Fairfield Connecticut Building Expert Directory

Ensuing Losses From Faulty Workmanship Must be Covered

May 10, 2012 — Tred R. Eyerly - Insurance Law Hawaii

Coverage for damages resulting from faulty workmanship in the construction of an apartment complex was at issue in The Bartram, LLC v. Landmark Am. Ins. Co., 2012 U.S. Dist. LEXIS 44535 (N.D. Fla. March 30, 2012).

The owner of the apartments, Bartram, had primary coverage and three layers of excess coverage. Each contract excluded loss from faulty workmanship. The policies provided, however, "if loss or damage by a Covered Cause of Loss results, we will pay for that resulting loss or damage."

Bartram contended water intrusion occurred because of faulty workmanship, which caused damage to the buildings’ exterior and interior finishes, wood sheathing, framing, balcony systems, drywall ceilings and stucco walls. This damage was separate from the work needed to simply fix the faulty workmanship. Therefore, Bartram argued, the ensuing losses that resulted from the water intrusion was covered.

The insurer argued the ensuing loss exception was not applicable if the ensuing loss was directly related to the original excluded loss.

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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii. Mr. Eyerly can be contacted at te@hawaiilawyer.com

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Californians Swarm Few Listings Cuts to Affordable Homes

September 24, 2014 — John Gittelsohn and Nadja Brandt – Bloomberg
The 160 units at Santa Monica, California’s Belmar Apartments received 4,600 applications ahead of the project’s July opening, a measure of the competition for scarce affordable housing. The Related Cos. project, where two-bedroom units rent for $946 a month, is among the last built with financing from redevelopment agencies, the taxpayer-backed programs that Governor Jerry Brown eliminated three years ago to help balance California’s budget. Without that source of $1 billion a year, the state’s supply of funds for building low- and moderate-income housing is running dry as real estate prices surge. “The abolishment of the redevelopment agencies by Governor Brown is the single biggest problem” for affordable housing, said William Witte, president of Related’s California division, which also is seeking buyers for condominiums next to Belmar with an average price of $2.4 million. “Since there’s little to no help from the federal government, the loss of redevelopment funds is devastating.” Mr. Gittelsohn may be contacted at johngitt@bloomberg.net; Ms. Brandt may be contacted at nbrandt@bloomberg.net Read the court decision
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Reprinted courtesy of John Gittelsohn and Nadja Brandt, Bloomberg

Is Equipment Installed as Part of Building Renovations a “Product” or “Construction”?

April 10, 2019 — Joshua Lane - Ahlers Cressman & Sleight PLLC
A statute of repose terminates the right to file a claim after a specified time even if the injury has not yet occurred.[1] The construction statute of repose bars claims arising from construction, design, or engineering of any improvement upon real property that has not accrued within six years after substantial completion.[2] But what constitutes an “improvement upon real property” necessitating application of the six-year bar, and when does the bar NOT apply? The Washington Court of Appeals recently addressed these questions in Puente v. Resources Conservation Co., Int’l.[3] There, the personal representative of the estate of Javier Puente sued several parties after Mr. Puente, an employee of a manufacturer, suffered fatal boric acid burns in 2012 while performing maintenance on a pump system installed at the manufacturer’s facility in 2002. The estate alleged claims of negligence and liability under the Washington Product Liability Act (WPLA).[4] The trial court granted summary judgment to defendants, concluding that the installed pump system constituted a statutory “improvement upon real property” and the six-year statute of repose applied. The estate appealed. Read the court decision
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Reprinted courtesy of Joshua Lane, Ahlers Cressman & Sleight PLLC
Mr. Lane may be contacted at joshua.lane@acslawyers.com

Brazil's Detained Industry Captain Says No Plea Deals Coming

September 03, 2015 — Sabrina Valle & Yasmine Batista – Bloomberg
Marcelo Odebrecht, the most prominent executive who has been detained in Brazil’s largest corruption scandal, said he sees no reason to strike a plea bargain with authorities because he has nothing to reveal. Odebrecht said in a congressional hearing Tuesday that he probably discussed with President Dilma Rousseff and her predecessor Luiz Inacio Lula da Silva the relationship between Odebrecht SA and Petrobras, the state-controlled oil producer at the center of the kickback investigation. It was a natural topic given the economic importance of his construction and engineering empire, he said. He declined to answer questions related to the criminal case, saying it is ongoing and he is unaware of the full extent of the accusations. Reprinted courtesy of Sabrina Valle, Bloomberg and Yasmine Batista, Bloomberg Read the court decision
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Erasing Any Doubt: Arizona FED Actions Do Not Accrue Until Formal Demand for Possession is Tendered

July 13, 2017 — Bob Henry - Snell & Wilmer Real Estate Litigation Blog
Clearing up any lingering confusion, in Carrington Mortgage Services, LLC v. Woods, 767 Ariz. Adv. Rep. 4 (June 22, 2017), the Arizona Court of Appeals confirmed that residential forcible entry and detainer actions in Arizona accrue for statute of limitations purposes when a party entitled to possession makes a formal demand for return of possession not when the party could have made a demand for return of possession. In Carrington, the borrowers (the Woodses) remained in property that they had acquired in 2008 but then lost to foreclosure several years later. The original lender obtained title to the property at a trustee’s sale on February 16, 2010, but did not take any action to remove the Woodses at that time. Title to the property was then transferred through a series of transactions over the next six years. Ultimately, Carrington acquired the title and, in 2016, sent a formal “Notice to Vacate” the premises to the Woodses. After the Woodses failed to timely vacate pursuant to the demand, Carrington initiated an FED action to evict them from the property. Read the court decision
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Reprinted courtesy of Bob Henry, Snell & Wilmer
Mr. Henry may be contacted at bhenry@swlaw.com

Building and Landscape Standards Enacted in Response to the Governor's Mandatory Water Restrictions Dealing with the Drought and Possible Effects of El Niño

January 06, 2016 — Clayton T. Tanaka – Newmeyer & Dillion, LLP
Earlier this year, with California facing one of the most severe droughts on record, Governor Edmund G. Brown, Jr. issued Executive Order B-29-15 (the “Executive Order”) aimed at conserving water supplies and reducing water waste throughout the State of California. For the first time in California’s history, this Executive Order directed state agencies to implement immediate measures to save water, increase enforcement against water waste, invest in new technologies, and streamline government response to ongoing drought conditions. In response, various state agencies proposed emergency changes to existing building and landscape standards in the California Green Building Standards Code (California Code of Regulations, title 24, part 11) (“CALGreen”) and the Model Water Efficient Landscape Ordinance (California Code of Regulations, title 23, part 11) (“Model Ordinance”) pertaining to the use of potable water. In July, the California Building Standards Commission and the California Water Commission adopted the proposed changes after public review and comment. Read the court decision
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Reprinted courtesy of Clayton T. Tanaka, Newmeyer & Dillion, LLP
Mr. Tanaka may be contacted at clay.tanaka@ndlf.com

Sureties and Bond Producers May Be Liable For a Contractor’s False Claims Action Violation

October 26, 2017 — Michael C. Zisa & Susan Elliot – Peckar & Abramson, P.C.
Two recent decisions from the United States District Court for the District of Columbia and the United States Court of Federal Claims highlight that sureties and bond producers are not immune to the potentially severe consequences of the False Claims Act (“FCA”) and related federal fraud statutes. In each case, the Court determined that sureties and bond producers can face potential liability under these fraud statutes for direct and indirect submission of false claims to the federal government Reprinted courtesy of Michael C. Zisa, Peckar & Abramson, P.C. and Susan Elliott, Peckar & Abramson, P.C. Mr. Zisa may be contacted at mzisa@pecklaw.com Ms. Elliott may be contacted at selliott@pecklaw.com Read the court decision
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Real Estate & Construction News Round-Up 04/06/22

April 11, 2022 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
A growing proptech startup aims to pre-emptively identify needed home repairs, 3D-printed homes could become a workable solution to the housing shortage, and more.

Concerns about a housing-market crash are growing as the Fed begins to hike interest rates, leaving industry experts to speculate on what’s next for the U.S. housing bubble. (William Edwards, Insider)
Real-estate sales in Manhattan topped $7 billion in the first quarter of 2022, with the average price of apartments jumping 19% over the previous year. (Robert Frank, CNBC)
Proptech startup DwellWell claims to have produced the first “check engine light” that can pre-emptively diagnose needed home repairs. (T.P. Yeatts, The Real Deal)

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Reprinted courtesy of Pillsbury's Construction & Real Estate Law Team

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