FAIRFIELD CONNECTICUT BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Barratt Said to Suspend Staff as Contract Probe Continues

January 26, 2017 — Jack Sidders - Bloomberg
Barratt Developments Plc suspended at least three more employees within its London business as part of an ongoing probe into potential misconduct in the awarding of contracts, according to two people familiar with the decision. The people asked not to be named because a police investigation is ongoing. The suspensions follow that of London regional managing director Alastair Baird, who was arrested in October. He was released on bail until April, along with a 47-year-old woman, according to a Metropolitan Police spokesman, who was unable to immediately respond to a request for comment. Read the court decision
Read the full story...
Reprinted courtesy of Jack Sidders, Bloomberg
Mr. Sidders may be followed on Twitter @JackSidders

---

Guarantor’s Liability on Partially Secured Debts – The Impacts of Pay Down Provisions in Serpanok Construction Inc. v. Point Ruston, LLC et al.

October 24, 2021 — Margarita Kutsin - Ahlers Cressman & Sleight
In Serpanok Construction, Inc. v. Point Ruston, LLC, Division Two of the Washington Court of Appeals decided an issue of first impression in Washington—whether a guarantor of a partially secured debt remains liable until the last dollar of the entire debt is paid off. After examining cases from other jurisdictions, the court held that that a guarantor is liable until the underlying debt is paid in full unless the agreement contains an express pay down provision. A pay down provision sets forth the guarantor’s right to reduce its obligation to the extent of any payment toward the debt, and it establishes that the guaranty applies only until an amount equivalent to the guaranteed amount is paid off. The Serpanok decision addressed several other issues, but the published portion of this part-published case focused on whether an entity involved in a real estate development, Point Ruston LLC, was discharged from its guaranty obligation following a foreclosure sale where the proceeds did not cover the entire debt owed to a subcontractor. Point Ruston LLC, Point Ruston Phase II LLC (“Phase II”), and Century Condominiums (“Century”) were affiliated entities (collectively “Point Ruston parties”) that constructed retail and residential structures on a site in Point Ruston. Serpanok Construction Inc. (“Serpanok”) entered into subcontract agreements with Phase II and Century to perform concrete and steel work on a parking garage and movie theater for the project. Point Ruston LLC was not a party to either subcontract. Read the court decision
Read the full story...
Reprinted courtesy of Margarita Kutsin, Ahlers Cressman & Sleight
Ms. Kutsin may be contacted at margarita.kutsin@acslawyers.com

---

Dynamics of Managing Professional Liability Claims for Design Builders

February 21, 2022 — Eric M. Clarkson - Saxe Doernberger & Vita, P.C.
Nearly half of America’s construction projects are now design-build in a continuing shift. As a result, contractors are taking on more professional liability (“PL”) risk than ever before, and the risk management landscape is changing. There are unique challenges to managing PL risks and claims. Specifically, PL coverage requires proactive claim management and project coordination. As a result, design-build projects should involve significant collaboration amongst all of the parties involved in the project. Claims Made Coverage Considerations PL policies typically provide three types of coverage:

1. Professional Liability covers defense and indemnity against claims arising out of acts or omissions of the insured in rendering a defined set of professional services –including construction management, project management, and design work in the design build context.

Read the court decision
Read the full story...
Reprinted courtesy of Eric M. Clarkson, Saxe Doernberger & Vita, P.C.
Mr. Clarkson may be contacted at EClarkson@sdvlaw.com

---

Providing Notice of Claims Under Your Construction Contract

April 02, 2014 — Beverley BevenFlorez-CDJ STAFF
Craig Martin on his blog Construction Contractor Advisor explained the importance of knowing when to provide notice under your construction contract: “Time and time again, courts rule that contractors must follow notice requirements in order to submit a claim for additional time or compensation.” Martin cited the case JEM Contracting v. Morrison-Maierle, where the contractor provided verbal notice of a claim to the engineer, but failed to submit in writing until eighteen days later, which was past the notice requirement as stated in the contract. The judge denied the contractor’s claim and sided with the engineer and county. Read the court decision
Read the full story...
Reprinted courtesy of

---

Toll Brothers Report End of Year Results

December 11, 2013 — CDJ STAFF
The largest luxury home builder in the U.S. saw some significant gains in their final quarter for 2013. Their pre-tax income for the year was $150.2 million, up from last year’s $60.7 million, more than doubling. The firm’s revenues went up 65% to $1.04 billion, and the average price of homes was up as well. Toll Brothers is currently selling homes in 232 communities, also increasing over 2012. Due to the upcoming acquisition of Shapell, Toll Brothers projects that at the end of 2014 they will be selling in 250 to 290 communities. Read the court decision
Read the full story...
Reprinted courtesy of

---

PAGA Right of Action Not Applicable to Construction Workers Under Collective Bargaining Agreement

December 26, 2022 — Garret Murai - California Construction Law Blog
California is one of the most employee-friendly states in the country. From strict hiring laws (don’t think about asking about an applicant’s criminal, credit or even salary history), to generous benefits (minimum wage, overtime, meal and rest breaks, family medical leave, etc.) and strict anti-harassment laws (if you have to think about it, even for a second, don’t do it), to protections for terminated workers (whistle blower protections, WARN notices, non-compete restrictions), California workers enjoy protections that many others do not. This includes PAGA, or the Private Attorneys General Act, which authorizes aggrieved employees to file lawsuits against their employers to recover civil penalties on behalf of themselves, other employees, and the State of California for Labor Code violations. In general, the right of an employee to file a PAGA action cannot be waived by contract. However, Labor Code section 2699.6 which was enacted in 2018 provides an exception for construction workers who perform work under certain collective bargaining agreements. In the next case, Oswald v. Murray Plumbing and heating Corporation, 82 Cal.App.5th 938 (2022), the 2nd District Court of Appeal examined whether collective bargaining agreement with a retroactive date, signed after an employee was terminated, precluded an employee from bringing a PAGA action. Read the court decision
Read the full story...
Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

---

Ninth Circuit Finds Policy’s Definition of “Policy Period” Fatal to Insurer’s “Related Claims” Argument

April 10, 2019 — Jason M. Taylor - TLSS Insurance Law Blog
Professional liability policies often include some form of a “related claims” or “related acts” provision stating that if more than one claim results from a single wrongful act, or a series of related wrongful acts, such claims will be treated as a single claim and deemed first made during the policy period in which the earliest claim was made. These provisions can have significant implications on the applicable policy and policy limits, retroactive date issues, and whether such claims were first made and reported during a particular policy period. Recently, the Ninth Circuit issued a stern reminder of how the particular policy language can effect, and in this case thwart, the intended scope of the carrier’s “related claims” provision. In Attorneys Ins. Mut. Risk Retention Grp., Inc. v. Liberty Surplus Ins. Corp., 2019 WL 643442 (9th Cir. Feb. 15, 2019), the Ninth Circuit construed a “related claims” provision included in two consecutive lawyers professional liability policies. During both the 2009–2010 and 2010–2011 insurance policy periods, attorney J. Wayne Allen (“Allen”) was insured through his employer by Liberty Surplus Insurance Corporation’s (“Liberty”) professional liability insurance. Third parties filed suit against Allen during the 2009–2010 policy period in a probate case, and a second, related civil suit during the 2010–2011 policy period. Read the court decision
Read the full story...
Reprinted courtesy of Jason M. Taylor, Traub Lieberman
Mr. Taylor may be contacted at jtaylor@tlsslaw.com

---

CDJ’s Year-End Review: The Top 10 CD Topics of 2014

December 31, 2014 — Beverley BevenFlorez-CDJ STAFF
Construction Defect Journal’s year-end review presents the top ten most popular topics featured in the journal in 2014. Some of the topics involved analysis of important construction defect cases, while others covered current events such as proposed state legislation. Most issues were heavily discussed on CDJ as well as in board rooms and during teleconferences. We hope you enjoy the look-back at 2014 interspersed throughout the issue, and we wish you and yours a prosperous 2015! CDJ’s #1 Topic of the Year: Indalex Inc. v. National Union Fire Ins. Co. of Pittsburgh, PA, 2013 Pa. Super 311 (Dec. 3, 2013) According to Darrin J. McMullen of Anderson Kill, “[t]he Indalex decision reverses a nearly decade-long trend of Pennsylvania decisions narrowing the scope of insurance coverage for construction and defect-related claims under commercial general liability insurance policies. Equally important, the Indalex ruling dealt a blow to the insurance industry’s continual efforts to win overbroad expansion of the rulings in Kvaerner Metals Div. of Kvaerner U.S., Inc. v. Commercial Union Ins. Co., Millers Capital Ins. Co. v. Gambone Bros. Dev. Co., and Erie Ins. Exchange v. Abbott Furnace Co., which found that claims of faulty workmanship in some circumstances may not constitute coverage-triggering ‘occurrences.’” Read the court decision
Read the full story...
Reprinted courtesy of

---