Sales of U.S. New Homes Decline After Record May Revision
July 30, 2014 —
Victoria Stilwell – BloombergFewer new U.S. homes were sold in June than forecast and May data showed the biggest downward revision on record, painting a picture of a housing market that is struggling to gain traction.
Sales of newly built homes declined 8.1 percent to a 406,000 annualized pace, the fewest since March and less than any economist surveyed by Bloomberg forecast, Commerce Department figures showed today in Washington. That followed a May reading of 442,000 that was 12.3 percent lower than estimated last month.
Restrictive lending rules, limited land supply, higher mortgage rates and more expensive properties are keeping a lid on how much the housing recovery can accelerate. Continued employment gains and bigger increases in wages will be needed to support further growth in the industry, which has stalled since interest rates started climbing last year.
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Victoria Stilwell, BloombergMs. Stilwell may be contacted at
vstilwell1@bloomberg.net
Karen Campbell, Kristen Perkins to Speak at CLM 2020 Annual Conference in Dallas
March 02, 2020 —
Karen Campbell & Kristen Perkins - Lewis BrisboisNew York Partner Karen L. Campbell and Fort Lauderdale Partner Kristen D. Perkins will both speak at the upcoming CLM 2020 Annual Conference taking place March 18 to 20 at the Gaylord Texan Resort outside Dallas, Texas.
On March 19 at 2:00 p.m., Ms. Perkins will join a panel discussion titled “Predictive Analytics – You Don’t Need a Crystal Ball to Predict the Future,” exploring how predictive analytics affects litigation management programs, including case budgets, case cycle times, and claims outcomes. The panelists will also look at how machine learning picks up on nuances or anomalies that can affect analytics and give attendees a clearer picture on expected case parameters, and how that information can empower claims professionals during firm selection.
Then, on March 20 at 10:40 a.m., Ms. Campbell will join a roundtable discussion titled “How to Calculate Damages and Defend in Serious Injury Cases,” covering the calculation of both economic and non-economic damages, as well as trends and recent verdicts involving punitive damages and assessing the various types of third-party liability.
Reprinted courtesy of
Karen Campbell, Lewis Brisbois and
Kristen Perkins, Lewis Brisbois
Ms. Campbell may be contacted at Karen.Campbell@lewisbrisbois.com
Ms. Perkins may be contacted at Kristen.Perkins@lewisbrisbois.com
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The Insurance Coverage Debate on Construction Defects Continues
February 05, 2015 —
Craig Martin – Construction Contractor AdvisorNew Hampshire is the first court of 2015 to weigh in on construction defect coverage issues. The case, Cogswell Farm Condominium Association v. Tower Group, involved a typical situation. Lemery Building Company was hired to build 24 residential condominium units. After construction, the condominium association sued the builder asserting that the weather barrier, including the water/ice shield, flashing, siding, and vapor barrier, was defectively constructed and resulted in damage to the units due to water leaks. The condominium association also sued Lemery’s insurer for a determination as to whether the builder’s Commercial General Liability (CGL) insurer had to provide coverage for the claim.
The trial court ruled against the condominium association, finding that the “your work” exclusion applied. The exclusion in the builder’s CGL policy provided that there was no coverage for property damage to “[t]hat particular part of any property that must be restored, repaired or replaced because ‘your work’ was incorrectly performed on it.”
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Craig Martin, Lamson, Dugan and Murray, LLPMr. Martin may be contacted at
cmartin@ldmlaw.com
Two Texas Cities Top San Francisco for Property Investors
October 22, 2014 —
Brian Louis – BloombergHouston and Austin are the most attractive U.S. markets for buying and developing real estate, topping San Francisco, as growth potential in the Texas cities draws investors from popular coastal areas, a survey shows.
The Northern California city ranked third, down from No. 1 last year, according to a report released today by PricewaterhouseCoopers LLP and the Urban Land Institute. Denver and Dallas-Fort Worth rounded out the five markets offering the best prospects for investors in 2015, the poll of more than 1,400 people in the real estate business shows. Manhattan slipped out of the top 10 to rank 14th.
Some non-coastal markets are drawing more property investors partly because they offer higher yields than places such as San Francisco and Manhattan, which led the recovery from the financial crisis. The smaller cities also are benefiting from employment growth and increasing numbers of people moving into urban centers, according to Mitch Roschelle, a partner and U.S. real estate advisory practice leader at PricewaterhouseCoopers in New York.
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Brian Louis, BloombergMr. Louis may be contacted at
blouis1@bloomberg.net
Coverage Found For Cleanup of Superfund Site Despite Pollution Exclusion
March 05, 2015 —
Tred R. Eyerly – Insurance Law HawaiiThe court determined that the pollution exclusion did not bar defense or indemnity for the insured's obligation to clean up a superfund site. Decker Mfg. Corp. v. The Travelers Indem. Co., 2015 U.S. Dist. LEXIS 12169 (W.D. Mich. Feb. 3, 2015).
From 1966 to 1981, Decker disposed of its waste materials at the township landfill. The landfill was closed in 1981. Decker was insured under a CGL policy for a four year period from January 1, 1973, through January 1, 1977.
After the landfill was closed, the EPA began an investigation which eventually led to a Unilateral Administrative Order in 1995 in which Decker was ordered to remove drums, construct a landfill cap, and monitor groundwater. Decker notified Travelers of the EPA's order on November 14, 1995. Travelers responded that it had no duty to defend or indemnify Decker.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Connecticut Answers Critical Questions Regarding Scope of Collapse Coverage in Homeowners Policies in Insurers’ Favor
February 10, 2020 —
Kevin Sullivan - Traub LiebermanNationwide, homeowners’ insurers routinely face foundation wall collapse claims. But in Connecticut, where at least 30,000 homes are believed to have been constructed in the 1980s and 1990s with defective concrete, the scope of homeowners insurance for collapse claims has been a closely watched issue. In Jemiola v. Hartford Casualty Insurance Co., 2019 WL 5955904 (Conn. Nov. 12, 2019), the Supreme Court of Connecticut held that a collapse coverage grant requiring “an abrupt falling down or caving in of a building… with the result that the building… cannot be occupied for its intended purpose” is unambiguous and enforceable.
In Jemiola, the insured homeowner purchased her home in 1986 and insured it continuously with the same insurer. In 2006, the homeowner noticed cracking in a basement wall, and was informed that the cracking likely resulted from defective concrete used in the construction of the home. The homeowner made a claim under her policy’s collapse coverage, which the insurer denied because the cracking did not compromise the structural integrity of the foundation walls. In the resulting lawsuit, the insured’s expert opined that the defective concrete substantially impaired the foundation walls’ structural integrity, but that this impairment did not commence until 2006 when the homeowner first noticed the cracking. Accordingly, the court analyzed coverage under the collapse coverage grant in effect in 2006, which defined collapse to mean “an abrupt falling down or caving in of a building… with the result that the building… cannot be occupied for its intended purpose.”
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Kevin Sullivan, Traub LiebermanMr. Sullivan may be contacted at
ksullivan@tlsslaw.com
Navigating Abandonment of a Construction Project
March 02, 2020 —
Bremer Whyte Brown & O’MearaNo construction or real estate developments goes completely as planned. Despite the expectation that modifications will likely be necessary to finalize a project, far too many parties suffer losses related to these projects.
In California, abandonment of a project without legal excuse gives rise to a legal claim. An abandonment occurs if there was a material failure to complete any construction project or operation for the price stated in the contract or in any modification of the contact. If abandonment occurs, litigation likely follows.
Disputes most commonly arise when the parties fail to retain a paper trail. Therefore, to limit litigation, document everything. Change orders can offer protection, but they must be in writing. Handshakes or oral promises are not sufficient. Rather, obtain written agreements signed by the contractor, and retain all documentation provided by the contractor, including invoices, receipts, work estimates and change orders.
If the construction project has been abandoned, take photographs and/or videos of the job as it appears. To mitigate damages, preserve any leftover materials that a new contractor may be able to use.
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Bremer Whyte Brown & O’Meara
Construction Payment Remedies: You May be Able to Skate by, But Why?
April 06, 2016 —
Garret Murai – California Construction Law BlogMy grandfather used to say that “anything worth doing, is worth doing well.”
It wasn’t until later that I learned the quote wasn’t his, but a quote from Philip Stanhope the Fourth Earl of Chesterfield, who said in his posthumously published and quite lengthily titled Letters to His Son on the Art of Becoming a Man of the World and a Gentleman, that “whatever is worth doing at all, is worth doing well.” I’m not sure where my grandfather, who wasn’t a man of letters, picked up this quote, but I like his version better.
While “anything worth doing, is worth doing well” can be said to apply to a wide variety of things in life, including living itself, it applies equally to the world of construction payment remedies, which have requirements that are both detailed and deadline driven.
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Garret Murai, Wendel Rosen Black & Dean LLPMr. Murai may be contacted at
gmurai@wendel.com