State Farm Too Quick To Deny Coverage, Court Rules
July 22, 2011 —
CDJ STAFFOn July 13, 2011, Judge Sarah S. Vance of the US District Court issued a rule in the case of Travelers Cas. & Surety Co. of Am. v. Univ. Facilities, Inc. (E.D. La., 2011). In this case, Stanley Smith Drywall was contracted by Capstone Building Corporation to “perform undisclosed work at the facility believed to involve the installation of drywall.” The project involved the design and construction of student residences for the Southeastern Louisiana University in Hammond, Louisiana. In May, 2009, University Facilities, Inc. (UFI) sued Capstone Development Corporation and Capstone On-Campus Management.
State Farm insured Stanley Smith Drywall and they sought a declaration that they have no duty: “(1) to insure Stanley Smith or CBC, or (2) to defend or indemnify any party against UFI's claims in the pending arbitration.” State Farm contends “(1) there is no "occurrence" to trigger coverage under the policy; (2) only breach of contract claims are asserted; (3) there is no property damage alleged; and (4) various coverage limitations and exclusions apply to prevent coverage.’
The court concluded that “whether State Farm has a duty to defend in the arbitration must be determined by considering the claims asserted in the arbitration.” However, the arbitration claims were not made part of the record. There, “, the Court cannot determine as a matter of law State Farm's duty to defend on the present record.” The same was true of State Farm’s duty to indemnify. “Stanley Smith and CBC assert that State Farm's motion for summary judgment was filed before any discovery was conducted in the arbitration proceeding or in this case. The Court finds that State Farm has failed to develop the record sufficiently to establish that there is no genuine issue of material fact as to its duty to indemnify Stanley Smith or CBC in the arbitration.’
The court denied State Farm’s motion for a summary judgment on its duty to defend and indemnify.
Read the court’s decision…
Read the court decisionRead the full story...Reprinted courtesy of
Meet the Forum's In-House Counsel: J. PAUL ALLEN
May 28, 2024 —
Jessica Knox - The Dispute ResolverCompany: Fischer Homes
Email: paul@jpaulallen.com
Law School: Chase College of Law at Northern Kentucky University (JD 1992)
States Where Company Operates/Does Business: Kentucky, Ohio, Indiana, Georgia, Missouri, Florida
Q: Describe your background and the path you took to becoming in-house counsel.
A: I started at a large Cincinnati firm straight out of law school. I moved in-house for a client of the firm after about 8 years and have remained in-house ever since. The in-house experience has been rewarding and varied over the last 24 years. I have worked for a Fortune 500, publicly traded steel company, a private equity led construction products company, and, finally, a family-owned residential homebuilder. I had the good fortune to be General Counsel at the last 2 in-house companies and was able to establish a legal department from scratch at Fischer Homes. As time went on and I gained experience, I stayed in-house because of the ability to work for a single client and have a greater impact on the business side of things.
Read the court decisionRead the full story...Reprinted courtesy of
Jessica Knox, Stinson LLPMs. Knox may be contacted at
jessica.knox@stinson.com
Court Denies Insurers' Motions for Summary Judgment Under All Risk Policies
June 05, 2017 —
Tred R. Eyerly - Insurance Law HawaiiThe federal district court found that the insurers could not escape coverage by summary judgment under their all risk policies. Eagle Harbour Condo Assoc'n v. Allstate Ins. Co., 2017 U.S. Dist. LEXIS 54761 (W.D. Wash. April 10, 2017).
Eagle Harbour Condominium Association sued several of its insurers who denied coverage for hidden water damage. Various insurers provided coverage from 1988 to 2015.
The Association asserted that wind-driven rain and inadequate construction allowed water to penetrate the buildings' sheathing and framing, causing decades of deterioration and decay, until the damage was exposed to view in August 2014. The insurers claimed that the loss resulted from poor decisions in constructing and inadequately maintaining a stucco building in the wet and windy Pacific Northwest. The Association argued that the policies did not explicitly exclude damage caused by wind-driven rain, so there was coverage.
Read the court decisionRead the full story...Reprinted courtesy of
Tred R. Eyerly - Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Updated: Happenings in and around the West Coast Casualty Seminar
May 13, 2014 —
Beverley BevenFlorez-CDJ STAFFFor those who are attending the West Coast Casualty Construction Defect Seminar this week, the Construction Defect Journal has updated its list of concerts, sporting events, and museum exhibitions taking place in and around Anaheim. Whether you like to spend your personal time checking out a new band, or watching your favorite Angel slide into home, or perusing the local art museum, there is something to spark your interest.
***CONCERT VENUES***
THE HOUSE OF BLUES IN ANAHEIM
Live Band Karaoke
Wednesday, May 14th, 2014 Doors Open at 10pm / Show Begins at 11pm
Every Wednesday experience the excitement of singing your favorite song with a live band. Over 200 songs to choose from our massive collection of classics and current hits. Get down here and let your vocals roar. No Cover!
Rockin’ The Blues
Thursday, May 15th, 2014 Doors Open at 10pm / Show Begins at 11pm
Every Thursday night head down to The Voodoo Lounge and listen to the best local live blues band. This is the music that shaped American music and influences every genre we listen to today. No cover!
Alice in Cooperland with Sons of Cream and Iron Plaid
Friday, May 16th, 2014 Doors Open at 7pm / Show Begins at 8pm
Friday Night Live
Friday, May 16th, 2014 Doors Open at 10pm / Show Begins at 11pm
Every Friday night features live music in The Voodoo Lounge. One stage, weekly mind blowing performances. No cover!
Stephen "Ragga" Marley
Saturday, May 17th, 2014 Doors Open at 8pm / Show Begins at 9pm
Dance, Pop and Hip-Hop
Saturday, May 17th, 2014 Doors Open at 10pm / Show Begins at 11pm
Every Saturday night The Voodoo Lounge heats up with the sounds of DJ Matt Hill spinning across genres and getting the party started. No Cover!
For More Information on Events at THE HOUSE OF BLUES OF ANAHEIM...
THE GROVE OF ANAHEIM
Lindsey Stirling plus special guest Dia Frampton
Wednesday, May 14, 2014 Doors Open at 7pm / Show Begins at 8pm
Primal Fear
Thursday, May 15, 2014 Doors Open at 6:30pm / Show Begins at 7pm
Jillian Michaels 'Maximize Your Life' Tour
Friday, May 16, 2014 Doors Open at 6pm / Show begins at 8pm
For More Information on Events at THE GROVE OF ANAHEIM...
THE HONDA CENTER
2014 Powerhouse
Saturday, May 17, 2014 – Parking lot Festival 3pm – Show Begins 7pm
Power 106 presents Powerhouse with Performances by Nicki Minaj, TDE’s Schoolboy Q, Wiz Khalifa, Trey Songz, YG, Jennifer Lopez, Childish Gambino, Juicy J, Sage The Gemini, Isaiah Rashad, plus Special Surprise Guests and More!
For More Information and to Purchase Tickets for THE HONDA CENTER...
***SPORTING EVENTS***
ANGEL’S STADIUM - BASEBALL
The Los Angeles Angels of Anaheim v. Tampa Bay Rays
Thursday, May 15th at 7:05pm
Friday, May 16th at 7:05pm
Saturday, May 17th at 6:05pm
Sunday, May 18th at 12:35pm
For More Information and to Purchase Tickets for ANGEL'S BASEBALL...
THE HONDA CENTER – HOCKEY
Ducks v. Kings – Game 7 (If Necessary)
Friday, May 16th at TBA
For More Information and to Purchase Tickets for DUCKS' HOCKEY...
***MUSEUM EXHIBITIONS***
MUZEO
Transcending Trash: The Art of Upcycling
Apr 26 –Aug 31, 2014
Transcending Trash: The Art of Upcycling celebrates the transformation of throwaway objects into complex and colorful works of art.
African Exhibit On The Move (free)
May 7 –May 1, 2014
Photographer Dawn Harman has captured the spirit and energy of Africa through a series of limited edition images- each and every photo tells an extraordinary story.
Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 5 pm
For More Information on Events at MUZEO...
BOWERS MUSEUM (Santa Ana)
Beethoven: The Late Great
Feb 8 - May 18, 2014
In recognition of the 60th anniversary of the Philharmonic Society of Orange County and its 21st and final season of Dean Corey’s leadership, the Philharmonic Society will present a multi-season celebration of the major late works of Ludwig van Beethoven, including a celebratory exhibition at the Bowers Museum.
Soulful Creatures: Animal Mummies In Ancient Egypt
Mar 22 – June 15, 2014
Soulful Creatures: Animal Mummies in Ancient Egypt is the first major exhibition to focus on one of the most fascinating aspects of ancient Egyptian culture and religion—the mummification of animals.
Chuck Jones: Doodles of a Genius
Apr 26 - August 3, 2014
This exhibition contains original drawings, most never publicly displayed, including a section of 50 so‐called "Doodles," perhaps best described as coming from one artist's very far side.
The Lure Of Chinatown: Painting California's Chinese Communities
Apr 12 - August 31, 2014
The unique cultural customs, fascinating architecture, and rich aesthetic of the Chinese communities in San Francisco and Los Angeles inspired many 19th and 20th century artists.
Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 4 pm
For More Information on Events at BOWERS MUSEUM...
Read the court decisionRead the full story...Reprinted courtesy of
A Look Back at the Ollies
May 03, 2018 —
Beverley BevenFlorez-CDJ STAFFThe Jerrold S. Oliver Award of Excellence, also known as the “Ollie” award, is presented to “an individual who is outstanding or has contributed to the betterment of the construction defect community.” West Coast Casualty asks members of the construction defect community to nominate those they feel are deserving of the award, and then members vote for one of four nominees. The award is presented at the West Coast Casualty Seminar. Those recognized receive a plaque and a donation in the winner’s name to Habitat for Humanity as well as a local California and Nevada charity.
Jerrold S. Oliver was a “’founding father’ in the alternate resolution process in construction defect claims and litigation. His loyalty and commitment to this community were beyond mere words as he was a true believer in the process of resolution.”
Past Award Winners:
1996 - Awarded to Ross R. Hart, Esq. (Mediator - American Arbitration Assoc.)
1997 - Awarded to Merv Thompson, Esq. (Mediator in private practice)
1999 - Awarded to Tom Craigo, (Adjuster - C.N.A. Insurance Company)
2000 - Awarded to Kristi Cole, (Adjuster - Safeco Insurance Company)
2001 - Awarded to Karen Rice, (Claims Manager - ACE / USA)
2002 - Awarded to Stephen Henning, Esq. (Wood, Smith, Henning and Berman, LLP)
2003 - Awarded to Ross Feinberg, Esq. (Feldscott, Lee, Feinberg, Grant and Mayfield LLP)
2004 - Awarded to Janet Shipes (Adjuster – C.N.A. Insurance Company)
2005 - Awarded to Edward Martinet (Expert – MC Consultants)
2006 - Awarded to Hon. Victoria V. Chaney (Judge – Los Angeles Superior Court)
2007 - Awarded to Bruce Edwards, Esq. (Mediator) JAMS
2008 - Awarded to Gerald Kurland, Esq. (Mediator) JAMS
2009 - Awarded to Keith Koeller, Esq. (Koeller, Nebecker, Carlson and Haluck, LLP)
2010 - Awarded to Terry Wolcott – (Construction Defect Manager – Travelers Ins. Co.)
2011 - Awarded to George Calkins, Esq. (Mediator) JAMS
2012 - Awarded to Joyia Greenfield, Esq. (Lorber, Greenfield and Polito, LLP)
2013 - Awarded to Margee Luper (Claim Manager – XL Insurance Group)
2014 - Awarded to Matt Liedle, Esq. (Liedle, Lounsbery, Larson & Lidl, LLP)
2015 - Awarded to Robert A. Bellagamba, Esq. (Special Master/Mediator, Castle & Dekker)
2016 - Awarded to Lisa Unger, (Senior Claims Examiner, Global Management Liability Markel)
2017 - Awarded to Caryn Siebert, (Vice President, Claims, Knight Insurance Group)
Read the court decisionRead the full story...Reprinted courtesy of
Lumber Drops to Nine-Month Low, Extending Retreat From Record
August 30, 2021 —
Marcy Nicholson - BloombergLumber futures slid to the lowest in more than nine months after sawmills ramped up production and demand from builders stabilized.
September futures in Chicago fell as much as 4.4% to $482.90 per thousand board feet, the lowest for a most-active contract since Oct. 30. Prices have dropped more than 70% from the record high reached just three months ago.
The tumble marks a stark turnaround for the common building material after strong U.S. construction demand during the pandemic spurred a surge in orders for lumber, causing prices to more than quadruple to their May peak and fueling inflation concerns. Sawmills have since increased output, and a shortage of other building supplies such as siding and windows has slowed the pace of construction, said Brian Leonard, an analyst with RCM Alternatives.
Read the court decisionRead the full story...Reprinted courtesy of
Marcy Nicholson, Bloomberg
Why You Should Consider “In House Counsel”
September 22, 2016 —
Christopher G. Hill – Construction Law MusingsWe construction lawyers have occasionally taken it on the chin as one of the obstacles in the construction process. However, I have often argued what I believe to be true, that early consultation with a construction lawyer, before problems occur, is a great way for a construction company to avoid issues and to, yes, save money in the long run.
Read the court decisionRead the full story...Reprinted courtesy of
The Law Office of Christopher G. Hill, PCMr. Hill may be contacted at
chrisghill@constructionlawva.com
Timely Written Notice to Insurer and Cooperating with Insurer
June 21, 2017 —
David Adelstein - Florida Construction Legal UpdatesI harp on notifying a liability insurer in writing once a claim is asserted against you. As soon as possible. I harp on this because as an insured you want to remove any doubt or argument that the insurer was prejudiced due to a lack of timely notice.
In a recent opinion, Zurich American Insurance Co. v. European Tile and Floors, Inc., 2017 WL 2427172 (M.D.Fla. 2017), the insurer moved for summary judgment in a coverage action arguing that its insured failed to provide it timely written notice. Specifically, the insurer argued that the insured violated the clause in the liability policy that states:
2. Duties in the Event of Occurrence, Offense, Claim or Suit
b. If a claim is made or “suit” is brought against any insured, you must:
- Immediately record the specifics of the claim or “suit” and the date received; and
- Notify us as soon as practicable.
You must see to it that we receive written notice of the claim or “suit” as soon as practicable.
c. You and any other insured must:
- Immediately send us copies of any demands, notices, summonses or legal papers received in connection with the claim or “suit”;
- Authorize us to obtain records and other information;
- Cooperate with us in the investigation, settlement or defense of the claim or “suit”; and
- Assist us, upon our request, in the enforcement of any right against any person or organization which may be liable to the insured because of injury or damage to which this insurance may also apply.
Read the court decisionRead the full story...Reprinted courtesy of
David Adelstein, Florida Construction Legal UpdatesMr. Adelstein may be contacted at
Dadelstein@gmail.com
