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10 Haight Lawyers Recognized in Best Lawyers in America© 2023 and The Best Lawyers: Ones to Watch 2023

August 22, 2022 — Haight Brown & Bonesteel LLP
Four Haight Brown & Bonesteel LLP attorneys were selected for Best Lawyers in America© 2023. Congratulations to:

• Bruce Cleeland – Product Liability Litigation – Defendants
• Peter Dubrawski – Product Liability Litigation – Defendants
• Denis Moriarty – Insurance law
• Ted Penny – Workers’ Compensation Law – Claimants

Six Haight Brown & Bonesteel LLP attorneys were selected for Best Lawyers®: Ones to Watch 2023. Congratulations to:

• Courtney Arbucci – Personal Injury Litigation – Defendants; Product Liability Litigation – Defendants
• Frances Brower – Product Liability Litigation – Defendants
• Kyle DiNicola – Transportation Law
• Arezoo Jamshidi – Appellate Practice; Transportation Law
• Kristian Moriarty – Transportation Law
• Bethsaida Obra-White – Construction Law; Insurance Law; Personal Injury Litigation – Defendants

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Reprinted courtesy of Haight Brown & Bonesteel LLP

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Arizona Court of Appeals Rules Issues Were Not Covered in Construction Defect Suit

December 09, 2011 — CDJ STAFF

The Arizona Court of Appeals has ruled in the case of Peters v. Marque Homes. In this case, Walter Peters provided the land and funding for Marque Homes to build a luxury residence in Glendale, Arizona. By the terms of the “Joint Venture Agreement,” Peters provided the land and funding, while Marque would not charge Peters for overhead, profits, or supervision fees. The agreement specified that profits would be divided equally.

Two years later, Marque sued Peters claiming he had breached his obligations by refusing several offers for the home. Peters replied that Marque had “failed to complete the home so it is habitable to prospective purchasers.” Peters stated he had “retained an expert inspector who had identified numerous defects.” The court appointed a Special Commissioner to list the home for sale. Peters purchased the home with two stipulations ordered by the court. At this point, the earlier case was dismissed with prejudice.

Peters then sued Marque “asserting express and implied warranty claims arising out of alleged construction defects in the home.” Marque claimed that Peters’s claims were “precluded by the prior joint venture dispute.” The court granted Marque’s motion.

The appeals court reversed the lower court’s decision, determining that Peters’s claims were not precluded by the agreement. Although there had been a prior case between the two parties, warranty issues did not form a part of that case. “Peters never raised these allegations nor presented this evidence in support of any warranty claim.”

The court also noted that the “parties never agreed to preclude future warranty claims.” Marque and Peters “agreed in the stipulated sale order that ‘the sale of the property to a third party shall be “as is” with a 10-year structural warranty.’” The court noted that the agreement said nothing about one of the parties buying the house.

The appeals court left open a claim by Marque that there are no implied or express warranties available to Peters. They asked the Superior Court to address this.

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Hawaii Federal District Court Remands Coverage Dispute

June 15, 2020 — Tred R. Eyerly - Insurance Law Hawaii
Accepting the insured's amended complaint, the federal district court of Hawaii remanded the coverage action to state court. Hale v. Lloyd's, London, 2020 U.S. Dist. LEXIS 9061 (D. Haw. Jan. 17, 2020). Hale purchased a policy for his home in Hilo, Hawaii, from Defendant Pyramid Insurance Centre. The policy was memorialized by a Lloyd's Certificate issued by Defendant Lloyd's. On September 19, 2017, Hale entered Chapter 7 Bankruptcy. Included in the bankruptcy proceeding was Hale's home and a secured home mortgage loan now owned by Defendant Specialized Loan Servicing, LLC. The Bankruptcy Court issued a discharge order on January 18, 2018. On May 9, 2018, Hale's home was destroyed, being covered with lava from the Kilauea volcano eruption. Hale filed a claim with Lloyd's based upon the loss of his home. The claim was denied. Subsequently, however, Lloyd's issued a check for the full amount of the policy. Both Hale and Specialized Loan were listed as payees on the check. 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

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Insurers' Motion to Determine Lack of Occurrence Fails

August 19, 2024 — Tred R. Eyerly - Insurance Law Hawaii
The federal district court, interpreting Massachusetts law, found there were genuine issues of fact as to whether the insured's mixing of biodiesel with home heating fuel was an occurrence. United States Fire Ins. Co. v. Peterson's Oil Serv., Inc., 2024 U.S. Dist. LEXIS 106980 (D. Mass. June 17, 2024). Homeowners sued Peterson's Oil Service, alleging that Peterson sold them fuel for home heating which contained more that 5% biodiesel. The homeowners further alleged that fuel containing more than 5% biodiesel did not meet industry standards and caued damage to their home heating equipment. Peterson allegedly did not fully disclose the presence of biodiesel in their fuel, despite knowing the risk posed by high-biodiesel blended fuel. The insurers, United States Fire Insurance Company and The North River Insurance Company, defended Peterson under a reservation of rights. United States Fire issued priomary policies with limits of $1,000,000 per occurrence and $2,000,000 as a general aggregate limit. An endorsement titled "Limited Coverage - Failure to Supply" limited the amount covered for "property damage arising out of the failure of any insured to adequately supply gas, oil, water, electricty or steam" to $250,000. North River issued umbrella policies with additional coverage in the amount of $15,000,000 per occurrnce and in the aggregate if property damage was caused by an occurrence. The umbrella policies also contained a "Failure to Supply Exclusion" which excluded coverage for "property damage arising out of the failure of an insured to adequately supply gas, oil, water, electricty or steam." 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

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Kentucky Court Upholds Arbitration Award, Denies Appeal

June 15, 2011 — CDJ STAFF

The Kentucky Court of Appeals has ruled in Lake Cumberland Community Action Agency v. CMW, Inc. affirming the arbitration award. CMW, Inc. was responsible for the construction of a facility to be used for pre-school students and the housing of Alzheimer patients and senior citizens. An agreement was made that any disputes would be heard by an arbitrator selected by the construction industry.



The plaintiff alleged that there were design and construction defects in the building trusses, violation of the Kentucky Building Code, and problems with the HVAC system. The arbitrator awarded $106,000 to the plaintiff which then sought to vacate the award. The circuit court upheld the arbitrator’s decision.



The Court of Appeals found that there was no basis for rejecting the arbitrator’s decision, noting “there is nothing to show that there was any fraud or bias on the part of the arbitrator.” The appeals court, with all three judges concurring, upheld the arbitration award.



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Condominium Exclusion Bars Coverage for Construction Defect

August 17, 2011 — Tred R. Eyerly - Insurance Law Hawaii

Coverage was denied under the policy’s condominium exclusion in California Traditions, Inc. v. Claremont Liability Ins. Co.,2011 Cal. App.LEXIS912 (Cal. Ct. App., ordered published July 11, 2011).



California Traditions was the developer and general contractor for a housing development. California Traditions subcontracted with Ja-Con to perform the rough framing work for 30 residential units. The project had 146 separate residences that were freestanding with no shared walls, roof, halls, or plumbing or electrical lines. To allow a higher density development, the project was developed, marketed and sold as condominiums.



The purchaser of one of the units filed a complaint against California Traditions alleging property damage from the defective construction. California Traditions cross-complained against Ja-Con.

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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii. Mr. Eyerly can be contacted at te@hawaiilawyer.com

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Toll Plans to Boost New York Sales With Pricing, Incentives

December 10, 2015 — Prashant Gopal – Bloomberg
Toll Brothers Inc. plans to use competitive pricing and offer buyers incentives to speed up sales at some of its New York City condominium projects. “There are certain units in certain locations within a building that are hot, and then there are other units that may be in a dark, cold corner that you have to incentivize a bit more,” Chief Executive Officer Douglas Yearley said on the company’s earnings conference call Tuesday. While Toll “will not fire-sale it to move” units, “we will price to the market.” Incentives would be offered for certain units at Pierhouse at Brooklyn Bridge Park and 400 Park Ave. South and 1110 Park Ave. in Manhattan, Yearley said. While the supply in New York City has grown most for condos selling for more than $7.5 million, most of Toll’s units are less expensive, he said. Read the court decision
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Reprinted courtesy of Prashant Gopal, Bloomberg

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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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