Sixth Circuit Finds No Coverage for Faulty Workmanship Under Kentucky Law
December 30, 2013 —
Tred Eyerly — Insurance Law HawaiiFollowing Kentucky law, the Sixth Circuit determined there was no coverage for a construction defect claim. Liberty Mut. Fire Ins. Co. v. Kay & Kay Contracting, LLC, 2013 U.S. App. LEXIS 23587 (6th Cir. Nov. 19, 2013).
Walmart hired a contractor to build a new store. The contractor hired Kay and Kay to perform site preparation work and construct the building pad for the new store.
After Kay and Kay completed the building pad and the store was erected, cracks were noticed in the building's walls. Walmart contended there was settling in the some of the fill areas. Kay and Kay denied liability, but demanded coverage under its CGL policy with Liberty Mutual.
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Tred EyerlyTred Eyerly can be contacted at
te@hawaiilawyer.com
Fatal Crane Collapse in Seattle Prompts Questions About Disassembly Procedures
July 09, 2019 —
Jeff Rubenstone - Engineering News-RecordA tower crane being dismantled collapsed Saturday, April 27 in Seattle, killing four people, including two ironworkers on the crane and two bystanders on the street below. The jobsite, located in a Google office development in Seattle's bustling South Lake Union neighborhood, is adjacent to a busy intersection where traffic had not been blocked off during the crane’s disassembly. It is the first fatal crane accident in the Puget Sound region since a crane collapse in Bellevue, Wash., in 2006 that killed one person.
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Jeff Rubenstone, ENRMr. Rubenstone may be contacted at
rubenstonej@enr.com
Considerations in Obtaining a Mechanic’s Lien in Maryland (Don’t try this at home)
December 21, 2020 —
Christopher G. Hill - Construction Law MusingsFor this week’s Guest Post Friday at Construction Law Musings I welcome Matthew Evans. Matt is the owner of Law Offices of Matthew S. Evans, III, LLC located in Annapolis, Maryland. He has practiced construction, real estate and land use law in Maryland and D.C. for thirteen years. Prior to opening his own firm in May 2011, Mr. Evans was a partner at a mid-sized firm in Anne Arundel County, Maryland. Mr. Evans lives in Historic Annapolis (only three short blocks from his office) with his wife Margaret, and three children, Matthew (5), Bo (4) and Peyton (2).
Some of the most common calls I get are from irate contractor or subcontractor clients who have not been paid demanding that I “lien the property”. Many times after calming the client down, I determine, to their dismay, that they are not entitled to a mechanic’s lien. In Maryland, the mechanic’s lien law is driven by statute, which contains specific requirements which must be met before the client is entitled to a lien.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Professional Liability Client Alert: Law Firms Should Consider Hiring Outside Counsel Before Suing Clients For Unpaid Fees
March 31, 2014 —
David W. Evans and Blythe Golay - Haight Brown & Bonesteel LLPLaw firms seeking to recover attorney’s fees as the prevailing party in fee dispute litigation with their former client should hire outside counsel in order to avoid waiving any entitlement to such fees. Evaluating any potential exposure for a professional negligence claim or cross-claim before filing suit should also be considered. In Soni v. Wellmike Enterprise Company, Ltd., et al., No. B242288 (filed March 26, 2014) the California Court of Appeal for the Second District held that a law firm, represented by its own employees and associates, was not entitled to recover attorney fees as the prevailing party, pursuant to the attorney’s fee provision in the retainer agreement. The Soni decision is the latest addition to the general prohibition enunciated by Trope v. Katz (1995) 11 Cal.4th 274 (“Trope”) and its progeny that law firms are precluded from recovering attorney’s fees for self-representation.
In Soni, the law firm obtained a $28,384 judgment for delinquent legal fees against a former client. The firm then filed a motion for attorney’s fees, seeking $120,912 as the fees it incurred as the prevailing party under the retainer agreement. The trial court denied the motion based on the general rule set forth in the Trope line of cases that fees are not recoverable where the firm is represented by attorneys employed by the firm, despite the presence in the applicable retainer agreement of a clause notifying the client that fees the law firm would seek if it prevailed would include those for its in-house personnel.
Reprinted courtesy of
David W. Evans, Haight Brown & Bonesteel LLP and
Blythe Golay, Haight Brown & Bonesteel LLP
Mr. Evans may be contacted at devans@hbblaw.com; Ms. Golay may be contacted at bgolay@hbblaw.com
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A “Flood” of Uncertainty; Massachusetts SJC Finds Policy Term Ambiguous
August 26, 2024 —
Michael S. Levine & Torrye Zullo - Hunton Insurance Recovery BlogThe highest court in Massachusetts recently held that term “Flood” and the associated phrase “surface waters,” as used in two all-risk insurance policies, is ambiguous in the context of water that accumulated on a parapet roof and rooftop courtyard, thereby negating the insurers’ attempt to limit coverage to a sublimited coverage for “Flood.”
Background
In June 2020, a severe storm caused damage to Norwood Hospital, owned by Medical Properties Trust, Inc. (“MPT”) and leased to Steward Health Care System (“Steward”), the policyholders. The relevant portion of the damage included damage from rain that accumulated on the rooftop courtyard and seeped into the interior of the building causing damage to the building and its contents.
Reprinted courtesy of
Michael S. Levine, Hunton Andrews Kurth and
Torrye Zullo, Hunton Andrews Kurth
Mr. Levine may be contacted at mlevine@HuntonAK.com
Ms. Zullo may be contacted at tzullo@HuntonAK.com
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Exclusion Does Not Bar Coverage for Injury To Subcontractor's Employee
April 28, 2014 —
Tred R. Eyerly – Insurance Law HawaiiThe Third Circuit reversed the district court and held that the additional insured was covered for injury to the subcontractor's employee despite an employee's exclusion in the policy. ArcelorMittal Plate, LLC v. Joule Technical Serv, Inc., 2014 U.S. App. LEXIS 2905 (3d Cir. Feb. 18, 2014).
ArcelorMittal Plate, LLC (AMP) owned a steel production facility. AMP contracted with Joule, an industrial staffing and engineering firm, for regular performance of maintenance and repair work at its plant. Joule was obligated to provide a CGL policy adding AMP as an additional insured "for all claims including, but not limited to, claims by Joule's employees."
Joule added AMP as an additional insured to its policy with Liberty Surplus Ins. Corp. The policy had an "employee exclusion" which stated, “This insurance does not apply to bodily injury to (1) an employee of the insured arising out of and in the course of (a) employment by the insured or (b) performing duties related to the conduct of the insured's business.”
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Unpunished Racist Taunts: A Pennsylvania Harassment Case With No True 'Winner'
December 04, 2023 —
Richard Korman - Engineering News-RecordThe taunts started in the first days of Andre Pryce’s new job, camouflaged as joking. During the nine months of 2019 spent working as a drill rig hand, mostly in the woods in western Pennsylvania, for a contractor that also performs much construction-related drilling, he said coworkers filled his ears with racist insults.
Reprinted courtesy of
Richard Korman, Engineering News-Record
Mr. Korman may be contacted at kormanr@enr.com
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ASCE Statement on Devastating Tornado Damages Throughout U.S.
December 20, 2021 —
Tom Smith, Executive Director - American Society of Civil Engineers (ASCE)WASHINGTON, DC. – We are deeply saddened by the tragic tornado storms that ravaged six states across the Midwest and Southeastern portions of the U.S. last Friday evening, resulting in loss of life in five of those six states. Even though warnings were issued throughout the region, storms of this magnitude can be difficult to prepare for. Nevertheless, as civil engineers, our mission is to continually advance the design and construction of safe, reliable, and resilient building structures and infrastructure systems to mitigate the damage caused by storms.
ASCE 7 — a nationally-adopted, consensus-based engineering standard that is the primary reference of structural design requirements in all U.S. building codes — was recently updated to include a new chapter for tornado loads in the 2022 edition. The new tornado provisions in ASCE 7-22 were a result of a decade-long effort in partnership with the National Institute of Standards and Technology following the 2011 Joplin, MO Tornado. ASCE 7-22 provides updated design requirements for a variety of structures, including many of the types impacted by Friday's storms.
In an effort to assist, the Structural Engineering Institute of ASCE is currently offering free access to a report issued after the Joplin, MO tornado in 2011 that killed more than 150 people.
Joplin, Missouri, Tornado of May 22, 2011: Structural Damage Survey and Case for Tornado-Resilient Building Codes presents the observations, findings, and recommendations of an engineering reconnaissance team that surveyed residential structures and schools in the tornado path shortly after the event. The EF 5 tornado cut a seven-mile swath through Joplin, Missouri; it destroyed more than 5,000 buildings and killed more than 150 people.
We will continue to keep those who have been affected in our hearts and thoughts, and we share our heartfelt sympathies.
For more information, visit www.asce.org or www.infrastructurereportcard.org and follow us on Twitter, @ASCETweets and @ASCEGovRel.
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