Cambridge Massachusetts Building Expert Directory

Wildfire Threats Make Utilities Uninsurable in US West

August 12, 2024 — Mark Chediak - Bloomberg
Trinity Public Utilities District’s power lines snake through the lower reaches of the Cascade Range, a rugged, remote and densely forested terrain in Northern California that has some of the highest wildfire risk in the country. But for several years, the company has been without insurance to protect it from such a threat. Trinity’s equipment was blamed for causing a 2017 wildfire that destroyed 72 homes and three years later its insurer, a California public agency called the Special District Risk Management Authority, told the utility that it would no longer cover it for fires started by its electrical lines. Trinity could find no other takers. The utility’s exposure comes as wildfires are already flaring up across the US West in what could be a dangerous and prolonged fire season. “If a fire were to start now that involved one of our power lines, it would likely bankrupt the utility,” said Paul Hauser, general manager of the local government-owned utility that serves about 13,000 rural customers in Trinity County, 200 miles (322 kilometers) north of Sacramento. That’s because without insurance, a lawsuit could put the utility on the hook to pay for damages to private homes and businesses, which could easily top the utility’s annual revenue of about $16 million. Read the court decision
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Reprinted courtesy of Mark Chediak, Bloomberg

No Trial Credit in NJ Appellate Decision for Non-Settling Successive Tortfeasors – Must Demonstrate Proof of Initial Tortfeasor Negligence and Proximate Cause

January 11, 2021 — Kevin C. Cottone, Robert Wright, & Monica Doss - White and Williams LLP
Where an initial tortfeasor settles in a successive negligence case, the non-settling tortfeasors do not get a credit at trial, says the New Jersey Appellate Division. The court held in Glassman v. Friedel [1], that non-settling successive tortfeasors are not entitled to a pro tanto credit after the initial tortfeasor settles and its negligence is undetermined. Rather, successive tortfeasors have the burden at trial to demonstrate that (1) the initial tortfeasor was negligent, and (2) the initial tortfeasor’s negligence was the proximate cause of the second event. In Glassman, the plaintiff, as executor of his deceased wife’s estate, sued a restaurant and property owner of the site where his wife fell and fractured her ankle. Afterwards, the plaintiff added defendants including the doctors and the medical center that cared for his wife after she fractured her ankle. The plaintiff alleged that they had been negligent during his wife’s surgery, which led to postoperative complications and injuries to his wife’s leg, ultimately resulting in a fatal pulmonary embolism. Reprinted courtesy of Kevin C. Cottone, White and Williams LLP, Robert Wright, White and Williams LLP and Monica Doss, White and Williams LLP Mr. Cottone may be contacted at cottonek@whiteandwilliams.com Mr. Wright may be contacted at wrightr@whiteandwilliams.com Ms. Doss may be contacted at dossm@whiteandwilliams.com Read the court decision
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Owner Can’t Pursue Statutory Show Cause Complaint to Cancel Lien… Fair Outcome?

June 10, 2024 — David Adelstein - Florida Construction Legal Updates
If there is a payment dispute with a construction lienor — could be a contractor, a subcontractor, or supplier – it is possible, and more than likely, a construction lien may get recorded against real property. This scenario is not uncommon as the lien is the mechanism for the lienor to collateralize their claimed nonpayment. Now, in reality, it does not take much money to record a lien. A lienor should utilize a lawyer to prepare their liens, but maybe they prepare liens in-house. Regardless, the recording of the lien is a nominal cost and the clerk that dockets and records the lien does NOT analyze the merits of the lien. That is not what the clerk is there to do; nor do you really want them the delve into the factual merits. Well, what if a lien is facially invalid, meaning that the lien, on its face, includes information that demonstrates it is NOT properly perfected. Or what if the lienor failed to properly preserve or perfect its lien rights before recording the lien. This happens! Naturally, an owner of the real property wants the lien removed from the property. The owner does not want the encumbrance. The owner could transfer the lien to a lien transfer bond under Florida’s Lien Law, but that is easier said than done. And this does not discharge the lien; it just removes the lien from the property to the security of the bond. 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

Modern Tools Are Key to Future-Proofing the Construction Industry

September 19, 2022 — Guillaume Le Gouic - Construction Executive
The U.S. construction industry is facing a tech revolution that’s upending the roles of skilled workers. Many traditional contractors are struggling to embrace the new technologies customers increasingly demand, while the industry struggles to attract young professionals. According to the latest American Community Survey data, the median age of a construction worker is 41. This is particularly concerning given the confluence of two trends: the construction industry is facing a critical workforce shortage that’s only expected to intensify, and the workforce is aging—NCCER is predicting around 40% are expected to retire by 2031. Industry leaders must prioritize using the latest industry solutions and innovations to modernize construction work, transform the construction industry and appeal to the next generation of contractors. Throughout COVID-19, the construction sector experienced a higher number of workers quitting jobs as opposed to being laid off, indicating the older workforce likely took the opportunity to retire early, along with more than three million other Americans who did the same. Currently, industry leaders are not doing enough to communicate opportunities to help shift the career perception of electrical contractors from simply being “blue collar” and un-exciting. A 2019 National Association of Home Builders (NAHB) found only 3% of people ages 18 to 25 were interested in pursuing a construction career, with most respondents noting the desire for a less physically demanding job. Reprinted courtesy of Guillaume Le Gouic, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Automating Your Home? There’s an App for That

April 03, 2013 — CDJ STAFF
Writing in the New York Times, Nick Wingfield looks at both the promise and failures of home automation, starting with a timer which had “buttons the size of a small seed” and was too difficult to reset. Wingfield said the timer “made my house dumber.” He moves on to the useful items, such as the Nest thermostat, which improves on his previous programmable thermostat by being able to determine when people are actually home (so an empty house isn’t being heated) and it can be controlled from a smartphone app, useful for the taxi on the way home from the airport. The Belkin WeMo Switch allows users to control lamps from an iOS app and the timer functions can be accessed without having to use seed-sized buttons. For those with bigger home automation budgets, there are now companies setting up whole house systems, including thermostat, light controls, motion detectors, surveillance cameras, and even monitors for your hot water heater and the level of carbon monoxide in your home. These systems start at around $1,500 but quickly go past $5,000. Other packages are sold on a month-by-month basis. And they include apps. Read the court decision
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Insured's Complaint for Breach of Contract and Bad Faith Adequately Pleads Consequential Damages

March 27, 2019 — Tred R. Eyerly - Insurance Law Hawaii
The appellate court overturned the trial court's dismissal of the insured's complaint seeking consequential damages. D.K. Prop. Inc. v. Nat'l Union Fire Ins. Co. of Pittsburgh v, Pa., 2019 N.Y. App. Div. LEXIS 329 (N.Y. App. Div. Jan. 17, 2019). The insured's building began to shift and exhibit structural damage, including cracks, after construction began in an adjoining building. The insured submitted a claim under its commercial insurance policy. The insurer did not pay the claim, nor did it disclaim coverage. The insured sued, alleging breach of contract for failure to pay covered losses under the policy. The second cause of action was for breach of the implied covenant of good faith and fair dealing. The complaint also requested consequential damages in connection with each cause of action. The trial court granted the insurer's motion to dismiss the claim for consequential damages. 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

“Since You Asked. . .”

October 15, 2024 — Daniel Lund III - Lexology
… you must now pay. So said a California appellate court, affirming the trial court’s decision against a subcontractor suing for unpaid subcontract sums. Instead of being awarded those unpaid amounts, the subcontractor lost the case and was tagged with a $1.55 million attorney’s fees award and $270,000 costs award in favor of the defendants. What went wrong? California law requires a licensed contractor to maintain at all times proper workers’ compensation insurance coverage. The failure to maintain the coverage and have the certificate of coverage on file with the California Contractors State License Board results in “automatic and immediate suspension” of the contractor license. Retroactive reinstatement of the license may occur only if the contractor provides proof of the insurance within 90 days of the effective date of the insurance certificate – unless the contractor can show that failure to have the certificate on file was “due to circumstances beyond the control of the licensee.” Read the court decision
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Reprinted courtesy of Daniel Lund III, Phelps
Mr. Lund may be contacted at daniel.lund@phelps.com

Unjust Enrichment Claims When There Is No Binding Contract

December 04, 2023 — David Adelstein - Florida Construction Legal Updates
A recent appellate opinion starts off, “This is a typical South Florida construction dispute.” (See case citation at the bottom) Let’s see, is it? No. It’s a garden variety payment dispute where the parties did NOT have a binding contract. Why? That’s for a different day (because the smart practice is ALWAYS to have a contract!) but it touches on the equitable, unjust enrichment claim. And it touches on competing unjust enrichment claims and the apportionment of those claims. In other words, can both parties be right on their unjust enrichment claims? An owner hired a general contractor for home renovations. Work started but the relationship soured and the general contractor did not complete the work. The general contractor filed a payment dispute against the owner based on unpaid invoices. It pled alternative theories of recovery against the owner: breach of contract and unjust enrichment. The owner filed a counterclaim against the general contractor for the same claims. During the non-jury trial, the general contractor presented unpaid invoices along with testimony that the invoices represented the value of services rendered. The owner presented evidence of the completion of work damages. 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

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