CDJ’s #7 Topic of the Year: The Las Vegas Harmon Hotel Year-Long Demolition & Trial Begins
December 31, 2014 —
Beverley BevenFlorez-CDJ STAFFThe 26-story tower in MGM’s $9 billion Las Vegas, Nevada CityCenter project, is being demolished piece by piece after a structural engineer reported that an earthquake of 7.7 could bring it down. While litigation began as early as 2010, the trial didn’t begin until October of 2014, and expectation is it will last through almost all of 2015 as well, according to Carri Geer Thevenot of the Las Vegas Review-Journal.
Read the court decisionRead the full story...Reprinted courtesy of
A Networked World of Buildings
November 21, 2022 —
Pieter Pauwels - AEC BusinessBuildings are living things. Buildings change shape every day and every minute. They are used by plenty of people, endlessly. Buildings shape our context and environment, and they impact our well-being to a large extent. Buildings constantly change their behavior under the influence of external conditions and occupants. We have an interest in engineering these buildings and making them as comfortable and pleasant as possible. Instead of treating buildings as static monuments that happen to be in our environment, it makes sense to treat them as living things that change incessantly, with streams of people, streams of materials and goods, and as ever-changing ecosystems of living beings.
And so, we must engineer the knowledge and information of our buildings! We need to provide our buildings with a set of brains, brains that evolve and continuously track the state of the facility and all of its internals: systems, materials, demountable elements, furniture, and people. The brains hold a snapshot of the building at any moment and allow us to ensure that this living building responds in a useful and likable manner (comfort). And this needs efforts from us human beings, and not only from ‘the AI.’
Read the court decisionRead the full story...Reprinted courtesy of
Pieter Pauwels, AEC BusinessMr. Pauwels may be contacted at
p.pauwels@tue.nl
A Survey of Trends and Perspectives in Construction Defect Decisions
November 27, 2013 —
CDJ STAFFThomas F. Segella, Ellen H. Greiper, and Matthew S. Lerner, partners at the firm Goldberg Segalia, together with Suzin L. Raso, an associate of the firm, have prepared a wide-ranging survey of cases, in their commentary, “Emerging Trends and Changing Perspectives on Construction Defect Claims.
The authors examine 11 coverage cases, representing decisions from eight states, and 15 cases of litigation, here covering 11 states. In each case, they give a one-sentence summary, a further discussion of the case, and they end with a practice note.
They start with Alabama, noting that the court found that “faulty workmanship is not an occurrence,” looking at the recent case of Owners Insurance Co. v. Jim Carr Homebuilders, LLC. Here they note that under Alabama law, “there was no damage to personal property or property of others; therefore, there was no ‘occurrence.’” They also note that “the policy involved did not contain a ‘subcontractor exception.’”
In Georgia, they noted, the courts concluded that “damage to insured’s completed work is an ‘occurrence.’” Here they cite a recent decision of the Georgia Supreme Court, noting that the court looked at cases from Connecticut, South Carolina, Illinois, Texas, as well as the Fourth and Tenth Circuits.
Under litigation, they look at such aspects of construction defect litigation such as the application of the economic loss doctrine in Kansas and Florida, and how the courts view arbitration agreements in states including New Jersey, Louisiana, and Colorado.
Read the court decisionRead the full story...Reprinted courtesy of
California Supreme Court Finds that the Notice-Prejudice Rule Applicable to Insurance is a Fundamental Public Policy of the State
October 14, 2019 —
Christopher Kendrick & Valerie A. Moore – Haight Brown & Bonesteel LLPIn Pitzer College v. Indian Harbor Ins. Co. (No. S239510, filed 8/29/19), the California Supreme Court held that California’s notice-prejudice rule is a fundamental public policy in the insurance context, supporting the application of California law under a choice of laws analysis. In addition, the Court held that the rule generally applies to consent (aka “no voluntary payments”) provisions in first party insurance policies but not to consent provisions in third party liability policies.
Pitzer College discovered soils contamination while building a new dormitory. Under pressure to complete construction before the start of the school year, Pitzer proceeded to remediate the soils, incurring $2 million in expense. Pitzer submitted a claim to Indian Harbor, which provided Pitzer insurance covering legal and remediation expenses resulting from pollution conditions discovered during the policy period.
The policy contained a notice provision requiring Pitzer to provide oral or written notice of any pollution condition to Indian Harbor and, in the event of oral notice, to “furnish … a written report as soon as practicable.” In addition, a consent provision required Pitzer to obtain Indian Harbor’s written consent before incurring expenses, making payments, assuming obligations, and/or commencing remediation due to a pollution condition. The consent provision had an emergency exception for costs incurred “on an emergency basis where any delay … would cause injury to persons or damage to property or increase significantly the cost of responding to any [pollution condition],” in which case Pitzer was required to notify Indian Harbor “immediately thereafter.” Lastly, a choice of law provision stated that New York law governed all matters arising under the policy.
Reprinted courtesy of
Christopher Kendrick, Haight Brown & Bonesteel LLP and
Valerie A. Moore, Haight Brown & Bonesteel LLP
Mr. Kendrick may be contacted at ckendrick@hbblaw.com
Ms. Moore may be contacted at vmoore@hbblaw.com
Read the court decisionRead the full story...Reprinted courtesy of
Insurer Fails to Establish Prejudice Due to Late Notice
October 17, 2022 —
Tred R. Eyerly - Insurance Law HawaiiSummary judgment awarded to the insurer was reversed because the insurer presented no evidence of prejudice caused by untimely notice. Perez v. Citizens Prop. Ins. Corp., 2022 Fla. App. LEXIS 5435 (Fla. Ct. App. Aug. 10, 2022).
The insureds' home suffered water damage due to Hurricane Irma around September 10, 2017. A claim was submitted to Citizens on November 27, 2018. Citizens had an independent adjuster inspect, but then denied the claim due to untimely notice.
The insureds sued and Citizens moved for summary judgment. Citizens argued it was prejudiced because it could not confirm the cause of the loss or the property damage attributed to it.
The court agreed that the insureds' notice was untimely. The insureds were notified by tenants renting the property that leaks appeared around the time of Hurriane Irma. The policy language, however, placed the burden to rebut the presumption of prejudice caused by late notice on Citizens. Whether the insurer was prejudiced was a question of fact. Citizens failed to demonstrate any prejudice due to the untimely notice.
Read the court decisionRead the full story...Reprinted courtesy of
Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Be Careful When Walking Off of a Construction Project
November 24, 2019 —
Christopher G. Hill - Construction Law MusingsI am truly grateful that my buddy Craig Martin (@craigmartin_jd) continues his great posts over at The Construction Contractor Advisor blog. He is always a good cure for writer’s block and once again this week he gave me some inspiration. In his most recent post, Craig discusses a recent Indiana case relating to the ever present issue of termination by a subcontractor for non-payment. In the Indiana case, the court looked at the payment terms and determined that the subcontractor was justified in walking from the project when it was not paid after 60 days per the contract.
This result was the correct, if surprising. Why do I say surprising? Because I am always reluctant to recommend that a subcontractor walk from a job for non payment if it is possible to continue. This is not so much for legal reasons (not paying a sub is a clear breach of contract by a general contractor) but practical ones. The practical effect of walking from the job is that the subcontractor is put on the defensive. Instead of arguing later that it performed but was not paid, that subcontractor is put in the position of arguing that the general contractor cannot collect its completion related and other damages because it breached first. This is a more intuitively difficult argument and one that is not as strong as the first.
Of course, all of this is contingent on the language in your contract (is there a “pay if paid” or language like that in the Indiana case?).
Read the court decisionRead the full story...Reprinted courtesy of
The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
The “Up” House is “Up” for Sale
May 07, 2015 —
Garret Murai – California Construction Law BlogYou might remember the 2009 Pixar/Disney 3-D animated movie “Up,” about an aging widower, Carl Frederickson, who learns to let go of his past and live his dream of moving he and his beloved late wife’s “clubhouse” to a cliff overlooking Paradise Falls in Venezuela where the once young couple’s hero, Charles Muntz, a famous but now disgraced explorer, was said to have discovered the skeleton of a rare bird which skeptics alleged was fabricated.
In the movie, the “clubhouse” is integral to the plot. In the opening scenes of the movie the audience learns that the clubhouse, which had been Mr. Frederickson’s deceased wife’s clubhouse that the couple later turned into their home, is sitting in the middle of a construction zone because old Mr. Frederickson has refused to sell his house to a developer who has proceeded to build around his house anyway. When a large loader knocks over his mailbox and a construction worker tries to fix it, Mr. Frederickson struggles with the worker not wanting him to touch any of his memories, and in the process inadvertently strikes the man with his cane. Later, in court, Mr. Frederickson learns that he has to leave the house and go to a retirement home. Apparently, justice is quick and decisive in their town. However, instead of going to a retirement home peaceably, codgy Mr. Frederickson rigs the clubhouse with thousands of balloons and proceeds to fly away, home and all. And, so the movie begins.
Soon, however, what some have called the real life “Up house” will be sold. And the story behind the house is about as a interesting as its movie counterpart. And, because we lawyers are into disclosures, I will disclose that “counterpart” is more accurate than “adaption,” since the movie Up was in production before the events giving rise to the real life Up house took place.
Read the court decisionRead the full story...Reprinted courtesy of
Garret Murai, Wendel Rosen Black & Dean LLPMr. Murai may be contacted at
gmurai@wendel.com
Massachusetts Lawyers Weekly Honors Construction Attorney
November 20, 2013 —
CDJ STAFFMassachusetts Lawyers Weekly has named Grace V. B. Garcia one of its 2013 Top Women of the Law. She is an attorney at Morrison Mahoney LLP in Boston, and her practice focuses on construction law, product liability, premises liability, commercial litigation, and American with Disability Act cases.
Read the court decisionRead the full story...Reprinted courtesy of