Seattle Washington Building Expert Directory

No Bad Faith in Insurer's Denial of Collapse Claim

July 15, 2024 — Tred R. Eyerly - Insurance Law Hawaii
The Tenth Circuit affirmed the district court's grant of summary judgment to the insurer on the insured's claims for collapse and bad faith. Christopher M. Wolpert Saddletree Holding, LLC v. Evanston Ins. Co., 2024 U.S. App. LEXIS 10377 (10th Cir. April 30, 2024). On May 7, 2019, Saddletree filed a claim with Evanston for damages sustained to its building which was used as a community events center. After a winter of heavy snowfall, Saddletree discovered that the building's steel support columns had buckled two or more inches and the roof had deflected downward approximately six inches. Evanston retained an engineer to inspect the building. The engineer determined that the damage was the result of the building's inadequate "design and/or construction." Evanston disclaimed coverage under the policy's exclusion for damage caused by "hidden or latent defects" or "any quality in property that causes it to damage or destroy itself." Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Replevin Actions: What You Should Know

November 08, 2021 — Craig H. O'Neill - White and Williams LLP
A 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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Reprinted courtesy of Craig H. O'Neill, White and Williams LLP
Mr. O'Neill may be contacted at oneillc@whiteandwilliams.com

Analysis of the “owned property exclusion” under Panico v. State Farm

March 08, 2011 — Colorado Construction Litigation

The U.S. Court of Appeals for the Tenth Circuit recently concluded that the “owned property exclusion” applied to bar coverage for claims of property damage. See Panico v. State Farm Fire and Cas. Co., 2011 WL 322830 (10th Cir. 2011). In Panico, the plaintiffs sold property in Aspen, Colorado to the Taylors, who sued the Panicos upon discovering the property was not as represented. After refusing to defend, the Panicos sued State Farm for breach of contract. The district court concluded that the Taylors’ claims were not covered under the Panicos insurance policies and granted summary judgment in State Farm’s favor. The U.S. Court of Appeals for the Tenth Circuit affirmed.

Mr. Panico built the house on the property as well as several additions to the house. As the Taylors lived in Florida, they primarily relied on their real estate agent and an inspector to ensure the property was acceptable. According to their complaint, the Taylors discovered that the house was “virtually uninhabitable due to serious design and construction defects, mold, rodents, and drainage problems.” Id. at *1. In their complaint, the Taylors asserted three claims for relief against the Panicos based upon misrepresentation and fraudulent concealment about the condition of the property.

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Reprinted courtesy of Heather M. Anderson of Higgins, Hopkins, McClain & Roswell, LLP. Ms Anderson can be contacted at anderson@hhmrlaw.com

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A Court-Side Seat: A FACA Fight, a Carbon Pledge and Some Venue on the SCOTUS Menu

November 02, 2020 — Anthony B. Cavender - Gravel2Gavel
In this summary of recent developments in environmental and regulatory law, venues are challenged, standing is upheld, statutory exemption is disputed and more. THE U.S. SUPREME COURT Change Must Come from Within … Maryland? As the new term begins, the Court has agreed to review BP PLC v. Mayor and City Council of Maryland, a decision of the U.S. Court of Appeals for the Fourth Circuit which held that a climate change damages case filed against many energy companies must be heard in the state courts of Maryland and not the federal courts. The petitioners argue that the federal office removal statute authorizes such removal, and the Fourth Circuit’s contrary decision conflicts with rulings from other circuit courts. THE FEDERAL COURTS Where Is the Fund in That? On September 25,2020, in U.S. House of Representatives v. Mnuchin, et al., the U.S. Court of Appeals for the District of Columbia held that the lower court should not have dismissed a lawsuit filed by the U.S. House of Representatives challenging the Executive Branch’s transferal of appropriated funds to the Department of Defense to build a physical barrier along the southern border of the United State. The case is More than $8 billion is at stake, a sum that had been transferred from various federal accounts not involved with building the wall. The appeals court held that the lower court should not have dismissed this lawsuit because the House of Representatives had standing to bring this lawsuit even if the U.S. Senate was not involved with this litigation. Accordingly, the case was returned to the lower court for additional findings, with the appeals court noting that the Constitution’s Appropriation’s Clause serves as an important check on the Executive Branch. 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

New OSHA Rule Creates Electronic Reporting Requirement

June 22, 2016 — John K. Baker & Kevin Conrad – White and Williams LLP
The United States Occupational Safety and Health Administration (OSHA) issued a Final Rule revising portions of its Recording and Reporting Occupational Injuries and Illnesses regulations (Recording and Reporting Regulations). The revisions take effect August 10, 2016. Employers subject to the new requirements have until July 1, 2017 to submit electronically the required information for calendar year 2016. OSHA will make electronically-submitted workplace-safety data for each reporting employer available publicly in an online database. Reprinted courtesy of John K. Baker, White and Williams LLP and Kevin Conrad, White and Williams LLP Mr. Baker may be contacted at bakerj@whiteandwilliams.com Mr. Conrad may be contacted at conradk@whiteandwilliams.com Read the court decision
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What If Your CCP 998 Offer is Silent on Costs?

March 18, 2019 — Tony Carucci - Snell & Wilmer Real Estate Litigation Blog
In California, the “prevailing party” in litigation is generally entitled to recover its costs as a matter of law. See Cal. Code Civ. Proc. § 1032. But under California Code of Civil Procedure section 998, a party may make a so-called “offer to compromise,” which can reverse the parties’ entitlement to costs after the date of the offer, depending on the outcome of the litigation. Cal. Code Civ. Proc. § 998. The potential payoff of a 998 offer is that “If an offer made by a defendant is not accepted and the plaintiff fails to obtain a more favorable judgment or award, the plaintiff shall not recover his or her postoffer costs and shall pay the defendant’s costs from the time of the offer.” Cal. Code Civ. Proc. § 998(c)(1) (emphasis added). But how do you determine whether a plaintiff obtained a more favorable judgment when the 998 offer is silent with respect to whether it includes costs? In Martinez v. Eatlite One, Inc. (2018) 27 Cal.App.5th 1181, 1182–83, the defendant made a 998 offer of $12,001 that was silent regarding the treatment of attorneys’ fees and costs. Plaintiff did not respond to the offer, and the jury ultimately awarded plaintiff damages of $11,490. Id. In resolving the parties’ competing memoranda of costs and plaintiff’s motion for attorneys’ fees, the trial court awarded plaintiff her costs and attorneys’ fees. Id. at 1182. The trial court reasoned that plaintiff had obtained a more favorable judgment than the 998 offer because she was entitled to pre-offer costs and attorneys’ fees under the statute, which meant plaintiff’s ultimate recovery exceeded the 998 offer when added to the judgment. Id. at 1183. In other words, the court added plaintiff’s pre-offer costs and attorneys’ fees to the $11,490 verdict for the purposes of determining whether the “judgment” was greater than the 998 offer of $12,001. Id. Read the court decision
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Reprinted courtesy of Tony Carucci, Snell & Wilmer
Mr. Carucci may be contacted at acarucci@swlaw.com

Where Parched California Is Finding New Water Sources

June 13, 2022 — Pam McFarland - Engineering News-Record
As drought-plagued western states watch their water sources literally dry up, California is digging deeper to tap the most basic source of all: groundwater. Reprinted courtesy of Pam McFarland, Engineering News-Record Ms. McFarland may be contacted at mcfarlandp@enr.com Read the full story... Read the court decision
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Court Affirms Duty to Defend Additional Insured Contractor

December 05, 2022 — Tred R. Eyerly - Insurance Law Hawaii
The appellate court affirmed the lower court's ruling that the insurer must defend. Main St. Am. Assurance Co. v. Merchants Mut. Ins. Co., 2022 N.Y. App. Div. LEXIS 5507 (N.Y. App. Div., Oct. 7, 2022). XL Construction Services, LLC was the contractor on a construction project. Timothy J. O'Connor was insured when performing drywall finishing as a self-employee subcontractor on the project. As part of a written indemnification and insurance agreement between the parties, O'Connor was obligated to obtain insurance for the benefit of XL Construction. O'Connor was insured by Merchants Mutual Insurance Company under a policy containing an additional insureds endorsement that provided coverage to a party where required by a written agreement, but "only with respect to liability for 'bodily injury' . . . caused in whole or in part, by . . . [O'Connor's] acts or omissions." The trial court found there was a duty to defend and entered judgment that Merchants Mutual was obligated to provided a defense to XL Construction. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

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