Colorado Homes Approved Despite being Too Close Together
January 22, 2014 —
Beverley BevenFlorez-CDJ STAFFABC 7 reported that more than a dozen homes in Adams County, Colorado were inspected and approved by Building and Safety despite being built too close together. The problem was discovered by an inspector who cited a new home for being “4 inches too close to adjoining property.” Jim Williamette, the Adams County Chief Building Official told ABC 7, “It’s a fire issue for the separation of buildings.”
The county may have solved the issue, according to ABC 7. Williamette stated that the properties “will be modified with fire-resistant windows” and combined with the “already-installed fire-resistant siding, the windows will satisfy the international building code.” Currently, the parties are in verbal agreement, and a “signed design proposal” is expected no later than January 21st.
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Does a No-Damage-for-Delay Clause Also Preclude Acceleration Damages?
January 27, 2020 —
Ted R. Gropman & Christine Z. Fan - ConsensusDocsConstruction contracts often include a “no damage for delay” clause that denies a contractor the right to recover delay-related costs and limits the contractor’s remedy to an extension of time for noncontractor-caused delays to a project’s completion date. Depending on the nature of the delay and the jurisdiction where the project is located, the contractual prohibition against delay damages may well be enforceable. This article will explore whether an enforceable no-damage-for-delay clause is also a bar to recovery of “acceleration” damages, i.e., the costs incurred by the contractor in its attempt to overcome delays to the project’s completion date.
Courts are split as to whether damages for a contractor’s “acceleration” efforts are distinguishable from “delay” damages such that they may be recovered under an enforceable no-damage-for-delay clause. See, e.g., Siefford v. Hous. Auth. of Humboldt, 223 N.W.2d 816 (Neb. 1974) (disallowing the recovery of acceleration damages under a no-damage-for-delay clause); but see Watson Elec. Constr. Co. v. Winston-Salem, 109 N.C. App. 194 (1993) (allowing the recovery of acceleration damages despite a no-damage-for-delay clause). The scope and effect of a no-damage-for-delay clause depend on the specific laws of the jurisdiction and the factual circumstances involved.
There are a few ways for a contractor to circumvent an enforceable no-damage-for-delay clause to recover acceleration damages. First, the contractor may invoke one of the state’s enumerated exceptions to the enforceability of the clause. It is helpful to keep in mind that most jurisdictions strictly construe a no-damage-for-delay clause to limit its application. This means that, regardless of delay or acceleration, courts will nonetheless permit the contractor to recover damages if the delay is, for example, of a kind not contemplated by the parties, due to an unreasonable delay, or a result of the owner’s fraud, bad faith, gross negligence, active interference or abandonment of the contract. See Tricon Kent Co. v. Lafarge N. Am., Inc., 186 P.3d 155, 160 (Colo. App. 2008); United States Steel Corp. v. Mo. P. R. Co., 668 F.2d 435, 438 (8th Cir. 1982); Peter Kiewit Sons’ Co. v. Iowa S. Utils. Co., 355 F. Supp. 376, 396 (S.D. Iowa 1973).
Reprinted courtesy of
Ted R. Gropman, Pepper Hamilton LLP and Christine Z. Fan, Pepper Hamilton LLP
Mr. Gropman may be contacted at gropmant@pepperlaw.com
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140 Days Until The California Consumer Privacy Act Becomes Law - Why Aren't More Businesses Complying?
September 09, 2019 —
Kyle Janecek and Jeff Dennis – Newmeyer DillionCalifornia, for better or for worse, has a reputation as being a trendsetter, and has taken the lead in the United States by passing the "California Consumer Privacy Act," or "CCPA." This massive law has been on the books since 2018, but hasn't taken effect yet. However, the timeframe for businesses to be in compliance is rapidly diminishing. Currently, there are less than five months for businesses to (a) familiarize themselves with what the law requires; (b) determine how and if they are affected by the law; and (c) determine how to be in compliance with the law's demands. Right now, companies aren't making a rush to become CCPA compliant, but this is a mistake. Below are a few of the misconceptions that businesses have, as well as the realities.
MISCONCEPTION 1: It doesn't apply to my company.
For many businesses, it will apply. The baseline of the CCPA is: (1) does the business do anything with California residents (including employees); (2) is it for-profit; and (3) it either has $25 million annual revenue, "sells" 50,000 pieces of personal information or receives 50% or more of its revenue from personal information.
It does not matter if the business is in Nevada, Arizona, Texas or Delaware. So long as there is some connection to Californian residents, exists to make a profit, and otherwise satisfies either the profit, volume, or revenue percentage requirements, it applies. On that note, even if a business does not sell personal information, it does not mean it does not "sell" personal information under the law, as it includes any exchange of personal information for valuable consideration, such as the exchange of consumer data between companies, or the sale of information to a University for study.
MISCONCEPTION 2: The Federal Government will stop it.
One of the main reasons we have the CCPA is because the Federal Government has not acted on this issue. Furthermore, there is a high likelihood that any Federal law will not be substantially different from the CCPA, keeping the core principles in place. It's also unlikely that such a law will take effect and be passed in the remaining five months before the CCPA begins enforcement. Companies must accept that ideals of transparency, choice, consent and reasonable security as they relate to consumers' personal information are here to stay.
MISCONCEPTION 3: California is still changing the law, so I should wait.
California is still in the process of fine-tuning the CCPA, but this is no reason to wait. Fixes to questions arising regarding the CCPA have come out piecemeal, and continued changes, including expansions are likely. For example, employees were previously not addressed specifically within the CCPA, but are being addressed in the planned AB 25, excluding employees from some of the CCPA's protections. Conversely, there have also been planned provisions to expand on the protections and enforcement mechanisms of the CCPA, including a broad and expansive private right of action to permit individuals to sue for technical violations of the statute, like having to wait too long for a response to the demand, even if no actual damage is suffered. Again, the foundational requirements of the CCPA will not change via amendment – so companies should act now.
MISCONCEPTION 4: It's too expensive.
Actually no. Many of the basic actions are not cost-prohibitive, and are actions a business would want to do anyways: (a) Employee training to avoid data breaches and how to respond to user requests; (b) data mapping to quickly find, access, and arrange protections for consumer data; and (c) ensuring you have reasonable cyber security. This can even be turned into a competitive advantage, as consumers increasingly value companies that share their interests, including their privacy.
A compliance mistake could be extraordinarily costly. Currently, a violation for statutory violations of the CCPA can carry a penalty between $2,500 to $7,500 per individual violation. Furthermore, there is a private right of action with statutory damages of $100 to $750 per individual violation that could quickly balloon to exceed $5 million at a minimum, and invites class action/lawsuits for a data breach.
While this is true of almost every legal risk, an ounce of prevention is worth a pound of cure. The penalties on the higher end of the spectrum are for willful violations, and attempts to comply with the law can act to curb potential risks.
What Should I Do?
If you feel CCPA compliance is important to your business, and decide to prepare for the CCPA with us, our firm has created a 90-day CCPA compliance program where our team will collaborate with you to determine a scalable, practical, and reasonable way for you to meet your needs, without breaking the bank. Let us provide you a free initial consultation to see if our CCPA compliance program works for you.
Kyle Janecek is an associate in the firm's Privacy & Data Security practice, and supports the team in advising clients on cyber related matters, including policies and procedures that can protect their day-to-day operations. For more information on how Kyle can help, contact him at kyle.janecek@ndlf.com.
Jeff Dennis is the head of the firm's Privacy & Data Security practice. Jeff works with the firm's clients on cyber-related issues, including contractual and insurance opportunities to lessen their risk. For more information on how Jeff can help, contact him at jeff.dennis@ndlf.com.
About Newmeyer Dillion
For 35 years, Newmeyer Dillion has delivered creative and outstanding legal solutions and trial results that align with the business objectives of clients in diverse industries. With over 70 attorneys working as an integrated team to represent clients in all aspects of business, employment, real estate, privacy & data security and insurance law, Newmeyer Dillion delivers tailored legal services to propel clients' business growth. Headquartered in Newport Beach, California, with offices in Walnut Creek, California and Las Vegas, Nevada, Newmeyer Dillion attorneys are recognized by The Best Lawyers in America©, and Super Lawyers as top tier and some of the best lawyers in California and Nevada, and have been given Martindale-Hubbell Peer Review's AV Preeminent® highest rating. For additional information, call 949.854.7000 or visit www.newmeyerdillion.com.
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Wine without Cheese? (Why a construction contract needs an order of precedence clause)(Law Note)
August 11, 2011 —
Melissa Brumback, Construction Law in North CarolinaFor today’s law note, I’m addressing a comment that came to me last week from Dave O’Hern of Miller O’Hern Construction. Dave writes:
I am a general contractor doing a fuel tank replacement project for our county. In the specifications there is a spec for a UL 142 tank, on the plans the spec references UL 2085 ? a much more expensive tank. My subcontractor bid the UL 142 tank. The specifications state that the specs and plans are on the same level of precedence.
The county wants me to furnish the more expensive tank without compensation citing the clause that states the plans and specs are complementary and what is called for by one is binding as if called by all and the most stringent requirement will apply.
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Reprinted courtesy of Melissa Brumback of Ragsdale Liggett PLLC. Ms. Brumback can be contacted at mbrumback@rl-law.com.
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Self-Storage Magnates Cash In on the Surge in Real Estate
August 06, 2014 —
Hui-yong Yu – BloombergKelsey Smith is a single mother who works as a waitress in Midvale, Utah, and lives with a roommate in a small apartment in the Sugar House neighborhood of Salt Lake City. Smith, 26, pays $500 a month for daycare for her 3-year-old, which makes it hard to get by on a waitress’s pay. She says she’s had to move to cheaper lodgings six or seven times.
Rather than drag all her belongings with her, Smith rents a 10-foot-by-15-foot (3-meter-by-5-meter) self-storage unit, for which she pays $80 a month -- as much as two shifts’ worth of wages and tips. The unit contains furniture and other items she’s accumulated over the years -- “just the things you’d need if you had a home,” she says. “People don’t want to let go.”
Millions of Americans are like Kelsey Smith, Bloomberg Markets magazine will report in its September issue. They’ve got furniture and old photos, children’s toys and bric-a-brac that they’re loath to give up, yet they can’t find a place for it in their homes, garages or apartments.
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Hui-yong Yu, BloombergHui-yong Yu may be contacted at
hyu@bloomberg.net
Insurer's Denial of Coverage to Additional Insured Constitutes Bad Faith
May 21, 2014 —
Tred R. Eyerly – Insurance Law HawaiiThe insurer's unreasonable denial of a defense and indemnity to a lessor/additional insured was found to be in bad faith. Seaway Props. v. Fireman's Fund Ins. Co., 2014 U.S. Dist. LEXIS 55998 (W.D. Wash. April 22, 2014).
Seaway leased restaurant space to Ciao Bella Food, LLC. In January 10, 2010, the underlying plaintiff was on her way to the restaurant when she attempted to step down from a concrete platform between the building parking lot and the entrance to the restaurant. Seaway's lease gave Ciao Bella the right to use the common areas, including the parking lot, but did not grant Ciao Bella exclusive control over the common areas. The plaintiff suffered injuries and claimed both Ciao Bella and Seaway were liable.
Seaway's lease required Ciao Bella to maintain a CGL policy and to name Seaway as an additional insured. Ciao Bella did so by securing a policy with Fireman's Fund. Fireman's Fund had notice of the plaintiff's claim by November 2010. Seaway demanded in March 2012 that Fireman's Fund indemnify and defend it. In September 2012, two years after it first learned of the plaintiff's injury, Fireman's Fund denied coverage, asserting that Seaway was not an insured under the policy.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
"Ongoing Storm" Rules for the Northeast (Connecticut, Massachusetts, New Jersey, New York & Rhode Island)
February 22, 2021 —
Angeline Ioannou, Kenneth Walton, Colin Hackett, Gregory Katz & Lauren Motola-Davis - Lewis BrisboisThe winter storm that recently brought several feet of snow to the Northeast signaled that we are, indeed, in the middle of winter. Moreover, our nation’s favorite groundhog, Punxsutawney Phil, saw his shadow on Groundhog Day this year, indicating that winter will be with us for six more weeks. As we move through the remainder of this snowy season, it is important for businesses to understand their legal obligations concerning snow removal and the defenses that are available to them in the event that an injury occurs on their premises. This alert summarizes the ongoing storm rules in Connecticut, Massachusetts, New Jersey, New York, and Rhode Island, and analyzes property owners’ snow removal responsibilities as well as related premises liability issues under these states’ laws.
Connecticut
It is well settled in Connecticut that, in the absence of unusual circumstances, in fulfilling their duty to invitees on their property, property owners may wait a reasonable time after the conclusion of a storm to perform ice and snow removal from outside walkways and steps. Kraus v. Newton, 211 Conn. 191, 197-198 (1989). A property owner’s duty to perform reasonable snow and ice removal of outside walkways does not arise until after a reasonable period of time has passed after a storm ends. Umsteadt v. G.R. Realty, 123 Conn. App. 73, 83 (2010). The ongoing storm doctrine does not apply, however, if the defective condition arises from preexisting ice or snow, and not from the ongoing storm. Whether the alleged defective condition was caused by preexisting ice or snow and whether a storm has concluded are both questions of fact that may be decided by a jury. Kraus at 197-198.
Reprinted courtesy of
Angeline Ioannou, Lewis Brisbois,
Kenneth Walton, Lewis Brisbois,
Colin Hackett, Lewis Brisbois,
Gregory Katz, Lewis Brisbois and
Lauren Motola-Davis, Lewis Brisbois
Ms. Ioannou may be contacted at Angeline.Ioannou@lewisbrisbois.com
Mr. Walton may be contacted at Ken.Walton@lewisbrisbois.com
Mr. Hackett may be contacted at Colin.Hackett@lewisbrisbois.com
Mr. Katz may be contacted at Greg.Katz@lewisbrisbois.com
Ms. Motola-Davis may be contacted at Lauren.MotolaDavis@lewisbrisbois.com
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New York Appellate Court Expands Policyholders’ Ability to Plead and Seek Consequential Damages
February 27, 2019 —
Michael S. Levine & Joshua S. Paster - Hunton Andrews KurthIn a huge win for policyholders, a New York appellate court, in D.K. Property, Inc. v National Union Fire Insurance Company of Pittsburgh, Pa., held that an insured need not provide a detailed factual description or explanation for why consequential damages are recoverable at the pleading stage. Rather, an insured’s complaint must only (i) specify the types of consequential damages claimed; and (ii) allege that those damages reasonably were contemplated by the parties prior to contracting.
Here, D.K. Property’s building was damaged as a result of construction on an adjoining building, and it timely filed a claim with National Union under a policy that covers “direct physical loss or damage to” the building. National Union neither paid the claim nor disclaimed coverage. Instead, according to D.K. Property, National Union made unreasonable and increasingly burdensome information demands over a three-year period, which it alleges was a “tactic” to make pursuing the claim so expensive that D.K. Property would abandon the claim. As a result of the delay, D.K. Property alleges the structural damage to its building has worsened.
Reprinted courtesy of
Michael S. Levine, Hunton Andrews Kurth and
Joshua S. Paster, Hunton Andrews Kurth
Mr. Levine may be contacted at mlevine@HuntonAK.com
Mr. Paster may be contacted at jpaster@HuntonAK.com
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