Hennigh Law Corporation Wins Award Against Viracon, Inc In Defective Gray PIB Case
July 11, 2022 —
Scott Hennigh - Hennigh Law CorporationLOS ANGELES, July 08, 2022 (GLOBE NEWSWIRE) -- Hennigh Law Corporation has announced that, after an over four-year battle in and out of court, a three arbitrator panel issued a 93-page interim award in finding Viracon, Inc., liable for $13,682,840 in direct damages for defrauding the owner of the premier office building in Burbank, California, The Pointe. The matter now enters the second phase, where the arbitration panel will rule on the amount of punitive damages to assess, as well as attorney fees and interest.
Scott Hennigh, trial attorney, states, "The California construction industry is very robust with high standards. The arbitration panel appears to have recognized that California law does not tolerate large out-of-state companies misleading customers. They appear poised to send a message to Viracon about its lack of corporate responsibility."
The premier Class-A office building in Burbank, California, The Pointe, serves high-end tenants in entertainment industries such as Warner Brothers. Constructed in 2009, the 13 exterior curtain wall of the 13-story building is encased in seamless glass panels.
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Scott Hennigh, Hennigh Law CorporationMr. Hennigh may be contacted at
Scott.hennigh@hennighlaw.com
Roni Most, Esq., Reappointed as a City of Houston Associate Judge
November 06, 2023 —
Linda Carter - Kahana FeldYesterday, Roni M. Most, Esq., was reappointed as an Associate Judge for the City of Houston. Mr. Most is the Managing Partner of Kahana Feld’s Houston office, chairs the firm’s Corporate Compliance & Transaction group, and heads the Texas division of Kahana Feld’s National Appellate Strategy & Advocacy group. Mr. Most was first appointed as an Associate Municipal Court Judge of the City of Houston in 2012 and he continues to serve in this position. The Most name has been a fixture in Harris County courts, with Judge Most being a third-generation attorney, his family has advocated for their client’s causes for over five decades.
Mr. Most received his Bachelor of Liberal Arts degree from the University of Texas at Austin and went on to graduate with his J.D. from the South Texas College of Law in 2000. Upon graduating, Mr. Most started The Most Law firm, and then went on to become one of the founding partners of Gerber & Most, PLLC. Mr. Most joined Kahana Feld as a Partner in January 2021. He brings over 20 years of experience in general civil litigation (property & casualty) and appeals, state and federal corporate litigation, collections, construction law, and real estate, as well as providing general business counsel.
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Linda Carter, Kahana FeldMs. Carter may be contacted at
lcarter@kahanafeld.com
First-Time Homebuyers Make Biggest Share of Deals in 17 Years
February 22, 2018 —
Prashant Gopal – BloombergMillennials are playing homeownership catch-up.
First-time buyers rushed into the market last year, making 38 percent of all U.S. single-family home purchases, the biggest share since 2000, data released Thursday by Genworth Mortgage Insurance show. The 2.07 million new or existing homes bought by first-timers was 7 percent more than in 2016, according to the insurer, part of
Genworth Financial Inc.
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Prashant Gopal, Bloomberg
3M PFAS Water Settlement Could Reach $12.5B
July 16, 2023 —
Jim Parsons, Debra K. Rubin3M Co. has offically moved to settle claims of fouled drinking water stemming from the use of so-called “forever chemicals,” striking a deal with U.S. public water systems that could total $10.5 billion to $12.5 billion over 13 years, it said in a June 22 federal filing.
Reprinted courtesy of
Jim Parsons, Engineering News-Record and
Debra K. Rubin, Engineering News-Record
Ms. Rubin may be contacted at rubind@enr.com
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“It Just Didn’t Add Up!”
November 05, 2024 —
Daniel Lund III - LexologyOverturning arbitration awards in court is difficult. One of the few bases for a challenge to an award (under the Federal Arbitration Act, 9 U.S.C. 10(a)(4), as well as most state arbitration laws) is where the arbitrator is alleged to have “exceeded [his/her] powers” afforded the arbitrator by whatever rules and agreements are in place for the arbitration. Obviously, this places a burden on the arbitrator to “color within the lines” when serving as arbitrator and issuing rulings in the case.
“After extensive discovery and a 10-day hearing, the Tribunal rendered a 142-page” award, whereupon the parties both sought to have the arbitrators correct what the parties agreed was an error in the award – increasing the award by $47,710. One of the parties, however, went further, urging that the arbitrators “erroneously included damages for claims related to production revenue” that occurred before a certain date. According to the court, that party was urging that “the Tribunal erred by factoring into its award damages related to Claims 2 and 3, which the Tribunal never substantially addressed.”
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Daniel Lund III, PhelpsMr. Lund may be contacted at
daniel.lund@phelps.com
Lawsuits over Roof Dropped
December 04, 2013 —
CDJ STAFFAn Iowa roofing contractor has dropped its lawsuit over a contract to re-roof a condominium complex. The condominium association has dropped its counterclaim against the roofer. Hansel Construction alleged that the Harbourage Owners Association failed to fulfill the contract’s provisions, which prevented Hansel Construction from fulfilling its contract. Further, Hansel alleged that it had expenses, losses, and damages, as a result of Harbourage’s actions.
In response, Harbourage sued James Hansel. Now, both lawsuits have been dismissed by the parties.
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Significant Victory for the Building Industry: Liberty Mutual is Rejected Once Again, This Time by the Third Appellate District in Holding SB800 is the Exclusive Remedy
December 15, 2016 —
Richard H. Glucksman & Ravi R. Mehta – Chapman Glucksman Dean Roeb & Barger Bulletin I. Elliott Homes, Inc. v. Superior Court (Certified for Publication, Cal. Ct. App. Dec. 2, 2016
The California Court of Appeal for the Third Appellate District recently elaborated on the scope of the Right to Repair Act, commonly known as SB-800 (“Act”). In
Elliott Homes, Inc. v. Superior Court of Sacramento County (Kevin Hicks, et al.) (certified for publication, Cal. Ct. App. Dec. 2, 2016), the Court considered whether the Act (and specifically the Act’s pre-litigation procedure) applies, when homeowners plead construction defect claims based only on common law causes of action, as opposed to violations of the building standards set forth in the Act (
Civil Code §896). The Court answered this question affirmatively.
The homeowners of seventeen (17) single-family homes filed a Complaint against the builder of their homes, Elliott Homes, Inc. (“Elliott”), alleging common law causes of action for construction defects. Elliott filed a motion to stay the litigation on the ground that the homeowners failed to comply with the pre-litigation procedure set forth in the Act. The trial court denied the motion, agreeing with the homeowners that this pre-litigation procedure did not apply because the homeowners had not alleged a statutory violation of the Act. Elliott appealed. The Court of Appeal purely considered the question of whether the Act, including its pre-litigation procedure, applies when a homeowner pleads construction defect claims based on common law causes of action, and not on statutory violations of the Act’s building standards.
To answer this question, the Court analyzed a recent case decided by the Court of Appeal for the Fourth Appellate District:
Liberty Mutual Ins. Co. v. Brookfield Crystal Cove, LLC (2013) 219 Cal.App.4th 98. In this subrogation case, a builder’s insurer asserted common law causes of action (but not statutory building standard violations) alleging construction defects against the builder to recover amounts paid to the homeowner after a sprinkler system failure caused extensive damage to the subject property. The trial court sustained the builder’s demurrer to the Complaint on the ground that it was time-barred under the Act. The Court of Appeal reversed the trial court’s order, holding that common law construction defect claims arising from actual damages are not covered by the Act because “the Act does not provide the exclusive remedy in cases where actual damage has occurred.” (
Liberty Mutual, 219 Cal.App.4th 98, 109).
The
Elliott Court declined to follow
Liberty Mutual, finding that that Court failed to properly analyze the language of the Act. The
Elliott Court analyzed both the statutory scheme and the legislative history of the Act to arrive at the conclusion that common law causes of action for construction defects do indeed fall within the purview of the Act.
According to the
Elliott Court, the Act “broadly applies to
any action seeking recovery of damages arising out of, or related to deficiencies in…residential construction and in such an action, a homeowner’s claims or causes of action shall be limited to violation of the standards set forth in the Act, except as specified.” Further, the Act expressly provides that “no other cause of action for a claim covered by this title or for damages recoverable under Section 944 is allowed.”
Civil Code §943(a). In turn,
Civil Code §944 allows for a recovery for the cost of repairing a building standard violation, or for the cost of repairing any damage caused by such a violation, among other things.
The limited exceptions to the Act’s applicability concern the enforcement of a contract, or any action for fraud, personal injury, or violation of a statute. Civil Code §943(a). Additionally, the Act does not apply to condominium conversions. Civil Code §896.
The Elliott Court explains that apart from these exceptions, the Legislature intended the Act to apply to all construction defect claims (regardless of damage) relating to the construction of residential properties whose sales contracts are signed after January 1, 2003. There is no exception in the Act, express or implied, for common law causes of action.
Next, the Court turns to the Act’s legislative history to buttress this conclusion. This history makes clear that the Act is a legislative response to the California Supreme Court’s holding in
Aas v. Superior Court (2000) 24 Cal.4th 627, that construction defects in residential properties are only actionable in tort when actual property damage manifests. Senate Judiciary Committee hearings indicate that the Act was the product of protracted negotiations between varying interested parties, including construction industry trade groups and consumer protection groups. The Legislature intended (1) to promulgate building standards, violations of which would be actionable, even without damage, and (2) to allow homeowners to recover for actual damage caused by construction defects not covered by the building standards. In other words, the Act was intended to provide homeowners redress regardless of whether damage had manifested.
Therefore, the Court concluded that common law causes of action for construction defects, regardless of damage, are subject to the pre-litigation procedure set forth in the Act. The Court issued a writ of mandate directing the trial court to vacate its earlier order, and to enter a new order granting Elliott’s motion to stay the litigation until the homeowners (and Elliott) have satisfied the pre-litigation procedure of the Act.
II. McMillin Albany, LLC v. Superior Court (2015) 239 Cal.App.4th 1132
Similar to the Third Appellate District Court’s ruling in
Elliott, the Fifth Appellate District Court also rejected the holding of
Liberty Mutual in a matter now pending before the California Supreme Court:
McMillin Albany, LLC v. Superior Court (2015) 239 Cal.App.4th 1132 (review granted and opinion superseded sub nom.
Albany v. Superior Court 360 P.3d 1022). Also similar to
Elliott, in
McMillin a group of homeowners filed common law construction defect claims against the builder of their homes. The builder,
McMillin, moved to stay the litigation pending compliance with the Act’s pre-litigation procedure. The trial court denied the motion, holding that the Act does not apply because the homeowners have not asserted statutory building standard violations contained within the Act.
In reasoning substantially similar to that of
Elliott, the
McMillin Court rejected Liberty Mutual’s holding that the Act is not the exclusive remedy for pursuing construction defect claims, with or without damage. Thus, the
McMillin Court issued a writ of mandate to vacate the trial court’s earlier order and to enter a new order granting McMillin’s motion to stay.
On November 24, 2015, the California Supreme Court granted the homeowners’ petition for review. In August of 2016, briefing was completed and the matter is now awaiting the scheduling of arguments. CGDRB will continue to closely monitor the pending appeal of this matter to the California Supreme Court, as well as all related developments.
Reprinted courtesy of
Richard H. Glucksman, Chapman Glucksman Dean Roeb & Barger and
Ravi R. Mehta, Chapman Glucksman Dean Roeb & Barger
Mr. Glucksman may be contacted at rglucksman@cgdrblaw.com
Mr. Mehta may be contacted at rmehta@cgdrblaw.com
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When is Forum Selection in a Construction Contract Enforceable?
September 29, 2021 —
Christopher G. Hill - Construction Law MusingsIf there is one mantra that is repeated often here at Construction Law Musings, it is that your construction contract will be strictly construed and Virginia Courts will enforce the provisions as written. This rule includes forum selection clauses. For those that aren’t attorneys, this means that absent a statute to the contrary, the parties can pick the location of any litigation or arbitration by contract. However, the timing of signing that contract makes a difference as a relatively recent Eastern District of Virginia case points out.
Marathon Res. Mgmt Grp v. C. Cornell, Inc. examined what happens when work is performed by one party to the contract prior to the execution of the written contract that contains the forum selection provision. In this case, the defendant C. Cornell, Inc. obtained a default judgment in Texas for non-payment by Marathon for painting and cleaning of rooms at Texas A & M University for work invoiced on August 22, 2017, and September 11, 2017. Upon receipt of the garnishment from the Texas Court, Marathon sued C. Cornell in Virginia state court and the defendant removed the case to federal court. Marathon alleged two separate breaches of contract, the first was that C. Cornell violated the forum selection clause of a Master Services Agreement (“MSA”) executed on September 23, 2017. The second was a violation of another clause of the MSA that barred direct communication with any of Marathon’s customers. The second breach was alleged to be by virtue of the garnishment summons to one of Marathon’s customers.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
