Governmental Immunity Waived for Independent Contractor - Lopez v. City of Grand Junction
September 17, 2018 —
Frank Ingham - Colorado Construction Litigation BlogOn July 12, 2018, the Colorado Court of Appeals announced its decision in Lopez v. City of Grand Junction, 2018 WL 3384674 (Colo. App. 2018). The Court considered whether immunity is waived under Colorado’s Governmental Immunity Act (“CGIA”), pursuant to section C.R.S. § 24-10-106(1)(f), in situations where the public entity hired an independent contractor to perform the work. The Court held that if the public entity would have been liable under the CGIA for the conduct that caused the injury, had it performed the work itself, then it is liable for the work performed by its independent contractor.
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Frank Ingham, Higgins Hopkins McClain & Roswell, LLCMr. Ingham may be contacted at
ingham@hhmrlaw.com
County Sovereign Immunity Invokes Change-Order Ordinance
December 20, 2017 —
Lizbeth Dison - AHC Contruction Law BlogThe recent case of Fulton County v. Soco Contracting Company, Inc. addresses two very interesting questions for local government attorneys. First, can a county ordinance bolster a defense of sovereign immunity against a contractor’s claims? Second, can a county waive sovereign immunity by failing to respond to Requests for Admission?
Facts:
County hired Contractor to construct a facility near the airport. The contract provided that change orders must satisfy a county ordinance, which required approval by the Board of Commissioners. But in emergency situations, the County Manager could approve change orders, as long as the contractor executes a proposed modification and the purchasing agent approves it.
The project suffered substantial delays, which Contractor attributed to weather, design delays, delays by the County in providing decisions on changes, and delays in obtaining permits during the federal government’s shutdown. As a result of these issues, Contractor comes County changed the scope of the contract. Contractor asserted claims against County for the delays and the changes to the work. The appellate opinion addresses the change order claims.
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Lizbeth Dison, Autry Hall & Cook, LLP
Toolbox Talk Series Recap - Guided Choice Mediation
November 05, 2024 —
Douglas J. Mackin - The Dispute ResolverIn the September 26, 2024 edition of Division 1's Toolbox Talk Series,
Clifford Shapiro presented on Guided Choice Mediation (“GCM”) and how it can lead to better outcomes in construction disputes.
GCM is an approach to mediation that focuses on early and efficient dispute resolution, which prominent mediators created as a public interest project.
Shapiro described his particular variant of GCM based on his experience while acknowledging that other Guided Choice Mediators’ processes may differ from his in various ways. Shapiro’s brand of GCM focuses on ensuring that parties have reasonable expectations and appropriate settlement authority prior to arriving at a mediation. Some of the strategies to help accomplish these noble goals are (i) early mediator engagement, (ii) mediator facilitation of information exchange, (iii) mediator involvement with insurance issues (particularly important in construction defect cases, especially those with multiple defendants), (iii) pre-mediation ex parte meetings, and (iv) mediator participation in risk analysis. These strategies are not typical in the more traditional/historic approach to mediation in which mediation is scheduled based on a scheduling order, mediation statements are sent to the mediator roughly a week before the scheduled mediation (and sometimes not even shared with anyone other than the mediator), and the parties speak with the mediator for the first time on the day of the mediation.
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Douglas J. Mackin, Cozen O’ConnorMr. Mackin may be contacted at
dmackin@cozen.com
Flood-Threat Assessment Finds Danger Goes Far Beyond U.S. Homes
October 18, 2021 —
Leslie Kaufman, Rachael Dottle & Mira Rojanasakul - BloombergIf the floods don’t get you, lack of electricity or a swamped hospital might.
Nearly a quarter of U.S. critical infrastructure—utilities, airports, police stations and more—is at risk of being inundated by flooding, according to a new report by First Street Foundation, a Brooklyn nonprofit dedicated to making climate risk more visible to the public.
Around 25% of national critical infrastructure is at risk.
Roughly 14% of Americans’ properties face direct risk from major storms, but the study shows danger extends far from those property lines.
Reprinted courtesy of
Leslie Kaufman, Bloomberg,
Rachael Dottle, Bloomberg and
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Texas Federal Court Upholds Professional Services Exclusion to Preclude Duty to Defend
March 16, 2020 —
Jeremy S. Macklin - Traub Lieberman Insurance Law BlogIn Project Surveillance, Inc. v. The Travelers Indemnity Company, No. 4:19-CV-03324, 2020 WL 292247 (S.D. Tex. Jan. 21, 2020), a Texas federal court held that a professional services exclusion in a commercial general liability policy precluded Travelers’ duty to defend its insured.
The underlying lawsuit was a wrongful death action brought by the family of a worker killed on a construction site. Project Surveillance was present at the construction site “to provide safety supervision or other services.” The underlying lawsuit alleged that Project Surveillance negligently failed to inspect or adequately inspect the project and failed to warn or adequately warn the decedent of a dangerous condition. The underlying lawsuit also alleged that Project Surveillance was negligent in failing to stop work.
At the time of the incident, Project Surveillance had commercial general liability insurance through Travelers and professional liability insurance through RLI. RLI agreed to defend Project Surveillance in the underlying lawsuit. Travelers, however, denied owing a duty to defend or indemnify based on an exclusion for “bodily injury” arising out of the rendering or failure to render any “professional service.” The Traveler policy defined the term “professional services” to mean any service requiring specialized skill or training, including “failure to prepare [. . .] any warning,” “supervision,” “inspection,” “control,” “surveying activity or service,” “job site safety,” “construction administration,” and “monitoring [. . .] necessary to perform and of [those] services.”
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Jeremy S. Macklin, Traub LiebermanMr. Macklin may be contacted at
jmacklin@tlsslaw.com
The Prolonged Effects on Commercial Property From Extreme Weather
January 29, 2024 —
The Hartford Staff - The Hartford InsightsAs evidenced by the extraordinary heat in the Southwest, a string of tornadoes in South and Midwest, and heavy rains in California and Florida, 2023 was a banner year for extreme weather. However, 2024 may be no different, which means now is the time for businesses to rethink the way they approach volatile weather, as well as the frequency and severity of storms and natural disasters.
The risks and challenges that businesses face as extreme weather becomes stronger and causes more property damage, requires innovative technology with specialized insurance solutions. Through updated building codes, advancements in technology and meaningful infrastructure improvements, businesses can make a difference in protecting their property and reducing losses.
Stronger Building Codes To Withstand Storms
It is not uncommon to see the destruction that a hurricane or tornado leaves behind. However, stronger building codes are one of the best ways to make sure property can withstand catastrophes. Florida for example implemented changes to its building codes after Hurricane Andrew, and then again in 2007 after the Hurricanes of 2004 and 2005. New construction since then has made houses and buildings significantly more hurricane proof. Buildings constructed 30 years ago were likely built with codes that may have neglected the impact of strong winds from an extreme hurricane or significant rainfall that a storm can bring, especially along the Atlantic and Gulf coasts.
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The Hartford Staff, The Hartford Insights
Construction Defect Claims Not Covered
May 10, 2022 —
Tred R. Eyerly - Insurance Law HawaiiThe court found that the insured's negligent acts causing damage to only the structure of the home it built were not covered under the CGL policy. Westfield Ins. Co. v. Zaremba Builders II LLC, 2022 U.S. Dist. LEXIS 36189 (N.D. Ill. March 2, 2022).
Zaremba contracted to build a house for the Vrdolyak Trust. After completion of the home, the occupants found many problems, including painting defects such as bubbling and peeling, leaving the basement full of water for months, causing damage to ductwork, framing and piping in the house, etc. The Trust sued and Westfield denied a defense.
Westfield filed a declaratory judgment action for a ruling that it had no duty to defend or indemnify. On Westfield's motion for summary judgment, the court determined there was no property damage. Property damage included "physical injury to tangible property." When the alleged damage occurred in the course of a construction project, tangible property had to be property outside the scope of the contract for project.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Avoid Drowning in Data: Keep Afloat with ESI in Construction Litigation
May 15, 2023 —
Steve Swart - The Dispute ResolverMaybe it is another lawyer on your team, a client, the Court. Maybe it is you. Almost every lawyer has heard (or thought, felt, or anguished over) the following: Wait — What? Discovery is going to cost how much?
The concern is real. Per a 2019 Southern District of New York opinion:
- The average case can involve collection, review and production of 100 gigabytes of data (or 6.5 million pages of Word documents).
- At a typical rate of review of 40-60 documents per hour, assuming 100,000 documents are collected, that is about 2,000 hours of attorney review time.
- Adding in fees for forensic collection, storage, and processing to maintain metadata can result in a bill totaling $500,000.
Brown v. Barnes & Noble, Inc., 474 F. Supp. 3d 637, 645 & n.3 (S.D.N.Y. 2019).
What's counsel to do? The following four points can help counsel streamline and reduce costs in discovery: (1) know your case, (2) know your data — understand it and document collection, (3) cooperate with counsel, and (4) implement a protocol for electronically-stored information ("ESI").
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Steve Swart, Williams MullenMr. Swart may be contacted at
sswart@williamsmullen.com