Cambridge Massachusetts Building Expert Directory

No Duty to Defend Construction Defect Claims

May 16, 2022 — Tred R. Eyerly - Insurance Law Hawaii
The court determined the insurer had no duty to defend construction defect claims asserted against the insured. Pa. Nat'l Mut. Cas. Ins. Co. v. River City Roofing, 2022 U.S. Dist. LEXIS 38226 (E.D. Va. March 3, 2022). Branch Builds, Inc, was the general contractor for Shock Valley View Genesis, LLC ("Genesis") in charge of constructing apartments. River City Roofing was a subcontractor for all roofing, aluminum and composition siding at the project. River City contracted and warranted its materials and work, agreed to indemnify Branch, and agreed to make Branch an additional insured under its CGL policy. After completion of the project, Genesis reported defects in the construction. The roof, aluminum and composition siding allowed water intrusion and property damage to the apartments. Branch repaired and compensated Genesis for all damage done to the apartments. Branch then sued River City and another subcontractor and demanded judgment of $3,000,000. 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

New LG Headquarters Project Challenged because of Height

January 24, 2014 — Beverley BevenFlorez-CDJ STAFF
The new LG headquarters project in Englewood Cliffs, New Jersey, has been challenged by various environmental groups because of what the groups see “as a blight on the Hudson River landscape,” according to the New York Times. The problem isn’t the building itself, but the proposed height of the tower: LG “plans to construct eight stories, 143 feet total, in an area previously zoned for a maximum of 35 feet. The height restriction was first lifted through a variance, which has been challenged in State Superior Court in one of two lawsuits filed to protect the view. Subsequently the land was rezoned to allow for a taller building.” Robert F. Kennedy Jr., the Natural Resources Defense Council, and a New Jersey conservation group are continuing to fight against the removal of the height restriction. “This is like if somebody tried to build a high-rise next to Yellowstone,” Mr. Kennedy said in an interview with the New York Times. “It’s a national issue.” However, there is also local support for this project, “which LG has said will be environmentally sensitive and produce jobs,” reported the New York Times. Read the court decision
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Connecticut Federal District Court Follows Majority Rule on Insurance Policy Anti-Assignment Clauses

March 20, 2023 — Saxe Doernberger & Vita, P.C.
A recent decision by the United States District Court for the District of Connecticut further confirms that Connecticut courts follow the majority rule that contractual anti-assignment clauses do not bar assignment of an insured’s claim after the loss occurred.1 The September 2022 decision in Am. Guarantee & Liability Ins. Co. v. 51 Roses Mill LLC arose out of a fire that destroyed a property under contract for sale. At the time of the fire, the property was owned by Bridge33 Capital LLC (“Bridge33”), insured by American Guarantee & Liability Insurance Company (“American Guarantee”), and under contract for sale to 51 Roses Mill LLC (“51 Roses”). After the fire, Bridge33 assigned its insurance claim to 51 Roses. American Guarantee filed suit seeking a declaratory judgment that the assignment was invalid, or that, if it was valid, 51 Roses could only recover under the actual cash value, rather than the replacement cost value, of the lost property. 51 Roses brought counterclaims for breach of contract and bad faith and sought a declaratory judgment that it was entitled to replacement cost value under the policy. Read the court decision
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Reprinted courtesy of Saxe Doernberger & Vita, P.C.
Saxe Doernberger & Vita, P.C. may be contacted at coverage@sdvlaw.com

WA Supreme Court Allows Property Owner to Sue Engineering Firm for Lost Profits

February 25, 2014 — Beverley BevenFlorez-CDJ STAFF
In the Daily Journal of Commerce, Scott A. Smith and James H. Wendell discussed the recent Washington Supreme Court decision in Donatelli v D. R. Strong Consulting Engineers. The court’s ruling casts “doubt on a company's ability to limit its liability for economic losses arising out of a contract dispute.” The Donatellis hired D. R. Strong Consulting Engineers to develop vacant land in King County, however, the “project did not go according to plan and the real estate market collapsed before the project was completed,” according to the Daily Journal of Commerce. The “Donatellis lost their property through foreclosure” and then “sued the engineering firm for more than $1.5 million in lost profits.” D. R. Strong Consulting Engineers asked for the negligence claims to be dismissed “because the parties' contract contained a provision limiting the engineering firm's liability to the amount of its fee for ‘any injury or loss on account of any error, omission, or other professional negligence.’” However, the Washington Supreme Court ruled that “the case could proceed in the trial court on a theory that the engineers could be liable if they made negligent misrepresentations that induced the Donatellis to enter into the contract in the first place.” Smith and Wendell stated that because of “this decision, engineering, architectural, construction, and other professional service companies may now face damage claims they thought they were contractually protected against.” Read the court decision
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James R. Lynch Appointed to the Washington State Capital Project Review Committee

June 22, 2016 — Ahlers & Cressman Crew - Ahlers & Cressman Construction Law Blog
James R. Lynch, one of the attorneys at the law firm of Ahlers & Cressman PLLC, has been appointed to the Washington State Capital Project Review Committee (PRC). Created by the legislature in 2007, the PRC is responsible for reviewing and approving all public projects in the State of Washington using the General Contractor/Construction Manager (GC/CM) and Design-Build (D-B) delivery methods of construction. The PRC also certifies certain qualified government bodies to use these methods more broadly. The PRC consists of key representatives of Washington public project owners, designers, general contractors, specialty/subcontractors, construction managers, construction trades labor, and minority/women businesses. James has been appointed to the PRC’s Private Sector seat for a three-year term. You may learn more about Ahlers & Cressman PLLC at www.ac-lawyers.com Read the court decision
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The Construction Lawyer as Counselor

June 10, 2019 — Christopher G. Hill - Construction Law Musings
It’s been a while since I discussed the role that I believe a construction lawyer should serve. Back in 2013, I discussed how those of us that practice construction law are seen as “necessary evils.” I was thinking over the weekend about certain clients and matters (as I often do, particularly in the shower) and came to the conclusion that the best role for me as a Virginia construction attorney is that of counselor and sounding board for my clients. Sure I come from a litigation background, enjoy working with other construction lawyers here in the Commonwealth, and often the first contact that I have with clients is when there is a problem, but I enjoy my practice, and I believe clients are more satisfied with their interactions with me when I try and provide a more cost effective and pragmatic solution than that which litigation or arbitration provides. The six years of solo construction practice since 2013 (yes, I’m close to the 9 year mark with my practice) has only served to cement the fact that construction professionals need and want the “counselor” portion of “attorney and counselor at law.” Working as a sort of “in house counsel” to various construction companies, as opposed to simply dealing with the litigation, allows me to better understand their businesses and assist them in avoiding problems through contract review, discussions of situations that come up short of claims, and general risk management. I also get to know these mostly small business owners on a more personal level (sometimes even resulting in a fishing trip or two). Read the court decision
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

Become Familiar With Your CGL Policy Exclusions to Ensure You Are Covered: Wardcraft v. EMC.

December 31, 2014 — Heather M. Anderson – Colorado Construction Litigation
In a recent case arising out of a denial of coverage for alleged construction defect claims concerning a pre-fabricated home, the U.S. District Court for the District of Colorado applied the 10th Circuit’s determination of what can constitute an “occurrence” under a commercial general liability (“CGL”) policy. See Wardcraft Homes, Inc. v. Employers Mutual Cas. Co., 2014 WL 4852117 (D. Colo. September 29, 2014). William and Grace Stuhr sued Wardcraft, which manufactured pre-fabricated homes at a facility in Fort Morgan, Colorado, because their home was not completed as scheduled and contained various defects. The Stuhrs filed suit against Wardcraft alleging negligence, breach of warranty, and deceptive trade practices in violation of the Colorado Consumer Protection Act. Wardcraft tendered the Stuhrs’ complaint to Employers Mutual Casualty Company (“EMC”), which denied coverage under its policy and denied any duty to defend. According to EMC, the Stuhrs’ alleged construction defects were not property damages and there was no occurrence in connection with faulty workmanship. Approximately two and a half years after they filed their initial complaint, the Stuhrs filed an amended complaint. Wardcraft did not tender this amended complaint to EMC, and first informed EMC about the amended complaint about a year after it was filed. A month prior, Wardcraft settled with the Stuhrs. Read the court decision
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Reprinted courtesy of Heather M. Anderson, Higgins, Hopkins, McLain & Roswell, LLC
Ms. Anderson may be contacted at Anderson@hhmrlaw.com

Merger to Create Massive Los Angeles Construction Firm

July 16, 2014 — Beverley BevenFlorez-CDJ STAFF
AECOM Technology Corp., a Los Angeles engineering and construction firm, has agreed to pay $4 billion to acquire URS Corp., their San Francisco competitor. According to the Sacramento Bee, “The combined company will employ about 95,000 people in 150 countries.” AECOM is currently building the World Trade Center in New York, and previous projects include the Los Angeles Police Department headquarters, and renovations to the Port of Los Angeles and the Bradley international terminal at the Los Angeles International Airport, the Sacramento Bee reported. Furthermore, “URS has worked on the Garden Grove (22) Freeway reconstruction, the UCLA Ronald Reagan Medical Center, the Port of Long Beach, the Gold Line Eastside Extension in Los Angeles and the Disneyland resort expansion.” Read the court decision
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