Is Construction Defect Notice under Florida Repair Statute a Suit?
September 03, 2015 —
Beverley BevenFlorez-CDJ STAFFIn Altman Contractors, Inc. v. Crum & Forster Specialty Ins. Co., “the United States District Court for the Southern District of Florida addressed what constitutes a ‘suit’ within the context of Florida’s right-to-repair procedure for construction defect disputes,” according to Keith Moskowitz, Michael Barnes, J. Stephen Berry, and Cynthia Liu of Dentons. The district court “held that a notice under Chapter 558 of the Florida statutes, the ‘notice and repair’ statute, ‘does not constitute a “civil proceeding”’ and thus ‘is not a “suit”’ triggering an insurer’s duty to defend under Altman’s Crum & Forster commercial general liability (CGL) policies.”
The article states that “[w]hether the 11th Circuit affirms the district court’s decision or not, its opinion will be important to insurers questioning when insurance coverage is triggered by an event other than a formal proceeding initiated in a court of law.”
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Fire Raging North of Los Angeles Is Getting Fuel From Dry Winds
June 17, 2024 —
Brian K Sullivan - BloombergA wildfire raging north of Los Angeles has sent smoke billowing south and forced more than 1,000 people to evacuate — and with dry winds raking the hills, the blaze is poised to intensify.
A red flag fire warning has been raised in the area around the Post Fire, which is forecast to be whipped with winds reaching at least 20 miles (32 kilometers) per hour, according to the California Department of Forestry and Fire Protection, commonly called Cal Fire. The flames, which have burned more than 14,000 acres (5,700 hectares), are only about 8% contained and the smoke has prompted air quality alerts in parts of Los Angeles County and Ventura County.
“Crews are working to establish perimeter fire lines around the fire’s edges,” Cal Fire said in a report. “Aircraft are being utilized to halt the fire’s forward progress but are facing challenges due to limited visibility.”
Along with the Post Fire, crews are battling 10 other blazes throughout the state that flared up over the weekend in an ominous start to wildfire season. While California had heavy snow and rain this past winter, that doesn’t mean a respite from fires. The moisture that kept drought away allowed for grasses and brush to grow, meaning more wildfire fuel as California enters its driest months.
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Brian K Sullivan, Bloomberg
Triggering Duty to Advance Costs Same Standard as Duty to Defend
April 11, 2018 —
Tred R. Eyerly - Insurance Law HawaiiInterpreting Hawaii law, the federal district court held that the standard for triggering the duty to defend is the same as the standard for the duty to advance costs under a D&O policy.
Maui Land & Pineapple Co. v. Liberty Ins. Underwriters, 2018 U.S. Dist. LEXIS 56949 (D. Haw. April 3, 2018).
The underlying plaintiffs sued 22 defendants, including Maui Land Pineapple (MLP) and Ryan L. Churchill, concerning a residential development project known as The Ritz-Carlton Club & Residences. The underlying complaint alleged that MLP "directly or indirectly through wholly owned subsidiaries exerts control" over Kapalua Bay, LLC, the defendant in the underlying lawsuit. Kapalua Bay, LLC was created as a joint venture of which MLP held 51%. Churchill was a senior executive officer of MLP, President of Kapalua Bay, and an executive officer of Kapalua Realty, which participated in all aspects of the Project, such as financing, development, and construction.
In their second amended complaint, the underlying plaintiffs alleged nine Counts against the defendants, including breach of fiduciary duty. It was alleged that defendants were not transparent and kept owners in the dark regarding the status of the project. Several allegations named Churchill individually and described his alleged material misrepresentations to the underlying plaintiffs regarding the project's financing.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
ABC Announces Disaster Relief Efforts and Resources Following Hurricane Milton
October 15, 2024 —
ABC - Construction ExecutiveHURRICANE RELIEF
Florida, Georgia, South Carolina, North Carolina, Virginia and Tennessee were hit with
Hurricane Helene, and now Florida is facing additional damage from
Hurricane Milton, which is expected to make landfall on Wednesday, Oct. 9. Damages from Helene have already been catastrophic, and our hearts and prayers go out to all currently affected and those who may be in the path of Milton. Florida Gov. DeSantis has
declared a state of emergency for 51 counties ahead of this impending storm.
Donate to the ABC Cares Foundation via the online portal.
The ABC Florida East Coast chapter and the ABC Cares Foundation Inc. are committed to assisting communities impacted by Hurricanes Helene and Milton. 100% of donations made to the ABC Cares Foundation—an IRS 501(c)(3)—for this purpose will be restricted, directly supporting regional needs, and are 100% tax deductible.
Donate to the American Red Cross through ABC’s donation portal.
Your Red Cross disaster relief gift will help people whose lives have been upended by wildfires, storms, floods and countless other crises. This custom website tracks donations by the ABC community and can be dedicated to a friend or loved one.
Donate
Reprinted courtesy of
ABC, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Time is Money. Unless You’re an Insurance Company
December 02, 2015 —
Garret Murai – California Construction Law BlogBenjamin Franklin may never have been President but he’s better known than most of them. Not least of all for his pithy quotes on a wide range of subjects:
On personal finance – “A penny saved is a penny earned.”
On education – “Tell me and I forget, teach me and I remember, involve me and I learn.”
On getting real – “In this world nothing can be said to be certain, except death and taxes.”
On guests – “Guests, like fish, begin to smell after three days.”
On lawyers – “A countryman between two lawyers is like a fish between two cats.”
On beer – “In wine there is wisdom, in beer there is freedom, in water there is bacteria.”
But if you were to pick one theme that seems to recur the most in Franklin’s quotes, it would be productivity:
“Time is money.”
“By failing to prepare, you are preparing to fail.”
“Never leave that till tomorrow which you can do today.”
“Early to bed and early to rise, makes a man happy, wealthy and wise.”
But, as the next case, Grebow v. Mercury Insurance Company, Case No. B261172, California Court of Appeals for the Second District (October 21, 2015), illustrates, sometimes the most efficient way of doing things may not necessarily be the most financially prudent way of doing things.
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Reprinted courtesy of Garret Murai, Wendel Rosen Black & Dean LLP
Mr. Murai may be contacted at gmurai@wendel.com
2023 Construction Outlook: Construction Starts Expected to Flatten
February 06, 2023 — Garret Murai - California Construction Law Blog
There’s a lot to worry about going into 2023 according to Dodge Data & Analytics in its 2023 Construction Industry Outlook:
- Inflation
- More oil production cuts from OPEC
- Relations between China and Taiwan
- Further escalation of the war in Ukraine
While the immediate forecast is choppy, if things stabilize in the back half of 2023, according to Dodge Data & Analytics, total construction starts in the U.S. should remain flat in 2023. While “flat” may not sound particularly optimistic, it is, when you consider that total construction starts in 2022 were up 17%.
“We’re sitting at 14- to 15-year highs in the Dodge Momentum Index,” stated Richard Branch, Chief Economist at Dodge Data, “so it should provide some semblance of confidence and reassurance that developers and owners are continuing to put projects into the queue despite the fact that we’re concerned about what might happen when interest rates keep rising and the economy slows down in 2023.” Labor shortages will continue to be a big hurdle for the construction industry, according to Branch, but a bright spot is in material prices that peaked in 2021 but generally fell throughout 2022. Read the court decision
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Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com
The Condominium Warranty Against Structural Defects in the District of Columbia
September 07, 2017 — Nicholas D. Cowie - Maryland Condo Construction Defect Law Blog
The District of Columbia Condominium Act contains a statutory warranty that protects condominium associations and their unit owner members from structural defects in newly constructed and newly converted condominiums. The warranty is backed by a condominium developer’s bond, letter of credit, or other form of security from which monies can be drawn upon if the developer fails to make warranty repairs.
This article discusses how the warranty against structural defect works and how to make claims against the developer’s security to fund warranty repairs.
THE CONDOMINIUM WARRANTY AGAINST STRUCTURAL DEFECTS
Condominium developers in Washington DC are required by statute to warrant against structural defects in the condominium common elements and each condominium unit. District of Columbia Condominium Act (“DC Condo Act”) 42-1903.16(b). Read the court decision
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Reprinted courtesy of Nicholas D. Cowie, Cowie & Mott, P.A.
Mr. Cowie may be contacted at ndc@cowiemott.com
North Carolina Soil & Groundwater Case to be Heard by U.S. Supreme Court
April 09, 2014 — Beverley BevenFlorez-CDJ STAFF
In Ashville, North Carolina, property owners have sued CTS Corp for alleged toxic chemicals in the soil and groundwater discovered decades after the company closed its manufacturing plant, according to the Citizen-Times. The contamination wasn’t discovered by the owners until 1999: “That lapse in time will be a primary point of consideration by the U.S. Supreme Court later this month when it hears arguments in a lawsuit brought by 25 Buncombe County property owners against the company.”
Citizen-Times declared that the “issue is a North Carolina law establishing a 10-year ‘statute of repose’ that sets a deadline for filing claims related to environmental pollution in cases involving real property, even if the victims weren't aware of the contamination until long after.” However, the law might be “pre-empted by the federal Comprehensive Environmental Response, Compensation and Liability Act passed by Congress in 1980.” Read the court decision
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