Fairfield Connecticut Building Expert Directory

Duty to Defend Construction Defect Case Triggered by Complaint's Allegations

August 20, 2014 — Tred R. Eyerly – Insurance Law Hawaii
The subcontractor's insurer could not escape contributing to defense costs of its insured when coverage was possible based upon the underlying complaint's allegations. Seneca Ins. Co. v. James River Ins. Co., 2014 U.S. Dist. LEXIS 97156 (D. Ore. July 17, 2014). The underlying action alleged construction defects in a 60-unit complex located in Seaside, Oregon. S.D. Deacon Corp. was the general contractor and contracted with the owners association to reconstruct portions of the building, including the curtain wall. Deacon subcontracted with Superwall Design, LLP for work on the curtain wall renovation. At some point not specified in the underlying complaint, the Association notified Deacon of construction defects in the curtain wall renovation. Deacon investigated and concluded that the alleged property damage was the result of inadequate usage of materials, violations of state and local building codes, and violations of relevant industry standards relating to the work performed by Superwall. Deacon contended that the problems were caused by Superwall's faulty workmanship. 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

U.S. Homeownership Rate Falls to Lowest Since Early 1995

October 29, 2014 — Prashant Gopal – Bloomberg
The homeownership rate in the U.S. fell to the lowest in more than 19 years as the market shifted toward renting and tight credit blocked some potential buyers. The share of Americans who own their homes was 64.4 percent in the third quarter, down from 64.7 percent in the previous three months, the Census Bureau said in a report today. The rate was at the lowest level since the first quarter of 1995. Entry-level buyers have been held back by stringent mortgage standards and slow wage growth. The share of first-time buyers was 29 percent in September for the third straight month, compared with about 40 percent historically, according to the National Association of Realtors said. Read the court decision
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Reprinted courtesy of Prashant Gopal, Bloomberg
Mr. Gopal may be contacted at pgopal2@bloomberg.net

Insurer Must Defend Construction Defect Claims

October 07, 2016 — Tred R. Eyerly – Insurance Law Hawaii
The federal district court found that under New York law, the insurer had a duty to defend construction defect claims where damage to property other than the insured's work product was possible. Am.Home Assur. Co. v. Allan Window Techs., 2016 U.S. Dist. LEXIS 101118 (S.D. N. Y. Aug 2, 2016). Kent Avenue Property ("Kent") sued Allan Window Technologies, Ltd. ("Allan"), alleging that Allan entered a written contract for the design, manufacture, assembly and installation of the window wall systems for a residential condominium building. Pursuant to the contract, Allan agreed to correct all work rejected as defective and to bear all costs for correcting the work. According to the complaint, the window wall systems and vent windows installed by Allan were not water-tight or air-tight, and therefore did not meet the air and water penetration requirements of the contract.The contract had an indemnification provision under which Allan agreed to indemnify, defend and hold harmless Kent from all losses, claims, lawsuits, etc. arising out of damage or injury to property at the project site. Kent sued for: (1) breach of contract; (2) breach of warranty, and (3) contractual indemnity. American Home agreed to defend Allan under a full reservation of rights. American Home then sued for a declaratory judgment to establish it had no duty to defend or indemnify. 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

CLB Recommends Extensive Hawaii Contractor License Changes

January 27, 2014 — Beverley BevenFlorez-CDJ STAFF
In 2013, the Hawaii senate passed a resolution, which asked the Contractors License Board to assess “each of the contractor licensing classifications under chapter 444, Hawaii Revised Statutes, and chapter 77, Hawaii Administrative Rules, and prepare a report that evaluates each classification,” according to Anna Oshiro’s blog, Hawaii Construction Law. The “board completed its task” and “recommends wholesale changes to the scope of work to be performed by licensed contractors in the State of Hawaii.” The report has been filed with the Legislative Reference Bureau. Read the court decision
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Triable Issue of Fact Exists as to Insurer’s Obligation to Provide Coverage Under Occurrence Policy

March 08, 2021 — Valerie A. Moore & Kathleen E.M. Moriarty – Haight Brown & Bonesteel LLP
In Guastello v. AIG Specialty Ins. Co. (No. G057714. filed 2/19/21 ord. pub. 2/23/21), a California appeals court held that triable issues of material fact exist which precluded summary judgment for an insurer seeking to disclaim coverage on the basis that the “occurrence” pre-dated the policy period where a dispute exists as to the timing of the subject “occurrence.” In Guastello, a subcontractor built retaining walls from 2003 to 2004 for a housing development in Dana Point, California. In 2010, one of these retaining walls collapsed causing damage to a residential lot owned by Thomas Guastello. Reprinted courtesy of Valerie A. Moore, Haight Brown & Bonesteel LLP and Kathleen E.M. Moriarty, Haight Brown & Bonesteel LLP Ms. Moore may be contacted at vmoore@hbblaw.com Ms. Moriarty may be contacted at kemoriarty@hbblaw.com Read the court decision
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Feds Move To Indict NY Contractor Execs, Developer, Ex-Cuomo Aide

November 30, 2016 — Mary B. Powers – Engineering News-Record
Executives at Buffalo, N.Y.-based contractor LPCiminelli and developer COR Development, Syracuse, N.Y., were indicted Nov. 22 on charges of bribery, corruption and fraud in the award of hundreds of millions of dollars in construction contracts. Read the court decision
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Reprinted courtesy of Mary B. Powers, Engineering News-Record
ENR may be contacted at ENR.com@bnpmedia.com

CEB’s Mechanics Liens and Related Remedies – 2014 Update

November 26, 2014 — Garret Murai – California Construction Law Blog
I’ve been writing for the CEB – the Continuing Education of the Bar – which publishes legal practice guides for lawyers for some time now. But I don’t think I’ve been quite as excited to write for the CEB than writing for its publication, California Mechanics Liens and Related Construction Remedies, for the first time this year. Particularly, since it’s one of the first publications I used as a young lawyer to learn about construction law, and still use today. Read the court decision
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Reprinted courtesy of Garret Murai, Wendel Rosen Black & Dean LLP
Mr. Murai may be contacted at gmurai@wendel.com

Insurer's Motion to Dismiss Complaint for Collapse Coverage Fails

March 22, 2018 — Tred R. Eyerly.- Insurance Law Hawaii

The insurer's motion for summary judgment seeking dismissal of the insured's claim for collapse coverage was rejected by the Supreme Court of New York. Parauda v. Encompass Ins. Co. of Am., 2018 N.Y. Misc. LEXIS 269 (N.Y. Sup. Ct. Jan. 25, 2018).

The insureds submitted a claim to Encompass for damage to the brick siding, or façade, of their home, which was bulging near the front door. Encompass hired H2M Architects and Engineers to inspect the home and issue a report. H2M determined that the brick façade near the front door was separated from the house. Photos showed that the bricks had separated, the mortar joints were cracked, and there were cracks and deterioration in the mortar. H2M concluded that the brick façade was in poor condition and need repairs and/or replacement. H2M concluded that the separation of the brick façade was caused by water infiltration behind the wood trim and brick façade, occurring over a several year period. Encompass denied the claim based upon exclusions for "freezing, thawing," "wear and tear," and "inadequate maintenance."

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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

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