Remodel Leaves Guitarist’s Home Leaky and Moldy
October 03, 2013 —
CDJ STAFFThe entertainment site TMZ reports that Eddie Van Halen is suing the contractor who remodeled his home. Mr. Van Halen claims that the contractor’s poor workmanship lead to water intrusion. According to the lawsuit, the roof and chimney leaked, and gutters and flashing were poorly installed. As a result, parts of the home suffered from mold damage. The lawsuit claims that Mr. Val Halen spent more than $1 million to repair his home after the remodel.
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Some Insurers Dismissed, Others Are Not in Claims for Faulty Workmanship
February 18, 2020 —
Tred R. Eyerly - Insurance Law HawaiiThe insured Developer survived a motion to dismiss by one of several carriers who were asked to defend against claims for faulty workmanship. East 111 Assoc. LLC v. RLI Ins. Co., 2019 N.Y. Misc. LEXIS 5331 (Oct. 4, 2019).
Developers sponsored a residential condominium project and sold all units. The owners subsequently sought damages for $881,450 for alleged design and construction defects, and asserting causes of action for, among other things, breach of contract, specific performance and negligence. The underlying action settled for $350,000. Developers sought coverage from its insurers.
The Developers sued the carriers for a declaratory judgment that they were entitled to a defense. Developers had a CGL policy issued by Mt. Hawley. Developers were also additional insureds in policies issued to subcontractors by James River, Admiral and Selective. The insurers moved to dismiss.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
William Lyon to Acquire RSI Communities
February 22, 2018 —
Dave Suggs - CDJ STAFFAccording to the article “William Lyon Agrees to Buy RSI Communities $460 million deal plants Lyon in Texas and adds to Inland Empire land holdings” published on the website Builder, the Newport Beach home builder is purchasing the Southern California and Texas home builder. This will be Lyon Homes’ first venture in the state of Texas.
RSI Communities works within both San Antonio and Austin, Texas as well as Southern California and the Inland Empire. It was founded by Todd Palmaer, a home building expert and Ron Simon, a building products expert and Newport Beach businessman. First time home buyers have been RSI’s main target.
President and CEO of RSI, Tod Palmaer is optimistic about the acquisition “We are delighted to have our company join the William Lyon Homes organization. We have a great deal of confidence in the William Lyon Homes platform and its executive management team, and believe that its acquisition of RSI Communities will add to Lyon’s continued success in its current and new markets.”
Pat Donahue who has almost 30 years of experience in home building, will serve as President to the Inland Empire Division. John Bohnen, RSI’s present Chief Operating Officer, will be the regional president in Texas. Mr. Bohnen has previously held executive positions with numerous home builders. William Lyon’s president and CEO Mark R. Zaist is excited about adding RSI’s key players to their team, and had this to say about the purchase. “The acquisition of RSI represents our most significant acquisition since our entry into Portland and Seattle with the Polygon Northwest Homes acquisition in 2014 and furthers our strategy of building in the strongest markets in the Western U.S., while also strengthening our pipeline in Southern California, as we continue our mission of being the premier Western Regional home builder.”
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Denver Airport's Renovator Uncovers Potential Snag
March 04, 2019 —
Nadine M. Post - Engineering News-RecordThe renovation of the Great Hall of Denver International Airport’s iconic Jeppesen Terminal, roofed by a series of peaked tensile tents that echo the nearby mountains, has hit a bump. Routine but limited concrete testing of the nearly quarter-century-old terminal’s elevated floor slab, to determine whether the floor could support crane loads, shows the compressive strength of the concrete in certain sections is lower than was specified for the original project, more than 25 years ago.
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Nadine M. Post, ENRMs. Post may be contacted at
postn@enr.com
The Riskiest Housing Markets in the U.S.
June 26, 2014 —
Ben Steverman – BloombergThe real estate rollercoaster ride for U.S. homeowners isn't new. Some markets had even rockier rides in the early 1980s or '90s.
When so much wealth is tied up in one asset, the risk -- or stability -- of a local market can mean a lot to a homeowner. (See “The Hidden Risks in Your Housing Market” for more on this.)
Bloomberg.com asked real estate website Zillow.com to help us figure out which U.S. markets have been the riskiest over the last 35 years.
Our measure of risk: Assuming buyers held on to their homes for five years before selling, what was their chance of suffering a loss? As a secondary criterion, we compared the worst annual losses homeowners in these markets have experienced since 1979.
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Ben Steverman, BloombergMr. Steverman may be contacted at
bsteverman@bloomberg.net
North Carolina Exclusion j(6) “That Particular Part”
February 10, 2012 —
CDCoverage.comIn Alliance Mutual Insurance Co. v. Dove, 714 S.E.2d 782 (N.C. Ct. App. 2011), claimant Murphy-Brown hired insured Dove to repair a broken elevator belt in a grain elevator in Murphy-Brown’s feed mill. The elevator was inside a metal duct and, to access the broken belt, Dove had to cut out a section of the duct. After replacing the belt, Dove welded the metal section back to the duct. Immediately after Dove completed the welding, dust inside the duct ignited, causing an explosion in the elevator, resulting in property damage to the elevator and other property. Murphy-Brown sued Dove for negligence seeking damages for the repair and replacement of the elevator, repair and replacement of the other property, increased grain handling costs during the repairs, and loss of use.
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Garlock Five Years Later: Recent Decisions Illustrate Ongoing Obstacles to Asbestos Trust Transparency
September 03, 2019 —
Amy E. Vulpio - Complex Insurance Coverage ReporterIn In re Garlock Sealing Technologies, LLC, 504 B.R. 71 (Bankr. W.D.N.C. 2014), the court confirmed what many asbestos defendants and their insurers long suspected: that “the withholding of exposure evidence by plaintiffs and their lawyers was significant and had the effect of unfairly inflating the recoveries against Garlock” and other defendants. This “startling pattern of misrepresentation” included plaintiffs’ attorneys who, out of “perverted ethical duty,” counseled their clients to file claims against multiple trusts without valid factual grounds for so doing. Such “double dipping” and other abuse not only harms asbestos defendants and insurers, but also dilutes recoveries for legitimate claims. Now – five years after Garlock – the Department of Justice (DOJ) has launched a coordinated initiative to fight asbestos trust fraud and mismanagement. However, a series of recent bankruptcy court rulings suggests that this initiative stumbled out of the gate by focusing on the wrong issues. Asbestos defendants and their insurers can learn from the DOJ’s missteps.
In November 2017, invoking Garlock, 20 state attorneys general wrote to then-Attorney General Jeff Sessions asking him to devote DOJ resources to fighting asbestos trust abuse. A September 13, 2018 DOJ press release announced an initiative to increase the transparency and accountability of asbestos trusts. Through its United States Trustee Program (UST), the DOJ objected to the debtors’ proposed legal representative for future claims (FCR) in several Chapter 11 cases involving asbestos liabilities: Lawrence Fitzpatrick in Duro Dyne and James L. Patton, Jr. in Maremont, Fairbanks and Imerys Talc.
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Amy E. Vulpio, White and Williams LLPMs. Vulpio may be contacted at
vulpioa@whiteandwilliams.com
CGL Coverage Dispute Regarding the (J)(6) And (J)(7) Property Damage Exclusions
April 18, 2023 —
David Adelstein - Florida Construction Legal UpdatesA new insurance coverage opinion dealing with a commercial general liability’s (CGL) duty to defend involved exclusions commonly known as the (j)(6) and (j)(7) property damage exclusions (and in certain policies known as the (j)(5) and (j)(6) exclusions). These are the exclusions that apply during ongoing operations. Exclusion (l), or the “your work” exclusion, applies post-completion, i.e., it is an exclusion for “property damage” to “your work” included in the “products-completed operations hazard.”
Exclusions (j)(6) and (j)(7) in the policy at-issue exclude coverage for property damage to:
(j)(6) That particular part of real property on which any insured or any contractors or subcontractors working directly or indirectly on your behalf are performing operations, if the “property damage” arises out of those operations;
(j)(7) That particular part of any property that must be restored, repaired or replaced because “your work” was incorrectly performed on it.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com