Contractor Definition Central to Coverage Dispute
July 22, 2024 —
Stacy R. Goldscher & Tracy M. Lewis - Wood Smith Henning & BermanHow do you define the term "contractor?" In the case of California Specialty Insulation Inc. v. Allied World Surplus Lines Insurance Company, No. B324805 (2024), the court ultimately honored the reasonable expectations of the insured and ordered that the insurer defend and indemnify in an underlying suit stemming from the policy. This case involves a commercial general liability insurance policy issued by Allied World Surplus Lines Insurance Company (Allied) to California Specialty Insulation, Inc. (CSI). The central issue is whether Allied World is obligated to defend and indemnify CSI against a negligence claim stemming from a construction site accident. The dispute hinges on the interpretation of a policy exclusion for bodily injury to employees of any "contractor," a term not defined in the policy.
Factual Background
In 2017 Air Control Systems. Inc. (Air Control) was contracted to perform improvement work at a Los Angeles building and subsequently hired CSI to install duct insulation. In 2019, Jason Standiford, and Air Control employee, filed a negligence lawsuit against CSI, alleging injuries from a 2017 incident where a CSI employee allegedly drove a scissor lift into a ladder Standiford was on, causing him to fall. CSI requested Allied World to defend it in the Standiford lawsuit. Initially, Allied World accepted the defense, but later withdrew, citing the Contractor Exclusion in the policy. CSI filed for declaratory relief, leading to cross-motions for summary judgment. The trial court ruled in favor of CSI, finding the term contractor ambiguous and construing it in CSI's favor. Allied World appealed the decision.
Reprinted courtesy of
Stacy R. Goldscher, Wood Smith Henning & Berman and
Tracy M. Lewis, Wood Smith Henning & Berman
Ms. Goldscher may be contacted at sgoldscher@wshblaw.com
Ms. Lewis may be contacted at tlewis@wshblaw.com
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Congratulations 2016 DE, NJ, and PA Super Lawyers and Rising Stars
June 02, 2016 —
White and Williams LLPTwenty-one White and Williams lawyers have been named by Super Lawyers as a Delaware, New Jersey, or Pennsylvania "Super Lawyer" while ten received "Rising Star" designations. Each lawyer who received the distinction competed in a rigorous selection process which took into consideration peer recognition and professional achievement. The winners named to this year's Super Lawyer list represent a multitude of practices throughout the firm.
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White and Williams LLP
California Supreme Court Declares that Exclusionary Rule for Failing to Comply with Expert Witness Disclosures Applies at the Summary Judgment Stage
March 01, 2017 —
Bruce Cleeland & Michael J. Worth - Haight Brown & Bonesteel LLPIn Perry v. Bakewell Hawthorne, LLC, 2017 No. S233096, the California Supreme Court held that when a trial court determines an expert opinion is inadmissible because expert disclosure requirements were not met, the opinion must be excluded from consideration at summary judgment if an objection is raised.
Plaintiff Mr. Perry sued defendants Bakewell Hawthorne, LLC and JP Morgan Chase Bank, NA, alleging personal injuries after plaintiff fell at a property owned by Bakewell and leased by Chase. Defendant Chase served plaintiff with a demand for the exchange of expert witness information. Plaintiff made no disclosure. Thereafter, the trial date was continued. Defendant Bakewell subsequently filed a motion for summary judgment. In opposition, plaintiff submitted declarations of two experts opining that the stairs on which plaintiff fell were in disrepair and failed to comply with building codes and industry standards.
Reprinted courtesy of
Bruce Cleeland, Haight Brown & Bonesteel LLP and
Michael J. Worth, Haight Brown & Bonesteel LLP
Mr. Cleeland may be contacted at bcleeland@hbblaw.com
Mr. Worth may be contacted at mworth@hbblaw.com
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Public Housing Takes Priority in Biden Spending Bill
November 15, 2021 —
Kriston Capps - BloombergThe White House narrowed its housing agenda with the latest compromise version of President Joe Biden’s social spending bill, lowering funding levels by half while also shifting the bill’s priorities.
Representative Maxine Waters and her allies had pushed for $327 billion for rental assistance, affordable housing and other progressive priorities in the reconciliation bill. The most recent White House framework for the Build Back Better Act shows that this figure has been cut in half: The new target is $150 billion, with funding for many of the same programs intact.
As a result, the balance of the housing investment has shifted from rental aid to public housing, according to the text of the bill. Funds to repair, replace or build public housing amount to $65 billion, down from a proposed $80 billion yet close to half the total housing package.
The White House describes the housing bill as “the single largest and most comprehensive investment in affordable housing in history.” A fact sheet states that it will build or preserve more than 1 million affordable apartments and homes. Biden’s bill also includes a soft repeal of the Faircloth Amendment, a provision that has banned any net new federal public housing units since 1999. Yet the latest version of the bill will not go as far to fulfill Biden’s promise to expand housing vouchers as a federal entitlement program.
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Kriston Capps, Bloomberg
Port Authority Approves Subsidies for 2 World Trade Project
December 10, 2015 —
David M. Levitt – BloombergThe Port Authority of New York and New Jersey approved subsidies to help expedite the construction of lower Manhattan’s 2 World Trade Center, where Rupert Murdoch’s 21st Century Fox Inc. and News Corp. companies have a tentative deal to move their headquarters from midtown.
Developer Silverstein Properties Inc., which leases the sites for 2 World Trade Center and two other towers from the Port Authority, would receive a rent break that amounts to $9 million over the life of the lease, Authority Director Patrick Foye said, just before the agency board unanimously approved the proposal.
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David M. Levitt, Bloomberg
Skanska Will Work With Florida on Barge-Caused Damage to Pensacola Bay Bridge
October 19, 2020 —
Jim Parsons - Engineering News-RecordFlorida Dept. of Transportation investigators continue to assess damage to the Pensacola Bay Bridge, which sustained multiple impacts from two construction barges unmoored by Hurricane Sally’s storm-driven waves on Sept. 15.
Reprinted courtesy of
Jim Parsons, Engineering News-Record
ENR may be contacted at ENR.com@bnpmedia.com
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Yes, Virginia, Contract Terms Do Matter: Financing Term Offers Owner an Escape Hatch
November 25, 2024 —
Christopher G. Hill - Construction Law MusingsFor this week’s Guest Post Friday, Musings welcomes Timothy R. Hughes, Esq., LEED AP. Tim (@vaconstruction on Twitter) is Of Counsel to the Arlington, Virginia firm of Bean, Kinney & Korman, P.C. In his practice as a business, corporate, and construction law attorney, Tim served as the previous Chair of the Construction Law and Public Contracts Section of the Virginia State Bar. He has served in numerous volunteer, board and leadership roles with such organizations as the Arlington Chamber of Commerce, the Northern Virginia Building Industry Association, Vanguard Services Unlimited, Leadership Arlington, Associated Builders & Contractors (Metro DC and Virginia), and numerous other volunteer and construction trade association activities. A regular speaker and writer, Tim is the lead editor of his firm blog, Virginia Real Estate, Land Use and Construction Law.
A recent Virginia case once again demonstrates that contract terms matter. An unusual financing term allowed the owner of a project a complete escape from any liability on a project despite significant work being performed. The opinion from the Circuit Court of Norfolk involved five separate cases consolidated together, four claims by subcontractors and one by the general contractor Turner. All five cases hinged on an unusual financing clause in Turner’s contract with the other. That provision stated:
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Montana Federal District Court Finds for Insurer in Pollution Coverage Dispute
October 24, 2021 —
Melanie A. McDonald - Saxe Doernberger & VitaApplying Louisiana law, a recent federal court decision exemplifies why policyholders should thoroughly read claims-made policies to understand when notice is due to insurers and truthfully complete policy applications. In Admiral Insurance Company v. Dual Trucking, Inc.,1 the Court determined the insurer, Admiral Insurance Company (“AIC”), owed no duty to defend or indemnify Dual Trucking and Transport, LLC (“DTT”), Dual Trucking of Montana, LLC (“DTM”), and Dual Trucking, Inc. (“DTI”) (collectively, the “Dual Entities”) under two Environmental Impairment Liability Policies (“EIL Policies”) and four Contractor Pollution Liability Policies (“CPL Policies”). The Court justified its decision because the Dual Entities: 1) did not give notice during the 2012-2013 EIL Policy period; 2) had discovered or knew of, but did not disclose, potential pollution conditions before the inception of the 2013-2014 EIL Policy and before the expiration of the extended reporting period of the 2012-2013 EIL Policy; 3) failed to provide AIC with notice during the extended reporting period of the 2013-2014 EIL Policy of claims for which the Dual Entities were seeking coverage; and 4) materially misrepresented known facts on the CPL Policy applications.
I. Factual Background.
The Dual Entities were Louisiana-based companies that provided oilfield equipment rental services. In 2011, the Dual Entities leased land in Montana under three leases, collectively referred to as “the Bainville site.” Shortly afterward, the Dual Entities applied for, and AIC issued, an EIL Policy and two CPL Policies with a policy period of October 1, 2012, to October 1, 2013. AIC renewed all three policies for the October 1, 2013, to October 1, 2014, policy period.
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Melanie A. McDonald, Saxe Doernberger & VitaMs. McDonald may be contacted at
MMcDonald@sdvlaw.com