Cambridge Massachusetts Building Expert Directory

Court Finds Duty To Defend Environmental Claim, But Defense Limited to $100,000

August 14, 2023 — Tred R. Eyerly - Insurance Law Hawaii
While agreeing with the insured there was a duty to defend, the court determined the defense of an environmental claims was limited to $100,000. Casa Nido Partnership v. JAE Kwon, 2023 U.S. Dist. LEXIS 97701 (N.D. Calif. June 5, 2023). In 1976, Casa Nido purchased the property and remains the current owner to this day. Catherine O'Hanks owned and operated a dry-cleaning facility at the property from 1960 to 1992. In August 2016, Casa Nido learned of Tetrachloroethylene (PCE) subsurface contamination. Casa Nido stipulated that it did not know, nor had any reason to know, before 2016, of the existence of the subsurface contamination. Casa Nido alleged that due to equipment malfunction or improper usage, there were sudden and accidental spills and equipment overflows of PCE during the 32-year period that defendant O'Hanks operated the dry-cleaning business on the property. Casa Nido spent hundreds of thousands of dollars remediating the environmental damage. 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

Hudson Tunnel Plan Shows Sign of Life as U.S. Speeds Review

April 19, 2021 — Elise Young - Bloomberg
The U.S. Transportation Department has committed to finishing an environmental review for a new Hudson River rail tunnel, after a three-year delay helped prevent the groundbreaking of one of the nation’s most urgently needed infrastructure projects. The evaluation of the new commuter link between New Jersey and New York City will be finished by May 28, according to an update to the federal government’s online permitting dashboard. If the study is cleared, the $11.6 billion Gateway project could potentially qualify for partial federal funding. Transportation Secretary Pete Buttigieg last month told lawmakers that the tunnel is among President Joe Biden’s priorities. Biden on Wednesday introduced a $2 trillion infrastructure plan, fed by a tax increase on the wealthy, that he called a “once-in-a-generation investment in America.” The proposal calls for rebuilt bridges and highways, a shift to cleaner energy and boosts for mass transit. Read the court decision
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Reprinted courtesy of Elise Young, Bloomberg

No Indemnity After Insured Settles Breach of Implied Warranty of Habitability Claims

June 09, 2016 — Tred R. Eyerly – Insurance Law Hawaii
Applying Illinois law, the federal district court ruled that there was no coverage for the insured's settlement of claims based upon breach of the implied warranty of habitability. Allied Prop. & Cas. Ins. Co. v. Metro North Condo. Ass'n, 2016 U.S. Dist. LEXIS 43452 (E.D. Ill. March 31, 2016). Metro North sued the developer of its condominium and a number of its contractors and subcontractors for defective construction that caused various problems, including water infiltration. One subcontractor, CSC, was to provide window and glazing services. After a rainstorm, water infiltrated the project due to CSC's work. Metro North claimed that CSC was liable for breach of the implied warranty of habitability. 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

Resurgent Housing Seen Cushioning U.S. From World Woes: Economy

January 28, 2015 — Steve Matthews – Bloomberg
(Bloomberg) -- Real estate developer Crescent Communities in Charlotte, North Carolina, expects to sell 1,000 new homes this year across the Southeast U.S. and Texas, double the number of two years ago. “Demand is the strongest since the recession” that ended in June 2009 and stemmed from the collapse in housing, said Chief Executive Officer Todd Mansfield. “The economy is getting better and the labor market is getting better.” Read the court decision
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Reprinted courtesy of Steve Matthews, Bloomberg
Mr. Matthews may be contacted at smatthews@bloomberg.net

Michigan Claims Engineers’ Errors Prolonged Corrosion

June 30, 2016 — Richard Korman & Erin Richey – Engineering News-Record
Only a few months ago, Michigan’s state agencies stood at the center of a circle of blame for the Flint water crisis. A special advisory task force had condemned the state’s use of an emergency manager to make key decisions about the city, including, in 2014, the money-saving switch of the water source from Lake Huron to the Flint River and the state Dept. of Environmental Quality’s slow response to citizen reports of smelly, discolored water. On June 22, Michigan Attorney General Bill Schuette started working to expand the circle via a new lawsuit in a Genesee County state court, accusing engineers Veolia N.A. and Houston-based Lockwood, Andrews & Newnam (LAN) and its parent company, Leo A Daly Co., of professional negligence. Reprinted courtesy of Richard Korman, Engineering News-Record and Erin Richey, Engineering News-Record Mr. Korman may be contacted at kormanr@enr.com Read the court decision
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Just Decided – New Jersey Supreme Court: Insurers Can Look To Extrinsic Evidence To Deny a Defense

September 05, 2022 — Randy J. Maniloff - White and Williams LLP
Last week, the New Jersey Supreme Court decided Norman International, Inc. v. Admiral Insurance Company, No. 086155 (N.J. Aug. 11, 2022). At issue was coverage for a work-site injury and the interpretation of a policy exclusion for operations or activities performed by an insured in certain counties in New York. The case is significant in terms of addressing causation for purposes of the application of exclusions. But the more wide-reaching issue has nothing to do with the scope of the exclusion. The real story from Norman is the New Jersey high court’s pronouncement that an insurer, in certain circumstances, can use extrinsic evidence to deny a defense to its insured. New Jersey duty to defend law has been a jungle land and in need of more supreme court guidance. Read the court decision
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Reprinted courtesy of Randy J. Maniloff, White and Williams LLP
Mr. Maniloff may be contacted at maniloffr@whiteandwilliams.com

Housing Buoyed by 20-Year High for Vet’s Loans: Mortgages

July 23, 2014 — Prashant Gopal and Jody Shenn – Bloomberg
During his third deployment in Afghanistan, Air Force Staff Sgt. Claude Hunter was so eager to return to the U.S. and buy a house that he signed a contract for a property that his agent showed him over Skype. Hunter got back in time to close the deal, paying $219,000 in May for the four-bedroom Waldorf, Maryland, house that he financed with a U.S. Department of Veterans Affairs mortgage. It didn’t require a down payment. “On Facebook, my friends have started posting: ‘I got my VA loan, I got my house,’” said Hunter, 31. “Everybody is just ready. A lot of them have done their jobs overseas and are coming home.” America’s fragile housing recovery is getting a boost from military buyers using VA mortgages as the U.S. draws down troops after more than a decade of combat in Iraq and Afghanistan. About 4.7 million full-time troops and reservists served during the wars and many are now able to take advantage of one of the easiest and cheapest paths to homeownership. The program’s share of new mortgages, at a 20-year high, is also increasing as other types of government-backed loans have grown more costly. Mr. Gopal may be contacted at pgopal2@bloomberg.net; Ms. Shenn in New York at jshenn@bloomberg.net Read the court decision
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Reprinted courtesy of Prashant Gopal and Jody Shenn, Bloomberg

Damage Caused Not by Superstorm Sandy, But by Faulty Workmanship, Not Covered

December 10, 2024 — Tred R. Eyerly - Insurance Law Hawaii
The federal district court adopted the Report and Recommendations (R&R) of the magistrate judge, finding there was no coverage for faulty workmanship in replacing a roof for an apartment complex. Burlington Ins. Co. v. PCGNY Corp., 2024 U.S. Dist. LEXIS 167814 (S.D. N. Y. Sept. 16, 2024). Skyline Restoration was hired by the apartment complex to replace the apartments' roofs. Skyline subcontracted with PCGNY Corporation. The roofs were later damaged during Superstorm Sandy. Defendant Affiliated FM Insurance Company ("Affilliated"), a subrogee of the owner of the apartment complex, sued Skyline for defective, faulty and unworkmanlike removal and replacement of the roofs. Skyline filed a Third-Party Complaint against PCGNY. Plaintiff Burlington Insurance Company filed this coverage action against Skyline, Affiliated, PCGNY and others seeking a declaration that it had no duty to defend and/or indemnify PCGNY and/or Skyline, and that it was permitted to withdraw from the defense of PCGNY. Burlington filed a motion for summary judgment. The motion was referred to the magistrate judge who recommended that Burlington be granted a declaration that it had no duty to defend or indemnify PCGNY or Skyline and that it be allowed to withdraw from the defense of PCGNY in the underlying case. 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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