Fairfield Connecticut Building Expert Directory

A Compilation of Quirky Insurance Claims

August 13, 2014 — Beverley BevenFlorez-CDJ STAFF
Property Casualty 360 showcased five “nutty claims stories” based upon recollections by several insurance professionals. Number four, subtitled, “The Case of the Soaked Survivalists,” described a claim by an elderly couple who “made a $350,000 water-damage claim after heavy rains and an inadequate sump pump ruined what they described as thousands of ‘valuable items’ in their storage area.” However, a claims adjuster discovered during the investigation that the area in question was actually a bomb shelter built during the Cold War era, and the so-called valuable items were actually “soap, toothpaste, canned goods, and more.” The insurer ended up settling for about $200,000. Read the court decision
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A Court-Side Seat – Case Law Update (February 2022)

March 06, 2022 — Anthony B. Cavender - Gravel2Gavel
It is already early in 2022, but several important environmental cases have already been decided by the federal district and federal appellate courts. THE COURTS OF APPEAL The U.S. Court of Appeals for the Fourth Circuit West Virginia State University Board of Governors v. The Dow Chemical Company, et al. On January 10, 2022, the court decided this case, in which Dow and the other defendants attempted to remove a state groundwater contamination lawsuit to federal court, citing the federal officer removal statute and the presence of a significant federal question. Both the federal district court and the appellate court rejected these arguments and remanded the lawsuit to the state court. For many years, Dow and other parties had been engaged in a RCRA hazardous waste cleanup at an industrial site located in Institute, West Virginia. RCRA permits and corrective action authorizations were issued or supervised by EPA. The plaintiffs complained that the groundwater cleanup, insofar as it affected their property, was deficient, which compelled them to supplement the ongoing federal cleanup with a lawsuit based on West Virginia causes of action and unique to their property. After a careful review of the record, the Fourth Circuit held that the defendants were not acting under the “subjection, guidance or control” of the EPA, and therefore the federal officer removal statute did not apply. Moreover, there was no federal question to resolve as the separate state lawsuit did not challenge a CERCLA cleanup nor did it arise from the RCRA remedial measures that had been taken. 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

California Commission Recommends Switching To Fault-Based Wildfire Liability Standard for Public Utilities

June 25, 2019 — Lawrence J. Bracken II, Sergio F. Oehninger, Paul T. Moura & Alexander D. Russo - Hunton Insurance Recovery Blog
A state-appointed panel advised last week that California should change the standard for determining whether utilities are liable for wildfires. Under the current system, California’s Public Utilities Code § 2106 provides a private right of action by any person or entity that has suffered loss, damages, or injury caused by prohibited or unlawful acts of a public utility. Relying on this statute, property owners have asserted wildfire-related claims directly against allegedly culpable electric utility companies. Public utilities in California also face inverse condemnation claims arising out of wildfires. Under inverse condemnation, where private property is taken for public use and later damaged by the state or its agency, the state or agency is strictly liable to the property owner. In an effort to reduce the financial impact on public utilities resulting from wildfires—as exemplified by Pacific Gas and Electric Co.’s recent filing for Chapter 11 protection in January—the California Commission on Catastrophic Wildfire Cost and Recovery recommended changing the current laws to reflect a fault-based standard. According to the panel, this change would reduce the risk of bankruptcy and decrease the cost of capital. The commission also recommended establishing a wildfire victims’ fund and setting up an electric utility wildfire board to handle the prevention and mitigation of utility-related wildfires. Reprinted courtesy of Hunton Andrews Kurth attorneys Lawrence J. Bracken II, Sergio F. Oehninger, Paul T. Moura and Alexander D. Russo Mr. Bracken may be contacted at lbracken@HuntonAK.com Mr. Oehninger may be contacted at soehninger@HuntonAK.com Mr. Paul may be contacted at pmoura@HuntonAK.com Mr. Alexander may be contacted at arusso@HuntonAK.com Read the court decision
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Unpredictable Opinion Regarding Construction Lien (Reinstatement??)

January 17, 2023 — David Adelstein - Florida Construction Legal Updates
Here comes the discussion of an appeal I was intimately involved in dealing with a construction lien. See Suntech Plumbing and Mechanical Corp. v. Bella Isla, LLC, 2022 WL 14672765 (Fla. 3d DCA 2022). Unfortunately, it was a losing result on my end but not a losing result to the issue at-hand. You should ask what in the world does this mean. I will tell you. Here is the fact pattern. A subcontractor files a construction lien foreclosure lawsuit against an owner for unpaid contract balance. In the same lawsuit, the subcontractor sues the general contractor for breach of contract and unjust enrichment associated with an approximate three-year delay on a construction project. The project was scheduled to be completed in 2019. It was not. The project was pushed into COVID and into 2022. (The subcontractor did not sue the general contractor for amounts subject to the lien foreclosure claim.) The general contractor, assuming the defense of the owner, moved to stay the lawsuit pending the outcome of arbitration based on an arbitration provision in the subcontract. The subcontractor did not dispute the arbitration provision, but argued that arbitration provision should not extend to the owner that was (a) not bound by the subcontract, (b) would not be a party to the arbitration, and (c) the amounts pled against the general contractor did not include the amounts subject of the lien foreclosure lawsuit. At a minimum, the lawsuit should be stayed, not dismissed. Nevertheless, the trial court dismissed the entire lawsuit in an order that states that it is a final order with language that the lien may be “reinstated” after the outcome of the arbitration (that the owner is not a party to). Read the court decision
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Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.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

School District Settles Construction Lawsuit with Additional Million

April 03, 2013 — CDJ STAFF
The southern New York town of Liberty has settled a lawsuit filed by the contractor with an agreement that the school district will pay an additional $1.1 million. Darlind Construction of LaGrangeville, New York had alleged that “errors, omissions, and other defects” in the plans provided to them required additional work. The school project had previously cost the town about $36 million. Darlind Construction’s initial claim had been for $1.6 million. Funds for the settlement will come from monies appropriated for the project, most of which were contributed by the State of New York. Read the court decision
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How to Build a Coronavirus Hospital in Ten Days

April 20, 2020 — Elaine Lee - Gravel2Gavel Construction & Real Estate Law Blog
If the coronavirus pandemic continues to spread in the United States as it has in other countries, drastic expansions of hospital and quarantine facility capacity are likely to be necessary. In the hard-hit Seattle area, several temporary facilities are already under construction, including a 200-bed temporary quarantine and isolation center built on a soccer field. China’s response to the initial outbreak in the city of Wuhan demonstrates how rapidly authorities can add capacity in an emergency. As thousands of citizens became ill with COVID-19, China built two hospitals in Wuhan over the span of just days. Time-lapse videos such as this one show how remarkably quickly the hospitals were built. Construction on the Huoshenshan Hospital (shown in the prior linked video) began on January 23 and finished eight days later. A second hospital, Leishenshan Hospital, began construction on January 25 and finished 12 days later. Square footage information on both hospitals has been inconsistently reported, but Huoshenshan Hospital has a capacity for 1,000 beds, while Leishenshan Hospital has a capacity for 1,600 beds. Read the court decision
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Reprinted courtesy of Elaine Lee, Pillsbury
Ms. Lee may be contacted at elaine.lee@pillsburylaw.com

No Subrogation, Contribution Rights for Carrier Defending Construction Defect Claim

December 23, 2023 — Tred R. Eyerly - Insurance Law Hawaii
The Court held that the insurer defending the additional insured general contractor had no right to equitable subrogation or equitable contribution from a separate carrier who also insured the general contractor as an additional insured. Old Republic Gen. Ins. Co. v. Amerisure Ins. Co., 2023 U.S. Dist. LEXIS 170293 (N.D. Ill. Sept. 25, 2023). Tanger Grand Rapids, LLC hired Rockford Construction Company to build the Tanger Outlet Center. Rockford subcontracted with Kamminga & Roodvoeis, Inc. (K&R) to work on the pavement for the outlet mall. Under the subcontract, K&R agreed to maintain primary commercial general liability insurance for itself, with Rockford as an additionial insured. K&R obtained a policy from Amerisure. For additional paving work, Rockford subcontracted with Michigan Paving & Materials, CP. The subcontract also required Michigan Paving to maintain primary coverage, with Rockford as an additional insured. Michigan Paving obtained a policy from Liberty Mutual. 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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