Will Claims By Contractors on Big Design-Build Projects Ever End?
February 27, 2023 —
Richard Korman - Engineering News-RecordIn the annals of construction disputes, it is a blip, not a blast.
After a Flatiron Construction-Zachry Group joint venture struck out on most of its arbitrated claims against engineering firm partners on the I-85/385 design-build interchange project in Greenville, S.C., and had others dismissed in court, the contractors had one more source from which to try to cover unexpected project costs: a contractor protective professional policy. Flatiron-Zachry filed a lawsuit last October in San Antonio federal court to try to force payment from Steadfast, a subsidiary of Zurich American Insurance Co.
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Richard Korman, Engineering News-Record
Mr. Korman may be contacted at kormanr@enr.com
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Angela Cooner Named "Top Lawyer" by Phoenix Magazine in Inaugural Publication
October 10, 2022 —
Angela L. Cooner - Lewis BrisboisPhoenix, Ariz. (September 7, 2022) – Phoenix Partner Angela L. Cooner was recently recognized for her work in Commercial Litigation by Phoenix Magazine in its inaugural list of Top Lawyers.
Ms. Cooner was named a Top Lawyer after Phoenix Magazine partnered with research firm Data Joe to collect and tally online survey results from local practicing attorneys. The survey asks respondents to provide the names of up to three attorneys they deem the best in 39 legal specialties. After the votes are tallied and the nominees are confirmed to be members of Valley-based firms and in good standing, the top 10-20% of vote-getters in each category are named to the Top Lawyers list.
Ms. Cooner is a member of Lewis Brisbois’ Construction and General Liability Practices. For more than two decades, she has managed an array of matters, including construction litigation, complex commercial litigation, professional liability cases, product liability issues, premises liability cases, and real estate litigation. Earlier this year, she was appointed vice-chair of the State Bar of Arizona’s inaugural Board of Legal Specialization Construction Defect Law Advisory Commission.
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Angela L. Cooner, Lewis BrisboisMs. Cooner may be contacted at
Angela.Cooner@lewisbrisbois.com
Value In Being Deemed “Statutory Employer” Under Workers Compensation Law
November 21, 2022 —
David Adelstein - Florida Construction Legal UpdatesWhen it comes to workers compensation law, as a contractor, there are a couple of important considerations. One, you will be deemed a statutory employer. And two, you want your subcontractors (and, of course, yourself) to have workers compensation insurance so that you can enjoy the protection of workers compensation immunity. Workers compensation immunity provides immunity to an employer (i.e., a statutory employer) by workers compensation insurance becoming the exclusive form of liability.
A recent non-construction case, Bar-Harbour Tower Condominium Association, Inc. v. Bellorin, 47 Fla.L.Weekly D2114a (Fla. 3d DCA 2022), illustrates the importance of these considerations. Here, a condominium association per its governing documents (i.e., declaration of condominium) was authorized to contract for valet parking services for its unit owners. An employee of the valet company (hired by the association) got hurt and sued the association. The association argued it should be deemed a statutory employer under workers compensation law and, as such, entitled to workers compensation immunity. The trial court disagreed, and the association appealed. The Third District Court of Appeal held the association was the statutory employer and, thus, workers compensation immunity did apply.
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David Adelstein, Kirwin NorrisMr. Adelstein may be contacted at
dma@kirwinnorris.com
Deterioration Known To Insured Forecloses Collapse Coverage
January 28, 2019 —
Tred R. Eyerly - Insurance Law HawaiiThe insurer properly denied coverage for collapse of a building when the insured knew from an expert’s examination that the walls of his house were deteriorating. Jaimes v. Liberty Ins. Corp., 2018 U. S. Dust. LEXIS 198224 (D. Colo. Nov. 21, 2018).
The insured discovered a crack in the wall of his home. He hired Anchor Engineering to inspect. Anchor found a large bulge in the south wall. Several problems with deterioration were noted in the basement. The structure of the house was unstable and dangerous.
The insured filed a claim with his homeowners insurer, Liberty. The claim was denied because damage to the wall was the result of deterioration.
The south wall of the house later collapsed. The insured submitted a second claim. Liberty again denied the claim because the collapse was the result of deterioration of the wall. The insured sued.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
And the Winner Is . . . The Right to Repair Act!
February 15, 2018 —
Garret Murai – California Construction Law BlogCivil litigation attorneys often talk about “damages.” Because without damages . . . well . . . you’re out of luck.
But damages come in different flavors. In construction litigation, when it comes to defective construction, there are two basic flavors:
actual damages and
economic damages. Actual damages include property damage and personal injury, such as a defective roof that causes water damage into the interior of the structure or collapses causing injury to someone inside the structure. In contrast, economic damages would be the cost to repair or replace the defective roof, without any resulting property damage or personal injury.
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Garret Murai, Wendel Rosen Black & Dean LLPMr. Murai may be contacted at
gmurai@wendel.com
Fort Lauderdale Partner Secures Defense Verdict for Engineering Firm in High-Stakes Negligence Case
June 10, 2024 —
Lewis Brisbois NewsroomFort Lauderdale, Fla. (June 3, 2024) - Fort Lauderdale Managing Partner Cheryl Wilke recently secured a defense verdict for civil engineering firm Gulfstream Design Group and its owner, Matthew Lahti, in a high-stakes professional negligence case in which the plaintiff sought more than $20 million. The verdict by a six-person jury in St. Augustine followed a nine-day trial.
The case involved a 100-acre tract of land in St. Johns County, Florida, owned by the plaintiff, Cynthia Taylor. The land was zoned for rural farming, and she wished to sell the property for development. She entered into a contract with Southeast Georgia Acquisitions (“SGA”) to sell the property with the goal of creating a 200-home subdivision. SGA hired Doug Burnett as land use counsel and our client, Gulfstream Design Group, as the civil engineer to design the project.
In St. Johns County, only a property owner can submit a Planned Unit Development Plan (“PUD”) for the purpose of rezoning. In this case, Burnett and Gulfstream created text and a proposed map for the PUD and submitted it for approval. The PUD was approved first at the staff level, then by planning and zoning and then by the County Commission. All the services were provided prior to closing with PUD approval, a condition of sale.
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Lewis Brisbois
Insurance Measures Passed by 2015 Hawaii Legislature
June 10, 2015 —
Tred R. Eyerly – Insurance Law HawaiiThe 2015 Hawaii legislative session passed three insurance-related bills which have all been signed by the governor. Bills that have been enacted are the following:
SB0589 - We previously devoted this post to the legislation. The bill provides relief for residents in lava zones on the Big Island. The bill limits the number of property policies that an insurer can refuse to renew in a lava zone. Further, a moratorium on the issuance of policies can be lifted in a state of emergency due to the threat of imminent disaster from a lava flow.
SB0736 - Provisions relating to reimbursement for accident and health or sickness insurance benefits are amended. Further, the bill provides that prior to initiating any recoupment or offset demand efforts, an entity must send a written notice to the health care provider at least 30 days prior to engaging in recoupment or offset efforts. An entity may not initiate recoupment or offset efforts more than 18 months after the initial claim payment was received by the health care provider or health care entity.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Voluntary Payments Affirmative Defense Does Not Apply in Contract Cases
July 16, 2023 —
David Adelstein - Florida Construction Legal UpdatesIn certain matters, there is an affirmative defense referred to as the “voluntary payments” defense. This defense states, “where one makes a payment of any sum under a claim of right with knowledge of the facts such a payment is voluntary and cannot be recovered.” Avatar Properties, Inc. v. Gundel, 48 Fla.L.Weekly D1272c (Fla. 6th DCA 2023) quoting City of Miami v. Keton, 115 So.2d 547, 551 (Fla. 1959). This voluntary payments defense could be construed as a “gotcha” defense, right? Unfair! You voluntarily made the payment with knowledge of the facts; therefore, you are s**t out of luck when it comes to recovering the potentially wrongful payment.
Well, guess what? This voluntary payments affirmative defense does NOT apply in contract disputes. This is codified by Florida Statute s. 725.04 which states: “When a suit is instituted by a party to a contract to recover a payment made pursuant to the contract and by the terms of the contract there was no enforceable obligation to make the payment or the making of the payment was excused, the defense of voluntary payment may not be interposed by the person receiving payment to defeat recovery of the payment.” Fla.Stat. s. 725.04. See also Avatar Properties, supra (explaining voluntary payment defense does not apply in contract cases and even in non-contract cases it doesn’t apply if payment made under coercion or compulsion).
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com