Lumber Liquidators’ Home-Testing Methods Get EPA Scrutiny
June 10, 2015 —
Matthew Townsend – BloombergThe home testing method Lumber Liquidators Holdings Inc. is using to reassure customers that their floors are safe is being questioned by the U.S. Environmental Protection Agency.
In response to allegations that its Chinese-made laminate flooring emitted excessive levels of formaldehyde, a known carcinogen, Lumber Liquidators sent thousands of do-it-yourself tests to people who’d purchased the products. Customers use a device in the kit to measure the air in their homes for 24 hours, then send the package back to have the results evaluated.
While the EPA didn’t take a position on the specifics of Lumber Liquidators’ test program, the agency said on its website that home air testing “may not provide useful information due to the uncertainties” of the method. Air tests don’t pinpoint the specific source of a contaminant, and there are no widely accepted standards for indoor formaldehyde levels, the agency said.
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Matthew Townsend, Bloomberg
Court Finds No Coverage for Workplace “Prank” With Nail Gun
April 04, 2022 —
Craig Rokuson - Traub Lieberman Insurance Law BlogIn the recent case of Metro. Prop. & Cas. Ins. Co. v. Burby, 2022 NY Slip Op 22070, ¶ 1 (Sup. Ct.) Justice Richard M. Platkin of the Supreme Court of Albany County, New York examined a homeowners insurance policy and determined that a duty to defend was triggered in a case seeking recovery for injuries sustained when the insured, Burby allegedly discharged a nail gun in the bathroom of a work facility at which both Burby and the underlying plaintiff worked. Burby pled guilty to assault in the third degree for recklessly causing physical injury. MetLife, Burby’s carrier, disclaimed coverage based on lack of an occurrence, the business activities exclusion and the intentional loss exclusion, which bars coverage for injuries expected or intended by the insured or injuries that are the result of the insured’s intentional and criminal acts or omissions. Justice Platkin initially reviewed the intentional loss exclusion and lack of an occurrence and found that, from a duty to defend perspective, neither provided a dispositive coverage defense. However, the court found that the broadly worded business activities exclusion, which was not the subject of MetLife’s motion and instead was the subject of a cross motion by Burby, applied to bar coverage. In doing so, the court searched the record and granted summary judgment on the issue, despite MetLife not moving for relief under the exclusion.
With respect to the expected or intended prong of the intentional loss exclusion, the court found that, even if Burby did intend to pull the trigger of the nail gun, it was not pled in the underlying complaint that the harm that resulted to the plaintiff was expected or intended. As such, the court concluded that MetLife did not prove that there was no possible factual or legal basis upon which it could be found that Burby did not reasonably expect or intend to cause injury to the plaintiff.
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Craig Rokuson, Traub LiebermanMr. Rokuson may be contacted at
crokuson@tlsslaw.com
KONE is Shaking Up the Industry with BIM
January 20, 2020 —
Aarni Heiskanen - AEC BusinessKONE supplies elevators, escalators, autowalks and maintenance and modernization solutions. I sat down with Kenneth Flannigan to discuss how BIM is changing KONE and what it means to the industry.
KONE operates in over 60 countries, has around 1.3 million units in service, and moves over one billion people per day. The company’s mission is “to improve the flow of urban life.” Kenneth Flannigan is the BIM Solution Owner for the company. He acknowledges that even though KONE provides equipment and software innovation, in this day and age that’s not enough.
“We’re a critical path item. How innovative are we if we’re not working on every single project in a shared 3D environment, like our customers?” Flannigan asks.
KONE serves both indirect and paying customers. It works with influencers like architects and with general contractors, builders, and construction managers. It also has a life-cycle relationship with building owners, which is evidenced by the fact that over 30% of the company’s sales come from maintenance.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
The Starter Apartment Is Nearly Extinct in San Francisco and New York
October 28, 2015 —
Patrick Clark – BloombergSo you’re looking for a one-bedroom apartment in San Francisco, and you have about $2,000 a month to spend. You know the city’s median rent is more than $4,200 a month, but median means half the apartments cost less. Surely there are larger, more expensive apartments pulling up the midpoint.
Perhaps. But there’s a reason Google employees are sleeping in their trucks.
Ninety-one percent of one-bedroom apartments in San Francisco cost more than $2,000 a month. Perhaps more surprising is the number of apartments that occupy the high end of rental rates: In Manhattan, a fifth of one-bedrooms rent for more than $4,000.
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Patrick Clark, Bloomberg
Updated 3/13/20: Coronavirus is Here: What Does That Mean for Your Project and Your Business?
March 16, 2020 —
Alexander Gorelik, Joshua E. Holt, Brian N. Krulick, Shoshana E. Rothman, A. Michelle West, & Brian S. Wood - Smith CurrieThe outbreak of COVID-19 (“coronavirus”) has wreaked a considerable human toll of death, physical suffering, fear, and anxiety internationally. Much of the fear and anxiety results from a lack of information or a full understanding about the spread of the disease, protection against infection, and treatment. At Smith, Currie & Hancock, we urge our clients, friends, and colleagues to take seriously, but calmly and prudently, the threat of this disease to protect yourselves, your loved ones, and your businesses. The first step in that process is to inform yourselves with reliable information. Toward that end, we direct your attention to the Centers for Disease Control and Prevention’s Coronavirus Disease 2019 website: https://www.cdc.gov/coronavirus/2019-ncov/index.html
In addition to the human toll, coronavirus has caused substantial disruptions to economies worldwide. In that regard, the adage “a picture is worth a thousand words,” is particularly foreboding. Satellite images taken by the U.S. National Aeronautics and Space Administration (NASA) of China at the outset of the coronavirus outbreak and approximately a month later show a dramatic decline in air pollution, signifying and illustrating a sharp decline in industrial activity and transportation caused by the disease.
Reprinted courtesy of Smith Currie attorneys
Alexander Gorelik,
Joshua E. Holt,
Brian N. Krulick,
Shoshana E. Rothman,
A. Michelle West, and
Brian S. Wood
Mr. Gorelik may be contacted at agorelik@smithcurrie.com
Mr. Holt may be contacted at jeholt@smithcurrie.com
Mr. Brian may be contacted at bnkrulick@smithcurrie.com
Ms. Shoshana may be contacted at serothman@smithcurrie.com
Ms. West may be contacted at amwest@smithcurrie.com
Mr. Wood may be contacted at bswood@smithcurrie.com
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How the Cumulative Impact Theory has been Defined
November 30, 2020 —
David Adelstein - Florida Construction Legal UpdatesLargely in the federal contract arena, there is a theory referred to as “cumulative impacts” used by a contractor to recover unforeseeable costs associated with a multitude of changes that have an overwhelming ripple effect on its efficiency, particularly efficiency dealing with its original, base contract work. In other words, by dealing with extensive changes, there is an unforeseeable impact imposed on the contractor relative to its unchanged or base contract work. Under this theory, the contractor oftentimes prices its cumulative impact under a total cost approach with an examination on its cost overrun. However, this is not an easy theory to prevail on because there needs to be a focus on the sheer number of changes, causation supporting the impact, and whether there were concurrent impacts or delays that played a role in the ripple effect. See, e.g., Appeals of J.A. Jones Const. Co., ENGBCA No. 6348, 00-2 BCA P 31000 (July 7, 2000) (“However, in the vast majority of cases such claims are routinely denied because there were an insufficient number of changes, contractor-caused concurrent delays, disruptions and inefficiencies and/or a general absence of evidence of causation and impact.”).
To best articulate how the cumulative impact theory has been defined, I want to include language directly from courts and board of contract appeals that have dealt with this theory. This way the contractor knows how to best work with their experts with this definition in mind–and, yes, experts will be needed–to persuasively package and establish causation and damages stemming from the multitude of changes. While many of these definitions are worded differently, you will see they have the same focus dealing with the unforeseeable ripple effect of the extensive changes.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
London Office Builders Aren’t Scared of Brexit Anymore
May 26, 2019 —
Jack Sidders - BloombergFor London office developers at least, the Brexit waiting game is over.
Developers mostly steered clear of doing new projects on spec in the political upheaval that followed the U.K.’s 2016 vote to leave the European Union. Now the surprising resilience of London’s office market, highlighted by technology giants like Alphabet Inc. committing to open new bases in the city, has convinced them that it’s time to break ground.
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Jack Sidders, Bloomberg
New York Appellate Court Holds Insurer’s Failure to Defend Does Not Constitute a “Reasonable Excuse” Required to Overturn Judgment
January 21, 2019 —
Timothy Carroll & Anthony Miscioscia - White and WilliamsA recent opinion by the New York Supreme Court, Appellate Division (Second Department) highlights the potential risks for an insurer leaving an insured unrepresented while the insurer pursues other parties or insurers who may be primarily responsible for defending the insured. In refusing to overturn a default judgment entered against an insured while its insurer knew that a complaint had been filed but refused to defend, the New York court’s decision raises questions about how claims adjusters are to effectively manage new claims to prevent a default judgment being entered against the insured, while at the same time ensuring that the appropriate party or insurance company handles the insured’s defense.
In Kaung Hea Lee v. 354 Management Inc., 2018 N.Y. App. Div. LEXIS 7749 (N.Y. App. Div. Nov. 14, 2018) (354 Management) the underlying plaintiffs obtained a default judgment against the defendant insured due to its failure to answer the plaintiffs’ complaint. The plaintiffs then moved to determine the extent of damages to which they were entitled by virtue of the default judgment. The defendant opposed that motion, relying on an affidavit from a senior liability claims adjuster employed by the defendant’s insurer. “In the affidavit, the claim adjuster stated that she did not assign an attorney to answer the complaint because the codefendant . . . was contractually obligated to defend and indemnify the defendant [insured], and she had been attempting to have either [the codefendant] or its insurer provide an attorney” for the defendant. However, it was determined that the claims adjuster knew about the plaintiffs’ complaint two weeks after the plaintiffs served it on the defendant and months before the plaintiffs moved for default judgment. Despite this knowledge, the defendant’s insurer did not provide a defense or, apparently, obtain an extension of time to respond to the complaint, which led to the default judgment.
Reprinted courtesy of
Timothy Carroll, White and Williams and
Anthony Miscioscia, White and Williams
Mr. Carroll may be contacted at carrollt@whiteandwilliams.com
Mr. Miscioscia may be contacted at misciosciaa@whiteandwilliams.com
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