No Coverage for Alleged Misrepresentation Claim
January 23, 2023 —
Tred R. Eyerly - Insurance Law HawaiiThe court found there was no coverage for a misrepresentation claim against the insured sellers of a residence. Am. Family Mut. Ins. Co. v. Coyne, 2022 U.S. Dist. LEXIS 186417 (E.D. Mo. Oct. 12, 2022).
Aaron and Tobi Beckman purchased a home from Denise Coyne. The Bockmans alleged in the underlying suit that Coyne represented that the property had a "2-car garage." A disclosure statement signed by Coyne stated she had disclosed all conditions which might lower the value of the property or adversely affect the Bockman's decision to buy the property. After purchasing the property, the Bockmans learned that they could not fit their two vehicles in the attached garage. The Bockmans alleged that substantial remediation was necessary to expand the depth of the garage to fit two cars within it.
The underlying suit alleged that Coyne had was engaged in fraud, misrepresentation and concealment by omitting material facts in connection with the sale of the home. Coyne allegedly engaged in negligent misrepresentation by failing to inform the Bockmans of the depth of the attached garage.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Bankrupt Canada Contractor Execs Ordered to Repay $26 Million
April 25, 2022 —
Scott Van Voorhis - Engineering News-RecordJohn Aquino, the former president of a major and now bankrupt Ontario construction contractor, plans to appeal a provincial court ruling that puts him and his associates on the hook for $26.2 million drained from the company, according to his attorney.
Reprinted courtesy of
Scott Van Voorhis, Engineering News-Record
ENR may be contacted at enr@enr.com
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Homeowner's Claim for Collapse Survives Summary Judgment
September 20, 2017 —
Tred R. Eyerly - Insurance Law HawaiiThe insurer failed to present adequate evidence on summary judgment that damage caused by the collapse of a swimming pool was not covered. Klein v. State Farm Ins. Co., 2017 N.Y. Misc. LEXIS 3030 (Sup. Ct. N.Y. July 11, 2017).
Klein notified State Farm that his in-ground pool collapsed on February 5, 2014, with a side wall falling into the pool, causing damage to brick, borders and the patio around the pool. Upon inspection, State Farm's agent found that the cover of the pool had partially fallen into the pool, and that the vinyl pool liner had a tear. State Farm covered the damage to the pool liner, but denied coverage for the in-ground swimming pool walls, the brick border and the patio surrounding the pool. State Farm maintained that the loss was due to a "collapse," which was excluded under the homeowner's policy.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Flood Sublimit Applies, Seawater Corrosion to Amtrak's Equipment Not Ensuing Loss
November 10, 2016 —
Tred R. Eyerly – Insurance Law HawaiiThe insurers were granted summary judgment on three issues regarding Amtrak's claim for damages caused by Hurricane Sandy. Amtrak v. Aspen Sec. Ins. Co., 2016 U.S. App. LEXIS 16074 (2nd Cir. Aug. 31, 2016).
Hurricane Sandy caused flooding which damaged two of Amtrak's tunnels under the East and Hudson Rivers. Seawater from the flooding caused extensive damage to equipment in the tunnels. The district court granted summary judgment to the insurers on the following issues: (1) the damage caused by an inundation of water in the tunnels was subject to the policies' $125 million flood sublimit; and (2) the corrosion of equipment after Amtrak pumped out the seawater was not an "ensuing loss" and therefore was also subject to the flood sublimit.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Henderson Engineers Tests AI for Building Systems Design with Torch.AI
September 26, 2022 —
Aarni Heiskanen - AEC BusinessTorch.AI is testing a new artificial intelligence application with Henderson Engineers, a national building systems design firm, to unlock the creative and problem solving potential of the firm’s more than 1,000 employees.
Henderson Engineers is a building systems design and engineering firm that works on projects across the business, community, health, retail, and venue sectors. Their projects include many high-profile projects, such as SoFi Stadium, host site for the 2022 Super Bowl. They know how the industry relies on highly complex information contained in equally complex unstructured data: drawings, images, PDFs, handwriting, raw text.
Earlier this year, Henderson began testing new artificial intelligence from
Torch.AI that could learn to read complex construction and engineering documents and diagrams.
“When Kevin Lewis, Henderson’s CEO, and I got together to first discuss the partnership, I could tell they were already thinking way ahead of everyone else,” says Brian Weaver, Chairman and CEO of Torch.AI. “As an engineering firm they are meticulous, thoughtful, strategic. We quickly saw the potential impact these new AI systems could have for their amazingly talented teams and are excited to continue growing our relationship.”
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
As Recovery Continues, Home Improvement Stores Make Sales
August 27, 2013 —
CDJ STAFFNeed another sign of the housing recovery? Lowe’s stock price is up. Bloomberg News reports that the home-improvement retailer rose by 88 cents a share in the last quarter. Analysts had predicted gains of 79 cents a share, and the same quarter last year saw profits of 64 cents a share. The increase in profits come from more purchases and higher spending per purchase. While Lowe’s negotiated some better prices with vendors and dropped some items that weren’t selling, none of the profits came from staff reduction; the retailer actually increased staffing.
Home Depot, the largest such chain (Lowe’s is number 2), also saw profits that exceeded analysts’ projections. They, too, have decided to focus on assisting customers. Their increase in profits was attributed to greater spending by contractors and homeowners.
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CA Supreme Court Permits Insurers to Bring Direct Actions Seeking Reimbursement of Excessive Fees Against Cumis Counsel Under Limited Circumstances
August 19, 2015 —
David W. Evans & Valerie A. Moore – Haight Brown & Bonesteel LLPThe California Supreme Court held in Hartford Casualty Insurance Company v. J.R. Marketing, L.L.C. (Squire Sanders) (8/10/2015 - #S211645) that if Cumis counsel, operating under a court order which such counsel drafted and which expressly provided that the insurer would be able to recover excessive fees, sought and received fee payments from the insurer that were fraudulent or otherwise manifestly and objectively useless and wasteful when incurred, Cumis counsel have been unjustly enriched at the insurer’s expense and the insurer will be permitted under such limited circumstances to seek reimbursement directly from Cumis counsel.
Certain Hartford insureds who had been issued commercial general liability policies were sued in multiple proceedings for a variety of claims, including unfair competition, defamation and intentional misrepresentation. Hartford disclaimed a duty to defend or to indemnify the defendants on the grounds that the acts complained of occurred prior to Hartford’s policy, and that some of the defendants were not Hartford insureds. A coverage action was filed by some of the insureds against Hartford; they were represented by the Squire Sanders law firm. Although Hartford subsequently agreed to defend several of the defendants subject to a reservation of rights, it declined to pay defense expenses incurred prior to the date of such agreement. Some months later, the trial court entered a summary adjudication order, finding that Hartford had a duty to have defended the liability action on the date it was originally tendered; the order required Hartford to fund the insured’s defense with independent counsel (i.e., so-called “Cumis” counsel; see San Diego Federal Credit Union v. Cumis Insurance Society, Inc. (1984) 162 Cal.App.3d 358). The insureds retained Squire Sanders as their Cumis counsel.
Reprinted courtesy of
David W. Evans, Haight Brown & Bonesteel LLP and
Valerie A. Moore, Haight Brown & Bonesteel LLP
Mr. Evans may be contacted at devans@hbblaw.com
Ms. Moore may be contacted at vmoore@hbblaw.com
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OSHA Issues Guidance on Mitigating, Preventing Spread of COVID-19 in the Workplace
February 22, 2021 —
Amy R. Patton & Blake A. Dillion - Payne & FearsOn January 29, 2021, the Occupational Safety and Health Administration (“OSHA”) issued new employer guidance on mitigating and preventing the spread of COVID-19 in the workplace. This guidance is intended to help employers and workers outside the healthcare setting to identify risks of being exposed to and of contracting COVID-19 and to determine any appropriate control measures to implement. While this guidance is largely duplicative of prior OSHA and Centers for Disease Control and Prevention (“CDC”) guidance and recommendations, it contains a few new and updated recommendations that employers should note:
Face Coverings
OSHA recognizes that face coverings, either cloth face coverings or surgical masks, are simple barriers that help prevent the spread of COVID-19, and are beneficial for the wearer as well as others. OSHA recommends that employers should provide all workers with face coverings, unless their work task requires a respirator. These face coverings should be provided at no cost and should be made of at least two layers of tightly woven breathable fabric, and should not have exhalation valves or vents. Employers should also require any other individuals at the workplace (i.e., visitors, customers, non-employees) to wear a face covering unless they are under the age of 2 or are actively consuming food or beverages on site. Wearing a face covering does not eliminate the need for physical distancing of at least six feet apart.
Employers must discuss the possibility of “reasonable accommodations” for any workers who are unable to wear or have difficulty wearing certain types of face coverings due to a disability. In workplaces with employees who are deaf or have hearing deficits, employers should consider acquiring masks with clear coverings over the mouth.
Reprinted courtesy of
Amy R. Patton, Payne & Fears and
Blake A. Dillion, Payne & Fears
Ms. Patton may be contacted at arp@paynefears.com
Mr. Dillion may be contacted at bad@paynefears.com
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