Columbus Ohio Building Expert Directory

Spain Risks €10.6 Billion Flood Damage Bill, Sanchez Says

November 25, 2024 — Rodrigo Orihuela, Macarena Munoz Montijano & Jorge Zuloaga - Bloomberg
Spanish Prime Minister Pedro Sanchez announced the first financial package for victims of the storms that killed more than 200 people in the country’s eastern region of Valencia. Spain will earmark as much as €10.6 billion ($11.5 billion) for its first relief package and more will be announced in the future, Sanchez said in a press conference Tuesday in Madrid. The package includes direct aid for households, self-employed workers and firms; state-backed credit guarantees for companies and residents; and funds for city governments to pay for repairs and reconstruction. Reprinted courtesy of Rodrigo Orihuela, Bloomberg, Macarena Munoz Montijano, Bloomberg and Jorge Zuloaga, Bloomberg Read the court decision
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Narrow Promissory Estoppel Exception to Create Insurance Coverage

August 07, 2022 — David Adelstein - Florida Construction Legal Updates
There is an affirmative claim known as promissory estoppel. (Whereas equitable estoppel is used an affirmative defense, promissory estoppel is used as an affirmative claim.) To prove promissory estoppel, a plaintiff must plead and prove the following three elements: “(1) a representation as to a material fact that is contrary to a later-asserted position; (2) a reasonable reliance on that representation; and (3) a change in position detrimental to the party claiming estoppel caused by the representation and reliance thereon.” Romo v. Amedex Ins. Co., 930 So.2d 643, 650 (Fla. 3d DCA 2006) (citation and quotation omitted). Stated differently: “A party will be estopped from denying liability under the principle of promissory estoppel when the party makes ‘[a] promise which the promisor should reasonably expect to induce action or forbearance of a definite and substantial character on the part of the promisee and which does induce such action or forbearance…[and] injustice can be avoided only by enforcement of the promise.’” Criterion Leasing Group v. Gulf Coast Plastering & Drywall, 582 So.2d 799, 800 (Fla. 1st DCA 1991). Read the court decision
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Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

Alabama Still “An Outlier” on Construction Defects

October 14, 2013 — CDJ STAFF
While many state Supreme Courts have determined that faulty construction work can be an occurrence under a standard commercial liability policy, the Alabama Supreme Court has taken the contrary view. Writing on the Kilpatrick Townsend blog, Carl A. Salisbury and Edmund M. Kneisel point out that the decision makes Alabama “an outlier,” and they ask, “how much longer will the outliers hold out?” They note that in the underlying construction defect case, “the arbitrator awarded $3 million in compensatory damages to the homeowners because of improperly installed flashing; improperly installed brick; the lack of weep holes in the brick; improperly installed doors and windows; improper construction of the upper porches; faulty construction of the roof; improper installation of a bathtub.” They summarize: “the house must have leaked like a colander.” When the insurer denied coverage, the contractor sued. The insurer argued that “the CGL policy form does not cover construction-related acts or omissions because such acts are not an insured ‘occurrence.’” Mr. Salisbury and Mr. Kneisel point out that “the Alabama Supreme Court agreed.” The problem they see is that “if there is no insurance for any intentional act, then insurance is simply a rip-off — it covers nothing.” They quote Justice Benjamin Cardozo to this effect: “To restrict insurance to cases where liability is incurred without fault of the insured would reduce indemnity to a shadow.” Their argument is that the Alabama decision was not the “correct position,” as exemplified by recent decisions from West Virginia, North Dakota, Connecticut and Georgia. The case “was a prime opportunity for the Alabama Supreme Court to leave the ranks of the outliers and join the majority view.” Read the court decision
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Is it the End of the Story for Redevelopment in California?

October 02, 2015 — Garret Murai – California Construction Law Blog
Long, long ago (in 2012 to be exact) in a land not so far away (also known as California), legislation which allowed local governments to establish redevelopment agencies tasked with eliminating blight through the development, reconstruction and rehabilitation of residential, commercial, industrial and retail districts were abolished. Note: For a relatively concise history of redevelopment in California see the U.S. Department of Housing and Urban Development’s working paper Redevelopment Agencies in California: History, Benefits, Excesses, and Closure (January 2014). A quite war has been waged ever since. Cities, community development commissions, successor agencies to redevelopment agencies, nonprofit housing corporations and individual taxpayers have fought the legislation (AB 1X 26 (Blumenfield 2011)) which eliminated California’s 425 redevelopment agencies, principally, on constitutional grounds. Read the court decision
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Reprinted courtesy of Garret Murai, Wendel Rosen Black & Dean LLP
Mr. Murai may be contacted at gmurai@wendel.com

Traub Lieberman Partner Kathryn Keller and Associate Steven Hollis Secure Final Summary Judgment in Favor of Homeowner’s Insurance Company

April 02, 2024 — Kathryn Keller & Steven A. Hollis - Traub Lieberman
Traub Lieberman Partner Kathryn Keller and Associate Steven Hollis obtained summary judgment on behalf of a major homeowners’ insurer in a breach of contract action in the Ninth Judicial Circuit in and for Osceola County, Florida. The underlying claim involved a water loss in a bathroom of the Plaintiff’s property allegedly resulting in substantial damage to the home. The claim had been reported by Plaintiff’s counsel. The Plaintiff had retained counsel and two vendors before giving notice to the insurer. In addition, the insurer’s field adjuster was not provided the opportunity to inspect the plumbing parts that had been allegedly damaged. Specifically, the drainage system had been completely removed and replaced. The insurer retained an engineer, who concluded that the removal of the original plumbing components hindered the ability of the engineer to determine their conditions prior to removal. Meanwhile, the surface conditions of the white PVC pipe appeared bright and shiny as compared to other piping. The insured had also failed to provide a signed, sworn proof of loss within sixty days after the loss. Reprinted courtesy of Kathryn Keller, Traub Lieberman and Steven A. Hollis, Traub Lieberman Ms. Keller may be contacted at kkeller@tlsslaw.com Mr. Hollis may be contacted at shollis@tlsslaw.com Read the court decision
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Tenants Underwater: Indiana Court of Appeals Upholds Privity Requirement for Property Damage Claims Against Contractors

April 25, 2022 — Melissa Kenney - The Subrogation Strategist
In United States Automatic Sprinkler Corp. v. Erie Ins. Exch., et al., No. 21A-CT-580, 2022 Ind. App. LEXIS 87 (Automatic Sprinkler), the Court of Appeals of Indiana (Court of Appeals) considered whether there is a privity requirement for property damage claims against contractors. The court imposed a privity requirement. The court also addressed whether a subrogation waiver in a contract with a tenant applied to damage caused by work done outside the contract, at the landlord’s request. The court held that the waiver did not apply. In this case, United States Automatic Sprinkler (Automatic Sprinkler) contracted with a tenant (Contract Tenant) to inspect and test a sprinkler system at a commercial building in Indiana. The contract included a waiver of subrogation provision. The building landlord subsequently hired Automatic Sprinkler to repair a leak in the sprinkler system. After completing the repairs, the system failed and flooded the building, causing significant property damage to several tenancies. Read the court decision
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Reprinted courtesy of Melissa Kenney, White and Williams LLP
Ms. Kenney may be contacted at kenneyme@whiteandwilliams.com

The Ups and Downs of Elevator Maintenance Contractor's Policy Limits

October 03, 2022 — Richard W. Brown & Sarah J. Markham - Saxe Doernberger & Vita, P.C.
The December 2021 First Department decision in Nouveau Elevator Indus. v. New York Marine & General Ins. Co. is pushing some buttons in the elevator industry, given the significant implications it may have on the adequacy of policy limits for elevator service companies operating in New York state. The Court held in Nouveau that monthly elevator maintenance work performed under an ongoing service agreement is considered “completed operations” for purposes of applying policy limits. Specifically, the Court found that the per location policy limits are not implicated here, and instead held that the products-completed operations aggregate limit applies to completed work, which expressly includes “that part of the work done at a job site [that] has been put to its intended use.” Facts of the Case Nouveau provides elevator maintenance and service in the greater New York city region. Its work is done in multiple buildings and locations throughout the city. Nouveau purchased six commercial general liability (CGL) policies from New York Marine for consecutive one-year periods. Each of the CGL policies provides a liability limit of $1 million, with an aggregate limit of $2 million, per accident or occurrence. Reprinted courtesy of Richard W. Brown, Saxe Doernberger & Vita, P.C. and Sarah J. Markham, Saxe Doernberger & Vita, P.C. Mr. Brown may be contacted at RBrown@sdvlaw.com Ms. Markham may be contacted at SMarkham@sdvlaw.com Read the court decision
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OSHA/VOSH Roundup

August 19, 2015 — Christopher G. Hill – Construction Law Musings
In an unusual flurry of occupational safety related activity, the Virginia courts decided two cases in the last week relating to either the review of occupational safety regulations themselves or their enforcement. In Nat’l College of Business & Technology Inc. v. Davenport (.pdf), the Virginia Court of Appeals considered what constitutes a “serious” violation of the exposure to asbestos Virginia Occupational Safety & Health (VOSH) regulations. The facts found by the Salem, Virginia Circuit Court were that employees of the petitioner college were exposed to asbestos insulation when they were required to enter a boiler room to retrieve paper files. However, no evidence was presented regarding the length of time or level of exposure at the Circuit Court level. Despite the lack of evidence regarding the level or extent of exposure, the Circuit Court upheld the VOSH citation for exposure and the level of violation at a “serious” level with the attendant penalty. The Virginia Court of Appeals disagreed with the second finding. The appellate court determined that the lack of evidence regarding the level of exposure (whether length or extent) made the serious level violation an error. The Court stated that merely presenting evidence that asbestos is a carcinogen is not enough given the number of carcinogenic materials in existence and then remanded the case back to Circuit Court to reconsider the penalty level. Read the court decision
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Reprinted courtesy of Christopher G. Hill, Law Office of Christopher G. Hill, PC
Mr. Hill may be contacted at chrisghill@constructionlawva.com

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