SEATTLE WASHINGTON BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Illinois Appellate Court Finds Insurer Estopped From Denying Coverage Where Declaratory Judgment Suit Filed Too Late

August 07, 2018 — TLSS Insurance Law Blog
In an unpublished opinion from the Illinois Appellate Court, Country Mutual Insurance Co. v. Badger Mutual Insurance Co., 2018 IL App (1st) 171774-U, the court held that because an insurer breached its duty to defend and failed to file a declaratory judgment action before the underlying lawsuit was resolved, it was estopped from denying coverage for the default judgment entered against its insured in the underlying lawsuit. The underlying lawsuit concerned a claim that plaintiff’s property allegedly sustained damage when the insured performed work on the plaintiff’s residence. The complaint in the underlying lawsuit did not specifically identify when the property damage occurred. However, the complaint did state that the insurer’s investigator alerted it in 2010 that the property damage was due to the insured’s faulty work during the policy period. The insurer did not defend the insured during the action and a default judgment was entered against the insured. Read the court decision
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Reprinted courtesy of Traub Lieberman Straus & Shrewsberry LLP

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California Construction Bill Dies in Committee

July 21, 2011 — CDJ STAFF

AB 20, which its sponsor, Linda Halderman (R-Fresno), stated would discourage class action lawsuits against builders and protect jobs in the construction industry, has died in committee. Although the Business Journal reported in June that Haldeman was promoting the bill during a talk in her district and the bill is still on her web site, the California Assembly reports that the bill failed in committee on March 15, 2011. It is possible that the bill could be reconsidered, but the Assembly Committee on Judiciary sees the bill as responding to issues quieted by SB 800 which gives builders the right to repair alleged defects before any suit can be filed.

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White and Williams recognized with Multiple Honorees in the Chambers 2023 USA Guide

June 26, 2023 — White and Williams LLP
Chambers has released their 2023 USA guide and ranked White and Williams as a leader among national law firms. The firm was recognized for recent achievements in Real Estate Finance and Insurance in Pennsylvania, and Construction in Maryland. “We are very pleased to have some of our most talented attorneys recognized again by Chambers”, said Andrew Susko, the Firm’s Managing Partner. In addition, to practice area recognition, nine lawyers were recognized and ranked highly in the 2023 Chambers USA guide from Connecticut, Pennsylvania, and Maryland. In Philadelphia, Timothy E. Davis, Partner and Chair of the Business Department, and Nancy Sabol Frantz, Chair of the Real Estate and Finance practice were recognized for their achievements in Real Estate: Finance; and, Stephen Coury, Connecticut Office Managing Partner, was ranked among the top Real Estate professionals in Connecticut. Read the court decision
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Reprinted courtesy of White and Williams LLP

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Courthouse Reporter Series: The Travails of Statutory Construction...Defining “Labor” under the Miller Act

August 01, 2023 — Brendan J. Witry - The Dispute Resolver
In a recent case—United States ex rel. Dickson v. Fidelity & Deposit Co. of Maryland (“Dickson”)—the U.S. Court of Appeals for the Fourth Circuit recently re-examined and defined what work qualifies as “labor” under the Miller Act. United States ex rel. Dickson v. Fidelity & Deposit Co. of Maryland, No. 21-160, 67 F.4th 182 (4th Cir. April 26, 2023) (slip op.). Unlike private projects, unpaid subcontractors cannot encumber the federal government’s property with mechanics liens. Instead, the Miller Act provides a remedy for subcontractors in the form of a payment bond on all federal public works contracts exceeding $100,000. 40 U.S.C. § 3131(b). In the Dickson case, Claimant Elliot Dickson served as a subcontractor to Forney Enterprises (“Forney”), with whom the Department of Defense (the “DOD”) contracted to renovate several staircases and the fire suppression systems at the Pentagon. Read the court decision
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Reprinted courtesy of Brendan J. Witry, Conway & Mrowiec Attorneys LLLP
Mr. Witry may be contacted at bjw@cmcontractors.com

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Delaware Supreme Court Choice of Law Ruling Vacates a $13.7 Million Verdict Against Travelers

August 07, 2018 — Gregory Capps & Zachery Roth - White and Williams LLP
On July 16, 2018, the Delaware Supreme Court held in Travelers Indemnity Company v. CNH Industrial America, LLC, No. 420, 2017 (Del. Jul. 16, 2018), that a court’s choice of law inquiry in an insurance coverage dispute should focus on the contacts most relevant to the insurance contract rather than the location of the underlying claims. In Travelers, CNH Industrial America, LLC (CNH), sought coverage for asbestos liabilities associated with J.I. Case, Inc., a subsidiary it had acquired, under policies issued to J.I. Case and its former parent company, Tenneco, Inc. The issue before the Delaware Supreme Court was whether the anti-assignment clause in three Travelers policies issued to Tenneco, Inc. precluded the assignment of the policies to CNH. The validity of the assignment turned on which state’s law governed the dispute. (Under Wisconsin law, the parties agreed that the assignment was valid, while under Texas law, the parties agreed the assignment was invalid.) Reprinted courtesy of Gregory Capps, White and Williams LLP and Zachery Roth, White and Williams LLP Mr. Capps may be contacted at cappsg@whiteandwilliams.com Mr. Roth may be contacted at rothz@whiteandwilliams.com Read the court decision
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The Firm Hits the 9 Year Mark!

July 22, 2019 — Christopher G. Hill - Construction Law Musings
It was 9 years ago today that I announced the formation and start of my solo practice, The Law Office of Christopher G. Hill, PC. Back then, my children were in elementary and middle school. Now I have two college students, one at Appalachian State University (with a budding photography talent that has provided some photos for this blog (including that on this post)) and the other at West Virginia University, and a rising high school junior. In just the past year I began a tenure on the Section Council Virginia Bar Association Construction and Public Contracts Law section and chair of its Legislative Committee where I assisted in the drafting of the change in the mechanic’s lien form that takes effect today.. I was named to both the Virginia Business Magazine Legal Elite in Construction Law and for a 3rd consecutive year to Virginia Super Lawyers in Construction Litigation. I spoke on how to deal with a DPOR complaint this past November at the 39th Annual Construction Law and Public Contracts seminar (one I highly recommend for any lawyer interested in construction). 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

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Eleventh Circuit Set to Hear Challenge to Florida Law Barring Foreign Citizens From Buying Real Property

April 22, 2024 — Michael Gnesin - Lewis Brisbois
Fort Lauderdale, Fla. (April 2, 2024) - This month, the U.S. Court of Appeals for the Eleventh Circuit will hear a challenge to a recently-enacted Florida law, Senate Bill 264, which restricts foreign ownership or investment in Florida real property from specific countries and imposes a near ban on property purchases by Chinese, Russian and other foreign nationals. On July 1, 2023, Senate Bill 264 [codified under Fla. Stat. Ann. §§ 692.201 to 692.205] took effect. The bill, titled “Interests of Foreign Countries,” prohibits Chinese nationals and nationals from other countries, including Russia, from buying real property unless they are American citizens or permanent residents. Prior to the new law's effective date, on May 22, 2023, four Chinese citizens who hold nonimmigrant visas and reside in Florida, along with a Florida-based real estate firm, sued the state of Florida in federal district court, alleging that the new law is unconstitutional and discriminatory, and that it violates the Fair Housing Act [Shen v. Simpson, Case No. 4:23-cv-208]. Read the court decision
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Reprinted courtesy of Michael Gnesin, Lewis Brisbois
Mr. Gnesin may be contacted at Michael.Gnesin@lewisbrisbois.com

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Client Alert: Stipulated Judgment For Full Amount Of Underlying Claim As Security For Compromise Settlement Void As Unenforceable Penalty

March 26, 2014 — David W. Evans, Krsto Mijanovic, and Gregory M. Smith-Haight Brown & Bonesteel LLP
In Purcell v. Schweitzer (No. D063435 - filed February 24, 2014, certified for publication March 17, 2014), the Fourth District Court of Appeal upheld an order setting aside a stipulated default judgment for the full amount of plaintiff’s claim which had been agreed to by the parties to a settlement agreement, finding that it constituted an unenforceable penalty because the amount bore no reasonable relationship to the settling party’s actual damages resulting from a breach of the settlement agreement. In an agreement settling a breach of contract action seeking $85,000 in damages based on an unpaid debt, the plaintiff agreed to settle the claim and to accept $38,000 in 24 monthly installments, including interest on the unpaid principal at 8.5 percent. The agreement provided that payments were due on the first day of each month and to be considered “timely,” had to be received by the fifth day of each month. If any payment was not made on time, it was to be considered a breach of the entire settlement agreement, making the entire $85,000 original liability due pursuant to a stipulation for entry of judgment for such amount. The stipulation included language to the effect that the $85,000 figure accounted for the “economics” of further proceedings. The agreement also specified that the foregoing provision did not constitute an unlawful “penalty” or “forfeiture” and that defendant waived any right to an appeal and any right to contest or seek to set aside such a judgment. Reprinted courtesy of Haight Brown & Bonesteel LLP attorneys David W. Evans, Krsto Mijanovic, and Gregory M. Smith Mr. Evans may be contacted at devans@hbblaw.com; Mr. Mijanovic may be contacted at kmijanovic@hbblaw.com, and Mr. Smith may be contacted at gsmith@hbblaw.com Read the court decision
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