Client Alert: Expert Testimony in Indemnity Action Not Limited to Opinions Presented in Underlying Matter
February 18, 2015 —
R. Bryan Martin and Kristian B. Moriarty – Haight Brown & Bonesteel, LLPIn National Union Fire Insurance Co. of Pittsburgh Pa. v. Tokio Marine and Nichido Fire Insurance Co. (filed 2/4/2015, B24899 and B247258), the California Court of Appeal, Second District, held that the insurer of Costco Wholesale Corporation, in a subsequent indemnity action, could offer expert opinions which were not developed by the third-party plaintiff’s experts in an underlying dispute.
Jack Daer filed suit against Costco and Yokohama Tire Corporation, alleging a tire manufactured by Yokohama (and sold by Costco), was defective and caused an accident resulting in Mr. Daer’s injuries. The case proceeded through expert discovery and depositions. On the first day of trial, Costco settled with Daer for $5.5 million, and Yokohama settled for $1.1 million.
Reprinted courtesy of
R. Bryan Martin, Haight Brown & Bonesteel LLP and
Kristian B. Moriarty, Haight Brown & Bonesteel LLP
Mr. Martin may be contacted at bmartin@hbblaw.com, Mr. Moriarty may be contacted at kmoriarty@hbblaw.com
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Consumer Prices Rising as U.S. Housing Stabilizes: Economy
June 18, 2014 —
Jeanna Smialek and Shobhana Chandra – BloombergConsumer prices rose in May by the most in more than a year, showing U.S. companies are gaining some pricing power as the economy strengthens, and the homebuilding industry stabilized after a first-quarter swoon.
The cost of living increased 0.4 percent, the biggest advance since February 2013, according to Labor Department data released today in Washington. Other figures showed builders broke ground on 1 million homes at an annualized rate after 1.07 million in April, the best two-month reading since late 2013.
The reports will be welcome news to Federal Reserve policy makers meeting today and tomorrow as the pickup in inflation lessens the threat of a prolonged drop in prices that hurts economic growth. Central bankers are projected to continue scaling back their bond-buying program, while an increase in interest rates is delayed until well into 2015.
Ms. Smialek may be contacted at jsmialek1@bloomberg.net; Ms. Chandra may be contacted at schandra1@bloomberg.net
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Jeanna Smialek and Shobhana Chandra, Bloomberg
CSLB “Fast Facts” for Online Home Improvement Marketplaces
August 20, 2018 —
Garret Murai - California Construction Law BlogAs more and more online home improvement marketplaces like Angie’s List come online, questions have arisen as to whether such online marketplaces must hold a contractor’s license. The California Contractor’s State License Board has put together a “Fast Facts” sheet to help online home improvement marketplaces navigate the ins and outs of contractor’s license requirements, salesperson requirements, and advertising requirements. The short answer is that these marketplaces do not need a contractor’s license as long as the customer is contracting directly with the listed contractors (not the marketplace). Here’s the slightly longer explanation:
July 20, 2018 CSLB #18-10
CSLB Hopes to Clear Up Confusion about License and Contracting Requirements for Online Home Improvement Marketplace Companies
SACRAMENTO – Over the past few months, the Contractors State License Board (CSLB) has been addressing emerging issues involving online marketplaces and contractor referral websites. In its most basic form, online marketplaces are e-commerce websites that link consumers to products and/or services that are provided by multiple third parties. In these situations the e-commerce operator processes the transactions. Many referral websites charge contractors for leads.
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Garret Murai, Wendel, Rosen, Black & Dean LLPMr. Murai may be contacted at
gmurai@wendel.com
Avoid Delay or Get Ready to Pay: The Risks of “Time-Is-of-The-Essence” Clauses
August 29, 2018 —
Stephen Orlando - Gordon & Rees Construction Law BlogLike death and taxes, construction delays are inevitable. Even the most cautious, diligent contractor may face subcontractor disputes, supply shortages, or inclement weather which slows down a project. Even if the contractor avoids unexpected problems, the sheer complexity of a job may cause a contractor to exceed the deadlines proposed in a contract.
Fortunately, courts recognize the practical reality of construction projects and the unavoidable delays which may arise. Therefore, as a general rule, a contractor is only liable for delayed completion of a project if the delay resulted from the contractor’s unreasonable performance of his or her work. Reasonable performance will typically serve as a defense to a claim of delayed completion. This defense is a vital asset when a contractor surpasses the project’s expected timeframe.
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Stephen Orlando, Gordon & Rees Scully Mansukhani
Anchoring Abuse: Evolution & Eradication
October 09, 2023 —
Tim Capowski & Chris Theobalt - Kahana FeldOver the past few years, the plaintiff bar has expanded its use of improper anchoring tactics. Historically, improper anchoring was seen as a risky tactic in which a plaintiff’s counsel would suggest an outrageous figure for pain and suffering during summation in the hope that the lay jury would either award it or split the difference (cut the suggested figure by half) and, either way, return an excessive or runaway verdict. Plaintiff counsel deployed the tactic infrequently through the turn of the century for fear of alienating the jury by appearing greedy.
Two interrelated factors happened to change this dynamic. First, the plaintiff bar worked extremely hard in the intervening years with great success to shed its “ambulance chaser” stereotype by marketing itself as the “protector of the vulnerable”. Second, with the rise in Reptile and punitive tactics spawned in part by the publication of the Reptile handbook, the plaintiff bar also discovered that juries were not alienated by outrageous anchors as long as they were preceded by Reptile commentary essentially to “prime” the jury to punish the defendant rather than compensate the plaintiff with its award.
This is not speculation. I recall sitting outside a courtroom with one of New York’s top plaintiff attorneys in 2006 during deliberations on a catastrophic personal injury trial, during which he conceded to me that he was worried he had asked the jury for too large a figure (it was not even eight figures). A decade later in 2016, that same attorney felt no trepidation in requesting nearly $100 million for a comparable injury. He fed the jurors a steady diet of Reptile tactics from start to finish and they dutifully awarded the requested figure. Our research confirms that this two-step strategy (Reptile + improper anchor) preceded every New York nuclear verdict returned from 2010-2022. The same is almost certainly true of most nuclear verdicts in other jurisdictions.
Reprinted courtesy of
Tim Capowski, Kahana Feld and
Chris Theobalt, Kahana Feld
Mr. Capowski may be contacted at tcapowski@kahanafeld.com
Mr. Theobalt may be contacted at ctheobalt@kahanafeld.com
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Development in CBF Green Building Case in Maryland
August 19, 2015 —
Christopher G. Hill – Construction Law MusingsRemember that case I discussed a while back relating to the Chesapeake Bay Foundation (CBF) building in Annapolis, Maryland? Remember how it was a lawsuit over parallams and failure of those parallams? Do you even remember what a parallam is?
Well, that case was initially dismissed upon the Defendant’s Motion for Summary Judgment because the trial court determined that CBF did not file its lawsuit within the proper time frame after notice of the potential failure of the building materials. Of course, CBF appealed to the Fourth Circuit Court of Appeals under the caption The Chesapeake Bay Foundation, Inc., et. al. v. Weyerhaeuser Company (4th Circuit).
After a great review of the facts of the case, the engineering inspections and reports at issue and the trial court’s ruling, the Fourth Circuit vacated the dismissal and remanded the case for further proceedings. The Court of Appeals reasoned that the district court jumped the gun in dismissing the lawsuit so early in the process because:
a genuine dispute exists as to whether knowledge of the water infiltration problem would have put a reasonable person on notice that the Parallams were susceptible to premature deterioration and that their PolyClear 2000 treatment would not preserve them.
In short, the court ruled that the engineering reports relating to moisture issues would have put CBF on notice of the particular issue of deterioration that was at issue in the litigation.
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Christopher G. Hill, Law Office of Christopher G. Hill, PCMr. Hill may be contacted at
chrisghill@constructionlawva.com
Florida Lien Law and Substantial Compliance vs. Strict Compliance
April 20, 2017 —
David Adelstein - Florida Construction Legal UpdatesThere are literally some (or, perhaps, many!) disputes that will make you say “hmm!” The “hmm” is a euphemism for “what is a party thinking?!?” The case of Trump Endeavor 12 LLC v. Fernich, Inc., 42 Fla. L.Weekly D830a (Fla. 3d DCA 2017) is one of these cases because a party (the owner) is banking its defense on a technical “all-or-nothing” argument pertaining to whether a lienor (a supplier) substantially complied with Florida’s Lien Law because a supplier’s Notice to Owner identified the wrong general contractor. This is a challenging argument because the owner has to prove how they were adversely affected / prejudiced by the lack of substantial compliance, which is not an easy burden.
This case concerns the Trump National Doral Miami project. The project consisted of a lodge project and a separate clubhouse project, both of which had different general contractors. On the lodge project, the general contractor hired a painter which, in turn, procured paint from a supplier (the lienor). The supplier visited the project and obtained the Notice of Commencement from the owner so that it could perfect its lien rights. The owner furnished the supplier the Notice of Commencement for the clubhouse project that had a different general contractor. Relying on this Notice of Commencement, the supplier served a Notice to Owner. The Notice to Owner was timely serviced however it identified the wrong contractor – it identified the general contractor for the clubhouse project instead of the lodge project. Although the supplier later learned there was a different general contractor on the lodge project, it did not remedy the issue by serving a Notice to Owner on the correct contractor. Indeed, the contractor for the lodge project learned of the Notice to Owner furnished by the supplier and that the supplier was furnishing paint to the painting subcontractor for purposes of that project.
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David Adelstein, Florida Construction Legal UpdatesMr. Adelstein may be contacted at
Dadelstein@gmail.com
Critical Materials for the Energy Transition: Of “Rare Earths” and Even Rarer Minerals
September 12, 2022 —
Robert A. James, Ashleigh Myers, Shellka Arora-Cox & Amanda G. Halter - Gravel2Gavel Construction & Real Estate Law BlogAs the world pursues ambitious net-zero carbon emission goals, demand is soaring for the critical materials required for the technologies leading the energy transition. Lithium may be the most well-known of these inputs due to its usage in batteries for vehicles and consumer electronics, but roughly 50 other minerals are central to energy transition technologies. During the coming years, producers, manufacturers and end-users will be increasingly exposed to the roles played by “rare earth” elements (roughly, atomic numbers 57 to 71), platinum group metals, and other materials.
The reasons for this heightened interest are simple—even if the underlying environmental, political and technological forces at play are complex:
- Lower-carbon technologies use different materials than carbon-intensive technologies.
The mineral requirements of power and mobility systems driven by renewable, nuclear, hydrogen and fusion energy are profoundly different from those forming the backbone of fossil fuel systems. Minerals such as lithium, nickel, copper, cobalt, and rare earth elements are vital for electric vehicles (EVs), batteries, fuel cells, electricity grids, wind turbines, smart devices, and many other essential and proliferating civilian and military technologies. For example, an offshore wind plant needs 13 times more mineral resources than a gas power plant of a similar size.
Reprinted courtesy of
Robert A. James, Pillsbury,
Ashleigh Myers, Pillsbury,
Shellka Arora-Cox, Pillsbury and
Amanda G. Halter, Pillsbury
Mr. James may be contacted at rob.james@pillsburylaw.com
Ms. Myers may be contacted at ashleigh.myers@pillsburylaw.com
Ms. Arora-Cox may be contacted at shellka.aroracox@pillsburylaw.com
Ms. Halter may be contacted at amanda.halter@pillsburylaw.com
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