Defense Owed for Product Liability Claims That Do Not Amount to Faulty Workmanship
December 30, 2013 —
Tred Eyerly — Insurance Law HawaiiThe trial court's holding that there was no occurrence based on claims from faulty workmanship was reversed by the appellate division of the Pennsylvania Superior Court. The underlying claims were based on product liability tort claims, not faulty workmanship. Indalex Inc. v. National Union Fire Insurance Co. of Pittsburgh, PA., 2013 Pa. Super. LEXIS 3186 (Pa. Superior Court Dec. 3, 2013).
The underlying lawsuits claimed that the insureds' windows and doors were defectively designed or manufactured, which resulted in water leakage causing physical damage, such as mold and cracked walls. There were also personal injury claims.
The insureds had a primary policy with OneBeacon Insurance Group, but the policy limits were exhausted. The insureds turned to their commercial umbrella policy issued by National Union. The policy defined occurrence as "an accident, including continuous or repeated exposure to conditions, which results in Bodily Injury or Property Damage neither expected nor intended from the standpoint of the Insured."
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Tred EyerlyTred Eyerly can be contacted at
te@hawaiilawyer.com
Creating a Custom Home Feature in the Great Outdoors
July 09, 2014 —
Beverley BevenFlorez-CDJ STAFFWhen a resort designer and a spa director join together to create a custom home, what do you get? An outdoor tub that resides on a balcony overlooking the San Francisco Bay.
According to Custom Home, Scott Lee, president of SB Architects, and his wife had the “custom cast concrete tub…craned into place on the third-story deck while avoiding an established oak tree.” A radiant heat lamp makes the outdoor bathing area practical, while the curved backrest, remote controlled dimmable lights, and music make the experience luxurious.
“Tubs are more about relaxing then getting clean,” Lee told Custom Home. “Being out here among the branches with views of San Francisco, it really is like a resort.”
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Construction Litigation Roundup: “Stuck on You”
March 04, 2024 —
Daniel Lund III - LexologyA “contract of adhesion” is referred to as a standard form contract – usually preprinted – “prepared by a party of superior bargaining power for adherence or rejection of the weaker party.” Yet, it is not the nature of the contract alone which determines its enforceability, but, instead, “whether a party truly consented to all of the printed terms.”
A Louisiana plaintiff fighting a forum selection clause in a construction contract sought to have the clause nullified, urging that the clause was “buried” in the agreement and in small font, arguing also that the contractor had “superior bargaining position at the time of entering into the contract… because [plaintiff] needed to repair the hurricane damage” to his home as soon as possible.
In response, the contractor urged that the contract was not executed under rush conditions, and that, in any event, the contract was only two pages long – and the forum selection clause was not hidden and was in the same font as all of the other provisions in the contract.
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Daniel Lund III, PhelpsMr. Lund may be contacted at
daniel.lund@phelps.com
Congratulations to BWB&O’s Newport Beach Team for Prevailing on a Highly Contested Motion to Quash!
January 08, 2024 —
Dolores Montoya - Bremer Whyte Brown & O'Meara LLPCongratulations to Newport Partners Tyler Offenhauser and Jonathan Cothran, and Associate Anisha Kohli, who recently prevailed on behalf of BWB&O’s client before the Orange County Superior Court on a highly contested Motion to Quash Service based on Plaintiff’s failure to timely file and serve a DOE Amendment, naming our client.
BWB&O’s client was the owner of a building where Plaintiff, a licensed electrician, was electrocuted while performing an upgrade to the building’s electrical infrastructure. Plaintiff’s original lawsuit named only the building’s tenant, who was also represented by BWB&O. BWB&O was successful earlier this year on a Motion for Summary Judgment under the Privette Doctrine and won judgment on behalf of the client/tenant. While that MSJ was pending, Plaintiff surreptitiously added the building’s owner to the suit with a DOE Amendment, after several months earlier learning the owner and then tenant were entities operated by the same individual. However, Plaintiff never informed counsel or any other party of the filing. Moreover, after the MSJ was granted, Plaintiff then waited several more months to serve the building’s owner.
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Dolores Montoya, Bremer Whyte Brown & O'Meara LLP
Duty to Defend Negligent Misrepresentation Claim
April 15, 2014 —
Tred R. Eyerly – Insurance Law HawaiiThe Kansas Court of Appeals determined that the insurer must defend claims of negligent misrepresentation against its insured. Central Power Sys. & Servs. v. Universal Underwriters Ins. Co., 2014 Kan. App. LEXIS 9 (Kan. Ct. App. Feb. 21, 2014).
Central Power contracted to furnish Eagle Well with 10 oil-rig engines and 10 oil-rig transmissions. Eagle Well alleged that Central Power informed them that the engines and transmissions would be operational without any additional components. As is turned out, the engines could not operate without a wiring harness. Eagle Well had to hire a third party to make wiring harnesses that would meet their needs and to install the wiring harnesses.
Eagle Wells sued Central Power, alleging damages in the form of lost profits for the time it took to make the engines independently operational. Further, damages were incurred due to money needed for the costs of purchasing the wiring harnesses from the third party and attaching the harnesses to the engines. Claims asserted against Central Power included breach of contract, negligence and negligent misrepresentation.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Carbon Sequestration Can Combat Global Warming, Sometimes in Unexpected Ways
April 02, 2024 —
Michael S. McDonough, Robert A. James & Amanda G. Halter - Gravel2Gavel Construction & Real Estate Law BlogWhether by land, by sea or through human innovation, carbon sequestration is likely coming to (or already happening in) a destination near you. As our planet, overdosed on greenhouse gases, battles climate disasters, a logical solution is to simply stop pumping carbon dioxide into the air. Legislation worldwide is aimed at that target, but reducing output alone may not be enough. There are still billions of tons of extra CO2 already in the atmosphere—this crossroads is where sequestration comes into play.
Carbon sequestration is exactly what it sounds like—the storage of CO2. Once carbon is sucked out of the air, or in some cases pulled directly from industrial smokestacks, sequestration can be undertaken in a lot of different ways. Carbon storage happens naturally, when forests and oceans absorb and convert CO2 into organic matter, but carbon dioxide can also be artificially injected into deep underground rock formations (or wells), or in some cases technological approaches repurpose carbon into a resource like concrete, or as a catalyst in a closed-loop industrial system. However it’s accomplished, the point of sequestration is to stabilize carbon and ensure it doesn’t creep back into our atmosphere. Researchers, like those at the United Nations’ Intergovernmental Panel on Climate Change, now say that CO2 removal is vital to keeping global warming to 1.5 degrees Celsius (past that threshold, climate change could reach catastrophic levels). A 2023 University of Oxford study estimated that, currently, about two billion metric tons of carbon dioxide are being removed each year, primarily through land management (i.e., planting trees), and suggested that we need to double that amount to avoid dangerous global warming levels.
Reprinted courtesy of
Michael S. McDonough, Pillsbury,
Robert A. James, Pillsbury and
Amanda G. Halter, Pillsbury
Mr. McDonough may be contacted at michael.mcdonough@pillsburylaw.com
Mr. James may be contacted at rob.james@pillsburylaw.com
Ms. Halter may be contacted at amanda.halter@pillsburylaw.com
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Everyone Wins When a Foreclosure Sale Generates Excess Proceeds
August 07, 2018 —
Ben Reeves - Snell & Wilmer Real Estate Litigation BlogIntroduction
When a foreclosure sale generates more money than needed to pay off the lien, the excess proceeds usually go first to creditors in the order of their priority, and second to the owner after creditors are paid in full. So, in truth, not everyone wins when a foreclosure sale brings in too much money. Amusingly, in Steinmetz v. Everyone Wins, the court awarded excess sale proceeds to….you guessed it…Everyone Wins, despite the owner’s argument that Arizona’s anti-deficiency statutes barred it from recovering anything.
In addition to supplying a clever title for this post, Steinmetz v. Everyone Wins provides an important analysis of how Arizona’s anti-deficiency statutes, homeowner’s assessment lien statutes, and foreclosure statutes apply when determining who “wins” when it comes to excess sale proceeds.
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Ben Reeves, Snell & WilmerMr. Reeves may be contacted at
breeves@swlaw.com
Slow Down?
December 03, 2024 —
Daniel Lund III - LexologyAbsolutely not, said the Louisiana Fifth Circuit Court of Appeal to a masonry subcontractor being sued for allegedly improperly refusing to honor a subcontract bid.
A general contractor preparing its overall bid for a public project in Jefferson Parish relied in the process on the defendant masonry subcontractor’s bid. After a public bid process and receiving the award of the project, the general contractor was informed by the subcontractor that it believed that the unit price form that had been supplied to the sub “contained inaccuracies.” Notwithstanding offers by the GC to endeavor to address the purported “inaccuracies” during the project, most likely by a change order, the subcontractor refused to execute its subcontract. The general contractor then awarded the masonry work to another subcontractor for $368,222 more than the original sub’s bid.
The GC filed suit – for recovery of $368,222 – against the defendant subcontractor during the course of the public project. The defendant sub objected, arguing to the court that the lawsuit was “premature.” At the heart of the prematurity argument: the sub urging that the general contractor filed suit before its right to recover damages had accrued.
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Daniel Lund III, PhelpsMr. Lund may be contacted at
daniel.lund@phelps.com