FAIRFIELD CONNECTICUT BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Insurers Reacting to Massachusetts Tornadoes

August 11, 2011 — CDJ STAFF

The Patriot-Ledger reports that insurers could pay out as much as $200 million to cover homes damaged or destroyed in the tornadoes that hit central and southern Massachusetts in June, 2011. Joseph Murphy, Commissioner of the State Division of Insurance didn?t foresee problems with insurers covering these claims. “At this point, there doesn’t seem to be any one company overexposed in that area,” he told the Patriot-Ledger.



Insurance executives did not think the tornadoes would cause them to raise rates. Steve Chevalier, CEO of NLC Companies, said, “it’s a major event for those impacted by it, but it’s not close to a financial hit to us.”



One insurer noted that the winter weather generated more claims; however the cumulative value of those claims was $15 million.



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Court Strikes Down Reasonable Construction Defect Settlement

December 20, 2012 — CDJ STAFF
The Court of Appeals of Washington has struck down a construction defect settlement between a building owner and the companies she hired to repair the siding, among other repairs to bring the building up to code. Yuan Zhang hired Hawk Construction LLC to do repair work. Hawk, in turn, hired Ready Construction LLC for some aspects of the project. Hawk and Ready were both insured by Capital Specialty Insurance Corporation. There were several problems with Ready’s work. After removing old siding, they did not protect the building, nor did they remove all of the damaged layers. Ready covered, but did not fix, a mildew problem under the old siding. When new siding was reattached, the nails used were too short to adequately attach it. After paying for an inspection of the work, Zhang had Hawk and Ready begin the repairs again, but the work was abandoned without being completed. Zhang sued Hawk for breach of contract. Hawk then sued Ready, claiming that “Ready was liable to Hawk to the extent that Hawk was liable to Zhang.” Capitol retained defense for both contractors. Zhang settled with Hawk, in an agreement that gave her “the right to collect and/or pursue all costs and attorney fees paid by Hawk or its insurance company defending against the Zhang’s claims and pursuing claims against Ready.” Subsequently, she also settled with Ready. Both companies ceased operations. Zhang had the settlements reviewed by a court, which concluded that the settlements were reasonable. Capital was allowed to appeal, claiming that the settlement included costs that were Zhang’s responsibility. The appeals court did not examine the question of the reasonableness of the settlement, concluding that Capitol’s interests were relevant only to “questions of bad faith, collusion, and fraud.” In the case of Zhang, the court concluded that the relationship between Zhang and her former contractors was collusive. The court noted that “bad faith or collusion may exist when the evidence indicates a joint effort to create, in a non-adversarial atmosphere, a resolution beneficial to both parties, yet highly prejudicial to the insurer as intervener.” The court noted that both companies had minimal assets which were, in any case, exempted from the agreement. Further, the court found that the agreements failed to determine “what amount of the repairs related to preexisting water damage.” Zhang’s calculation of costs also included her expenses for architectural and engineering services, which the court points out, “where always Zhang’s costs to bear.” The court concluded that “the overall structure of the settlements is highly probative of collusion, fraud, or bad faith.” Zhang’s agreements with Hawk and Ready allowed her to collect compensation from Hawk and then collect Ready’s compensation to Hawk for their portion of the settlement, allowing Zhang to collect the monies twice. Further, she was allowed to pursue Capitol for Hawk’s attorney expenses, even though Hawk had none. “The right to recover Hawk’s fees merely set up a windfall recovery for Zhang.” The court described the agreements among Zhang, Hawk, and Ready as “precisely the type of manipulation [the law] is intended to preclude.” Read the court decision
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Wood Smith Henning & Berman LLP Expands into Georgia

November 03, 2016 — Beverley BevenFlorez – CDJ Staff
Wood Smith Henning & Berman LLP (WSHB) has opened a new regional office in Atlanta, Georgia. Richard E. Zelonka, Jr., will be the Managing Partner. With over a decade of trial experience, Mr. Zelonka has handled complex litigation in both state and federal courts throughout the Southeastern United States. “I am thrilled to be joining Wood Smith Henning & Berman. WSHB’s sterling reputation, coupled with its national footprint, is especially attractive. That, coupled with the Firm’s passionate dedication to their clients, made this move a very easy choice for me,” said Mr. Zelonka. “I could not be more excited to lead WSHB’s new Georgia office.” The Firm’s Atlanta office is located at 1170 Peachtree Street NE, Suite 1200, Atlanta, Georgia 30309. The main phone number is (404) 885-5700. The fax number is (404) 506-9108. Read the court decision
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Home insurance perks for green-friendly design (guest post)

February 04, 2014 — Melissa Dewey Brumback – Construction Law in North Carolina
Wondering how to get your residential clients to pony up more money for green design? Check out today’s guest post by Carrie Van Brunt-Wiley and Katherine Wood. They are writers for the Homeowners’ Insurance Blog, which serves as a resource center for insurance consumers and homebuyers across the country. The U.S. Green Building Council’s new LEEDv4 standards present challenges for contractors, engineers, and architects – the restrictions in many cases are more stringent. There is, however an added bonus to remaining on the sustainable-building track: it’s more marketable than you think. That’s because green homes don’t just appeal to buyers with environmental concerns any more. Now smart budgeters seek them out as well. Why? While it’s true that sustainable construction can cost about 2% more than conventional methods, McGraw-Hill’s Smart Market Report says it typically increases a building’s overall value by an average of 7.5% and improves the return on investment by 6.6%. Read the court decision
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Reprinted courtesy of Melissa Dewey Brumback, Construction Law in North Carolina
Ms. Brumback can be contacted at mbrumback@rl-law.com

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Sanctions of $1.6 Million Plus Imposed on Contractor for Fabricating Evidence

March 16, 2017 — Paul R. Cressman, Jr.
King County Superior Court issued sanctions of $1,641,721 in favor of Gefco and against Cascade Drilling, Inc. and its President, Bruce Niermeyer, composed of $1,394,435 in attorneys’ fees and $247,286 in expert fees. [i] Cascade Drilling is a contractor. Gefco manufactures and sells large drilling machinery. The dispute centered around a project that began in 2008. Cascade was hired to drill a water well at a housing development in Wheeler Canyon, California. Cascade used a 50K drilling rig purchased from Gefco. The pump drive shafts on the drilling rig failed four times. After each failure, Cascade ordered a replacement pump drive shaft from Gefco. In September 2008, Cascade ordered drilling equipment for an unrelated drilling rig from Gefco, but did not pay Gefco. Gefco then sued to collect. Cascade admitted not paying, but asserted counterclaims alleging that Gefco was indebted to Cascade for non-conforming and defective goods, including the replacement pump drive shafts purchased from Gefco for the Wheeler Canyon project. Read the court decision
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Reprinted courtesy of Paul R. Cressman, Jr., Ahlers & Cressman PLLC
Mr. Cressman may be contacted at pcressman@ah-lawyers.com

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Guidance for Construction Leaders: How Is the Americans With Disabilities Act Applied During the Pandemic?

September 28, 2020 — Molly Gwin - Construction Executive
With the spread of the COVID-19 pandemic, numerous cities and states have mandated infection control practices, including social distancing, mask requirements and sanitization of work areas and tools. As a result, many construction leaders now have questions as to how government guidance related to COVID-19 interacts with the Americans with Disabilities Act (ADA). For example, can a project manager enforce a mask mandate when a construction worker presents a doctor’s excuse noting breathing difficulties? Or, what if the employer is aware that an individual presents a higher risk for severe illness because of an underlying health condition, but that employee does not request an accommodation? Thankfully, the United States Equal Employment Opportunity Commission (EEOC) recently published guidance relating to these requests that construction leaders can reference. While our goal is to summarize that guidance and provide practical advice for the construction sector, this article does not substitute for situation specific legal counsel. SCENARIO 1: AN EMPLOYEE REFUSES TO WEAR A MASK AND PRODUCES A DOCTOR’S NOTE CITING BREATHING DIFFICULTIES. MUST THE EMPLOYER ACCOMMODATE SUCH A REQUEST? Potentially. Since the request to not wear a mask is considered an accommodation under the ADA, the employer can still require a doctor’s note when considering the accommodation. Reprinted courtesy of Molly Gwin, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Ms. Gwin may be contacted at mgwin@isaacwiles.com

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Perovskite: The Super Solar Cells

July 23, 2014 — Beverley BevenFlorez-CDJ STAFF
“Embedding solar cells into buildings has always been more of a nice idea instead of an economical approach,” according to Gigaom, however they reported that a new kind of solar cell developed by a researcher at Oxford University might change things. Henry Snaith and his research team through experimentation discovered “perovskites,” which increase the amount of sunlight converted to electricity by 17 percent over other solar cells. Solar cells currently used have, at times, proved inefficient. “Solar cells that won’t obstruct the view that a window offers historically have done poorly in converting much sunlight into electricity,” Gigaom reported. “Other types of solar cells have been too expensive to make. Plus, they won’t produce as much electricity when they line one side of a building rather than its rooftop, where they get sun for longer hours each day.” Currently, Oxford PV, the perovskite start-up company, is pushing into commercializing its solar technology, and “is looking at opening an office in Silicon Valley.” Read the court decision
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Mandatory Attorneys’ Fee Award for Actions Brought Under the Underground Utility Damage Prevention Act

September 22, 2016 — Lindsay K. Taft – Ahlers & Cressman PLLC
In Washington, RCW 19.122 (the Underground Utility Damage Prevention Act or “Call Before You Dig” statute) provides for the protection of underground utilities. The statute was recently updated in 2013 and provides that homeowners and contractors must call “811” to schedule a “utility locate” prior to commencing any excavation. Failure to do so can result in steep penalties, as well as a mandatory fee award for the prevailing party. Read the court decision
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Reprinted courtesy of Lindsay K. Taft, Ahlers & Cressman PLLC
Ms. Taft may be contacted at ltaft@ac-lawyers.com

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