Foundation Arbitration Doesn’t Preclude Suing Over Cracks
March 28, 2012 —
CDJ STAFFThe Louisiana Court of Appeals has reversed the decision of a lower court, allowing a construction defect case to go through. In Greer v. Town Construction Company, the Greers hired Town Construction to build a home in Baton Rouge. The business relationship went sour, with disputes over “costs, change orders, workmanship, and timeliness issues.”
Town Construction filed an arbitration claim for the unpaid contract balance. In the counterclaim, the Greers made claims of mold and mildew problems, and wall cracks that they attributed to a “structural defect in the foundation.” In arbitration, Town Construction was awarded the full contract balance plus extra costs and interest, while the Greers were awarded for their structural claims.
Three years later, the Greers found additional cracks and filed a suit against Town Construction. Town Construction argued that the Greer’s lawsuit should be dismissed, as the claims had already been through the arbitration process. The district court agreed with Town Construction and dismissed the suit.
The appeals court noted that the Greers would have no ground for a suit if the arbitration was a “valid and final judgment,” and went on to note that there was no evidence in the trial record that the arbitration met this qualification. The court noted that although it was clear that both parties had agreed to the decisions of the arbiter, under Louisiana law, arbitration is not final until it has been “rendered by a court with jurisdiction over subject mater and over parties.”
The court remanded the case to the lower court, noting that “the district court is obligated to first determine whether a valid arbitration award is in existence and had been confirmed before considering the merits of the exception. The court noted that their decision “should not be read to express any opinion as to the merits of the claims or as to the propriety of damages sought in the Greer’s lawsuit.”
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Montana Trial Court Holds That Youths Have Standing to Bring Constitutional Claims Against State Government For Alleged Climate Change-Related Harms
September 18, 2023 —
Paul A. Briganti & Julia Castanzo - White and Williams LLPOn August 14, 2023, in a “landmark” ruling, a Montana state court held that youth plaintiffs had standing to assert constitutional claims against the State of Montana, its governor and state agencies for “ignoring” the impact of greenhouse gas (GHG) emissions on climate change. Held v. State of Montana, Cause No. CDV-020-307 (1st Judicial Dist. Ct., Lewis & Clark Cty., Mt.). Agreeing with the plaintiffs, the court concluded that a limitation in the Montana Environmental Policy Act (MEPA), which prohibited the state from considering climate impacts when issuing permits for energy projects, violated the plaintiffs’ right under the state constitution to a “clean and healthful environment.”
MEPA, enacted in 1971, states that its purposes include “provid[ing] for the adequate review of state actions in order to ensure that . . . environmental attributes are fully considered by the legislature in enacting laws to fulfill constitutional obligations . . . .” In 2011, the legislature amended the statute to curtail the scope of environmental reviews. Under the so-called MEPA limitation, Montana agencies cannot consider “an evaluation of greenhouse gas emissions and corresponding impacts to the climate in the state or beyond the state’s borders.” Mont. Code Ann. § 75-1-201(2)(a). In 2023, the legislature added a provision that eliminated equitable remedies (i.e., the ability to “vacate, void, or delay a lease, permit, license, certificate, authorization, or other entitlement or authority”) for litigants who “claim that [an] environmental review is inadequate based in whole or in part upon greenhouse gas emissions and impacts to the climate in Montana or beyond Montana’s borders . . . .” Id. § 75-1-201(6)(a)(ii).
Reprinted courtesy of
Paul A. Briganti, White and Williams LLP and
Julia Castanzo, White and Williams LLP
Mr. Briganti may be contacted at brigantip@whiteandwilliams.com
Ms. Castanzo may be contacted at castanzoj@whiteandwilliams.com
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New York Building Boom Spurs Corruption Probe After Death
August 19, 2015 —
Chris Dolmetsch & David M. Levitt – BloombergNew York’s building boom has spurred the formation of a task force to probe corruption in the construction industry.
The group of prosecutors and inspectors plan to go after companies that ignore or hide safety violations or commit other crimes including bid rigging and extortion.
The formation of the task force was announced the same day two men and their companies were indicted for causing a worker’s death in April by failing to address repeated warnings about safety at a construction site in Manhattan’s Meatpacking District.
Reprinted courtesy of
Chris Dolmetsch, Bloomberg and
David M. Levitt, Bloomberg
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Liability Insurer Precluded from Intervening in Insured’s Lawsuit
September 17, 2018 —
David Adelstein - Florida Construction Legal UpdatesThere are cases where I honestly do no fully understand the insurer’s position because it cannot have its cake and eat it too. The recent opinion in Houston Specialty Insurance Company v. Vaughn, 43 Fla. L. Weekly D1828a (Fla. 2d DCA 2018) is one of those cases because on one hand it tried hard to disclaim coverage and on the other hand tried to intervene in the underlying suit where it was not a named party.
This case dealt with a personal injury dispute where a laborer for a pressure washing company fell off of a roof and became a paraplegic. The injured person sued the pressure washing company and its representatives. The company and representatives tendered the case to its general liability insurer and the insurer–although it provided a defense under a reservation of rights—filed a separate action for declaratory relief based on an exclusion in the general liability policy that excluded coverage for the pressure washing company’s employees (because the general liability policy is not a workers compensation policy). This is known as the employer’s liability exclusion that excludes coverage for bodily injury to an employee. The insurer’s declaratory relief action sought a declaration that there was no coverage because the injured laborer was an employee of the pressure washing company. The pressure washing company claimed he was an independent contractor, in which the policy did provide limited coverage pursuant to an endorsement.
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David Adelstein, Kirwin NorrisMr. Adelstein may be contacted at
dma@kirwinnorris.com
Melissa Dewey Brumback Invited Into Claims & Litigation Management Alliance Membership
October 14, 2013 —
CDJ STAFFMelissa Dewey Brumback has been invited to join the Claims & Litigation Management Alliance, an “invitation only” organization of insurance companies, litigation and risk managers, claims professionals, and attorneys. Ms. Brumback, an attorney at Ragsdale Ligget PPLC, has a practice that focuses on construction law and business disputes. Her clients include architects and engineers in construction-related claims. Ms. Brumbuck is respected as an author and lecturer on construction law.
The Claims & Litigation Management Alliance comprises the leaders of claims and litigation management. Members are risk and litigation managers, insurance and claims professionals, and corporate and outside counsel.
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Congratulations 2019 DE, NJ and PA Super Lawyers and Rising Stars
May 26, 2019 —
White and Williams LLPFifteen White and Williams lawyers have been named by Super Lawyers as a Delaware, New Jersey or Pennsylvania "Super Lawyer" while eight received "Rising Star" designations. Each lawyer who received the distinction competed in a rigorous selection process which took into consideration peer recognition and professional achievement. The lawyers named to this year's Super Lawyer list represent a multitude of practices throughout the firm.
Super Lawyers 2019 |
Attorney | Practice Area |
John Balaguer |
PI Defense: Med Mal |
Kevin Cottone |
PI Defense: Med Mal |
Thomas Goutman |
Class Action |
David Haase |
Business Litigation |
Christopher Leise |
Civil Litigation: Defense |
Randy Maniloff |
Insurance Coverage |
David Marion |
Business Litigation |
Peter Mooney |
Business Litigation |
Michael Olsan |
Insurance Coverage |
John Orlando |
General Litigation |
Wesley Payne |
Insurance Coverage |
Daryn Rush |
Insurance Coverage |
Anthony Salvino |
Workers’ Comp |
Patricia Santelle |
Insurance Coverage |
Andrew Susko |
Civil Litigation: Defense |
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White and Williams LLP
The New York Lien Law - Top Ten Things You Ought to Know
December 23, 2023 —
Ralph E. Arpajian - White and Williams LLPOver the course of my career, I have had the privilege of working with and representing numerous construction lenders (and borrowers/developers) in the financing of some of the largest commercial projects in the United States.
A number of these projects have been in New York, where one encounters the New York Lien Law (the “Lien Law”). Many of my clients, particularly those lenders, borrowers, and their counsel, located outside of New York, are often perplexed by my advice regarding the Lien Law and the loan structuring requirements which result. In the hope that it would be helpful (especially for non-New York counsel), I have compiled a “top ten” list outlining, in my view, the most critical (and most perplexing) aspects of structuring New York construction loans under the Lien Law.
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Ralph E. Arpajian, White and Williams LLPMr. Arpajian may be contacted at
arpajianr@whiteandwilliams.com
Condo Collapse Spurs Hometown House Member to Demand U.S. Rules
July 19, 2021 —
Parker Purifoy - BloombergA Florida congresswoman called for stricter federal building-safety standards on Thursday to prevent a repeat of the condominium collapse that killed at least 60 people and left dozens more missing in her state.
Representative Debbie Wasserman Schultz, a Democrat whose congressional district includes the condo development in Surfside, said more buildings could collapse or break down as they age and the federal government needed to have a “minimum floor” of safety requirements.
“We do have standards that are tangentially related at the federal level and so I do think it’s important to look into what standards should be adopted at the national level, at a minimum, because this is a tragedy of epic proportions,” she said on Bloomberg Television’s “Balance of Power” with David Westin. “We can’t allow this to ever happen again.”
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Parker Purifoy, Bloomberg