Delaware “occurrence” and exclusions j(5) and j(6)
June 10, 2011 —
CDCoverage.comIn Goodville Mut. Cas. Co. v. Baldo, No. 09-338 (D. Del. June 2, 2011), claimants condominium association and unit owners sued project developer Rehoboth and general contractor Capano seeking damages because of moisture penetration property damage to common elements and individual units resulting from construction defects. Rehoboth and Capano filed a third party complaint against insured property manager Baldo alleging that, if Rehoboth and Capano were liable to claimants, Baldo was also liable because of Baldo’s failure to properly manage, maintain, and repair the property
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Manhattan Homebuyers Pay Up as Sales Top Listing Price
October 01, 2014 —
Oshrat Carmiel – BloombergManhattan apartment prices rose 4.2 percent in the third quarter, bolstered by buyers who increasingly agreed to pay what sellers were asking or more.
The median sale price of condominiums and co-ops was $908,242, up from $872,000 a year earlier, according to a report today from appraiser Miller Samuel Inc. and brokerage Douglas Elliman Real Estate. The average price per square foot increased 12 percent to $1,270, the third-highest in records dating to 1989, the firms said.
Prices in Manhattan have climbed for four consecutive quarters, encouraging more owners to list properties after an inventory shortage last year. With the number of apartments on the market up 28 percent from the third quarter of 2013, buyers focused on those that were not-too-ambitiously priced, said Jonathan Miller, president of New York-based Miller Samuel.
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Oshrat Carmiel, BloombergMr. Carmiel may be contacted at
ocarmiel1@bloomberg.net
Construction Lien Needs to Be Recorded Within 90 Days from Lienor’s Final Furnishing
March 22, 2018 —
David Adelstein – Florida Construction Legal UpdatesA lienor needs to record its construction lien within 90 days of its final furnishing date. This final furnishing date excludes punchlist, warranty, or the lienor’s own corrective work. A lien recorded outside of the 90-day window will be deemed invalid.
The opinion in In re: Jennerwein, 309 B.R. 385 (M.D. Fla. 2004) provides a good discussion of this 90-day window. This matter dealt with a debtor / owner’s bankruptcy where the owner was contesting the validity of a construction lien by its pool contractor. The owner contended that the lienor’s lien was recorded outside of this 90-day window thus rendering the lien invalid. The bankruptcy court was determining the validity of the lien.
In this matter, the owner hired a swimming pool contractor to construct a pool. On October 25, 2002, the pool contractor installed pavers around the pool. After this was performed, the pool contractor realized the owner was unable to obtain the financing to pay for the pool. As a result, the pool contractor ceased doing any more improvements. But, neither the pool contractor nor the owner terminated the contract. Then, on November 27, 2002, the pool contractor sent a supervisor to the property to inspect the pool (work-in-place), the pool equipment, the installed pavers, made a list of the unfinished work, and remove any debris. On January 27, 2003, the pool contractor recorded its lien.
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David Adelstein, Florida Construction Legal UpdatesMr. Adelstein may be contacted at
dadelstein@gmail.com
Be Careful with Good Faith Payments
February 24, 2020 —
Christopher G. Hill - Construction Law MusingsSometimes doing the expedient thing and what looks good at the time can come back to bite you. Just ask 3M Company.
In Faneuil, Inc. v. 3M Co., the Virginia Supreme Court considered a customer services subcontract between Faneuil and 3M relating to a toll collection contract 3M entered into with ERC. The subcontract had a “pay if paid” clause in it requiring payment to 3M from ERC before ERC was required to pay Faneuil, a written change order provision and a base monthly payment to Faneuil for the services that could be reduced in the event of less than expected toll collections. Further, the subcontract stated that if either party settled 3rd party claims, that settlement would not bind the other party to the subcontract absent consent or Court order.
Faneuil was then alleged to have been required to provide “Special Services” relating to manual identification of license plates and other information necessary for toll billing due to 3M’s alleged failure to provide adequate imaging services. Faneuil requested (without written change order) and 3M promised to pay extra for these services. When 3M was slow to pay for the special services, Faneuil did what you would expect and threatened to stop providing them. Instead of contesting the right to the work, 3m made sporadic “good faith” payments to induce continued Special Services from Faneuil. Eventually 3M’s issues caused ERC to stop payments and thus 3M stopped paying Faneuil. 3M then settled the payment claims with ERC and still failed to pay Faneuil.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Will Protecting Copyrights Get Easier for Architects?
November 28, 2022 —
Scott L. Baker - Los Angeles Litigation BlogLike any creative business, architects rely on their intellectual property. Their designs are at the center of their work. For example, as we discussed in a previous post, many architects nowadays focus on creating new ways for their building designs to be environmentally friendly and sustainable.
However, nearly every form of intellectual property faces the risk of theft or infringement in the business world.
Architects face unique challenges with their copyrights – as well as risks.
Copyright Issues in the Architecture World
One of the biggest issues, of course, is that there are many aspects of building designs that architects
cannot protect by copyright. This is simply because various details are fundamental in the construction of every building. One person cannot own the rights to such a common design.
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Scott L. Baker, Baker & AssociatesMr. Baker may be contacted at
slb@bakerslaw.com
Notice and Claims Provisions In Contracts Matter…A Lot
February 27, 2023 —
David Adelstein - Florida Construction Legal UpdatesTechnical contractual provisions in contracts can carry the day. Whether you like it or not, and whether you appreciate the significance of the provisions, they matter. Notice provisions in a contract mean something. Following the claims procedure in a contract means something. The moment you think they don’t mean anything is the moment they will be thrown in your face and used as a basis to deny your position for additional money or time. You may think these provisions are being used as a “gotcha” tactic. They very well might be. But these are provisions included in the contract you agreed to so you know this risk before any basis for additional money or time even arises.
The recent bench trial opinion in Metalizing Technical Services, LLC v. Berkshire Hathaway Specialty Ins. Co., 2023 WL 385413 (S.D.Fla. 2023) illustrates the reality of not properly complying with such provisions. The keys when dealing with any notice or claims provision, or really any technical provision in your contract, is to (a) negotiate the risk before you sign the contract, (b) chart the provisions so your team know how to ensure compliance, and (c) make sure you comply with them. Period!
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Construction Litigation Roundup: “Based on New Information …”
August 01, 2023 —
Daniel Lund III - LexologyBased on new information … your arbitration award is thrown out!
So said the United States Eleventh Circuit Court of Appeals, affirming a district court’s vacatur of the award based upon the award having been procured by fraud.
The lower court ruled as it did notwithstanding the fact that the action seeking to have the arbitration award vacated was filed and served beyond the three months allowed by the Federal Arbitration Act, 9 U.S.C. 12.
The party attacking arbitration award alleged that during the course of the arbitration hearing, a witness whose testimony was been handled remotely by videoconference was being inappropriately aided: the witness was being instructed remotely – by texting – by the corporate representative for his company, who was entitled to sit in on all portions of the arbitration hearing.
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Daniel Lund III, PhelpsMr. Lund may be contacted at
daniel.lund@phelps.com
Hawaii Supreme Court Finds Subcontractor Has No Duty to Defend Under Indemnity Provision
July 14, 2016 —
Tred R. Eyerly – Insurance Law HawaiiThe Hawaii Supreme Court vacated the decision of the Intermediate Court of Appeals [see prior post here] and determined that a subcontractor did not have a duty to defend the developer upon tender under an indemnify provision in the parties' contract. Arthur v. State of Hawaii, 2016 Haw. LEXIS 155 (June 27, 2016).
A simplified version of the detailed facts and procedural history follows. The case involved the wrongful death of Mona Arthur. Mona typically gardened on the hillside behind her home. She would cross a concrete drainage ditch and climb over a two-foo-high chain length fence to reach the hillside.
Mona was found lying in a concrete ditch with severe head injuries, which ultimately led to her death. Her husband and estate sued for her wrongful death. Claims were asserted for negligence in failing to build a fence higher than two feet, which would have prevented Mona from having access to the garden. Defendants included the Department of Hawaiian Home Lands; Kamehameha Investment Corporation ("KIC"), the developer; Design Partners, Inc., the architect; Coastal Construction Company, the general contractor; and Sato and Associates, the civil engineer. The second amended complaint sought punitive damages against KIC.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com