Fairfield Connecticut Building Expert Directory

Delaware “occurrence” and exclusions j(5) and j(6)

June 10, 2011 — CDCoverage.com

In Goodville Mut. Cas. Co. v. Baldo, No. 09-338 (D. Del. June 2, 2011), claimants condominium association and unit owners sued project developer Rehoboth and general contractor Capano seeking damages because of moisture penetration property damage to common elements and individual units resulting from construction defects. Rehoboth and Capano filed a third party complaint against insured property manager Baldo alleging that, if Rehoboth and Capano were liable to claimants, Baldo was also liable because of Baldo’s failure to properly manage, maintain, and repair the property

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Reprinted courtesy of CDCoverage.com

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On the Ten Year Anniversary of the JOBS Act A Look-Back at the Development of Crowdfunding

May 02, 2022 — J. Kyle Janecek & Jeffrey M. Dennis - Newmeyer Dillion
Last month marked the ten-year anniversary of the Jumpstart Our Business Startups (JOBS) Act, which was signed into law by President Obama on April 5, 2012. On May 16, 2016, Title III of the JOBS Act was enacted, as the final piece of the JOBS Act, which gave businesses better access to crowdfunding tactics due to the ability to raise funds based on equity. Today, the JOBS Act and the impact of equity crowdfunding more generally has grown among multiple industries, from entertainment and technology to real estate and construction, and has come a long way from the non-equity crowdfunding of Kickstarter and Indiegogo. So what have been the powers that businesses gained from Title III of the JOBS Act? What has been the impact of the last ten years? Where do businesses go from here to better utilize this source of funding? WHAT ARE THE CROWDFUNDING POWERS GIVEN BY THE JOBS ACT? The main difference and change that the JOBS Act had on the field of "crowdfunding" was that for the first time, unaccredited investors could obtain equity stakes in businesses through online solicitations. However, a business was still required to go through the proper approved channels, like accredited crowdfunding portals to solicit and receive funding. Prior to this, crowdfunding had gotten more of an impact and reputation from platforms like Kickstarter and Indiegogo, platforms that benefitted creative works or could act as a "pre-order" system with no guaranty of performance or quality of goods by the party seeking funds. Reprinted courtesy of J. Kyle Janecek, Newmeyer Dillion and Jeffrey M. Dennis, Newmeyer Dillion Mr. Janecek may be contacted at kyle.janecek@ndlf.com Mr. Dennis may be contacted at jeff.dennis@ndlf.com Read the court decision
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Insurers Dispute Sharing of Defense in Construction Defect Case

May 13, 2024 — Tred R. Eyerly - Insurance Law Hawaii
The California Court of Appeal affirmed the trial court's decision that the defending insurer was not entitled to reimbursement of defense costs from another insurer based upon a subcontract and additional insured endorsement. Zurich Am. Ins. Co. v. Old Republic Gen. Ins. Corp., 2024 Cal. App. Unpub. LEXIS 1261 (Cal. Ct. App. Feb. 28, 2024). Martin McNerney Development Company (McNerney) entered a construction contract to perform seismic upgrades and tenant improvements for condominiums. McNerney and Broadway Mechanical Contractors, Inc. (Broadway) entered a "Subcontract Agreement" under which Broadway was to perform plumbing work at the project. The agreement required Broadway to maintain general liability insurance naming McNerney as an additional insured for work performed on the project, including completed operations. The subcontract also required Broadway to indemnify and hold McNerney harmless with respect to all claims for damage to property arising out of work performed by Broadway. Broadway completed its work on the project in September 2007. Broadway issued a one-year warranty for its work on the project. 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

Back Posting with Thoughts on Lien Waivers

May 20, 2015 — Christopher G. Hill – Construction Law Musings
After a week of being unable to post due to the rigors of my solo construction practice, I’m back on the blogging train. For those of you that missed my new musings this past week, I hope that you had a chance to look through some of the past Guest Post Friday posts for some good stuff to read. During the course of my busy week last week, a question came up regarding the mechanic’s lien waivers that commercial construction companies routinely execute as part of the payment process. The waiver forms vary, but each essentially states that in exchange for payment the payee, whether a subcontractor or supplier (or even general contractor) waives its future rights to record a mechanic’s lien for the work that is covered by the payment received. Most if not all of these forms further require a certification that the funds paid will either be used to pay suppliers or that suppliers have already been paid. This general description is not the reason for this post. As is always the case in the Commonwealth of Virginia where the contract is king and a court is unlikely to reinterpret any written contractual document, the devil is in how that waiver is worded. Some waivers are worded in such a way that they essentially require a payee to certify receipt of the funds prior to payment being received. These same forms require the same pre-payment certification that all suppliers and subcontractors of the payee have already been paid. In short they require a payee to both place complete trust in the payor that the check will be paid and that the check will not bounce while in many cases (often with an unstated “wink and nod”) claiming payment was already made when all know the likelihood is that it has not. Read the court decision
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Reprinted courtesy of Christopher G. Hill, Law Office of Christopher G. Hill, PC
Mr. Hill may be contacted at chrisghill@constructionlawva.com

Nevada Update: Nevada Commissioner of Insurance Updates Burning Limits Statute with Emergency Regulation

September 06, 2023 — William S. Bennett - Saxe Doernberger & Vita, P.C.
Following significant backlash in reaction to its enactment of legislation prohibiting enforcement of any provisions in liability insurance policies dictating that defense costs are included within the limits of insurance, the Nevada Division of Insurance issued an emergency regulation further clarifying the law.1 The regulation modifies two key aspects of the original law:

The term “policy of liability insurance,” as used in the statute, shall only mean those casualty insurance policies offered by insurers authorized under NRS 680A.060 and NRS 694C.230 to issue third-party liability insurance. In other words, the statute’s restrictions on eroding limits will no longer apply to “non-admitted” insurers.

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Reprinted courtesy of William S. Bennett, Saxe Doernberger & Vita, P.C.
Mr. Bennett may be contacted at wsb@sdvlaw.com

The Shifting Sands of Alternative Dispute Resolution

February 03, 2020 — Tim Scully - Porter Law Group
In California there are few tools which work to protect the employer, and California employers may have just lost another one. On October 10, 2019, Governor Gavin Newson signed into law AB 51, which bans the use of mandatory arbitration agreements in employment contracts. More specifically, AB 51 adds Section 432.6 to the California Labor Code, making it unlawful to require a prospective employee, or current employee, to waive any right, forum, or procedure for a violation of any provision of the California Fair Employment and Housing Act (“FEHA”)(Part 2.8 (commencing with Section 12900) of Division 3 of Title 2 of the Government Code) or the California Labor Code, starting January 1, 2020. Additionally, an employer is also prohibited from threatening, retaliating or discriminating against, or terminating any applicant or employee who may choose not to sign a voluntary arbitration agreement. Previously, an employer was able to require employees and prospective employees to agree to arbitration to resolve almost any and all disputes between the employee and the employer as a term of their employment. These terms were often the bulk of employers’ written contracts. Employers could have employees waive the right to a jury trial, the right to court costs, and other expenses, provided that the employer paid for the expenses of the alternative dispute resolution. The injured employees right to recover attorney’s fees was always a non-waivable right under the Labor Code. There were only a few actions which could not be arbitrated, the most prominent exception being the right to seek recovery under the Private Attorney’s General Action (PAGA). Read the court decision
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Reprinted courtesy of Tim Scully, Porter Law Group
Mr. Scully may be contacted at tscully@porterlaw.com

Efficient Proximate Cause Applies to Policy's Collapse Provisions

February 23, 2016 — Tred R. Eyerly – Insurance Law Hawaii
The court applied the efficient proximate cause doctrine to find coverage under a property policy for a building's collapse. Vardanyan v. Amco Ins. Co., 2015 Cal. App. LEXIS 1181 (Cal. Ct. App. Dec. 11, 2015). The insured submitted a claim to Amco for damage to the flooring of the house and for mold. Amco's adjustor reported that the house seemed to be settling, possibly due to a water leak. A structural engineer then inspected and found multiple potential leaks in the roof, gutters in disrepair, downspouts that deposited water at the base of the walls of the house, and evidence that a faucet had been spraying the wall in one area. Water damage was noticed in these areas. Further, the kitchen was water damaged and had past termite infestation. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Duty to Defend Triggered by Damage to Other Non-Defective Property

February 20, 2023 — Tred R. Eyerly - Insurance Law Hawaii
The court found the insurer must defend because there was a possibility of damage to property due to work not performed by the insured. B&W Paving & Landscape, LLC v. Employers Mut. Cas. Co., 2022 U.S. Dist. LEXIS 225783 (D. Conn. Dec. 15, 2022). In 2010, Whiting Turner Contracting Company (WT) contracted with United Illuminating Company (UI) to act as general contractor for the construction of UI's new central facility. WT subcontracted with Cherry Hill Construction, Inc. (Cherry Hill) for work underneath the parking lot and driveways, including installing base and sub base materials. WT also subcontracted with B&W Paving and Landscape, LLC (B&W) for the asphalt paving. In 2018, UI sued WT for defective and incomplete work. WT then filed a third-party compact against its subcontractors, including B&W. WT sued for contribution for any liability it may have to UI for the paving work. 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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