Benefit of the Coblentz Agreement and Consent Judgment
August 26, 2024 —
David Adelstein - Florida Construction Legal UpdatesIf you are not familiar with the concept of what is commonly known as a Coblentz agreement relative to an insurance coverage dispute, review these prior postings (
here and
here and
here). This is a good-to-know agreement if you are a claimant and need to consider an avenue of collection if the insured’s carrier denies coverage out of the gate (meaning the carrier has denied both the duty to defend and the duty to indemnify).
A recent Eleventh Circuit Court of Appeals opinion demonstrates the Coblentz agreement concept. In Barrs v. Auto-Owners Ins. Co., 2024 WL 3673089 (11th Cir. 2024), an owner asserted a construction defect claim against its contractor. The owner hired the contractor to deconstruct a building and the contractor hired a demolition subcontractor. The owner noticed work was not being performed and materials (e.g., lumber) were missing; the demolition subcontractor had stolen materials. The subcontractor was terminated, and the owner claimed the contractor’s negligence allowed the theft and delayed his project. The contractor’s commercial general liability (CGL) insurer notified the insured-contractor that coverage did not exist and refused to defend the contractor. The owner sued the contractor under various theories of liability. The owner and contractor entered into a settlement agreement (i.e., the Coblentz agreement) where the contractor “admitted liability in the amount of $557,500.00….A consent judgment was entered against [the contractor] that closely tracked the settlement agreement but did not indicate which portion of the damages award was attributed to which claims. The agreement also assigned [owner] and all of [the contractor’s] rights to claim coverage and to recover available funds under [the contractor’s CGL policy].”
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Colorado Introduces Construction Defect Bill for Commuter Communities
January 23, 2013 —
CDJ STAFFA Colorado State Senator has introduced a bill suggesting a change to the way that construction defect claims are handled in "transit-oriented developments." And what are these? According to the bill these are "any multi-family residential or mixed-use project within one-half mile of any commuter rail stop, commuter light rail stop, or commuter bus stop." So the bill would treat homes with good public transportation differently from those not so convenient to public transportation.
The bill, SB 52, would institute a right to repair for construction defects in these developments. Construction defect claims would be referred to binding arbitration. Further, construction professionals could not be sued for environmental conditions related to transit, commercial, public, or retail use.
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Insurer's Motion to Dismiss Allegations of Collapse Rejected
August 08, 2018 —
Tred R. Eyerly - Insurance Law HawaiiIn yet another of the collapse cases being litigated in state and federal courts in Connecticut, the federal district court denied the insurer's motion to dismiss. Rosenberger v. Amica Mut. Ins. Co., 2018 U.S. Dist. LEXIS 95345 (D. Conn. June 6, 2018).
The insureds had policies with Amica since 1989. Policies before December 18, 2006, covered collapse caused by hidden decay or other specified causes. "Collapse" was not defined by the policy. These policies did not include any provisions explicitly excluding coverage for a chemical reaction.
The post-2006 policies held by the insureds covered collapse, but under a significantly modified definition. The newer policy language stated that "collapse applies only to an abrupt collapse." Further, collapse was defined as "an abrupt falling down or caving in of a building or any part of a building with the result that the building or part of the building cannot be occupied for its intended purpose."
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Consumer Protections for California Residential Solar Energy Systems
September 25, 2018 —
Robert A. James & Alexandra Brandt - Gravel2Gavel Construction & Real Estate BlogIt was already the case that in order to offer to install California residential solar energy systems, a contractor must be licensed by the California Contractors State License Board (CSLB) and must hold an appropriate specialty classification. Under AB 1070 enacted late last year (Chapter 662, Statutes of 2017), special consumer protections are being deployed for the benefit of homeowners. Those protections are steadily rolling out.
Step one is the requirement of new Business & Professions Code (B&P Code) Section 7169 that, as of January 1, 2019, a disclosure document must be provided to consumers prior to sale and included on page 1 of the sale contract. The initial version of this document, which was developed by the CSLB and endorsed on August 23, 2018 by the California Public Utilities Commission (CPUC), is available here. The disclosure requirement doesn’t apply to systems included in new home construction.
Reprinted courtesy of
Robert A. James, Pillsbury and
Alexandra Brandt, Pillsbury
Mr. James may be contacted at rob.james@pillsburylaw.com
Ms. Brandt may be contacted at alexandra.brandt@pillsburylaw.com
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The Rubber Hits the Ramp: A Maryland Personal Injury Case
September 17, 2014 —
Beverley BevenFlorez-CDJ STAFFAn elderly woman filed suit against the Town of Ocean City, Maryland, “after allegedly falling from her wheelchair because of a defective rubber warning mat on a resort street corner,” according to The Dispatch.
The accident occurred when the woman’s wheelchair “struck one of the hard rubber warning mats on the handicap-accessible street corners.”
The plaintiff is seeking “$750,000 in damages on three counts including negligence, strict liability and a violation of the Americans with Disabilities Act (ADA).” However, The Dispatch reported that it is not clear who is liable, since the sidewalk is owned and maintained by the town, but the State Highway Administration installed the rubber warning mats.
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Lewis Brisbois Promotes 35 to Partnership
March 15, 2021 —
Lewis BrisboisLewis Brisbois is proud to announce the promotion of 35 of its associates to partner. With these promotions, Lewis Brisbois’ total partnership comes to 933 across its 53 offices. The diverse class of newly promoted attorneys includes 15 women, which brings the total percentage of female partners at Lewis Brisbois to 33%.
Los Angeles Managing Partner Jana I. Lubert expressed her excitement about the recent promotions, stating, “On behalf of the Management Committee, I congratulate these outstanding attorneys on their achievement. They have demonstrated an exceptional level of dedication to Lewis Brisbois and to our clients, especially during this difficult past year. I am particularly proud of the diversity that exists across this group.”
Similarly, San Bernardino and Chief Diversity Partner Rima M. Badawiya shared her enthusiasm over the diversity of the new partners, explaining, “This group of exceptional attorneys, who have been promoted based upon their extraordinary performance, represents the diversity that exists throughout Lewis Brisbois and our commitment to advancing those who achieve at the highest level.”
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Lewis Brisbois
Philadelphia Enacts Commercial Property Assessed Clean Energy (C-PACE) Program
October 21, 2019 —
Timothy Davis & Willliam Johnston - White and Williams LLPOn August 14, 2019, Mayor Jim Kenney signed a bill authorizing, through C-PACE loans, the financing of clean energy, alternative energy and water conservation projects for eligible commercial properties in Philadelphia. Philadelphia City Council unanimously voted to approve the C-PACE program on June 20, 2019. The program will be administered by the Philadelphia Energy Authority. Third-party capital providers (not the Philadelphia Energy Authority) will originate C-PACE financings for qualified projects.
C-PACE “assessments” will encumber the applicable property in a first lien position akin to a real estate tax. Documentation among the property owner, the City of Philadelphia, and the third party capital provider (identified in the ordinance as the “financial institution”) will provide, among other things, that the assessments will be payable and fully amortize over the term of the financing (i.e., 30 years) and will not be accelerated during its term. Importantly, before a C-PACE financing can be originated and the underlying property assessed, notice of the property owner’s desire to secure C-PACE financing under the program must be provided to the holder of a mortgage on the subject property and the holder of the mortgage must provide the property owner and the City of Philadelphia with its written consent. Without the mortgage lender’s consent, the C-PACE financing cannot be consummated.
Reprinted courtesy of
Timothy Davis, White and Williams LLP and
William Johnston, White and Williams LLP
Mr. Davis may be contacted at davist@whiteandwilliams.com
Mr. Johnston may be contacted at johnstonw@whiteandwilliams.com
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On to Year Thirteen for Blog
January 13, 2020 —
Tred R. Eyerly - Insurance Law HawaiiInsurance Law Hawaii hits twelve years of existence this week, 1347 posts later. We started in December 2007. We continue in order to keep up on developing issues in insurance law. We strive to keep readers abreast of new developments in cases from Hawaii and across the country.
Other Damon Key blogs to check out are inversecomdemnation.com [
here] authored by
Robert Thomas,
Mark Murakami's oceanlawhawaii.com [
here] and hawaiiconstructionlaw.com [
here] by
Anna Oshiro.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com