Fairfield Connecticut Building Expert Directory

Assignment of Insured's Policy Ineffective

April 06, 2016 — Tred R. Eyerly – Insurance Law Hawaii
An assignment of policy rights made before the policy was issued was ineffective. W. Alliance Bank v. Nat'l Union Fire Ins. Co., 2016 U.S. Dist. LEXIS 19936 (N.D. Cal. Feb. 18, 2016). The bank issued a loan to Sorrento Networks, Inc. in 2011. As collateral, Sorrento gave the bank a continuing security interest in all of Sorrento's personal property, including its inventory, commercial tort claims and insurance proceeds. The loan agreement authorized the back to act on Sorrento's behalf in collecting any money owed to Sorrento and prosecuting any claims that Sorrento might have. Read the court decision
Read the full story...
Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Las Vegas Stadium for Athletics, Now $1.75B Project, Gains Key OK

December 31, 2024 — Doug Puppel - Engineering News Record
Construction start of a new stadium in Las Vegas to host the former Oakland, Calif.-based Athletics Major League Baseball team gained a key approval on Dec. 5, with the municipal stadium authority unanimously greenlighting the now $1.75-billion facility. Read the court decision
Read the full story...
Reprinted courtesy of Doug Puppel, ENR

Factor the Factor in Factoring

May 03, 2017 — David Adelstein - Florida Construction Legal Updates
What is factoring? Have you heard this term used in the business context? Factoring is not uncommon in the business world. It comes up when a business is in need of cash (immediate cash flow) and sells/assigns money owed under accounts receivable to a third party known as a factor. The factor purchases the accounts receivable at a discount in consideration of an assignment of the full value of the accounts receivable from the debtor (the entity that owes the money under the accounts receivable). The factoring arrangement is a recognized relationship, implicates Florida’s Uniform Commercial Code, and places obligations on the debtor to pay the factor directly for the accounts receivable upon notice of the assignment. Read the court decision
Read the full story...
Reprinted courtesy of David Adelstein, Florida Construction Legal Updates
Mr. Adelstein may be contacted at Dadelstein@gmail.com

Montana Supreme Court: Insurer Not Bound by Insured's Settlement

December 02, 2019 — K. Alexandra Byrd - Saxe Doernberger & Vita, P.C.
In Draggin’ Y Cattle Co., Inc. v. Junkermier, et al.1 the Montana Supreme Court held that where an insurer defends its insured and the insured subsequently settles the claims without an insurer’s participation, a court may approve the settlement as between the underlying plaintiff and underlying defendant, but the settlement will not be presumed reasonable as to the insurer. Therefore, an insurer who defends its insured cannot be bound by a stipulated settlement that the insurer did not expressly consent to. The case involved Draggin’ Y Cattle Company (the “Cattle Company”), a ranching and cattle business that utilized the services of an accounting firm, Junkermier, Clark, Campanella, Stevens, P.C. (“Junkermier”), to structure the sale of real property to take advantage of favorable tax treatment. It was discovered that Junkermier’s employee misinformed the Cattle Company’s owners of the tax consequences of the sale. The Cattle Company’s owners subsequently filed suit against Junkermier and its employee and alleged nearly $12,000,000 in damages due to the error. Junkermier’s insurer, New York Marine, provided a defense for Junkermier and its employee. The Cattle Company’s owners offered to settle the claims against Junkermier and its employee for $2,000,000, the policy limit of the New York Marine policy. New York Marine refused to give its consent or tender the policy’s limit. Subsequently, Junkermier, its employee, and the Cattle Company entered into their own settlement agreement for $10,000,000. The settlement was contingent upon a reasonableness hearing to approve the stipulated agreement. Read the court decision
Read the full story...
Reprinted courtesy of K. Alexandra Byrd, Saxe Doernberger & Vita, P.C.
Ms. Byrd may be contacted by kab@sdvlaw.com

General Contractor Intervening to Compel Arbitration Per the Subcontract

December 06, 2021 — David Adelstein - Florida Construction Legal Updates
It is not uncommon that a general contractor’s subcontract will include an arbitration provision. Or it will allow the general contractor to select binding arbitration as the method to resolve disputes at the general contractor’s SOLE OPTION. A general contractor’s subcontract should absolutely give the general contractor this important right. (Keep this in mind when drafting dispute resolution provisions for a general contractor.) It is also not uncommon for a subcontractor the sue a general contractor’s payment bond surety, and NOT the general contractor. One reason to do this is to create an argument to avoid the dispute resolution provision in the subcontract. (Another reason is to avoid any pay-if-paid defense.) When this occurs, a general contractor may still want to arbitrate the subcontractor’s payment bond dispute and a way to do so is for the general intervene in the lawsuit and move to compel arbitration. Sometimes, it is even practical for the general contractor to immediately initiate the arbitration process against the subcontractor, particularly if the general contractor wants to assert a counterclaim, so that the motion to compel is supported by the formal demand for arbitration (and filed with the American Arbitration Association or other body administering the arbitration). I have done this on a number of occasions. Read the court decision
Read the full story...
Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

"Multiple Claims" Provisions on Contractor's Professional Liability Policy Creates a Trap for Policyholders

May 24, 2021 — Michael V. Pepe - Saxe Doernberger & Vita
In Berkley Assurance Company v. Hunt Construction Group, Inc., 465 F.Supp.3d 370 (S.D.N.Y., 2020), professional liability insurer Berkley sued its insured, Hunt, a construction management firm, seeking a declaration that it did not owe Hunt a duty to defend and indemnify against breach of contract claims. The United States District Court for the Southern District of New York granted Berkley’s motion for summary judgment and denied Hunt’s motion for partial summary judgment. Among other things, the court held that the policy’s automatic extended reporting period did not apply to Hunt’s first claim. The multiple claims provision barred Hunt’s second claim because the claims were related. The court’s holding creates a potential trap for policyholders who wait to see how a claim develops before reporting it to their insurance carrier. This case demonstrates that waiting to see how a claim develops can result in a loss of coverage. Policyholders need to be aware of this trap and report all claims and circumstances immediately. Read the court decision
Read the full story...
Reprinted courtesy of Michael V. Pepe, Saxe Doernberger & Vita
Mr. Pepe may be contacted at MPepe@sdvlaw.com

Court Rules in Favor of Treasure Island Developers in Environmental Case

July 09, 2014 — Beverley BevenFlorez-CDJ STAFF
A California court ruled that the Environmental Impact Report (EIR) that had been approved by the city of San Francisco was adequate for the proposed 8,000-home development on Treasure Island, according to the San Francisco Business Times. The suit had been brought by Citizens for a Sustainable Treasure Island back in 2011. However, in December of 2012, “a lower court affirmed the EIR and the citizens’ group appealed that decision.” The project was proposed by partners Lennar Corp. and Wilson Meany. The development would “add thousands of new housing units along with retail, hotel and office space in addition to renovating historic buildings and creating 300 acres of open space.” Read the court decision
Read the full story...
Reprinted courtesy of

Supreme Court Eliminates Judicial 'Chevron' Deference to Federal Agency Statutory Interpretations

July 31, 2024 — Jane C. Luxton - Lewis Brisbois
Washington, D.C. (July 1, 2024) – In a much-anticipated decision, on June 28, 2024, the Supreme Court issued a sweeping opinion “overrul[ing]” a 40-year old precedent that required judges to defer to federal agency interpretations of their governing statutes when those laws were ambiguous or silent. Loper Bright Enterprises v. Raimondo, et al. No. 22-451 (2024), overruling Chevron U.S.A., Inc. v. Natural Resources Defense Council, Inc., 467 U.S. 837 (1984). The decision means that courts will no longer give special weight to an agency’s view of the scope of its regulatory powers but must apply independent judgment in deciding “whether an agency has acted within its statutory authority.” Loper Bright, slip op. at 35. Taking pains to explain that the new ruling would not allow for reversals of cases previously decided under the Chevron doctrine, the Court left no doubt that, in the words of Justice Neil Gorsuch, “[t]oday, the Court places a tombstone on Chevron no one can miss.” Id., Gorsuch Concurring Opinion at 1. Writing for a 6-2 majority, Chief Justice Roberts forcefully condemned the Chevron-based principle that courts should defer to a federal agency’s interpretation of the scope of its legal authority, rejecting the concept that agencies have any special expertise in statutory interpretation, a field reserved to the courts, not the executive branch, under Article III of the Constitution and the Administrative Procedure Act, 5 U.S.C. § 551 et seq. Read the court decision
Read the full story...
Reprinted courtesy of Jane C. Luxton, Lewis Brisbois
Ms. Luxton may be contacted at Jane.Luxton@lewisbrisbois.com

FAIRFIELD CONNECTICUT BUILDING EXPERT DIRECTORY AND CAPABILITIES