Fairfield Connecticut Building Expert Directory

Is it the Dawning of the Age of Strict Products Liability for Contractors in California?

March 30, 2016 — Garret Murai – California Construction Law Blog
It was the Age of Aquarius. And everything was changing. Politically, socially . . . and legally. Through the 19th Century the doctrine of caveat emptor, literally “let the buyer beware,” was the rule of law. Under the doctrine a buyer was expected to protect him or herself against both obvious and hidden defects in a product. It wasn’t until the late 1800s that U.S. courts began to impose implied warranties – for merchantability and fitness for a particular purpose – to protect consumers. But implied warranties were premised on their being a contract between the manufacturer and the user of a defective product, and by the mid 20th Century it was increasingly uncommon for consumers to purchase products directly from a manufacturer. Read the court decision
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Reprinted courtesy of Garret Murai, Wendel Rosen Black & Dean LLP
Mr. Murai may be contacted at gmurai@wendel.com

Texas Walks the Line on When the Duty to Preserve Evidence at a Fire Scene Arises

October 14, 2019 — Lian Skaf - The Subrogation Strategist
The extent to which a loss scene can be altered before adversaries can legitimately cry spoliation has long been a mysterious battleground in the world of subrogation. In the case of In re Xterra Constr., LLC, No. 10-16-00420-CV, 2019 Tex. App. LEXIS 3927 (Tex. App. – Waco, May 15, 2019), the Court of Appeals of Texas, Tenth District, addressed the question of when a party has a duty to preserve evidence. The court found that the trial court abused its discretion in imposing sanctions on the defendants for the spoliation of evidence as the evidence at issue was already gone by the time the defendants knew or reasonably should have known there was a substantial chance a claim would be filed against them. In this matter, Xterra Construction, LLC, Venturi Capital, Inc. d/b/a Artisan Cabinets and Keith D. Richbourg (collectively, Xterra) leased a commercial space from building owners Daniel Hull and William H. Beazley, Jr. (collectively, Hull) to be used as a woodworking and cabinet making warehouse. On October 18, 2014, there was a fire at the warehouse. By October 20, 2014, Xterra informed its insurance carrier, Cincinnati Insurances Companies (“Cincinnati”) of the loss and Cincinnati’s adjuster, Leann Williams (Williams), met with Keith D. Richbourg (Richbourg) at the site. Williams also hired expert Jim Reil (Reil) to inspect the fire scene to perform a cause and origin investigation. The next day, Williams informed Hull’s attorney that Reil would inspect the scene on October 23, 2014. Hulls attorney, however, did not send anyone to the scene to participate in the inspection. Read the court decision
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Reprinted courtesy of Lian Skaf, White and Williams LLP
Mr. Skaf may be contacted at skafl@whiteandwilliams.com

Bill Seeks to Protect Legitimate Contractors

December 20, 2012 — CDJ STAFF
The California construction industry sees Senate Bill 863 as a needed help to legitimate construction businesses. The bill introduces regulations that will help shut down fraudulent contractors and help reduce workers’ compensation fraud. John Upshaw of the Independent Roofing Contractors of California described the revenue lost to California and other states as “phenomenal,” saying that “we need to continue the coordinated efforts if we are to see true workers’ compensation reform.” Read the court decision
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Sixth Circuit Rejects Claim for Reverse Bad Faith

June 17, 2015 — Tred R. Eyerly – Insurance Law Hawaii
The Sixth Circuit rejected the insurer's claim for reverse bad faith against its insured who made a fraudulent claim after her home was destroyed by fire. State Auto Property and Cas. Ins. Co. v. Hargis, 2015 U.S. App. LEXIS 7475 (6th Cir. April 23, 2015). The insured's home burned to the ground early one morning. She filed what she would later admit was a fraudulent insurance claim with State Auto for approximately $866,000. State Auto paid in excess of $425,000 before filing an action to declare the policy void. State Farm's investigation eventually led to the insured's admission that she had a friend burn down her house to collect insurance proceeds. An indictment was issued and the insured pled guilty. She was sentenced to a 60-month term and was ordered to pay restitution to State Auto totaling $672,497. 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

“License and Registration, Please.” The Big Risk of Getting Busted for Working without a Proper Contractor’s License

July 25, 2021 — Christopher A. Henry & Mia Hughes - ConsensusDocs
The need for contractors to maintain the proper contracting license may seem like a mundane, clerical detail, and generally is just that. If, however, the contractor ignores or mishandles paperwork and the proper license is not in hand, licensing may go from a mundane, clerical detail to a financial catastrophe. An unlicensed contractor may be barred from asserting claims or collecting payments for work already performed; the contractor may even be required to return payments for unlicensed work performed. A recent case in Georgia, a state that had no state-wide general contractor’s license requirement in effect until 2008 illustrates the risk of unlicensed work.[1] In Saks Management and Associates, LLC v. Sung General Contracting, Inc.,[2] the court ruled that without a license the general contractor did not have the right to enforce a contract. The contractor’s claims for payment failed, and the mundane, clerical error led a major financial loss. This disastrous result for the Georgia contractor is far from an outlier, and is a real risk in many states. Reprinted courtesy of Christopher A. Henry, Jones Walker LLP and Mia Hughes, Jones Walker LLP Mr. Henry may be contacted at chenry@joneswalker.com Read the court decision
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Berger: FIGG Is Slow To Hand Over All Bridge Collapse Data

November 12, 2019 — Richard Korman - Engineering News-Record
The Florida International University Tragedy About half an hour before the almost-completed pedestrian bridge collapsed onto a busy Miami-area road last year, killing six people, Denney Pate, the bridge’s engineer-of-record, sent a text to Linda Figg, the chief executive of FIGG Bridge Engineers. Richard Korman, Engineering News-Record Mr. Korman may be contacted at kormanr@enr.com Read the full story... Read the court decision
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More on the VCPA and Construction

February 01, 2023 — Christopher G. Hill - Construction Law Musings
I have posted before regarding the intersection between the Virginia Consumer Protection Act (VCPA) and construction contracting in regard to residential construction projects. A case out of the Eastern District of Virginia District Court further discusses this intersection as it relates to design contracts that also include the procurement and installation of certain design elements post-design. The basic facts of Marcus v Dennis are as follows: In October of 2018, Defendant Marlene Dennis, the owner of Marlene Dennis Design, LLC (“MDD”), operating out of Virginia, entered into a contract to provide design services and the procurement and installation of certain design elements for the Plaintiffs, Gregory and Jamie Marcus, at their Maryland home. The Marcuses agreed to $175 per hour to Dennis with a cap of a total of $100,000.00 for design consultation and furniture selection and procurement. The Marcuses also agreed that they would pay no more than $250,000.00 for furnishings, rugs, artwork, decorative lighting, and accessories. In November 2020, Dennis sent an invoice for $68,000.00 and informed the Plaintiffs that the total contract fees would be more than the $100,000.00 cap. After paying $124,722.41 in design fees, the Plaintiffs received an invoice for $255,5560.72 in January of 2021. Despite the cap of $250,000.00, the Plaintiffs wired $255,000.00 to Dennis while requesting the backup invoices for the material charges. After much effort and a threat of litigation, the Plaintiffs received documents from Dennis showing that Dennis inflated the costs of the materials prior to passing the costs along to the Marcuses. The Plaintiffs’ home was unfurnished and empty as of April 10, 2021, and the Marcuses had to hire and pay another design team over $85,000.00 to finish Dennis’ work. Needless to say, the Marcuses sued both Dennis and her firm for breach of contract, breach of fiduciary duty, and for violation of the VCPA. Dennis moved to dismiss the Complaint. Read the court decision
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

Skyline Cockpit’s Game-Changing Tower Crane Teleoperation

August 21, 2023 — Aarni Heiskanen - AEC Business
In this episode of the AEC Business podcast, host Aarni Heiskanen interviews Zachi Flatto, CEO and co-founder of Skyline Cockpit. The startup offers a tower crane teleoperation, AI monitoring, and autonomous driving system. Zachi discusses the background of Skyline Cockpit, how they make construction safer and more efficient, and what technologies they use. A ground-breaking change in crane operation Zachi Flatto, the CEO and co-founder of Skyline Cockpit, is leading a startup that specializes in providing advanced technology solutions for tower crane operations. The company’s main objective is to eliminate the need for crane operators to climb 100 meters every morning and spend long hours operating the crane from such heights. Zachi firmly believes that in 2023, this traditional practice is no longer necessary. Read the court decision
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Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

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