Replevin Actions: What You Should Know
November 08, 2021 —
Craig H. O'Neill - White and Williams LLPA contractor client of White and Williams recently found itself in a prickly situation. They had default terminated a subcontractor on a major commercial project and withheld payment to that subcontractor on an outstanding invoice as permitted under the terms of the subcontract until the project was completed. Clearly irate over being terminated, the subcontractor walked-off of the project with thousands of dollars’ worth of project materials and equipment that had been paid for by the owner. While on some projects this may amount to nothing more than an annoyance or inconvenience, in this case it was a significant problem because some of the wrongfully removed materials were custom manufactured overseas and not easily replaceable. The client therefore needed to take immediate action to retrieve the stolen materials so that the project would not be delayed. Specifically, it needed to file a replevin action against the subcontractor.
A replevin action is a little known but powerful area of the law. In its simplest terms, replevin is a procedure whereby seized goods may be provisionally restored to their owner pending the outcome of an action to determine the rights of the parties concerned. The requirements of a replevin action differ by jurisdiction. For example, in Pennsylvania, the Rules of Civil Procedure devote an entire section to replevin actions and spell out in precise detail the steps that must be taken. While you should be sure to strictly comply with the rules in your jurisdiction, here are a few general points to keep in mind:
- Where to File: A replevin action is typically commenced by filing a complaint in the appropriate jurisdiction. Generally speaking, it is best to file the action in the jurisdiction where the improperly seized materials are being held. If that location is unknown, you can also typically file the action in the jurisdiction where the project is located.
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Craig H. O'Neill, White and Williams LLPMr. O'Neill may be contacted at
oneillc@whiteandwilliams.com
Update Coverage for Construction Defect Claims in Colorado
February 11, 2013 —
Tred R. Eyerly Whether construction defect claims against an insured contractor or subcontractor are covered is undergoing an intense debate in Colorado that is reminiscent of the current coverage battle in Hawaii.
Although I missed the case until recently, the decision in Colo. Pool Sys. v. Scottsdale Ins Co., 2012 Colo. App. LEXIS 1732 (Colo. Ct. App. Oct. 25, 2012), appears to divert from a prior case from the Colorado Court of Appeals, Gen. Sec. Indem. Co. v. Mountain States Mut. Cas. Co., 205 P.3d 529 (Colo. App. 2009). Gen. Security held that faulty workmanship, standing alone, was not an "accident." Gen. Security was heavily relied upon by the Hawaii Intermediate Court of Appeals when it found construction defects arose from breach of contract and were not covered under a liability policy. See Group Builders v. Admiral Insurance Co., 123 Haw. 142, 231 P.3d 67 (Haw. Ct. App. 2010).
In Colo. Pool Sys., Colorado Pool hired subcontractors to construct a poll's concrete shell. After the shell was poured, an inspection noticed that some re-bar was too close to the surface. The owner turned to its general contractor, White Construction Group, and demanded that the pool be removed and replaced. White turned to Colorado Pool, who notified its carrier, Scottsdale.
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Insurance Law HawaiiMr. Eyerly can be contacted at
te@hawaiilawyer.com
Home Improvement in U.S. Slowing or Still Intact -- Which Is It?
May 20, 2015 —
Anna-Louise Jackson – BloombergTwo indexes that gauge U.S. home-remodeling activity suggest a slower pace ahead. Wall Street seems to disagree.
Future market conditions measured by the National Association of Home Builders’ Remodeling Market Index fell to 55.4 in the three months ended March 31 from a record-high of 59.5 in the fourth quarter, data from the group showed Thursday. Similarly, a leading indicator of remodeling work created by Harvard University projects annual growth in home-improvement spending will slow to 2.9 percent by year end from a projected 6.5 percent in the first quarter.
While these measures suggest sluggishness, investors don’t seem to mind. Following a “relatively weak year” for renovations in 2014, “people are warming up to housing again,” said Mike Wood, an analyst in New York at Macquarie Group Ltd.
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Anna-Louise Jackson, Bloomberg
Standard Lifetime Shingle Warranties Aren’t Forever
April 03, 2013 —
CDJ STAFFOlympia Construction’s roofing division explained to the web site Thurston Talk how long “lifetime” warranties on shingles really last. Your lifetime? You’re likely to live out the effective period of your lifetime shingle warranty. They note that 100% coverage of the shingle replacement typically lasts only for ten years (and does not cover removal of the existing defective shingles). After that, coverage continues to decline without covering any of the labor. And this can be significant, since they noted that they have seen cases in which a batch of defective shingles means that every home on the block has a defect claim.
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Sanctions of $1.6 Million Plus Imposed on Contractor for Fabricating Evidence
March 16, 2017 —
Paul R. Cressman, Jr.King County Superior Court issued sanctions of $1,641,721 in favor of Gefco and against Cascade Drilling, Inc. and its President, Bruce Niermeyer, composed of $1,394,435 in attorneys’ fees and $247,286 in expert fees. [i]
Cascade Drilling is a contractor. Gefco manufactures and sells large drilling machinery. The dispute centered around a project that began in 2008. Cascade was hired to drill a water well at a housing development in Wheeler Canyon, California. Cascade used a 50K drilling rig purchased from Gefco. The pump drive shafts on the drilling rig failed four times. After each failure, Cascade ordered a replacement pump drive shaft from Gefco.
In September 2008, Cascade ordered drilling equipment for an unrelated drilling rig from Gefco, but did not pay Gefco. Gefco then sued to collect. Cascade admitted not paying, but asserted counterclaims alleging that Gefco was indebted to Cascade for non-conforming and defective goods, including the replacement pump drive shafts purchased from Gefco for the Wheeler Canyon project.
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Paul R. Cressman, Jr., Ahlers & Cressman PLLCMr. Cressman may be contacted at
pcressman@ah-lawyers.com
Meet the Hipster Real Estate Developers Building for Millennials
October 02, 2015 —
Ben Steverman – BloombergJohn Chaffetz is showing off an apartment building that his development firm, Timberlane Partners, just bought for $7.2 million. He admits it doesn’t look so hot. “This has been treated like a prison camp,” he says of the 32-unit building in Los Angeles’s Echo Park neighborhood. Steel bars stick out of a cinder-block fence, threatening to impale someone. The front door is an ugly metal gate.
But an organic supermarket opened around the corner in November, and a Blue Bottle Coffee just arrived down the block. There’s a farmers market nearby each Friday, and five minutes up Sunset Boulevard is the Silver Lake neighborhood, a nest of hipster cafes and places to buy rare cheese and handmade clothes. Timberlane plans to tear down the building’s security fencing, put terracotta back on the roof, and repair windows that date to its pre-1930 construction. “The goal,” Chaffetz says, “is for this to look like a Moroccan boutique hotel.”
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Ben Steverman, Bloomberg
Environmental Regulatory Provisions Embedded in the Infrastructure Investment and Jobs Act
January 03, 2022 —
Anthony B. Cavender - Gravel2GavelWith the enactment of this important legislation, its impact on environmental regulation and policy will be carefully analyzed by the regulated community. Such a review may be hampered by the fact that the law is not only complex but also very long (over 2000 pages!). The Infrastructure Act is mostly an appropriations and authorization law, but it includes many new policy choices. This is a brief review (which can only scratch the surface of this law) of some of the many environmentally related provisions, which are part of this new law and can be located in the pdf version of the law.
The law is composed of nine separate divisions, which are further divided into separate titles and subtitles. Division A is entitled “Surface Transportation”; Division B is the “Surface Transportation Investment Act of 2021”; Division C is “Transit”; Division D is “Energy”; Division E is “Drinking Water and Wastewater”; Division F is “Broadband”; Division G is “Other Authorizations”; Division H is “Revenue Provisions”; Division I is “Other Matters”; Division J is “Appropriations”; and Division K is “Minority Business Development.”
It is somewhat bewildering on first reading, as befits a law that is expressing the manifold policy decisions made by the Congress.
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Anthony B. Cavender, PillsburyMr. Cavender may be contacted at
anthony.cavender@pillsburylaw.com
Court Again Defines Extent of Contractor’s Insurance Coverage
November 26, 2014 —
Craig Martin – Construction Contractor AdvisorThe ever changing landscape of insurance coverage for contractors continues to be clarified in Texas. The Fifth Circuit Court of Appeals applied Texas law in Crownover v. Mid-Continent Casualty Company, concluding that contractors do have insurance coverage to cover claims that a project was not constructed in a good and workmanlike manner.
In this case, the Crownovers hired a contractor to build a house. The contract contained a warranty-to-repair clause. Shortly after construction was completed, cracks began to appear in the walls and foundation, and there were problems with the heating and air conditioning system. The Crownovers demanded that the contractor repair the problems and the contractor refused. The Crownovers brought an arbitration proceeding against the contractor and prevailed, obtaining a judgment that the contractor must pay for repairs to the foundation and HVAC system. The contractor then filed for bankruptcy and the bankruptcy court allowed the Crownovers to pursue their claim against the contractor’s insurer.
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Craig Martin, Lamson, Dugan and Murray, LLPMr. Martin may be contacted at
cmartin@ldmlaw.com