Fairfield Connecticut Building Expert Directory

Wildfire Insurance Coverage Series, Part 4: Coverage for Supply Chain Related Losses

July 18, 2022 — Scott P. DeVries & Yosef Itkin - Hunton Insurance Recovery Blog
Business loss is not limited to fire or smoke damage to its own property – it often arises from damage to the supply chain. In this post in the Blog’s Wildfire Insurance Coverage Series, we look at what coverage may exist when wildfire damages an entity’s supply chain. In many instances, while the insured property does not sustain fire or smoke damage, wildfires can wreak havoc on the business supply chain. For some, contingent business interruption coverage may be a solution. Contingent business interruption insurance extends coverage for the loss of prospective earnings because of an interruption in the insured’s supply chain that is caused by damage to property that the insured neither owns nor operates.[1] Typically, the property covered is of a supplier or customer. For example, in 2000, Ericsson Telecom A.B., a mobile phone manufacturer, presented a substantial contingent business interruption claim based on a fire that damaged a Royal Philips Electronics semiconductor plant. Royal Philips supplied critical components for Ericsson’s mobile phones. The fire caused Royal Philips to close its plant, halting Ericsson’s phone production for six weeks, resulting in substantial losses. Reprinted courtesy of Scott P. DeVries, Hunton Andrews Kurth and Yosef Itkin, Hunton Andrews Kurth Mr. DeVries may be contacted at sdevries@HuntonAK.com Mr. Itkin may be contacted at yitkin@HuntonAK.com Read the court decision
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Parking Garage Collapse May Be Due to Construction Defect

November 07, 2012 — CDJ STAFF
A parking garage under construction at the Doral campus of Miami Dade College collapsed on October 9. Experts state that the collapse may have been due to errors in the construction process, either in the fabrication of the pre-cast components or in their assembly. The Bradenton Herald quotes Mark Santos, a structural engineer, who “would look at erection procedures – that’s probably the one question to ask first.” During the failure, floors separated from the south wall of the structure. The contractor responsible for the garage, Ajax Building Corp, said there was “no indication of any potential cause.” Read the court decision
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Condo Collapse Spurs Hometown House Member to Demand U.S. Rules

July 19, 2021 — Parker Purifoy - Bloomberg
A Florida congresswoman called for stricter federal building-safety standards on Thursday to prevent a repeat of the condominium collapse that killed at least 60 people and left dozens more missing in her state. Representative Debbie Wasserman Schultz, a Democrat whose congressional district includes the condo development in Surfside, said more buildings could collapse or break down as they age and the federal government needed to have a “minimum floor” of safety requirements. “We do have standards that are tangentially related at the federal level and so I do think it’s important to look into what standards should be adopted at the national level, at a minimum, because this is a tragedy of epic proportions,” she said on Bloomberg Television’s “Balance of Power” with David Westin. “We can’t allow this to ever happen again.” Read the court decision
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Reprinted courtesy of Parker Purifoy, Bloomberg

Insurer's Denial of Coverage to Additional Insured Constitutes Bad Faith

May 21, 2014 — Tred R. Eyerly – Insurance Law Hawaii
The insurer's unreasonable denial of a defense and indemnity to a lessor/additional insured was found to be in bad faith. Seaway Props. v. Fireman's Fund Ins. Co., 2014 U.S. Dist. LEXIS 55998 (W.D. Wash. April 22, 2014). Seaway leased restaurant space to Ciao Bella Food, LLC. In January 10, 2010, the underlying plaintiff was on her way to the restaurant when she attempted to step down from a concrete platform between the building parking lot and the entrance to the restaurant. Seaway's lease gave Ciao Bella the right to use the common areas, including the parking lot, but did not grant Ciao Bella exclusive control over the common areas. The plaintiff suffered injuries and claimed both Ciao Bella and Seaway were liable. Seaway's lease required Ciao Bella to maintain a CGL policy and to name Seaway as an additional insured. Ciao Bella did so by securing a policy with Fireman's Fund. Fireman's Fund had notice of the plaintiff's claim by November 2010. Seaway demanded in March 2012 that Fireman's Fund indemnify and defend it. In September 2012, two years after it first learned of the plaintiff's injury, Fireman's Fund denied coverage, asserting that Seaway was not an insured under the policy. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Boston Team Obtains Complete Defense Verdict for Engineering Firm in Professional Liability Matter

June 08, 2020 — Kenneth Walton & Oliver Vega - Lewis Brisbois
Boston, Mass. (June 5, 2020) - Boston Partner Kenneth B. Walton and Associate Oliver J. Vega recently obtained a complete defense verdict after a 10-day bench trial in the U.S District Court for the District of South Carolina. The plaintiff in this matter, who is the owner of a newly acquired food processing facility, alleged breach of contract and breach of fiduciary duty claims against our client, a Massachusetts engineering firm, arising out of allegedly defective design and construction management services provided during the renovation of and addition to said facility. Reprinted courtesy of Kenneth Walton, Lewis Brisbois and Oliver Vega, Lewis Brisbois Mr. Walton may be contacted at Ken.Walton@lewisbrisbois.com Mr. Vega may be contacted at Oliver.Vega@lewisbrisbois.com Read the court decision
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The Final Frontier Opens Up New Business Opportunities for Private Contractors

August 26, 2024 — Jessica S. Allain - ConsensusDocs
Earlier this year, the U.S. Department of Defense (“DOD”) issued its Commercial Space Integration Strategy. While arguably still in the early stages of implementation, this policy shows a significant shift in creating new opportunities for contractors to work with and sell commercial solutions to DOD. This creates big opportunities for the construction industry. DOD’s current construction budget is over $2.9 billion,[1] and seeking to increase funding and projects with the private sector also increases the need for construction of facilities to house those partnerships. For contractors who may be able to take advantage of these opportunities and the facilities that support them, it is worth having an understanding of what a prospective contractor would need to do to participate and what pitfalls may be attached to these programs. In an effort to call out the elephant in the room, the timing of these policies coming out in the year before an election should not be ignored. While grounded in the 2022 National Defense Strategy and other established departmental policies, a change in administration could create change in how these prospective opportunities are handled. Read the court decision
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Reprinted courtesy of Jessica S. Allain, Jones Walker
Ms. Allain may be contacted at jallain@joneswalker.com

ASCE Statement on Passage of the Water Resources Development Act (WRDA) of 2022

December 26, 2022 — Maria Lehman - American Society of Civil Engineers
WASHINGTON, D.C. – ASCE applauds Congress for passing the bipartisan Water Resources Development Act (WRDA) for 2022, which was included in the National Defense Authorization Act. The legislation authorizes construction for 25 new and existing U.S. Army Corps of Engineers (USACE) water infrastructure projects, including those related to dams, ports and inland waterways, flood risk management, and storm risk reduction. We are encouraged that the biannual reauthorization of WRDA continues to be a congressional priority. ASCE applauds Congress for WRDA 2022 authorizing and establishing several programs dedicated to ensuring that our nation's water resources infrastructure benefits communities across the country. These accomplishments include reauthorizing the National Levee Safety Program; authorizing dredging activity in underserved community harbors; authorizing the USACE to recruit individuals more actively for careers in science, technology, engineering, and math (STEM); and enhancing infrastructure resilience, such as allowing the USACE to incorporate resilience measures into federally authorized hurricane or shore protection projects when performing emergency repairs. ASCE is also pleased to see that WRDA 2022 makes the current federal cost share formula for Inland Waterways Trust Fund projects permanent, with 65 percent coming from the general fund and 35 percent from the Inland Waterways Trust Fund (IWTF). ASCE strongly supports this provision, as it was a key recommendation to raise the nation's "D+" inland waterways grade in the 2021 Report Card for America's Infrastructure. Additionally, ASCE strongly supports provisions in WRDA 2022 that will enhance the safety of the nation's dams and levees, which each received a "D" grade in the 2021 report card. The bill requires the Corps to establish a new National Low-Head Dam Inventory to account for the nation's low-head dams, which can pose significant public hazards. Identifying and monitoring these types of dams nationwide will contribute to the overall safety of the nation's dams and help to save lives. Finally, the reauthorization of WRDA works hand-in-hand with the additional investments made in the Bipartisan Infrastructure Law. This reauthorization shows that infrastructure remains a bipartisan priority. We thank Congress for passing this legislation and look forward to translating these investments to critical water infrastructure system improvements nationwide. ABOUT THE AMERICAN SOCIETY OF CIVIL ENGINEERS Founded in 1852, the American Society of Civil Engineers represents more than 150,000 civil engineers worldwide and is America's oldest national engineering society. ASCE works to raise awareness of the need to maintain and modernize the nation's infrastructure using sustainable and resilient practices, advocates for increasing and optimizing investment in infrastructure, and improve engineering knowledge and competency. For more information, visit www.asce.org or www.infrastructurereportcard.org and follow us on Twitter, @ASCETweets and @ASCEGovRel. Read the court decision
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Big Policyholder Win in Michigan

January 05, 2017 — Jeremiah M. Welch – Saxe Doernberger & Vita, P.C.
Jeremiah Welch and Michael Barrese recently had a big win in front of the Michigan Court of Appeals. The case (Skanska-Schweitzer v. Farm Bureau General Insurance Company of Michigan) involved Skanska’s claim for defense and indemnity from Farm Bureau Ins. Co. of Michigan for an injury to an elementary school student arising out of the removal of playground equipment by a landscaping company, Horrocks. Farm Bureau denied coverage because it claimed that the work was not part of Horrocks’ contract with the project owner and therefore Skanska, the construction manager, did not qualify as an additional insured on the policy. SDV argued that the AI endorsement did not specify that Horrocks’ work be performed as part of its contract with the owner; it only required that the work be performed “for Skanska.” Read the court decision
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Reprinted courtesy of Jeremiah M. Welch, Saxe Doernberger & Vita, P.C.
Mr. Welch may be contacted at jmw@sdvlaw.com

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