Construction Defect or Just Punch List?
December 11, 2013 —
CDJ STAFFA couple in Dickinson, North Dakota have put big, green “buyer beware” signs on their home. They’re not planning on selling, but just trying to warn prospective neighbors of the problems they’ve had since moving into their new home. Andrea Thermes said her problems included leaking windows and uneven floors. “I absolutely love my house,” she said. “If we didn’t have the issues, I would be the happiest girl in the world.”
One problem was a leaking picture window in her living room. The builder replaced it, but the first window that arrived was the wrong size. The new home is still under a warranty and the builder has been fixing issues as they arise. “They are upset with some of the problems they have had,” said William Henry, president of B-Dev, the builder of the home. Since Ms. Thermes’s window wasn’t repaired in time for Thanksgiving, Mr. Henry sent wine and beer to her home. “Not that that makes up for not having their window, but we’re trying to make this work and trying to appease them,” he said.
But Mr. Henry said that some of the problems “are not really material defects,” characterizing them as “punch-list and warranty items.”
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Florida’s Third District Court of Appeal Suggests Negligent Repairs to Real Property Are Not Subject to the Statute of Repose
June 29, 2017 —
Nicole Rodolico, Esq. - Florida Construction Law NewsFlorida’s Third District Court of Appeal (“Third District”) recently addressed the applicable statute of limitations for repairs under Section 95.11, Florida Statutes, including the issue of whether a repair constitutes an improvement to real property. In Companion Property & Casualty Group v. Built Tops Building Services, Inc., No. 3D16-2044, 2017 Fla. App. LEXIS 6584 (Fla. 3d DCA May 10, 2017) (“Companion”), the Third District ruled that the trial court erred in finding that a subrogation action arising out of an alleged defective roof repair was time-barred because the statute of limitations had run.
On February 8, 2016, Companion Property & Casualty Group (“Companion”) filed its complaint against a building services company, Built Tops Building Services, Inc. (“Built Tops”), for negligent repair of its insured’s roof. Companion alleged that the defective roof repair was performed on November 21, 2006. Companion further alleged that as a result of Built Tops’ work, the insured suffered water damage to the condominium building on February 9, 2012. Built Tops moved to dismiss the action on the basis that the applicable four-year statute of limitations had run on Companion’s claim, which Built Tops argued accrued on the date the repair was performed, November 21, 2006. The trial court granted the motion to dismiss.
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Nicole Rodolico, Cole, Scott & Kissane, P.A.Ms. Rodolico may be contacted at
nicole.rodolico@csklegal.com
Mountain States Super Lawyers 2019 Recognizes 21 Nevada Snell & Wilmer Attorneys
June 18, 2019 —
Snell & WilmerSnell & Wilmer is pleased to announce that 21 attorneys from the Nevada offices have been selected for inclusion in the 2019 Mountain States Super Lawyers publication. Of those 21, 12 were recognized as Mountain States Rising Stars. Patrick Byrne was also named to the Top 100 list of attorneys for the Mountain States region.
Super Lawyers, part of Thomson Reuters, is a listing of lawyers from more than 70 practice areas who have attained a high degree of peer recognition and professional achievement. The annual selections are made using a patented multiphase process that includes independent research, peer nominations and peer evaluations.
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Snell & Wilmer
Security on Large Construction Projects. The Payment Remedy You Probably Never Heard of
May 07, 2015 —
Garret Murai – California Construction Law BlogCalifornia has a number of statutory payment remedies available on construction projects. Some, such as the mechanics lien, are relatively well known and often utilized. Others, such as the stop payment notice, are somewhat less so.
However, there’s one statutory payment remedy you may not have heard of at all.
And that is, security requirements for large projects.
What is security for large projects?
Security is required on certain large construction projects to guarantee the payment by owners to direct contractors, and applies if either:
1.
Fee Interest and Contract of Greater Than $5 million: The owner contracting for a work of improvement holds a
fee interest in the property being improved and enters into a construction contract for the improvement of the property greater than
$5 million; or
2.
Less Than Fee Interest, Including Leasehold Interest, and Contract of Greater Than $1 million: The owner contracting for a work of improvement holds less than a fee interest (including a
leasehold interest) in the property being improved and enters into a construction contract for the improvement of the property greater than
$1 million.
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Garret Murai, Wendel Rosen Black & Dean LLPMr. Murai may be contacted at
gmurai@wendel.com
Housing Woes Worse in L.A. Than New York, San Francisco
September 03, 2014 —
Nadja Brandt and John Gittelsohn – BloombergJeanette Cross took out a payday loan to cover her May rent of $1,600 in South Los Angeles. She skipped car and insurance payments to keep a roof over her head.
“I’m further and further behind,” Cross, a 34-year-old single mother of four, said in a telephone interview. “I make a payment on one thing and don’t pay others.”
She isn’t alone. Angelenos use a bigger slice of their paychecks on shelter than people in New York, San Francisco or Miami, studies show. Surging property prices in the second-largest U.S. city are driving up costs in once-impoverished areas while pushing lower-income households into converted garages or to distant suburbs, where the tradeoff is hours stuck in traffic each day.
Reprinted courtesy of
Nadja Brandt, Bloomberg and
John Gittelsohn, Bloomberg
Ms. Brandt may be contacted at nbrandt@bloomberg.net; Mr. Gittelsohn may be contacted at johngitt@bloomberg.net
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Replevin Actions: What You Should Know
November 08, 2021 —
Craig H. O'Neill - White and Williams LLPA contractor client of White and Williams recently found itself in a prickly situation. They had default terminated a subcontractor on a major commercial project and withheld payment to that subcontractor on an outstanding invoice as permitted under the terms of the subcontract until the project was completed. Clearly irate over being terminated, the subcontractor walked-off of the project with thousands of dollars’ worth of project materials and equipment that had been paid for by the owner. While on some projects this may amount to nothing more than an annoyance or inconvenience, in this case it was a significant problem because some of the wrongfully removed materials were custom manufactured overseas and not easily replaceable. The client therefore needed to take immediate action to retrieve the stolen materials so that the project would not be delayed. Specifically, it needed to file a replevin action against the subcontractor.
A replevin action is a little known but powerful area of the law. In its simplest terms, replevin is a procedure whereby seized goods may be provisionally restored to their owner pending the outcome of an action to determine the rights of the parties concerned. The requirements of a replevin action differ by jurisdiction. For example, in Pennsylvania, the Rules of Civil Procedure devote an entire section to replevin actions and spell out in precise detail the steps that must be taken. While you should be sure to strictly comply with the rules in your jurisdiction, here are a few general points to keep in mind:
- Where to File: A replevin action is typically commenced by filing a complaint in the appropriate jurisdiction. Generally speaking, it is best to file the action in the jurisdiction where the improperly seized materials are being held. If that location is unknown, you can also typically file the action in the jurisdiction where the project is located.
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Craig H. O'Neill, White and Williams LLPMr. O'Neill may be contacted at
oneillc@whiteandwilliams.com
Professional Services Exclusion in CGL Policies
December 05, 2022 —
David Adelstein - Florida Construction Legal UpdatesA professional services exclusion in a commercial general liability policy means something. It’s an exclusion an insurer will rely on to avoid insurance coverage based on “professional services” performed or rendered by the insured. Don’t take it from me. Take it from the recent opinion in Colony Insurance Company v. Coastal Construction Management, LLC, 2022 WL 16636697 (M.D.Fla. 2022) where the trial court granted a commercial general liability insurer’s motion for judgment on the pleadings based on the professional services exclusion.
Here, an owner sued, among other parties, an entity performing only construction management services based on construction defects at its project. The construction manager did not perform any design or physical construction. It was hired to make site inspections of the construction, review construction quality and finish standards, ensure workmanship quality, coordinate the punchlist process, and supervise management and administration of the project.
The construction manager’s commercial general liability insurer sued for declaratory relief claiming it owed no duty to defend or indemnify based on the professional services exclusion.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Misread of Other Insurance Clause Becomes Costly for Insurer
February 22, 2018 —
Tred R. Eyerly – Insurance Law HawaiiOne insurer's refusal to defend based upon its "other insurance" provision ultimately meant the insurer had to pay all of the insured's defense costs. Steadfast Ins. Co. v. Greenwich Ins. Co., 2018 Wis. App. LEXIS 51 (Wis. Ct. App. Jan. 17, 2018).
Milwaukee Metropolitan Sewerage District (MMSD) was a government agency that provided water reclamation and flood management services to the city. From March 1, 1998 to February 20, 2008, MMSD contracted with United Water Services Milwaukee LLC to operate the sewerage system. From March 1, 2008 on, MMSD contracted with Veolia Water North America-Central, LLC to operate the system.
Through agreements, both companies were obligated to indemnify MMSD for claims arising out of the operations and maintenance of the system and to obtain insurance to cover their indemnity obligations. Both companies complied.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com