Contract Not So Clear in South Carolina Construction Defect Case
November 07, 2012 —
CDJ STAFFThe South Carolina Court of Appeals has reversed a partial summary judgment issued by one of the lower courts in the case of The Retreat at Edisto Co-Owners Association v. The Retreat at Edisto. The underlying issues of the case deal with a construction defect complaint.
The lower court had concluded “Developer’s ‘First Amendment’ to the Master Deed required the Developer to satisfy the provision in the paragraph labeled ‘Master Deed Amendment or Phase II’ as a condition precedent to its election to proceed with the development of Phase II.”
The appeals court found that “the language of the First Amendment to the Master Deed is susceptible to more than one interpretation.” The court additionally concluded that the “Developer presented the requisite scintilla of evidence on the question of its intent in order to establish a genuine issue of material fact. As the material facts were in dispute, the appeals court reversed the summary judgment and remanded the case to the circuit court for further proceedings.
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New Orleans Is Auctioning Off Vacant Lots Online
March 12, 2015 —
Patrick Clark – BloombergNew Orleans is selling almost 1,800 properties on the Web to fatten its tax coffers and build on the momentum it's enjoying in the local real estate market.
The question is, who's going to show up for the online auction, and what are they going to do with the lots they buy?
On Friday, the city posted a list of 1,786 properties—90 percent of them vacant lots—that it plans to sell in the auction. Bidding on the properties, of which the city took control after the owners failed to pay property taxes, will start at $3,000 in most cases, plus the cost of trying to track down the most recent owner.
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Patrick Clark, BloombergMr. Clark may be contacted at
jclark185@bloomberg.net
“For What It’s Worth”
October 21, 2024 —
Daniel Lund III - LexologyThe legal doctrine of quantum meruit is essentially referring to recovering “for what it’s worth,” incorporating the Latin phrase for “as much as one has deserved.”
Quantum meruit recovery occurs when there is no contract between parties for the particular item for which recovery is sought. Hence, quantum meruit recovery is generally a means of last resort to endeavor to make oneself whole.
So, it was for a subcontractor seeking nearly $14,000,000 for work it performed on a construction project in Portsmouth, New Hampshire. The subcontractor sued on contract as well as quantum meruit/unjust enrichment. The court initially dismissed the quantum meruit/unjust enrichment claims – because there was a contract claim – whereupon the contract claim was dismissed on summary judgment: the subcontractor failed to timely submit change proposals and, consequently, “lost contract remedies available to recover amounts it sought in the change proposals.”
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Daniel Lund III, PhelpsMr. Lund may be contacted at
daniel.lund@phelps.com
Court of Appeals Upholds Default Judgment: Serves as Reminder to Respond to Lawsuits in a Timely Manner
October 02, 2023 —
Anna Basnaw - Ahlers Cressman & Sleight PLLCIn
Cyrus Way Partners, LLC. (“Cyrus”) v. Cadman, Inc. (“Cadman”), the primary issue on appeal was whether the trial court erred in denying Cadman’s motion to vacate the default judgment under Civil Rules 55 and 60. A default judgment is a legal ruling that can be entered in favor of the plaintiff when the defendant fails to respond to a lawsuit. If that happens, the court may resolve the lawsuit without hearing from the other side. In Washington, a party typically has 20 days to appear in a suit before being at risk for default judgment. If a default judgment is entered for the plaintiff, the defendant can move to vacate the default judgment, meaning the defendant hopes the court will set aside the default judgment as if it never happened. In this case, Cadman, the defendant, presents several ultimately unsuccessful arguments for why the default judgment in favor of Cyrus, the plaintiff, should be vacated.
Cyrus and Orca Beverage Inc. (“Orca”) are under common ownership. In 2018, Cyrus began a project to build a warehouse for Orca, which included the construction of a large concrete slab. Cadman was hired to supply the concrete. Cyrus hired Olympic Concrete Finishing Inc. (“Olympic”) to finish the concrete. On April 1, 2018, Cadman poured the concrete, and Olympic finished the slab. The next day, Cyrus noticed several problems with the slab, which experts hired by both Cyrus and Cadman opined were caused by an abnormally high air content in the concrete.
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Ahlers Cressman & Sleight PLLC
2017 Colorado Construction Defect Recap: Colorado Legislature and Judiciary Make Favorable Advances for Development Community
January 24, 2018 —
Kaitlin Marsh-Blake – Gordon & Rees Construction Law Blog Last March, the Colorado General Assembly introduced House Bill 17-1279 concerning the requirement that a unit owners’ association obtain approval through a vote of unit owners before filing a construction defect action. The bill, passed in May, requires a home owners’ association to first notify all unit owners and the developer or builder of a potential construction defect action, call a meeting where both the HOA and developer or builder have an opportunity to present arguments and potentially remedy the defect, and obtain a majority vote of approval from the unit owners to pursue a lawsuit before bringing a construction defect action against a developer or builder. The bill amends C.R.S. § 38-33.3-303.5, which previously only required substantial compliance with the above-mentioned actions. Moreover, the previous version of C.R.S. § 38-33.3-303.5 did not require the HOA to perform these actions prior to a suit being filed. HB 17-1279 also removed the provision of C.R.S. § 38-33.3-303.5 that made it only applicable to buildings of five or more units.
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Kaitlin Marsh-Blake, Gordon & ReesMs. Marsh-Blake may be contacted at
kmarsh-blake@grsm.com
Georgia Federal Court Holds That Pollution Exclusion Bars Coverage Under Liability Policy for Claims Arising From Discharge of PFAS Into Waterways
December 18, 2022 —
Paul Briganti - White and WilliamsOn December 5, 2022, the U.S. District Court for the District of Georgia held that a total pollution exclusion (TPE) in a CGL policy relieved the insurer of any obligation to defend or indemnify a recycling company in a putative class action alleging PFAS contamination of Georgia waterways. See Grange Ins. Co. v. Cycle-Tex Inc., et al., Order, Civ. A. No. 4:21-cv-00147-AT (N.D. Ga. Dec. 5, 2022). The decision adds to a slowly-developing body of case law addressing coverage issues arising out of PFAS-related claims.
In Grange, the insured, Cycle-Tex, Inc., was the operator of a thermoplastics recycling facility in Dalton, Georgia. Cycle-Tex and other defendants – which included chemical suppliers, carpet manufacturers, intermediaries, the City of Dalton and the Dalton-Whitfield Solid Waste Authority – were named in a putative class action complaint alleging that residents of Dalton had been injured as a result of the defendants’ discharge of PFAS into local waterways. The complaint sought damages for: (1) alleged harm to the residents’ health by virtue of ingesting contaminated water; (2) alleged property damage resulting from the contamination of the public water supply; and (3) the payment of surcharges and heightened water rates as a result of the alleged contamination.
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Paul Briganti, White and WilliamsMr. Briganti may be contacted at
brigantip@whiteandwilliams.com
Homebuilders See Record Bearish Bets on Shaky Recovery
June 18, 2014 —
Callie Bost – BloombergSomeone thinks the housing rebound is built on shaky foundations.
A record 180,000 puts traded on the SPDR S&P Homebuilders (XHB) exchange-traded fund on June 11, according to data compiled by Bloomberg. The contract with the highest ownership pays off in the event of a 20 percent slump by December in the ETF tracking stocks from DR Horton Inc. to Williams-Sonoma Inc.
Prospects for rising interest rates and an uneven recovery in the housing market have hurt returns this year, sending the SPDR Homebuilders ETF down 3.3 percent. While economic data yesterday showed that builders broke ground on 1 million U.S. homes in May, permits, a proxy for future construction, decreased because of fewer applications for condominiums and apartment buildings.
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Ms. Bost may be contacted at
cbost2@bloomberg.net
Detroit Showed What ‘Build Back Better’ Can Look Like
May 10, 2021 —
Rip Rapson - BloombergAmerican cities stand at a precipice. Burdened by an overwhelming public health crisis, drained of resources by economic stagnation and torn apart by racial injustice and unrest, cities are confronting the reality that conventional formulas of municipal finance and practices of working cannot sustain our urban places.
The significance of this moment was not lost on the Biden-Harris administration, which quickly advanced an ambitious mandate commensurate with the challenge: a domestic Marshall Plan called Build Back Better. Already, the first prong — the $1.9 trillion American Rescue Plan — has helped shore up city budgets, restore desperately needed funding for public transportation and keep businesses open and families in homes. The second leg, the $2 trillion American Jobs Plan, represents a bold shift from short-term recovery to long-term transformation.
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Rip Rapson, Bloomberg