Cambridge Massachusetts Building Expert Directory

Resulting Loss From Faulty Workmanship Covered

May 20, 2024 — Tred R. Eyerly - Insurance Law Hawaii
The Washington Supreme Court found there was coverage for resulting loss despite the original faulty contraction, an exclusion in the policy. Gardens Condominium v. Farmers Ins. Exchange, 544 P.3d 499 (Wash. 2024). Farmers issued a policy to Gardens Condominium providing coverage for loss or damage caused by a "Covered Cause of Loss." "Covered Cause of Loss" was defined as any risk of direct physical loss. However, a loss was not covered if it was caused by an excluded event. The policy further provided that damage was caused by an excluded event if that event "initiates a sequence of events that results in loss or damage, regardless of the nature of any intermediate or final event in that sequence." The policy excluded coverage for faulty, inadequate, or defective design, specifications, workmanship, repair, construction, or renovation. The faulty workmanship exclusion also contained a resulting loss exception: "[I]f loss or damage caused by a Covered Cause of Loss results, we will pay for that resulting loss or damage." Gardens found damage to the building that was caused by faulty design and construction of the building's roof. There was insufficient interior vents and the design of the rafters and joists prevented need ventilation Water vapor condensed on the underside of the roof sheathing, causing damage. Gardens redesigned and repaired the roof assembly to increase ventilation and eliminate condensation by installing sleepers on top of the joists. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Traub Lieberman Partner Bradley T. Guldalian Wins Summary Judgment in Pinellas County Circuit Court

November 29, 2021 — Bradley T. Guldalian - Traub Lieberman
On September 20, 2021, Traub Lieberman Partner Bradley T. Guldalian secured summary judgment in Pinellas County Circuit Court in St. Petersburg, Florida, on behalf of a Homeowner who invited an acquaintance to his house to assist him with hanging a gutter on his roof. While he was assisting the Homeowner installing the gutter, the Plaintiff fell from a ladder and sustained a comminuted left intertrochanteric (hip) fracture. The Plaintiff was taken to the hospital, where he underwent open reduction, internal fixation of his left hip fracture. He was hospitalized for five days and released in wheelchair. He incurred more than $70,000 in medical bills and was confined to a wheelchair for two months. The Plaintiff filed a negligence action against the Homeowner alleging he improperly set up the ladder causing it to become unstable, thereby creating a dangerous condition on the premises which proximately caused his fall. The Plaintiff claimed the Homeowner breached the duty he owed the Plaintiff to provide safe and stable equipment for his use. After engaging in discovery, Mr. Guldalian moved for summary judgment arguing that because the Plaintiff could not explain in his deposition why he fell from the ladder, the Plaintiff could not establish—as a matter of law—the Homeowner was negligent, did anything, or failed to do something, that proximately caused his injury. In support of his argument, Mr. Guldalian submitted the affidavit of an investigator who inspected the ladder after the Plaintiff’s fall and found no defect in, on, or about the ladder, and affirmed that the area where the ladder was set up had no raised or defective areas which could have caused the ladder to become unstable. Read the court decision
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Reprinted courtesy of Bradley T. Guldalian, Traub Lieberman
Mr. Guldalian may be contacted at bguldalian@tlsslaw.com

Columbus, Ohio’s Tallest Building to be Inspected for Construction Defects

July 16, 2014 — Beverley BevenFlorez-CDJ STAFF
Fox 28 news reported that “[t]he state of Ohio is going to spend more than $166,000 to inspect…the 40-year-old Rhodes Tower” in Columbus. "They're going to look at the exterior of the building - [at] sealants between the joints, the condition of the panels, the window systems, how they're draining, how they're operating, and how they're sealed," Ned Thiell, of Ohio Facilities Construction Commission, told ABC 6/FOX 28 news. A study completed last year declared there were “’deficiencies’ on the building’s stone covering” and there were “panels with severe fracture defects” that “will need to be replaced with new stone panels.” Read the court decision
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Reprinted courtesy of

2018 California Construction Law Update

January 10, 2018 — Garret Murai – California Construction Law Blog
The California State Legislature introduced 2,495 bills during the first year of the 2017-2018 Legislative Session. Of these, 859 were signed into law. While much political attention was focused on several California laws that could be viewed as California’s rebuke of Washington, including California’s legalization of marijuana, enactment of “sanctuary state” legislation, and bills focused on climate change, 2017 also saw the enactment of a package of bills intended to address the state’s housing affordability crises (for a great summary of these bills see Wendel Rosen’s Landuse Group’s recent article Slate of New Housing Bills Takes Effect January 1, 2018 ), as well as a range of other bills of interest to the construction industry including bills related construction financing, alternative project delivery methods, and solar construction. Each of the bills discussed below took effect on January 1, 2018, except as otherwise stated. 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

Golden Gate Bridge's $76 Million Suicide Nets Near Approval

June 30, 2014 — Alison Vekshin – Bloomberg
Officials of the agency that runs San Francisco’s Golden Gate Bridge today approved a $76 million funding plan to erect a suicide barrier along the span, where people plunge to their deaths at a rate of about once a week. The Golden Gate Bridge Highway and Transportation District’s 19-member board voted unanimously to approve the funding, which includes $20 million from district reserves. “We must fight mental illness on many fronts and this budget action is a critical component of saving the lives of people who might not see that their brightest days are ahead of them,” Senator Mark Leno, a Democrat from San Francisco, said in a news release yesterday ahead of the meeting. Read the court decision
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Reprinted courtesy of Alison Vekshin, Bloomberg
Ms. Vekshin may be contacted at avekshin@bloomberg.net

Biden’s Solar Plans Run Into a Chinese Wall

May 23, 2022 — Liam Denning - Bloomberg
A new and unexpected obstacle to President Joe Biden’s green ambitions has emerged: a tiny solar-power company based in San Jose. Auxin Solar Inc., which accounts for all of 2% of U.S. solar-module manufacturing, recently persuaded the Commerce Department to open a potentially devastating trade inquiry. After the U.S. imposed anti-dumping measures against Chinese solar-cell and module manufacturers just over a decade ago, alternative suppliers sprang up in South Korea and Southeast Asia. Auxin now contends that those other Asian suppliers are effectively used by Chinese companies to circumvent the anti-dumping measures. If Commerce ultimately agrees, then more than four-fifths of solar-module imports to the U.S. and half of all cells could suddenly be subject to steep tariffs, perhaps levied retroactively. The Solar Energy Industries Association warns of dire consequences for U.S. solar-power development — critical to Biden’s decarbonization targets — claiming that some suppliers are already backing away because of the risk. Heavyweight NextEra Energy Inc. warns that the investigation may delay 2.8 gigawatts of projects slated for this year. Timothy Fox of ClearView Energy Partners, a Washington-based analysis firm, says Commerce’s “structural” inclination toward protectionism may lead it to concur with Auxin. Read the court decision
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Reprinted courtesy of Liam Denning, Bloomberg

California Clarifies Its Inverse Condemnation Standard

December 30, 2019 — Gus Sara - The Subrogation Strategist
In City of Oroville v. Superior Court, 446 P.3d 304 (Cal. 2019), the Supreme Court of California considered whether the City of Oroville (City) was liable to a dental practice for inverse condemnation damages associated with a sewer backup. The court held that in order to establish inverse condemnation against a public entity, a property owner must show that an inherent risk in the public improvement was a substantial cause of the damage. Since the dental practice did not have a code-required backwater valve — which would have prevented or minimized this loss — the court found that the city was not liable because the sewage system was not a substantial cause of the loss. This case establishes that a claim for inverse condemnation requires a showing of a substantial causal connection between the public improvement and the property damage. It also suggests that comparative negligence can be a defense to inverse condemnation claims. In December 2009, a dental practice, WGS Dental Complex (WGS), located in the City, incurred significant water damage as a result of untreated sewage from the City’s sewer main backing up into WGS’ building. WGS submitted a claim to its insurance carrier, The Dentists Insurance Company (TDIC) and, in addition, sued the City for its uninsured losses, alleging inverse condemnation and nuisance. TDIC joined the litigation, alleging negligence, nuisance, trespass and inverse condemnation. Under California law, when a government entity fails to recognize that an action or circumstance essentially amounts to a taking for public use, a property owner can pursue an inverse condemnation action for compensation. The City filed a cross-complaint against WGS for failing to install a code-required backwater valve on their lateral sewer line, which would have prevented or minimized the backup. The City filed a motion for summary judgment, which the trial court denied. WGS then sought a judicial determination on the issue of inverse condemnation. The City presented evidence that the sewage system was designed in accordance with industry standards, and that WGS failed to comply with the City’s plumbing code by failing to install a backwater valve on its private sewer lateral. The trial court found the City liable for inverse condemnation because the blockage that caused the backup originated in the City’s sewer line. The court held that the blockage was an inherent risk of sewer operation. The Court of Appeals affirmed the decision, holding that the City would have had to prove that the WGS’s lack of a backwater valve was the sole cause of the loss in order to absolve itself of liability. Read the court decision
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Reprinted courtesy of Gus Sara, White and Williams
Mr. Sara may be contacted at sarag@whiteandwilliams.com

Real Estate & Construction News Round-Up 04/13/22

April 25, 2022 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
Phishing schemes target the mortgage industry, housing prices rise in Europe as Ukrainian refugees flee from their home country, the SEC announces new climate change regulations that will impact commercial real estate, and more.

The Federal Reserve aims to rein in one of the biggest drivers of runaway inflation: the U.S. housing market. (Lance Lambert, Fortune)
Late last month, the SEC announced that publicly traded organizations would soon need to disclose their climate change risks and exposure, causing a shake up in the real estate industry. (Hiten Samtani, The Real Deal)
As the purpose of in-person office work continues to be questioned, the return to office debate causes challenges for occupier services, a backbone of commercial real estate. (Patrick Sisson, Bisnow)

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

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