 1993)). The Fourth Department concluded that, in resolving the issue, the trial court erred by relying on inapposite decisions in other cases where: (1) the parties had stipulated or otherwise not disputed that first exposure triggered coverage[1]; or (2) the issue had not been resolved on summary judgment, but rather at trial based on expert medical evidence[2]. The Fourth Department further explained that, even if plaintiffs here had met their initial burden on summary judgment by submitting admissible evidence that asbestos-related injury actually begins upon first exposure, the defendant-insurer’s opposition – which included affidavits of medical experts contradicting that evidence and averring instead that “harm occurs only when a threshold level of asbestos fiber or particle burden is reached that overtakes the body’s defense mechanisms” – raised a triable issue of fact. Id. at 4. The Fourth Department also rejected plaintiffs’ argument that the defendant-insurer was collaterally estopped on the “trigger” issue by a California appellate court’s decision in Armstrong World Industries, Inc. v. Aetna Casualty & Surety Co., 52 Cal. Rptr. 2d 690 (Cal. Ct. App. 1996). The Fourth Department reasoned that the issues litigated in the two cases were not identical because, among other things, California and New York “apply different substantive law in determining when asbestos-related injury occurs.” Carrier, Mem. & Order at 4.
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Paul A. Briganti, White and Williams LLPMr. Briganti may be contacted at
brigantip@whiteandwilliams.com