Sixth Circuit Affirms Liability Insurer's Broad Duty to Defend and Binds Insurer to Judgment Against Landlord
September 07, 2020 —
Michael V. Pepe & Janie Reilly Eddy - Saxe Doernberger & VitaIn a victory for policyholders, the Sixth Circuit affirmed that a landlord’s insurer owed a duty to defend the landlord in a bodily injury claim arising out of a fire that killed three and injured one. The Court held that the insurer breached its duty to defend and was bound to the insured’s $3 million consented judgment.
Transition Investments LLC, an owner of three properties in the Detroit area, purchased a general liability insurance policy with Hamilton Specialty Insurance Company to insure its properties. At one of the properties, a faulty stove started a fire, destroying the building, injuring one person and killing three others. The estates of the deceased and the injured party sued Transition in Michigan state court. In their complaint, the plaintiffs contended that Transition failed to provide a habitable premise and neglected to maintain the property’s stove, which allegedly caused the fire. The plaintiffs argued that Transition’s negligent maintenance of the property led to the fire and the resulting injuries. Transition subsequently tendered the claim to Hamilton. Hamilton claimed that the insurance policy did not cover the fire’s damages and refused to participate in the state court litigation. Ultimately, Transitions entered into a consent judgment with the plaintiffs for $3 million.
Reprinted courtesy of
Michael V. Pepe, Saxe Doernberger & Vita and
Janie Reilly Eddy, Saxe Doernberger & Vita
Mr. Pepe may be contacted at mvp@sdvlaw.com
Ms. Eddy may be contacted at jre@sdvlaw.com
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Remote Trials Can Control Prejudgment Risk
September 07, 2020 —
Robert G. Devine, Victor J. Zarrilli & Kimberly M. Collins - White and Williams LLPWhile courts across the country are largely unavailable to litigants demanding a jury trial, pre-judgment interest rules present an increasing penalty risk to a defendant wanting its day in court and may not always make a plaintiff whole. The COVID-19 pandemic has altered the manner in which people and industries operate across the board. In light of the need to maintain social distancing whenever possible, the use of technology to replace in-person appearances is becoming more commonplace. As more attorneys become comfortable with the remote platform, the willingness to consider a remote trial grows.
With in-person jury trials suspended until further notice, it is important for attorneys and parties to consider the attendant consequences of the indefinite delay in waiting for a traditional jury trial. Aside from general inconvenience, continued delays may have a substantial financial impact, particularly with regard to the accumulation of pre-judgment interest.
Reprinted courtesy of White and Williams LLP attorneys
Robert G. Devine,
Victor J. Zarrilli and
Kimberly M. Collins
Mr. Devine may be contacted at deviner@whiteandwilliams.com
Mr. Zarrilli may be contacted at zarrilliv@whiteandwilliams.com
Ms. Collins may be contacted at collinsk@whiteandwilliams.com
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California Court of Appeal Affirms Trial Court’s Denial of anti-SLAPP Motion in Dispute Over Construction of Church Facilities
March 27, 2023 —
Garrett A. Smee & Lawrence S. Zucker II - Haight Brown & Bonesteel LLPOn February 28, 2023, the California Fourth District Court of Appeal, Division One, issued an opinion in Billauer v. Escobar-Eck (D079835), affirming the trial court’s denial of an anti-SLAPP motion stemming from a public debate over a Church construction project.
The Appellant (Billauer) ran several social media sites as a “neighborhood activist.” The Respondent (Escobar-Eck) ran a land use and strategic planning firm in San Diego. The “All People’s Church” had hired Escobar-Eck’s company in 2019 to obtain City approval for a Church campus. During a Zoom presentation by Escobar-Eck to a Church planning group on November 11, 2020, Billauer, as a participant in the meeting sent a chat to Escobar-Eck stating: “I’m going to make sure you get sent back to where you came from.” Over the span of the next six months, from November 11, 2020 to April 8, 2021, Billauer continued the onslaught through a series of five posts on Instagram and Facebook, attacking Escobar-Eck. On December 10, 2020, Escobar-Eck fired back with a Twitter post to Billauer’s employer, Wells Fargo, labeling Billauer as a cyberbullying racist.
Reprinted courtesy of
Garrett A. Smee, Haight Brown & Bonesteel LLP and
Lawrence S. Zucker II, Haight Brown & Bonesteel LLP
Mr. Smee may be contacted at gsmee@hbblaw.com
Mr. Zucker may be contacted at lzucker@hbblaw.com
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Replacement of Gym Floor Due to Sloppy Paint Job is Not Resulting Loss
January 02, 2024 —
Tred R. Eyerly - Insurance Law HawaiiThe court granted the insurer's motion for summary judgment finding damage to the gym floor due to a poor paint job was not a resulting loss. Bob Robinson Commercial Flooring, Inc. v. RLI Ins,. Co., 2023 U.S. Dist. LEXIS 196105 (D. Ark. Nov. 1, 2023).
Bob Robinson Commercial Flooring (BRCF) submitted a bid to the general contractor, Nabholz Construction Corporation, to install a vinyl athletic floor and striping at a middle school. The job also included the painting of a "Wildcat" logo the main gym floor. Therefore, BRCF's job was to install floors with proper painting and striping. Robert Liles and Robert Lines Parking Lot Services was the subcontractor hired to do the painting and striping. BRCF did not supervise or inspect Liles' work while it was ongoing.
Nabholz informed BRCF that there were problems with the floor painting, including crooked lines, incorrect markings, misplacement of the three point lines for the basketball surface, drips, smudges, etc. The gym floor was eventually rejected due to the nature of the vinyl flooring, once primer and paint were applied, the paint could not be removed and repainted. BRCF had to hire a new subcontractor to remove the flooring, install new flooring and then paint new lines. The cost for removal and replacement was $134,188.95.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Attorneys' Fees Awarded "Because Of" Property Damage Are Covered by Policy
August 29, 2018 —
Tred R. Eyerly - Insurance Law HawaiiThe Ninth Circuit upheld the District Court's decision that the insured Association of Apartment Owners was entitled to coverage for the attorneys' fees incurred [prior post here].Assoc'n of Apartment Owners of the Moorings, Inc. v. Dongbu Ins. Co., Ltd., 2018 U.S. App. LEXIS 20251 (9th Cir. July 20, 2018).
The District Court for the District of Hawaii granted summary judgment to the AOAO, requiring Dongbu to indemnify the AOAO for an award of attorney's fees that an arbitrator ordered the AOAO to pay to the underlying claimants. The claimants prevailed on a claim that their condominium unit incurred water damage due to a common roof leak. Dongbu's policy required it to reimburse those sums that the AOAO was legally obligated to pay as damages because of property damage. The AOAO became legally obligated to pay the claimants' fees once the state court confirmed the arbitration award. Further, the water damage to the home constituted covered property damage under the policy.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Amendments to Federal Rule of Evidence 702 – Expert Testimony
October 30, 2023 —
William L. Doerler - The Subrogation StrategistIn April, the Supreme Court sent a list of proposed amendments to Congress that amend the Federal Rules of Evidence. Absent action by Congress, the rules go into effect December 1, 2023. The proposed amendments affect Rules 106, 615 and, relevant to this article, 702.
Rule 702 addresses testimony by an expert witness. The proposed rule reads as follows (new material is underlined; matters omitted are lined through):
A witness who is qualified as an expert by knowledge, skill, experience, training, or education may testify in the form of an opinion or otherwise if the proponent demonstrates to the court that it is more likely than not that:
- the expert’s scientific, technical, or other specialized knowledge will help the trier of fact to understand the evidence or to determine a fact in issue;
- the testimony is based on sufficient facts or data;
- the testimony is the product of reliable principles and methods; and
- the expert has reliably applied expert’s opinion reflects a reliable application of the principles and methods to the facts of the case.
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William L. Doerler, White and Williams LLPMr. Doerler may be contacted at
doerlerw@whiteandwilliams.com
Nomos LLP Partner Garret Murai Recognized by Best Lawyers®
September 18, 2023 —
Garret Murai - California Construction Law BlogNomos LLP Partner Garret Murai has been recognized by Best Lawyers® in its 30th edition of The Best Lawyers in America® in the area of Construction Law for 2024. This is the the first year Garret has been recognized by Best Lawyers®.
Reprinted courtesy of
Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com
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How the Jury Divided $112M in Seattle Crane Collapse Damages
April 04, 2022 —
Richard Korman - Engineering News-RecordThe jury verdict in a wrongful death lawsuit against companies involved in a 2019 Seattle crane collapse that killed four people split damages among three different companies—and also blamed a fourth firm that wasn't a defendant—but not in a way that matched the state safety fines proposed against the firms.
Reprinted courtesy of
Richard Korman, Engineering News-Record
Mr. Korman may be contacted at kormanr@enr.com
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