Your Bad Faith Jury Instruction Against an Insurer is Important
March 09, 2020 —
David Adelstein - Florida Construction Legal UpdatesA statutory bad faith claim against an insurer is derived from Florida Statute s.
624.155. A bad faith claim against a first party insurer, such as a property insurer, must be statutory. Check out the hyperlink of the statute, but a party must first file a Civil Remedy Notice identifying the statutory violations to preserve the statutory bad faith claim giving the insurer an opportunity to cure.
In a noteworthy case, Cooper v. Federated National Insurance Company, 44 Fla. L. Weekly D2961a (Fla. 5th DCA 2019), the Fifth District Court of Appeal dealt with the jury instruction for an insured’s statutory bad faith claim against their property insurer. The insured filed a bad faith claim predicated on the property insurer violating the provisions of Florida Statute s.
626.9541(1)(i)3, which involves unfair claim settlement practices. The insured had a jury trial and submitted a proposed jury instruction regarding bad faith that tracked the very essence of their bad faith claim and was modeled after s. 626.9541(1)(i)(3). The trial court, however, denied this jury instruction, instead adopting a standard jury instruction for bad faith. The jury returned a verdict in favor of the property insurer and the insured appealed arguing it was reversible error for the trial court NOT to present to the jury their bad faith jury instruction. The Fifth District agreed and ordered a new trial finding that the trial court’s failure to present the jury instruction amounted to a miscarriage of justice.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Housing Starts in U.S. Climb to an Almost Eight-Year High
August 19, 2015 —
Sho Chandra – BloombergNew-home construction in the U.S. climbed in July to the highest level in almost eight years, indicating the industry will pick up in the second half of the year.
Residential starts rose 0.2 percent to a 1.21 million annualized rate, the most since October 2007, from a 1.2 million pace in the prior month that was higher than previously estimated, a Commerce Department report showed Tuesday in Washington. The median forecast of 77 economists surveyed by Bloomberg was 1.18 million. A drop in permits, a proxy for future construction, signals additional gains will take time to develop.
Rising employment and historically low mortgage rates are enticing buyers, while increasing prices induced by a lack of homes on the market is an incentive to start new developments. Data showing builder sentiment at a decade high in August underscores the view that the housing rebound will stay on track even as the Federal Reserve is poised to boost borrowing costs.
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Sho Chandra, Bloomberg
Leaky Wells Spur Call for Stricter Rules on Gas Drilling
September 17, 2014 —
Jim Snyder, Jim Polson and Bradley Olson – BloombergA study that found natural gas drilling polluted drinking water is fueling calls for stricter standards for well construction that could increase costs for energy companies.
The analysis by academic researchers backed the oil and gas industry in one respect: the authors said “fracking” wasn’t to blame for harmful methane seeping into groundwater studied in Texas and Pennsylvania. Some environmentalists contend that by blasting underground rock with a mix of water, chemicals and sand, producers can force the gas into drinking water near the surface.
The bigger concern, according to the analysis published yesterday by the peer-reviewed Proceedings of the National Academy of Sciences, are leaks in the steel-and-cement casings surrounding the well bore. They let gas escape before it gets to the surface, making water undrinkable and in some cases explosive.
Reprinted courtesy of Bloomberg journalists
Jim Snyder,
Jim Polson and
Bradley Olson
Mr. Snyder may be contacted at jsnyder24@bloomberg.net; Mr. Polson may be contacted at jpolson@bloomberg.net; Mr. Olson may be contacted at bradleyolson@bloomberg.net
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U.S. Department of Justice Settles against Days Inn
February 18, 2015 —
Beverley BevenFlorez-CDJ STAFFAccording to a press release on the Pacific ADA Center website, the Department of Justice (DOJ) reached a settlement with Sairam Enterprises, Inc., the owner of the Tulsa, Oklahoma Days Inn. The DOJ alleged that Sairam violated the Americans with Disabilities Act (ADA) when it denied a room to a veteran and his family because of the veteran’s service dog.
Under the settlement, “Sairam will pay $5,000 to the family and will provide its employees with training regarding the ADA and the protections it provides to guests with service animals; it will also post signs and other announcements at its hotel stating its willingness to lodge travelers with service animals.”
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From ‘Cuckoo’s Egg’ to Today’s Cyber Threat Landscape
September 02, 2024 —
Aarni Heiskanen - AEC BusinessIn 1990, I read an exciting book titled The Cuckoo’s Egg: Tracking a Spy Through the Maze of Computer Espionage. The author, astronomer Clifford Stoll, managed computers at Lawrence Berkeley National Laboratory (LBNL) in California. He was tasked with resolving an accounting error of 75 cents in the computer usage accounts.
The tedious process eventually led him to disclose a German hacker who had gained access to U.S. military secrets through LBNL’s computers. He had been selling information to the KGB for years.
Today’s threat landscape in construction
The LBNL incident was one of the first—if not the first—documented cases of a computer break-in. Fast-forward to today and cyber-attacks are an everyday phenomenon that occurs more often in construction.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
A Relatively Small Exception to Fraud and Contract Don’t Mix
April 01, 2015 —
Christopher G. Hill – Construction Law MusingsRemember all of my posts about how fraud and contract claims don’t usually play well in litigation? Well, as always with the law, there are exceptions. For instance, a well plead Virginia Consumer Protection Act claim will survive a dismissal challenge.
A recent opinion out of the Alexandria division of the U. S. District Court for the Eastern District of Virginia sets out another exception, namely so called fraudulent inducement. In XL Specialty Ins. Co. v. Truland et al, the Court considered the question of whether both a tort and contract claim can coexist in the same lawsuit when the tort claim is based upon the information provided to the plaintiff when that information proves false.
As the courts of Virginia have held for years, only certain information and statements made pre-contract can be the basis for a fraud claim in the face of a contractual duty to perform. One type of statement that is not properly the subject of a fraud in the inducement type claim is sales talk or opinion. Such sales talk (for example claiming that your company is the best for the job) is not the subject of a fraud claim because it is not meant to be relied upon and that such talk is an opinion about future performance, not a false statement of present fact or intent.
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Christopher G. Hill, Law Office of Christopher G. Hill, PCMr. Hill may be contacted at
chrisghill@constructionlawva.com
Real Estate & Construction News Roundup (10/23/24) – Construction Backlog Rebounds, Real Estate Sustainability Grows, and Split Incentive Gap Remains Building Decarbonizing Barrier
November 18, 2024 —
Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law BlogIn our latest roundup, construction output decreased, office utilization unchanged, September apartment starts fell 15% from a year ago as developers pulled permits, and more!
- Developers pulled permits for a seasonally adjusted rate of 398,000 apartments in buildings with five units or more, a 17.4% YOY drop and a 10.8% decrease compared to August 2024. (Leslie Shaver, Multifamily Dive)
- Construction input prices decreased 0.9% in September due to dips in two of three energy subcategories, reflecting the trend of overall material price stabilization over the past 12 months. (Sebastian Obando, Construction Dive)
- Thanks in part to the Federal Reserve’s lowering of the interest rate, construction backlog rebounded in September after slumping at the end of the summer. (Joe Bousquin, Construction Dive)
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Pillsbury's Construction & Real Estate Law Team
2021 Real Estate Trends: New Year, New Reality—A Day of Reckoning for Borrowers and Tenants
February 08, 2021 —
Robert J. Grados & Adam Weaver - Gravel2Gavel Construction & Real Estate Law BlogOn the one-year anniversary of China’s Wuhan lockdown, COVID-19 has become a part of everyday life and as we enter the new year, real estate borrowers and lenders alike will need to understand this new normal and face the reality that is fast approaching. In 2020, as the COVID-19 pandemic swept across the United States, many state and local governments instituted eviction moratoria and other protections for real estate tenants and borrowers. These protections created a window of opportunity for tenants and borrowers to negotiate reasonable solutions with their respective landlords and lenders regarding rent and debt payments amid the COVID-19 pandemic. This temporary period of restricted remedies also allowed courts to analyze legal arguments on how the COVID-19 pandemic impacts the real estate industry.
However, with court rulings forthcoming and many of these eviction protections set to expire in 2021, landlords and tenants as well as borrowers and lenders will be forced to have discussions regarding the realities of their industry and their ability to pay their respective rents and mortgages amid the ongoing COVID-19 crisis. Throughout 2020, lenders and landlords were forced to accommodate workout negotiations as their ability to evict or foreclose upon defaulting tenants or borrowers was prohibited. Many commercial real estate parties were able to come to agreements on what borrowers and tenants were able to pay, given the impact of the COVID-19 pandemic on their respective industries. As the legal protections are rolled back and the leverage shifts back into the hands of the lenders and landlords, we will likely see a trend of aggressive landlords and lenders and an increased number of evictions and foreclosures, especially in industries that are most vulnerable to the COVID-19 pandemic: retail and hospitality.
Reprinted courtesy of
Robert J. Grados, Pillsbury and
Adam Weaver, Pillsbury
Mr. Grados may be contacted at robert.grados@pillsburylaw.com
Mr. Weaver may be contacted at adam.weaver@pillsburylaw.com
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