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DIRECTORY AND CAPABILITIES

Appeals Court Upholds Decision by Referee in Trial Court for Antagan v Shea Homes

May 10, 2012 — CDJ STAFF

In the case Antangan v. Shea Homes Ltd. Partnership (Cal. App., 2012), Plaintiffs appealed “an order vacating a judgment and entering a modified judgment in their construction defect action against defendants Shea Homes, Inc. and Shea Homes Limited Partnership,” while the Defendant, Shea Homes Limited Partnership (Shea Homes) appealed “an order of the judicial referee denying its motion to strike and tax costs.”



On the Antagon issue, the appeals court concluded that “the trial court did not err by vacating and modifying its judgment so that the cost of referee’s fees would be equally divided by the parties and consistent with a prior stipulation they filed in court.”



On the Shea Homes issue, the appeals court concluded: “1) the judicial referee did not err by ruling that plaintiffs’ offers to compromise (§ 998) were validly served on Shea Homes’ counsel, 2) the offers substantially complied with statutory requirements, 3) the offers were not required to be apportioned, and 4) the referee’s award of $5,000 as costs for a person assisting plaintiffs’ counsel was not an abuse of discretion.” The appeals court affirmed the judgment.



Here is a brief history of the trial case: “Plaintiffs Chito Antangan, Jimmy Alcova and other homeowners brought an action against defendants Shea Homes, Inc. and Shea Homes Limited Partnership for damages alleging that the properties they purchased from these ‘developer defendants’ were defective. Plaintiffs claimed numerous construction defects required them ‘to incur expenses’ for ‘restoration and repairs’ and the value of their homes had been diminished.”



In response, Shea Homes filed a motion for an order to appoint a judicial referee. The motion was granted and it was ruled that “a referee would ‘try all issues’ and ‘report a statement of decision to this court.’”



On May 10, 2010 the judicial referee (Thompson) “awarded plaintiffs damages and various costs, and ruled that ‘Shea Homes shall bear all of the Referee’s fees.’” The latter ruling would become a matter for contention later on.



In July of 2010, the plaintiffs “sought, among other things, $54,409.90 for expert fees, and $14,812.50 for the services of Melissa Fox for ‘exhibit preparation & trial presentation.’ Shea Homes filed a motion to strike and/or tax costs claiming: 1) Fox was a paralegal, 2) plaintiffs were not entitled to attorney’s fees, and 3) the fees for Fox’s services were an indirect and improper method to obtain attorney’s fees. The referee disagreed and awarded $5,000 for Fox’s services. The referee also ruled that plaintiffs had properly served valid offers to compromise (§ 998) on Shea Homes’ counsel in 2009. He said those offers to defendants in the case at that time did not have to be apportioned.”



“Antangan contends the trial court erred when it vacated and modified its original judgment, which ordered Shea Homes to pay all the referee’s fees. We disagree.”



Antagon contended that the trial court erred when it vacated and modified its original judgment regarding Shea Homes paying the referee’s fees. The appeals court disagreed: “A trial court has inherent authority to vacate or correct a judgment that is void on its face, incorrect, or entered by mistake. (§ 473; Rochin v. Pat Johnson Manufacturing Co. (1998),67 Cal.App.4th 1228; Olivera



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No Additional Insured Coverage Under Umbrella Policy

March 12, 2014 — Tred R. Eyerly – Insurance Law Hawaii
The additional insured was not covered under a property policy for an injury occurring after work was completed. Lewark v. Davis Door Servs., 2014 Wash. App. LEXIS 341 (Wash. Ct. App. Feb. 10, 2014). Public Storage, Inc. hired Davis Door Service Inc. to perform work at its facilities. The master agreement required Davis Door to maintain a CGL policy that insured Public Storage "during the entire progress of the work." Davis Door secured a CGL policy with American Economy. It also took out an umbrella liability policy with American States. After Davis Door completed work on a door, Terrie Lewark injury her back opening the door. She sued Public Storage and Davis Door. Lewar and Public Storage settled. Public Storage assigned to Lewark its rights under the umbrella policy with American States. Lewark then sued Davis Door and American States. The trial court found that Public Storage was not an additional insured under the American States umbrella policy. 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

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The Overlooked Nevada Rule In an Arena Project Lawsuit

August 04, 2016 — Scott Van Voorhis – Engineering News-Record
When crunching the numbers on the construction wrap-up program for the T-Mobile Arena project outside Las Vegas, insurance broker Aon Risk Services South allegedly failed to take into account a Nevada workers’ compensation rule, one of many intricate features of the state’s workers’ compensation regulations. Others had apparently missed this aspect of the rule, too. “Many business owners and executives are unaware of this regulation and … are paying more premium to their workers’ compensation carriers than they should be,” warned Bradley Rowe, a commercial insurance broker in Las Vegas, in a blog post in 2014. Two years later, the prime contractor joint venture on the completed $230-million arena is battling in court with Aon, charging the broker with professional negligence and breach of contract, according to court documents filed in U.S. District Court in Nevada. Read the court decision
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Reprinted courtesy of Scott Van Voorhis, Engineering News-Record
You may send questions or comments to enr.com@bnpmedia.com

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Melissa Dewey Brumback Invited Into Claims & Litigation Management Alliance Membership

October 14, 2013 — CDJ STAFF
Melissa Dewey Brumback has been invited to join the Claims & Litigation Management Alliance, an “invitation only” organization of insurance companies, litigation and risk managers, claims professionals, and attorneys. Ms. Brumback, an attorney at Ragsdale Ligget PPLC, has a practice that focuses on construction law and business disputes. Her clients include architects and engineers in construction-related claims. Ms. Brumbuck is respected as an author and lecturer on construction law. The Claims & Litigation Management Alliance comprises the leaders of claims and litigation management. Members are risk and litigation managers, insurance and claims professionals, and corporate and outside counsel. Read the court decision
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BWB&O ranks as a 2025 Best Law Firm by Best Lawyers®

December 10, 2024 — Dolores Montoya - Bremer Whyte Brown & O'Meara LLP
Bremer Whyte Brown & O’Meara, LLP is honored to announce the firm has been recognized for its fifth consecutive year in the 2025 edition of Best Law Firms® and is ranked by Best Lawyers® regionally in three practice areas. To read the publication, please click here. Metropolitan Tier 1 Las Vegas: Litigation – Construction Orange County: Litigation – Construction Metropolitan Tier 2 Orange County: Family Law San Diego: Litigation – Real Estate Read the court decision
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Reprinted courtesy of Dolores Montoya, Bremer Whyte Brown & O'Meara LLP

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Unlicensed Contractors Nabbed in Sting Operation

September 09, 2011 — CDJ STAFF

The California State License Board charged sixteen people in the Fresno area with accepting contracting jobs without licenses. The Statewide Investigative Fraud Team of the CSLB set up a sting operation at a home in Clovis, California seeking bids on tree service, painting, and general contracting services. Those who bid for jobs at more than $500 are required under California law to be licensed. Unlicensed contractors can only work on jobs with a cost to the homeowner of less than $500 and must inform the homeowner that they are not licensed.

In addition to citing contractors for not possessing appropriate licenses, the CSLB also cited contractors for failure to carry workers compensation insurance and illegal advertising. Further, California law limits down payments to the lesser of ten percent or $1,000. Two contractors were cited for requesting excessive down payments.

One contractor, an unlicensed tree service contractor, had been cited previously in a sting operation. He failed to show up for his court date.

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BHA Announces New Orlando Location

September 30, 2019 — Donald MacGregor - Bert L. Howe & Associates, Inc.
Bert L. Howe & Associates, Inc., one of the country’s leading construction forensics and consulting firms has just announced the opening of their second Florida office. Located in Orlando, this new office will join BHA’s existing Miami location, expanding BHA’s presence in the state and increasing the firm’s ability to provide the highest level of services and logistic support to their clients in Central and North Florida, and in particular, the Orlando, Tampa, Jacksonville and Tallahassee markets. Since 1993, BHA has been an industry leader in providing construction consulting and forensic services and has been a trusted partner with builders and insurance carriers, both large and small, across the United States. In Florida, BHA has been providing construction defect, storm, and general construction-claims related forensic expert services for the past decade with a proven track record of successful results. With the addition of new offices in Orlando, Bert L. Howe & Associates, Inc. offers the experience of over 20 years of service to carriers, defense counsel, and insurance professionals as designated experts in over 7,000 claims. BHA’s staff encompasses a broad range of Florida-licensed and credentialed experts in the areas of general contracting and specialty trades, as well as architects, and both civil and structural engineers, and has provided services on behalf of carriers, developers, general contractors and sub-contractors alike. BHA’s new Orlando office is located in the Regions Bank Tower, 111 North Orange Avenue, Suite 800, Orlando FL, 32801. Read the court decision
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Reprinted courtesy of Donald MacGregor, Bert L. Howe & Associates, Inc.
Mr. MacGregor may be contacted at donm@berthowe.com

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Building Materials Price Increase Clause for Contractors and Subcontractors – Three Options

June 21, 2021 — William L. Porter - Porter Law Group
With the arrival of inflation come concerns regarding increases in the price of building materials within the construction industry. Contractors, subcontractors and others who contract to perform construction work can suffer significant losses when the prices they must pay for materials rises significantly between the time they sign the contract and actually purchase the materials. The general rule is that, unless there exists a contract clause allowing contractors or subcontractors to pass significant price increases for materials on to others, contractors and subcontractors are stuck with the price stated in the contract or subcontract. When prices rise, the contractor or subcontractor eats the difference. Rising prices can thus turn a profitable project into a catastrophic failure. How are contractors and subcontractors to protect themselves? Once a contract is executed, there is usually little that can be done to change the document to address rising prices. Effort must therefore turn to future protection. The best technique for dealing with increasing future prices for building materials is by adding a price escalation clause to contracts and subcontracts. While this will not help for past contracts or subcontracts, it can certainly offer significant protection going forward. Read the court decision
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Reprinted courtesy of William L. Porter, Porter Law Group
Mr. Porter may be contacted at bporter@porterlaw.com

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