Negligence Against a Construction Manager Agent
March 22, 2018 —
David Adelstein – Florida Construction Legal UpdatesCan a construction manager-agent / owner’s representative hired directly by the owner be liable to the general contractor in negligence? An argument likely posited by many general contractors on projects gone awry where there is a separate construction manager. Well, here is an interesting case out of Louisiana that supports a negligence claim against a construction manager-agent.
Read the court decisionRead the full story...Reprinted courtesy of
David Adelstein, Florida Construction Legal UpdatesMr. Adelstein may be contacted at
dadelstein@gmail.com
Insurer's Motion for Summary Judgment to Dispose of Hail Damage Claim Fails
November 25, 2024 —
Tred R. Eyerly - Insurance Law HawaiiThe court denied the insurer's motion for summary judgment seeking to dismiss the insured's complaint requesting coverage for hail damage and a claim for bad faith. Rodriquez v. State Farm Lloyds, 2024 U.S. Dist. LEXIS 160007 (W.D. Tex. Sept. 5, 2024).
Mr. Rodriquez sought coverage under his homeowners policy after a hail and wind storm damaged his roof. After inspection, State Farm agreed that some minimal loss caused by hail was covered, but determined that the covered loss was less than the amount of the deductible. State Farm further determined that any hail damage to the roof was excluded by an endorsement, Exclusion of Cosmetic Loss to Metal Roof Coverings Caused by Hail. State Farm also determined that some damage was caused by previous faulty workmanship or wear and tear, both of which were excluded from coverage.
Read the court decisionRead the full story...Reprinted courtesy of
Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Drawing the Line: In Tennessee, the Economic Loss Doctrine Does Not Apply to Contracts for Services
December 11, 2023 —
Gus Sara - The Subrogation StrategistIn Commercial Painting Co. v. Weitz Co. LLC, No. W2019-02089-SC-R11-CV, 2023 Tenn. LEXIS 39 (Weitz), the Supreme Court of Tennessee (Supreme Court) considered whether the economic loss doctrine barred the plaintiff’s claims for fraud, negligent misrepresentation and punitive damages arising out of a contract with the defendant for construction services. The court held that the economic loss doctrine only applies to product liability cases and does not apply to claims arising from contracts for services. This case establishes that, in Tennessee, the economic loss doctrine does not bar tort claims in disputes arising from service contracts.
In Weitz, defendant, Weitz Co. LLC (Weitz), was the general contractor for a construction project and hired plaintiff Commercial Painting Co. (Commercial) as a drywall subcontractor. Weitz refused to pay Commercial for several of its payment applications, claiming that the applications were submitted untimely and contained improper change order requests. Commercial filed a lawsuit against Weitz seeking over $1.9 million in damages, alleging breach of contract, unjust enrichment, enforcement of a mechanic’s lien, and interest and attorney’s fees under the Prompt Pay Act of 1991. Weitz filed a counterclaim for $500,000 for costs allegedly incurred due to Commercial’s delay and defective workmanship. In response, Commercial amended its complaint to add claims for fraud, intentional and negligent misrepresentation, rescission of the contract and $10 million in punitive damages. Commercial alleged that Weitz received an extension of the construction schedule but fraudulently withheld this information from Commercial and continued to impose unrealistic deadlines.
Read the court decisionRead the full story...Reprinted courtesy of
Gus Sara, White and WilliamsMr. Sara may be contacted at
sarag@whiteandwilliams.com
A License to Sue: Appellate Court Upholds Condition of Statute that a Contracting Party Must Hold a Valid Contractor’s License to Pursue Action for Recovery of Payment for Contracting Services
June 21, 2017 —
Omar Parra & Jesse M. Sullivan - Haight Brown & Bonesteel LLPCalifornia Business & Professions Code section 7031(a) requires a party to have contractor’s license in order to maintain an action for compensation for services performed for which a contractor’s license is needed. In Phoenix Mechanical Pipeline, Inc. v. Space Exploration Technologies Corp., No. B269186 (2017 WL 2544856) (Cal. Ct. App. June 13, 2017), the Court of Appeal for the Second Appellate District considered the scope of this statute in denying, in part, Phoenix Mechanical Pipeline, Inc.’s (“Phoenix Pipeline”) appeal of a trial court ruling granting Space Exploration Technologies Corporation’s (“SpaceX”) demurrer to Phoenix Pipeline’s second amended complaint, without leave to amend.
Phoenix Pipeline filed the underlying lawsuit for, among other claims, breach of contract and breach of the duty of good faith and fair dealing arising from an agreement with SpaceX for Phoenix Pipeline to perform various plumbing, concrete removal and electrical services. Phoenix Pipeline alleged SpaceX paid for such services from 2010 to October 2013, but failed to pay Phoenix for services performed from October 2013 to August 2014, totaling just over $1,000,000. According to Phoenix Pipeline, this work was performed pursuant to a series of invoices, which constituted individual agreements between SpaceX and Phoenix Pipeline.
Reprinted courtesy of
Omar Parra, Haight Brown & Bonesteel LLP and
Jesse M. Sullivan, Haight Brown & Bonesteel LLP
Mr. Parra may be contacted at oparra@hbblaw.com
Mr. Sullivan may be contacted at jsullivan@hbblaw.com
Read the court decisionRead the full story...Reprinted courtesy of
Evaluating Smart Home Technology: It’s About More Than the Bottom Line
May 03, 2021 —
James W. McPhillips & Rachel Newell - Gravel2Gavel Construction & Real Estate Law BlogOutfitting a commercial real estate space with smart technology can be a significant cost. While the long-term benefits and strategic improvements we’ve discussed previously can make that investment worthwhile, the evaluation period is critical to ensure an impactful ROI. Property developers, owners, and managers should undertake a rigorous evaluation process to ensure the technology procurement aligns with the project’s overall financial plan. And this is not just about getting the cost right. If the technology does not meet the needs of the space, then all the smart technology in the world will not prevent the project from being a sunk cost.
Do the Research so You Know …
The Technology. While the RFP is a key step of the procurement process, a more informal research phase should be undertaken first. Smart technology is a rapidly evolving field, and before reaching out to vendors, the business should ensure that it understands what is available—both in terms of the kinds of technology that can be implemented, and the various companies that offer solutions. Gathering this information early will yield results that align more closely with a particular building’s needs.
Reprinted courtesy of
James W. McPhillips, Pillsbury and
Rachel Newell, Pillsbury
Mr. McPhillips may be contacted at james.mcphillips@pillsburylaw.com
Ms. Newell may be contacted at rachel.newell@pillsburylaw.com
Read the court decisionRead the full story...Reprinted courtesy of
Insured Entitled to Defense After Posting Medical Records Online
September 17, 2014 —
Tred R. Eyerly – Insurance Law HawaiiThe insurer had a duty to defend the insured contractor's publication of medical records online, making them accessible to anyone. Travelers Indem. Co. of Am. v. Portal Heathcare Solutions, LLC, 2014 U.S. Dist. 110987 (E.D. Va. Aug. 7, 2014).
Portal specialized in safekeeping of medical records for hospitals, clinics, and other medical providers. Portal was sued in a class action suit filed in New York state court for failing to safeguard the confidential medical records of patients at Glen Falls Hospital. Two patients of Glen Falls conducted a Google search of their respective names, and found a direct link to their Glen Falls medical records.
Travelers provided policies to Portal in 2012 and 2013, obligating Travelers to cover damages because of injury arising from (1) the "electronic publication of material that . . . gives unreasonable publicity to a person's private life" (the 2012 policy) or (2) the "electronic publication of material that . . . disclosed information about a person's private life" (the 2013 policy).
Read the court decisionRead the full story...Reprinted courtesy of
Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Lewis Brisbois Ranked Tier 1 Nationally for Insurance Law, Mass Tort/Class Actions Defense, Labor & Employment Litigation, and Environmental Law in 2024 Best Law Firms®
November 06, 2023 —
Lewis Brisbois(November 2, 2023) - Lewis Brisbois has been ranked Tier 1 nationally by Best Lawyers for ‘Insurance Law,’ ‘Mass Tort Litigation / Class Actions – Defendants,’ ‘Litigation - Labor and Employment,’ and ‘Environmental Law,’ as well as ranking Tier 1 in an array of practice areas across 25 metro regions in its 2024 edition of Best Law Firms®.
In addition to Lewis Brisbois' national ranking, the firm was also ranked Tier 1 in the following regional categories:
Akron
- Commercial Litigation
- Corporate Law
- Mergers & Acquisitions Law
- Tax Law
- Trusts & Estates Law
Read the court decisionRead the full story...Reprinted courtesy of
Lewis Brisbois
Traub Lieberman Partner Gregory S. Pennington and Associate Emily A. Velcamp Obtain Summary Judgment in Favor of Residential Property Owners
December 13, 2022 —
Gregory S. Pennington & Emily A. Velcamp - Traub LiebermanTraub Lieberman Partner Gregory S. Pennington and Associate Emily A. Velcamp obtained summary judgment in favor of their clients, owners of a residential property [the “Owners” or “Defendants”] used as a short-term rental in Beach Haven, New Jersey. Plaintiff alleged injuries resulting from a fall into an open water meter pit, located in the public sidewalk abutting the Owners’ property during the time within which the property was rented to plaintiff and his family. According to plaintiff, defendants breached their duty owed to him, relying on a Borough of Beach Haven Ordinance, thereby allowing the water meter pit to be raised in an unsafe manner, which resulted in plaintiff’s fall and subsequent injuries.
After the Court denied defendants’ initial Motion for Summary Judgment on the grounds that issues of material fact existed regarding defendants’ duty and the alleged breach of that duty, a Motion for Reconsideration was filed. Mr. Pennington and Ms. Velcamp argued that their clients, as residential landowners, owed no duty of care to plaintiff for the raised condition of the water meter pit lid, located in the abutting sidewalk, as they did not cause or contribute to the alleged condition. Defendants further argued that even if a duty of care existed, no breach occurred given the lack of notice to defendants, either actual or constructive. Plaintiff attempted to argue that defendants had constructive notice of the lid’s raised condition, relying on his expert report and the fact that defendants had 3.5 months from the date the property was purchased, to the date of the subject accident to discover the lid’s raised condition. Mr. Pennington and Ms. Velcamp successfully argued that despite plaintiff’s allegations and the findings contained in plaintiff’s expert report, authored 2 months after the alleged accident, there was still no credible, material evidence to say how long the water meter pit lid was in that raised condition to allow defendants a reasonable time to discover it, remedy it, or report it to the Borough.
Reprinted courtesy of
Gregory S. Pennington, Traub Lieberman and
Emily A. Velcamp, Traub Lieberman
Mr. Pennington may be contacted at gpennington@tlsslaw.com
Ms. Velcamp may be contacted at evelcamp@tlsslaw.com
Read the court decisionRead the full story...Reprinted courtesy of