No Duty To Defend Additional Insured When Bodily Injury Not Caused by Insured
July 26, 2017 —
Tred R. Eyerly - Insurance Law HawaiiThe court found there was no duty to defend a suit for bodily injury against the additional insured where the injury was not caused by the insured. Consigli Constr. Co. v. Travelers Indem. Co., 2017 U.S. Dist. LEXIS 95339 (D. Mass. June 21, 2017).
Consigli was the general contractor for a renovation project at a high school. Among the subcontractors was American Environmental, Inc., who was responsible for demolishing concrete floors within the existing structures, and Costa Brothers, who did the masonry work. Wellington M. Ely was an employee of Costa Brothers and worked as a mason on the project.
Costa Brothers had a CGL policy with Travelers. As a subcontractor, Costa Brothers agreed to name Consigli as an additional insured on its policy.
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Tred R. Eyerly - Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Indiana Court of Appeals Rules Against Contractor and Performance Bond Surety on Contractor's Differing Site Conditions Claim
April 03, 2013 —
Brian M. Falcon - Frost Brown Todd LLCEarlier this year, the Indiana Court of Appeals issued an important opinion that impacts contractors and sureties alike. The decision should give contractors in Indiana pause before ceasing work while a dispute with the owner is pending. Sureties also have been placed on notice that strict compliance with the terms of their bonds is amongst their best defenses to claims made by owners and bond claimants.
In Dave's Excavating, Inc. and Liberty Mutual Insurance Co. v. City of New Castle, Indiana, 959 N.E.2d 369 (Ind. Ct. App. 2012), the contractor (“Dave’s”) was the successful bidder on a public sanitary sewer and water main extension project. Dave's procured a performance bond from Liberty Mutual to guarantee its performance obligations to the owner (the "City"). After encountering what it deemed different subsurface conditions—and indeed after having been previously granted a change order to use excavated materials as backfill in light of the subsurface conditions on site—Dave’s placed the project engineer on notice of a differing site conditions claim. The total claim amounted to an 84% increase in the total contract price. With the claim, Dave's advised the project engineer it was ceasing further work until the project engineer provided direction.
While the project engineer reviewed the claim, it reminded Dave's of its contractual obligation to "carry on the work and adhere to the progress schedule during all disputes or disagreements with the OWNER." A dispute immediately occurred regarding whether Dave's was required to continue to work while the project engineer resolved the differing site condition claim. After Dave's maintained its position that it was not required to continue to work, the project engineer placed it on notice of default and copied the letter to Liberty Mutual.
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Brian M. FalconBrian M. Falcon can be contacted at http://www.frostbrowntodd.com/contact.html
Boston Tower Project to Create 450 Jobs
November 18, 2011 —
CDJ STAFFContinuing the development of Boston’s Theater District, Millennium Partners broke ground for the building of Hayward Place, a 15-story residential tower with street-level shops. The project is expected to take two years to complete and will employ about 450 construction workers.
Thomas Menino, the mayor of Boston said that the “ground breaking of Hayward Place is another sign of economic growth and forward progress on the revitalization of this area.” The project will be built by Suffolk Construction. John Fish, their CEO, said they were “fortunate as a contractor to be the beneficiary of this.”
The report in the Boston Herald notes that a few blocks away, the site of the former Filenes department store is still “an empty eyesore.” Menino joked, “anyone want to bid for it?” He promised that site would also be developed.
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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 BlogA 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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Pillsbury's Construction & Real Estate Law Team
How Pennsylvania’s Supreme Court Decision Affects Coverage of Faulty Workmanship Claims
March 31, 2014 —
Beverley BevenFlorez-CDJ STAFFDarin J. McMullen of the firm Anderson Kill explained how a recent opinion by the Pennsylvania Supreme Court allows “Pennsylvania policyholders” to “more confidently challenge insurance companies’ denials of faulty workmanship claims.”
The decision in Indalex Inc. v. National Union Fire Ins. Co. of Pittsburgh, PA, 2013 Pa. Super 311 (Dec. 3, 2013) “reverses a nearly decade-long trend of Pennsylvania decisions narrowing the scope of insurance coverage for construction and defect-related claims under commercial general liability insurance policies,” according to McMullen. “Equally important, the Indalex ruling dealt a blow to the insurance industry’s continual efforts to win overbroad expansion of the rulings in Kvaerner Metals Div. of Kvaerner U.S., Inc. v. Commercial Union Ins. Co., Millers Capital Ins. Co. v. Gambone Bros. Dev. Co., and Erie Ins. Exchange v. Abbott Furnace Co., which found that claims of faulty workmanship in some circumstances may not constitute coverage-triggering ‘occurrences.’”
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The Families First Coronavirus Response Act: What Every Employer Should Know
April 06, 2020 —
Donald A. Velez, Karissa L. Fox & Sarah K. Carpenter - Smith CurrieSmith Currie provides this update regarding the Families First Coronavirus Response Act as part of its continuing effort to monitor developments concerning the Coronavirus disease (“COVID-19”) and provide guidance as to potential issues that may arise in businesses across the United States.
On March 18, 2020, President Trump signed into law the Families First Coronavirus Response Act (the “Act”), which contains provisions requiring certain private employers to provide paid leave to employees who cannot work because of Coronavirus, expanding Family and Medical Leave Act coverage, providing for federal tax credits to affected employers, and providing eligible states the ability to further fund their unemployment trust fund accounts. The Act is effective as of April 2, 2020 and will remain in place through December 31, 2020.
Below, we provide a summary of the Act and several of its key components, including the Emergency Family and Medical Leave Expansion Act (“EFMLEA”), the Emergency Paid Sick Leave Act, and the Emergency Unemployment Insurance Stabilization and Access Act.
Reprinted courtesy of Smith Currie attorneys
Donald A. Velez,
Karissa L. Fox and
Sarah K. Carpenter
Mr. Velez may be contacted at davelez@smithcurrie.com
Ms. Fox may be contacted at klfox@smithcurrie.com
Ms. Carpenter may be contacted at skcarpenter@smithcurrie.com
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Real Estate & Construction News Round-Up 04/13/22
April 25, 2022 —
Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law BlogPhishing 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.
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Pillsbury's Construction & Real Estate Law Team
Maybe Supervising Qualifies as Labor After All
May 22, 2023 —
Christopher G. Hill - Construction Law MusingsRemember back in 2021 when I
“mused” about Dickson v. Fidelity and Deposit Company of Maryland et al.? Remember how the Eastern District of Virginia held that mere supervision does not qualify as “labor” under the federal
Miller Act? Well, the 4th Circuit recently weighed in on the appeal of that case and had some interesting things to say about the definition of labor.
As a quick reminder, Plaintiff worked as a project manager on a project to repair and upgrade certain stairs at the Pentagon. Plaintiff subcontracted with prime contractor Forney Enterprises Inc. on this project. On Dec. 20, 2018, the prime contract was terminated. Plaintiff filed the Miller Act suit on Feb. 5, 2020. Dickson alleged that Fidelity and Deposit Company of Maryland, or F&D, must pay him, pursuant to the Miller Act, the amount he is owed for the labor he performed on the project. Now before the district court were cross-motions for summary judgment. In evaluating Plaintiff’s claims, the district court examined the defendant’s claims that (1) Dickson’s work did not qualify as “Labor” under the Miller Act, and (2) that the suit was not timely filed. The Eastern District of Virginia court agreed with both arguments.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com