Cambridge Massachusetts Building Expert Directory

Court of Appeal Shines Light on Collusive Settlement Agreements

October 21, 2015 — Kristian B. Moriarty & R. Bryan Martin – Haight Brown & Bonesteel LLP
In Diamond v. Reshko, (filed 8/20/2015, No. A139251) the California Court of Appeal, First District, held that a defendant was entitled to introduce evidence at trial reflecting amounts paid by co-defendants in settlement of a plaintiff’s claim. Plaintiff, Christine Diamond, was injured during an automobile accident that occurred while she was a passenger in a taxi driven by Amir Mansouri. Christine, and her husband Andrew, filed suit against Mr. Mansouri, the Yellow Cab Collective (“Yellow Cab”), and the driver of the vehicle that collided with the taxi, Serge Reshko. Before trial, Mansouri and the Yellow Cab Collective settled with Plaintiffs, but agreed to appear and participate as defendants at the jury trial of the action. Mansouri and Yellow Cab paid a total of $400,000 to Plaintiffs in settlement. Reshko filed a pre-trial motion seeking an order permitting Reshko to admit evidence of the settlement between Plaintiffs and the other defendants. The trial court refused to rule on the motion before trial. Ultimately, evidence of the settlement between Plaintiffs, Mansouri and Yellow Cab was excluded during trial. The jury returned a verdict in favor of Plaintiffs in the total amount of $745,778, finding Mansouri 40 percent at fault, and Reshko 60 percent at fault. The Trial Court entered judgment against Reshko in the sum of $406,698. Reshko appealed the judgment. The First District Court of Appeal reversed, holding that evidence of the settlement should have been admitted at trial because the settling defendant’s position should be revealed to the court and jury to avoid committing a fraud on the court, and in order to permit the trier of fact to properly weigh the settling defendant’s testimony. Reprinted courtesy of Kristian B. Moriarty, Haight Brown & Bonesteel LLP and R. Bryan Martin, Haight Brown & Bonesteel LLP Mr. Moriarty may be contacted at kmoriarty@hbblaw.com Mr. Martin may be contacted at bmartin@hbblaw.com Read the court decision
Read the full story...
Reprinted courtesy of

St. Mary & St. John Coptic Orthodox Church v. SBS Insurance Services, Inc.

January 18, 2021 — Michael Velladao - Lewis Brisbois
In St. Mary & St. John Coptic Orthodox Church v. SBS Insurance Services, Inc., ----Cal.App.5th--- (November 23, 2020), the California First District Court of Appeal reversed the trial court's entry of judgment in favor of SBC Insurance Services ("SBC") regarding a claim for water damage sustained by a residence owned by St. Mary & John Coptic Church ("St. Mary") under property coverage afforded by a policy issued by Philadelphia Indemnity Insurance Company ("Philadelphia"). The policy was procured by SBC on behalf of St. Mary. Philadelphia denied coverage of the claim based on the vacancy exclusion in its policy, but entered into a settlement and loan receipt agreement, whereby St. Mary gave Philadelphia the right to control litigation in St. Mary’s name against SBC or third parties who might be liable for the loss in exchange for a loan of money to repair and remediate the damage sustained by the residence. The loan was to be repaid out of any recovery made against SBC or third parties. After a bench trial, the trial court found in favor of SBC and held that the vacancy exclusion was ambiguous. Essentially, the exclusion did not apply to the time period prior to the time St. Mary purchased the residence, such that the 60-day vacancy requirement could not be satisfied. The trial court reasoned that since St. Mary did not have an insurable interest in the property before it purchased the property, the 60-day requirement did not include the period before such residence was purchased and St. Mary held an insurable interest. The parties’ dispute arose of out of the Pope of the Coptic Church requesting St. Mary to purchase a home to be used as his papal residence in the Western United States. St. Mary also intended to use the home as a residence for visiting bishops. The home was purchased on May 28, 2015. As part of the purchase, SBC placed the home under St. Mary’s commercial policy, rather than purchasing a separate homeowner’s policy for the residence. Subsequently, the home sustained water damage due to a broken pipe. The water damage was discovered on July 24, 2015, 57 days after the inception of the Philadelphia policy and the loss. St. Mary tendered the property loss to Philadelphia, which denied coverage of the claim based on the reasoning that the home had been vacant for 60 consecutive days prior to the loss. Subsequently, St. Mary filed suit against SBC after securing the loan receipt agreement with Philadelphia based on the argument that the vacancy exclusion barred coverage of the claim and SBC breached its duty of care by not securing the proper coverage of the home. The trial court entered judgment in favor of SBC finding that the vacancy exclusion did not apply to bar coverage of the loss, such that SBC did not breach its duty of care owed to St. Mary as its broker. Read the court decision
Read the full story...
Reprinted courtesy of Michael Velladao, Lewis Brisbois
Mr. Velladao may be contacted at Michael.Velladao@lewisbrisbois.com

Why A.I. Isn’t Going to Replace Lawyers Anytime Soon

April 18, 2023 — Amir Kahana - Kahana Feld
In a recent article entitled, “A.I. Is Coming for Lawyers, Again” the New York Times explored the longstanding idea that the legal profession is most at risk of being disrupted by A.I. The article claimed that: “There are warnings that ChatGPT-style software, with its humanlike language fluency, could take over much of legal work.” And that: “Law is seen as the lucrative profession perhaps most at risk from the recent advance in A.I. because lawyers are essentially word merchants.” The problem with these predictions is that they are based on a fundamental misunderstanding of what lawyers do, which is primarily to provide sound advice and formulate sophisticated strategy. All the wordsmithing in the world won’t make a bad case good, or vice versa. Lawyers do not have a Jedi mind trick. We analyze the facts, we make the best arguments possible under the circumstances, we advise our clients on their prospects, and we come up with a strategy for an optimal outcome, which almost always includes a path towards settlement. We are strategists and trusted advisors. Not wordsmithers. This is not anything ChatGPT or current A.I. can do, or even come close to doing. And how do I know that? Because in a recent Wall Street Journal article, experts on self-driving cars explain that A.I. is nowhere close to being able to drive a car autonomously. In an article entitled “When Will Cars Be Fully Self-Driving?” the experts explain that the main impediment to fully autonomous vehicles is how dumb A.I. is. As one of the leading experts explains, fully autonomous cars “would require human-level artificial intelligence, and there is no commonly accepted theory on how to get there. As long as there is no human-level AI, autonomous mobility will be limited.” Read the court decision
Read the full story...
Reprinted courtesy of Amir Kahana, Kahana Feld
Mr. Kahana may be contacted at akahana@kahanafeld.com

California’s High Speed Rail Project. Are We Done With the Drama?

October 22, 2014 — Garret Murai – California Construction Law Blog
Proponents of California’s high-speed rail project cleared a major hurdle this past week when the California Supreme Court declined to review a California Court of Appeals ruling which held that the state’s funding plan did not violate Proposition 1A, the voter-approved initiative passed in 2008, which provided initial funding for the project. For those like me who have been following the fits and starts of California’s high-speed rail project, it may be hard to remember how it all got started, and how we got to where we are. California's High-Speed Rail Project California’s high-speed rail project involves the construction of a high-speed passenger rail system running from Northern California to Southern California. The $68 billion system, expected to begin operation in 2029, will initially run from San Francisco to the Los Angeles basin in under 3 hours with train speeds capable of over 200 miles per hour. The system will eventually extend from Sacramento to San Diego covering a distance of approximately 800 miles with up to 24 stations. Read the court decision
Read the full story...
Reprinted courtesy of Garret Murai, Kronick Moskovitz Tiedemann & Girard
Mr. Murai may be contacted at gmurai@kmtg.com

Six-Month Prison Term for Role in HOA Scam

January 28, 2013 — CDJ STAFF
Ben Kim, the former police lieutenant whose wife is one of the figures in the scheme to take over Las Vegas homeowner associations in order to profit from construction defect settlements, might face a six-month sentence in a bank fraud scheme. Mr. Kim has plead guilty in the charges that he submitted false financial documents. Others who were involved in the homeowner scandal, including Mr. Kim's wife, were also involved in this case. Read the court decision
Read the full story...
Reprinted courtesy of

Lost Rental Income not a Construction Defect

November 27, 2013 — CDJ STAFF
A judge in Colorado has ruled that although the homeowner’s policy excluded construction defects from coverage, lost rental income and the cost of deck repair involved in fixing a defective drainage system were. Read the court decision
Read the full story...
Reprinted courtesy of

Insurance Agent Sued for Lapse in Coverage after House Collapses

October 29, 2014 — Beverley BevenFlorez-CDJ STAFF
Property Casualty 360 reported a Hawaii case where the court ruled that an “insurance brokerage firm is responsible for the wrongful conduct of its employees, agents and independent contractors as long as they give the public the appearance that the individual is working as an agent of the brokerage.” The case involved a home that collapsed “during an attempted structural renovation.” The original insurance policy had lapsed, and the “application used to procure the second policy stated that there was no renovation work underway on the property, and thus contained a material misrepresentation which voided the second policy, the [homeowners] were left without insurance on the house.” Read the court decision
Read the full story...
Reprinted courtesy of

Quick Note: Don’t Forget To Serve The Contractor Final Payment Affidavit

July 30, 2019 — David Adelstein - Florida Construction Legal Updates
If you are a contractor in DIRECT CONTRACT with an owner, serve a contractor final payment affidavit on the owner, as a matter of course, and without any undue delay, particularly if you are owed money and have recorded a construction lien. In numerous circumstances, I like to serve the contractor final payment affidavit with the construction lien. The contractor final payment affidavit is not a meaningless form. It is a statutory form (set forth in Florida Statute s. 713.06) required to be filled out by a lienor in direct privity of contract with an owner and served on the owner at least 5 days prior to the lienor foreclosing its construction lien. The contractor final payment affidavit serves as a condition precedent to foreclosing a construction lien. Failure to timely serve a contractor final payment affidavit should result in a dismissal of the lien foreclosure lawsuit, presumably by the owner moving for a motion for summary judgment. This should not occur. Read the court decision
Read the full story...
Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

CAMBRIDGE MASSACHUSETTS BUILDING EXPERT DIRECTORY AND CAPABILITIES