CAMBRIDGE MASSACHUSETTS BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Liability Policy’s Arbitration Endorsement Applies to Third Party Beneficiaries, Including Additional Insureds

May 11, 2020 — Christopher Kendrick & Valerie A. Moore – Haight Brown & Bonesteel LLP
In Philadelphia Indemnity Ins. Co. v. SMG Holdings, Inc. (No. C082841; filed 12/31/19, ord. pub. 1/28/20), a California appeals court held that a binding arbitration clause in an insurance policy extends to a third party, such as an additional insured. In Philadelphia v. SMG, Philadelphia issued a general liability policy to a youth organization, Future Farmers of America (FFA), that had contracted to use the Fresno Convention Center for its annual convention. The contract required FFA to obtain liability insurance and to name the property manager, SMG, and the City of Fresno, as additional insureds. Philadelphia issued FFA a commercial lines CGL policy with an endorsement affording coverage to “managers, landlords, or lessors of premises” for “liability arising out of the ownership, maintenance or use of that part of the premises leased or rented” to the named insured. It also covered “any person or organization where required by a written contract executed prior to the occurrence” but only for liability arising from the named insured’s negligence. Reprinted courtesy of Christopher Kendrick, Haight Brown & Bonesteel LLP and Valerie A. Moore, Haight Brown & Bonesteel LLP Mr. Kendrick may be contacted at ckendrick@hbblaw.com Ms. Moore may be contacted at vmoore@hbblaw.com Read the court decision
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SunTrust Will Pay $968 Million to Resolve Mortgage Probes

June 18, 2014 — Tom Schoenberg – Bloomberg
SunTrust Banks Inc. (STI) agreed to pay $968 million to resolve federal and state claims that a unit misrepresented the quality of mortgages the bank originated and deceived homeowners on loans it serviced. The agreement covers loans SunTrust Mortgage made from January 2006 through March 2012 that were backed by the Federal Housing Administration even though they didn’t meet agency requirements, the Justice Department said in a statement today. Atlanta-based SunTrust disclosed the agreement in an October regulatory filing and has already accounted for the payment. “SunTrust’s conduct is a prime example of the widespread underwriting failures that helped bring about the financial crisis,” Attorney General Eric Holder said in a statement. “We will continue to hold accountable financial institutions that, in the pursuit of their own financial interests, misuse public funds and cause harm to hardworking Americans.” Read the court decision
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Reprinted courtesy of Tom Schoenberg, Bloomberg
Mr. Schoenberg may be contacted at tschoenberg@bloomberg.net

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Real Estate & Construction News Roundup (2/21/24) – Fed Chair Predicts More Small Bank Closures, Shopping Center Vacancies Hit 15-year Low, and Proptech Sees Mixed Results

March 19, 2024 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
In our latest roundup, office occupancy rates hit all-time lows, global hotel investment to exceed numbers from 2023, federal courts look into real estate commissions, and more!

• Federal Reserve chair Jerome Powell is predicting that more small banks will likely close or merge due to commercial real estate weaknesses. (David Hollerith, Yahoo)
• An industry-shaking lawsuit making its way through the federal court system could upend the long-established way of paying commissions. (Jeff Ostrowski, Bankrate)
• A good retail space is getting harder to find with the vacancy rate for shopping centers nationwide at a 15-year low. (Emily Peck, Axios)

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Reprinted courtesy of Pillsbury's Construction & Real Estate Law Team

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Kiewit Hired as EPC for Fire-Damaged Freeport Gas Terminal Fix

September 19, 2022 — Mary B. Powers - Engineering News-Record
Freeport LNG’s $13.5-billion natural gas liquefaction plant and export terminal in Texas, closed since a June 8 fire and explosion that damaged the facility, said it will not partially reopen until possibly mid-November, and not fully operate until next March—the third delay it has announced. Reprinted courtesy of Mary B. Powers, Engineering News-Record ENR may be contacted at enr@enr.com Read the full story... Read the court decision
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Fourth Circuit Confirms Scope of “Witness Litigation Privilege”

November 21, 2018 — Anthony B. Cavender - Gravel2Gavel
On October 26, in the case of Day v. Johns Hopkins Health Sys. Corp., divided panel of the U.S. Court of Appeals for the Fourth Circuit affirmed the District Court’s ruling that the common law “Witness Litigation Privilege” protects an expert witness in a Black Lung Benefits Act benefits proceeding against civil claims that allege a federal RICO violation and Maryland state law claims for fraud, tortious interference, negligent misrepresentation and unjust enrichment attended the testimony of the expert witness. Read the court decision
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Reprinted courtesy of Anthony B. Cavender, Pillsbury
Mr. Cavender may be contacted at anthony.cavender@pillsburylaw.com

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Construction Defects Claims Can Be Limited by Contract Says Washington Court

February 11, 2013 — CDJ STAFF
The firm Lane Powell has issued a construction law update on the recent Washington Supreme Court decision in Washington State Major League Baseball Public Facility District v. The Baseball Club of Seattle, LP. In the underlying construction defect claim, the Public Facility District found defects in the structural steel at Seattle’s Safeco Field. The contractor, Huber, Hunt & Nichols-Kiewit Construction Company claimed that construction claims could not be made, as it was barred by the statue of repose. Washington State has a six-year limitation on its statute of repose, however, the court noted that the contract contained a clause that, as noted by Lane Powell, “any alleged causes of action automatically accrue at substantial contemplation,” instead of within six years of substantial completion. The court concluded that the statue of repose could be rendered inoperative by contract. Further, the court found that these contract clauses pertained to subcontractors as well. Nevertheless, as PFD is a subdivision of the state, the court found that no statue of limitations could be appled. Read the court decision
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A Court-Side Seat: Clean Air, Clean Water, Endangered Species and Deliberative Process Privilege

April 19, 2021 — Anthony B. Cavender - Gravel2Gavel
The federal courts have issued some significant environmental law rulings in the past few days. THE U.S. SUPREME COURT U.S. Fish and Wildlife Service v. Sierra Club, Inc. On March 4, 2021, the court held that the deliberative process privilege of the Freedom of Information Act shields from disclosure in-house draft governmental biological opinions that are both “predecisional” and deliberative. According to the court, these opinions, opining on the Endangered Species Act (ESA) effects on aquatic species of a proposed federal rule affecting cooling water intake structures—which was promulgated in 2019—are exempt from disclosure because they do not reflect a “final” agency opinion. Indeed, these ESA-required opinions reflect a preliminary view, and the Services did not treat them as being the final or last word on the project’s desirability. The Sierra Club, invoking the FOIA, sought many records generated by the rulemaking proceeding, and received thousands of pages. However, the Service declined to release the draft biological opinions that were created in connection with the ESA consultative process. Read the court decision
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Reprinted courtesy of Anthony B. Cavender, Pillsbury
Mr. Cavender may be contacted at anthony.cavender@pillsburylaw.com

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Want More Transit (and Federal Funding)? Build Housing That Supports It

January 08, 2024 — M. Nolan Gray - Bloomberg
After decades of planning (and $2.1 billion spent), Los Angeles’ newest light rail line opened in October 2022. Joined by geeky rail obsessives and chaperoned children, I rode the K Line on opening day. A blend of underground, elevated and at-grade track, it’s a route only a politician could love. Stations were lavished with public art, and when the train wasn’t stuck in traffic, it glided through the sprawl. Yet one year later, it is Los Angeles’ least-used line, averaging just over 2,000 riders on an average weekday this fall. It isn’t hard to see why: The line begins at a vacant patch in Crenshaw and ends in a low-slung industrial park about six miles away, lined by strip malls the entire way. Walk one block east or west from any given station, and you’ll find yourself amid single-story postwar bungalows on 7,500-square-foot lots — all illegal to redevelop into apartments, thanks to local zoning. The Hyde Park Station deposits riders into a cluster of gas stations and drive-thru fast-food joints. Read the court decision
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Reprinted courtesy of M. Nolan Gray, Bloomberg

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