South Dakota Supreme Court Holds That Faulty Workmanship Constitutes an “Occurrence”
September 14, 2017 —
Samantha Martino - Saxe Doernberger & Vita, P.C.The South Dakota Supreme Court recently determined that damage resulting from a subcontractor’s failure to test soil compaction before constructing a home constituted an “accident” and was therefore an “occurrence” under a commercial general liability (CGL) policy.
In Owners Ins. Co. v. Tibke Construction, Inc., the homeowners hired Tibke Construction, Inc. to build a new house, and Tibke Construction hired subcontractor Jerry’s Excavating to perform excavation work. The homeowners contended that Jerry’s Excavating failed to do soil compaction testing before commencing construction, which resulted in the home being built on highly expansive soils, leading to damage including excessive settlement, cracking and structural unsoundness.
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Samantha Martino, Saxe Doernberger & Vita, P.C.Ms. Martino may be contacted at
smm@sdvlaw.com
Construction Group Seeks Defense Coverage for Hard Rock Stadium Claims
December 09, 2019 —
Sergio F. Oehninger & Daniel Hentschel - Hunton Insurance Recovery BlogIn an insurance coverage action pending in the S.D.N.Y., Hunt Construction Group (Hunt) contends that Berkley Assurance Company wrongfully denied defense coverage for claims arising out of the renovation of Hard Rock Stadium (home to the Miami Dolphins and Miami Hurricanes football teams).
The stadium owner, South Florida Stadium LLC (SFS), hired Hunt to serve as the construction manager for the renovation project. Hunt subcontracted with Alberici Constructors Inc. (Alberici) to design and fabricate roof structures for the stadium.
Hunt and SFS sued Alberici over its work on the project. In March 2017, Alberici asserted counterclaims against Hunt and SFS. In May 2018, SFS sought defense and indemnification from Hunt with respect to Alberici’s coverage claims.
Hunt is insured under claims made and reported professional liability insurance policies issued by Berkley with policy periods from June 15, 2016 to June 15, 2017 (with an automatic extended reporting period through August 14, 2017) and from July 15, 2017 to June 15, 2018. Hunt notified Berkley of Alberici’s counterclaim on July 20, 2017 (within the extended reporting period of the 2016-2017 policy) and of SFS’s indemnity claim on June 5, 2018 (within the 2017-2018 policy period).
Reprinted courtesy of
Sergio F. Oehninger, Hunton Andrews Kurth and
Daniel Hentschel, Hunton Andrews Kurth
Mr. Oehninger may be contacted at soehninger@HuntonAK.com
Mr. Hentschel may be contacted at dhentschel@HuntonAK.com
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Defenses Raised Three-Years Too Late Estop Insurer’s Coverage Denial
February 21, 2022 —
Michael S. Levine & Yaniel Abreu - Hunton Insurance Recovery BlogLiability insurance typically affords broad defense coverage. But insurers sometimes reserve their right to challenge the insured’s right to a defense, or even outright terminate the defense. When this occurs after the insurer has been in exclusive control of the defense, some courts recognize that the consequences can be catastrophic for the insured defendant. Insurers, therefore, may be estopped from denying coverage where doing so will prejudice the insured. This is exactly what transpired in RLI Ins. Co. v. AST Engineering Corp., No. 20-214 (2d Cir. Jan. 12, 2022), where the Second Circuit affirmed the district court’s decision that an insurer’s attempt to withdraw the defense it had provided to its insured for three years would prejudice the insured.
In AST Engineering, RLI sought a declaration that it did not have to defend the insured, AST, in two underlying cases in which AST was sued as a third-party defendant. The underlying cases concerned a construction project in New York City for which AST provided engineering drawings on October 28, 2012.
Reprinted courtesy of
Michael S. Levine, Hunton Andrews Kurth and
Yaniel Abreu, Hunton Andrews Kurth
Mr. Levine may be contacted at mlevine@HuntonAK.com
Mr. Abreu may be contacted at yabreu@HuntonAK.com
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Floors Collapse at Russian University in St. Petersburg
February 27, 2019 —
The Associated Press - BloombergSt. Petersburg, Russia (AP) -- Part of the roof and several floors of university building in Russia's second-largest city collapsed Saturday, but officials say there were no casualties.
The Emergencies Ministry said the collapse at the Saint Petersburg National Research University of Information Technologies, Mechanics and Optics took place as construction work was underway. An investigation into criminal violation of construction safety has been opened.
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The Associated Press, Bloomberg
Construction News Roundup
September 19, 2022 —
Christopher G. Hill - Construction Law MusingsMuch happened in the last week or so in Virginia construction, both legally and otherwise. I thought a quick roundup was in order.
On the green front we has a great article in ENR relating to the liability risk of green building and the great interest in the
AGCVA Green Building Breakfast.
Also, the Virginia courts decided several interesting cases:
The first is Travelers Property Cas. Co. of America a/s/o Covenant Woods v. Premier Project Mgmt. Group LLC v. Haskell Co. a case that reminds everyone that waivers of third party rights under the contract will be enforced in Virginia.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Appraisal Can Go Forward Prior to Resolution of Coverage Dispute
April 08, 2024 —
Tred R. Eyerly - Insurance Law HawaiiThe Florida Supreme Court found that a trial court could compel an appraisal of the insured's loss prior to resolving coverage issues. Am. Coastal Ins. Co. v. San Marco Villas Condo. Ass'n, Inc., 2024 Fla. LEXIS 185 (Fla. Feb. 1, 2024).
Hurricane Irma damaged San Marco Condominium Association's buildings. American Coastal paid $192,629.75 for the loss. San Marco estimated the damage to be in excess of eight million dollars. San Marco demanded an appraisal under the policy. American Coastal refused to submit to appraisal because it was premature as its investigation was still ongoing.
San Marco sued American Coastal and asked the court to compel appraisal. American Coastal argued that San Marco had committed fraud or had made material misrepresentations regarding its claim. The trial court heard San Marco's appraisal motion and entered an order compelling appraisal. American Coastal appealed, bu the Second District Court affirmed.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Manhattan Home Prices Jump to a Record as Buyers Compete
April 02, 2014 —
Oshrat Carmiel – BloombergManhattan apartment sales surged in the busiest start to a year since 2007, setting price records as buyers vied for a limited supply of homes for sale and deals were completed at new high-end developments.
Sales of co-ops and condominiums in the first quarter jumped 35 percent from a year earlier to 3,307, according to a report today from appraiser Miller Samuel Inc. and brokerage Douglas Elliman Real Estate. The median price climbed 19 percent to $972,428, while the the average price per square foot rose 24 percent to $1,363, the highest in 25 years of record-keeping.
Price gains are accelerating in a market where the inventory of homes for sale plummeted to record lows three times in the past year as buyer demand increased. Of the deals completed in the first quarter, 38 percent were at or above the asking price, up from 17 percent a year earlier, according to Jonathan Miller, president of New York-based Miller Samuel.
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Oshrat Carmiel, BloombergMs. Carmiel may be contacted at
ocarmiel1@bloomberg.net
Traub Lieberman Attorneys Burks Smith and Katie Keller Win Daubert Motion Excluding Plaintiff’s Expert’s Testimony in the Middle District of Florida
September 20, 2021 —
Burks A. Smith, III & Kathryn Keller - Traub LiebermanTraub Lieberman Partner, Burks Smith, and Associate, Katie Keller, represented a national property insurer in a breach of contract action brought by a homeowner in the Middle District of Florida for substantial property damage alleged to have been caused by hail and wind. Throughout the course of litigation, the homeowner disclosed his expert, which is the same individual that prepared the homeowner’s estimate of damages and causation report. The expert’s credentials list that he is a general contractor, independent adjuster, and inspector. Mr. Smith and Ms. Keller moved under Daubert v. Merrell Dow Pharm., Inc., 509 U.S. 579 (1993) and Federal Rule of Evidence 702 to exclude testimony and introduction of any evidence prepared by the homeowner’s expert. Mr. Smith and Ms. Keller argued that the homeowner’s expert was not qualified to render expert testimony in this case, as he did not have the requisite qualifications to render an expert opinion, the methodology utilized by the expert to form his opinion was not sufficiently reliable, and his anticipated testimony was not helpful in the case, as it is imprecise and unspecific. Therefore, the expert’s opinions did not meet the standards for admission of expert testimony as set forth in Daubert v. Merrell Dow Pharm., Inc., 509 U.S. 579 (1993), and should not be admitted as expert testimony at trial.
Reprinted courtesy of
Burks A. Smith, III, Traub Lieberman and
Kathryn Keller, Traub Lieberman
Mr. Smith may be contacted at bsmith@tlsslaw.com
Ms. Keller may be contacted at kkeller@tlsslaw.com
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