Seattle Washington Building Expert Directory

Depreciation of Labor in Calculating Actual Cash Value Against Public Policy

February 16, 2016 — Tred R. Eyerly – Insurance Law Hawaii
The insurer's depreciation of labor in the calculation of actual cash value was found to be against Arkansas public policy. Shelter Mut. Ins. Co. v. Goodner, 2015 Ark. LEXIS 460 (Ark. Dec. 10, 2015). Shelter Mutual's policy provided that it would pay the insured "the actual cash value of all the damaged parts of the covered property." "Actual cash value" was defined as "total restoration cost less depreciation." The policy explained, "When calculating depreciation, we will include the depreciation of the materials, the labor, and the tax attributable to each party which must be replaced to allow for replacement of the damaged part, whether or not that part is damaged." 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

TOLLING AGREEMENTS: Construction Defect Lawyers use them to preserve Association Warranty Claims during Construction Defect Negotiations with Developers

March 07, 2014 — Nicholas D. Cowie – Maryland Condo Construction Defect Law Blog
If properly drafted, a tolling agreement stops, or “tolls,” the running of the statue of limitations and other time periods aplicable to an association’s legal claims while it attempts to negotiate the repair of and/or monetary compensation for construction deficiencies with the developer and other responsible parties. In short, it is a “time -out” that allows and association to preserve its legal claim so it can focus on settling its claims rather than pursing them in court. Too often, condominium associations and homeowner associations (“HOA”) unknowingly allow their legal claims for construction defects to expire during lengthy negotiations with developers and builders. If negotiations fail, the association may turn to a construction defect attorney for legal representation only to find their construction defect legal claims are time barred because the statute of limitations or other legal time period has expired. This article explains how condominium associations and HOAs can avoid this scenario by the use of tolling agreements to preserve their legal claims while engaged in potentially lengthy negotiations with developers to correct construction defects. Read the court decision
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Reprinted courtesy of Nicholas D. Cowie, Maryland Condo Construction Defect Law Blog
Mr. Cowie may be contacted at ndc@cowiemott.com

Coverage for Collapse Ordered on Summary Judgment

November 21, 2022 — Tred R. Eyerly - Insurance Law Hawaii
A collapsed floor in a restaurant was found to be covered. J&J Fish on Center Street, Inc. v. Crum & Forster Spec. Ins. Co., 2022 U.S. Dist. LEXIS 163661 (D. Wis. Sept. 12, 2022). J&J Fish rented property from Vision. Vision was obligated to keep the premises insured under an all-risk policy. Vision was also responsible for maintaining and repairing the property "including the slab flooring exterior walls of the premises." Vision never obtained insurance on the building, but J&J Fish secured a commercial property policy from Crum & Forster. On May 29, 2020, approximately 25% of the building's slab floor, the section beneath the walk-in cooler, collapsed into the crawl space below. Dr. Daniel Wojnowski inspected the crawl space and observed overall dampness as well as a pool of water in the space. He concluded that the collapse occurred because the steel support beams and steel elements of the floor corroded after prolonged exposure to moisture. Based on this report, Crum & Forster denied coverage. J&J Fish sued and the parties moved for summary judgment. 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

AGC Seeks To Lead Industry in Push for Infrastructure Bill

May 01, 2019 — Jennifer Seward - Engineering News-Record
The ongoing call for better infrastructure funding, along with workforce innovation and an enhanced focus on diversity and inclusivity, is taking center stage at the Associated General Contractors of America. The association’s leaders emphasized that these issues are crucial to the industry’s future as more than 2,800 attendees gathered for AGC’s annual convention in Denver April 1-4. Read the court decision
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Reprinted courtesy of Jennifer Seward, ENR
ENR may be contacted at ENR.com@bnpmedia.com

After Elections, Infrastructure Talk Stirs Again

December 04, 2018 — Tom Ichniowski - Engineering News-Record
In the wake of Democrats’ House takeover and Republicans widening their Senate majority in the midterm elections, talk has quickly revived about taking on infrastructure legislation in the new Congress. Construction industry officials welcome the pro-infrastructure rhetoric from congressional leaders and President Trump. But it remains to be seen whether the words will spark a bill that can make it through a divided 116th Congress. Funding the package remains the high hurdle. Read the court decision
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Reprinted courtesy of Tom Ichniowski, ENR
Mr. Ichniowski may be contacted at ichniowskit@enr.com

Preparing For and Avoiding Residential Construction Disputes: For Homeowners and Contractors

September 18, 2023 — Christopher G. Hill - Construction Law Musings
For this week’s Guest Post Friday here at Construction Law Musings, we welcome a great friend. Scott Wolfe Jr. (@scottwolfejr)is a construction attorney in Louisiana, Washington and Oregon, and is the founding member of the construction practice Wolfe Law Group. He authors the Construction Law Monitor. He is also the founder of the mechanic lien and preliminary notice filing service, Zlien, and the author of its Construction Lien Blog. Residential construction disputes come in all shapes and sizes, but very typically have one thing in common: they can get very nasty. This is understandable, especially in today’s economy. The homeowner is spending hard-earned money on something very personal to them, their home. They want it done right. The contractor is working on really tight margins, and with a diligent client. Read the court decision
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

Court Confirms No Duty to Reimburse for Prophylactic Repairs Prior to Actual Collapse

October 28, 2015 — Christopher Kendrick & Valerie A. Moore – Haight Brown & Bonesteel LLP
In Grebow v. Mercury Insurance Company (No. B261172, filed 10/21/15), a California appeals court held that coverage for collapse in a homeowners policy does not extend to prophylactic repairs undertaken to mitigate damage before actual collapse of the structure. In Grebow, the insureds had a general contractor inspect the rear deck of their house because of recurring watermarks. The contractor discovered severe decay in the steel beams and poles supporting the second floor of the house. He opined that they could not support the upper portion of the house, and that a large portion of the house would fall. A structural engineer agreed, blaming decay and corrosion. The insureds were advised not to enter the top part of the house, and they contracted for repairs. They also made a claim to Mercury, which denied coverage. The insureds ultimately spent $91,000 out of pocket having the home remediated. 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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Construction Firm Sues Town over Claims of Building Code Violations

November 06, 2013 — CDJ STAFF
Paradigm Development and Construction LLC has sued Bristol Township, Pennsylvania over the allegation that town building officials colluded with their clients to issue building code violations after Paradigm prepared to sue the clients. John and Patricia Conard hired Paradigm to construct an addition to their home. During the process, the work went through nine inspections before Paradigm stopped work over a payment dispute. Some months later, Bristol Township issued a notice that Paradigm had 37 violations of the building code. Paradigm alleges that the source was a set of photographs provided by the Conards to the building officials. The lawsuit states that Paradigm “was not notified of any construction deficiencies at the Conard property, and was not provided with an opportunity to discuss, defend or refute the allegations of the Municipal Defendants that Plaintiff has violated the Bristol Building code.” The violation notice was withdrawn a few months later. Read the court decision
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