New York Court Grants Insured's Motion to Dismiss Construction Defect Case and Awards Fees to Insured
February 05, 2024 —
Tred R. Eyerly - Insurance Law HawaiiThe New York Supreme Court granted the insured's motion to dismiss the insurer's complaint seeking relief on its duty to indemnity and awarded fees to the insured. Utica Mut. Ins. Co. v. Crystal Curtain Wall Sys. Corp., 2023 N.Y. Misc. LEXIS 22368 (N.Y. Sup. Ct. Nov. 27, 2023).
The case arose from a construction-related property damage action. Crystal entered a subcontract with the general contractor to design and install window and curtain systems in mixed residential and commercial buildings. When unit owners took possession, water infiltration during a rainstorm caused property damage and moldy conditions.
The unit owners sued asserting claims against Crystal for the cost of repair or replacement of the allegedly defective curtain wall, damage to unit owners' personal property, diminution in value of the units, and delay damages consisting of increasing interest and carrying costs.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Michigan Court Waives Goodbye to Subrogation Claims, Except as to Gross Negligence
March 13, 2023 —
Lian Skaf - The Subrogation StrategistIn Ace American Insurance Company, et. al. v. Toledo Engineering Co., Inc., et. al., No. 18-11503, 2023 U.S. Dist. LEXIS 15222 (Ace American), the United States District Court for the Eastern District of Michigan determined whether insurers could pursue their subrogation claims against the defendants despite a waiver of subrogation in each of the contracts the insured had with the respective defendants. Based on the language of the contracts and the circumstances leading up to the loss, the court held that the insurers could not pursue their subrogation claims – other than their claims for gross negligence – due to waivers of subrogation in the applicable contracts.
In Ace American, the insured, Guardian Industries, LLC (Guardian), retained Toledo Engineer Co., Inc. (TECO) and Dreicor, Inc. (Dreicor) to renovate a glass furnace in the insured’s glass manufacturing plant. Guardian and TECO entered into a contract on December 6, 2016. Guardian and Dreicor entered into a contract on September 29, 2013, that the parties later updated on June 3, 2016. Both defendants began work on the project in the spring of 2017 and were finished with the portion of the work known as the “Cold Tank Repair” prior to the loss.
On June 3, 2017, there was an explosion and fire at the plant that caused significant property damage. The plaintiff insurers (Plaintiffs) made payments in the amount of $80 million and became subrogated to its insured’s rights. Plaintiffs then initiated this action.
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Lian Skaf, White and Williams LLPMr. Skaf may be contacted at
skafl@whiteandwilliams.com
Orange County Home Builder Dead at 93
April 25, 2012 —
CDJ STAFFRandall E. Presley was a homebuilder in Southern California for more than thirty years, acting as head of Presley Development Company from 1956 until selling the firm to Lyon Homes in 1987. The two companies merged in 1991 as the Presley Cos. Mr. Presley saw the need in the 1950s to provide people in Southern California with low- to medium-priced quality homes.
His firm built more than 160 communities and was among the ten largest homebuilding firms in the country, expanding beyond California. Mr. Presley was 93 when he succumbed to pneumonia. He is survived by a wife, three children, seven grandchildren, and 11 great-grandchildren.
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Zetlin & De Chiara Ranked in the Top Tier for Construction Law by Legal 500 USA
June 21, 2021 —
Zetlin & De Chiara LLPZetlin & De Chiara was named a Band 1 Construction Law firm in the United States by the
Legal 500 US in its annual guide.
Described as a "boutique construction law firm with a deep bench and understanding of how a construction project is built and how to address disputes when they happen," Zetlin & De Chiara is routinely involved in projects across the US and internationally. Legal 500 selected Michael Zetlin, Michael De Chiara and Michael Vardaro to the Leading Lawyers list.
Michael De Chiara was praised as an "expert in the field."
Michael Zetlin was lauded for his representation of national and multi-national construction companies as well as premier owners, developers and contractors. Other members of the "very pragmatic" team who were recognized were
Tara Mulrooney and
Jim Terry.
The Legal 500 US 2021 guide is a highly regarded legal directory which annually ranks law firms and legal professionals. It highlights legal teams who are providing the most cutting edge and innovative advice to corporate counsel. Rankings are based on feedback from clients worldwide, submissions from law firms and interviews with leading private practice lawyers.
About Zetlin & De Chiara:
Zetlin & De Chiara LLP provides sophisticated legal and business counsel and advice to members of the construction community across the country including real estate owners and developers, design professionals, construction managers and contractors, and financial institutions.
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Zetlin & De Chiara LLP
Used French Fry Oil Fuels London Offices as Buildings Go Green
December 10, 2015 —
Siobhan Wagner – BloombergPricewaterhouseCoopers LLP’s office above Charing Cross railway station in London is cooled, heated and fueled by an unlikely source: used cooking oil.
The system, which helped the property become the greenest building in the U.K. capital, uses oil refined less than two miles away at London Bridge. It also helps prevent an invisible problem: “fatbergs” formed when oils dumped in drains and pipes congeal with baby wipes and diapers and block the city’s sewers.
“We’re using London’s waste to fuel a London office building,” said Jon Barnes, head of building at PwC. The system contributed toward a one-third reduction in electricity costs after a two-year refurbishment of the One Embankment Place office building that finished last year.
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Siobhan Wagner, Bloomberg
The National Labor Relations Board Joint Employer Standard is Vacated by the Eastern District of Texas
April 22, 2024 —
Andrew G. Vicknair - The Dispute ResolverMany employment laws use the concept of joint employer to make more than one business entity responsible for complying with employment law obligations towards employees who to varying degrees work for, or under the direction of entities who are not technically the employees primary employer. Nowhere is that issue more prevalent than in contractor subcontractor relationships. Over the years the National Labor Relations Board (NLRB) has developed various tests for determining joint employer status. Unless a business entity is an employer of individuals, the NLRB has no jurisdiction over a dispute between the workers and a business entity for whom they work.
It is important for contractors to understand the importance of being an employer and the obligations that flow from such status. Likewise, it is also important to understand when a contractor may be classified as a “joint employer” over certain individuals. Depending on the specific laws involved, such a finding of joint-employer status can happen under the “joint employer doctrine” which often exists in subcontractor and temporary employment arrangements. The “joint-employer doctrine” may render a contractor responsible for another company’s employment liabilities.
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Andrew G. Vicknair, D'Arcy Vicknair, LLCMr. Vicknair may be contacted at
agv@darcyvicknair.com
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
Architectural Democracy – Interview with Pedro Aibéo
July 13, 2017 —
Aarni Heiskanen - AEC BusinessIn this podcast interview with Pedro Aibéo, we discuss Architectural Democracy, a research project, and its practical implementations.
Architectural Democracy started as a doctoral research by Pedro Aibéo, architect and civil engineer. Pedro has been doing his research at Aalto Bim Lab, Aalto University School of Engineering. The project has now grown into a larger working group of researchers and entrepreneurs who are currently putting in practice the developed technologies.
Pedro’s research “aims at investigating possibilities and benefits of combining existing technologies (Smartphones and BIM) in collaboration with government policies, in order to include end-users as participants in the decision making process of the built environment.”
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
info@aepartners.fi