Appeals Court Finds Manuscript Additional Insured Endorsements Ambiguous Regarding Completed Operations Coverage for Additional Insured
September 07, 2017 —
Christopher Kendrick & Valerie A. Moore – Haight Brown & Bonesteel LLPIn Pulte Home Corp. v. American Safety Indemnity Co. (No. D070478; filed 8/30/17), a California appeals court found that manuscript additional insured endorsements on construction subcontractors’ policies were ambiguous regarding additional insured coverage for the developer, and that substantial evidence supported a finding that the insurer’s refusal to defend the developer was in bad faith. The court also approved awarding punitive damages on a one-to-one basis with the general damages. But the appeals court remanded the case for a further determination on the amount of Brandt fees, based on the developer’s change from a contingency to an hourly agreement.
The Pulte case arose from the development of two residential housing projects beginning in 2003 and sold in 2005-2006. Subcontractors were required to name Pulte as additional insured on their policies, some of them issued by American Safety. In 2013, homeowners sued Pulte based in part on the work of subcontractors insured by American Safety, which then denied coverage to Pulte because the construction had taken place years earlier.
Reprinted courtesy of
Christopher Kendrick, Haight Brown & Bonesteel LLP and
Valerie A. Moore, Haight Brown & Bonesteel LLP
Mr. Kendrick may be contacted at ckendrick@hbblaw.com
Ms. Moore may be contacted at vmoore@hbblaw.com
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July Sees Big Drop in Home Sales
August 27, 2013 —
CDJ STAFFThe Commerce Department reported a 13.9 percent drop in sale of new homes for July. Over the course of the last 12 months, home sales had risen 7 percent. According to economists, an annual rate of about 700,000 homes would be a sign of a healthy economy. The July sales fell well short of that, at an annual rate of 394,000. New home starts were also down.
Experts attribute the decline in sales and building to increases in mortgage rates, even though the rates remain historically low. Despite the slump in home sales in July, builder confidence rose to a high in August.
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Executive Insights 2024: Leaders in Construction Law
August 05, 2024 —
Construction ExecutiveThe key risks that should always be taken into account when a contract is signed are risks associated with uncompensated delays and cost increases. Provisions relating to the scope of work deserve significant attention to help minimize these risks. Defining the scope of work is often put on the backburner while parties focus on negotiating the rest of the terms and conditions of the contract. And when these scopes are inserted, they are often not closely reviewed by attorneys who tend to defer to project personnel on scope. These situations can lead to costly disputes.
Instead, make sure: (1) the correct plans and specifications have been referenced in the contract; (2) an attorney or his/her business counterpart is familiar with relevant specifications; (3) the exhibit containing the assumptions and clarifications is clearly written, has been coordinated with language in the body of the contract and can be clearly understood by attorneys and business people beyond the preconstruction personnel who drafted them; and (4) the contract addresses the order of precedence in the event of a conflict between or among contract provisions (including exhibits). With regard to specifications referenced above, an attorney review is advised because many specification sections, including submittal sections, change order sections, payment provisions and construction progress documentation sections, regularly vary from the negotiated sections of the actual contract. Contractors also unwittingly accept design risk through performance specifications, and the accompanying obligations and risks are underestimated by those tasked with the initial review of those documents. In sum, a clear scope is as important as clear terms and conditions.
Reprinted courtesy of
Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Norfolk Southern Accused of Trying to Destroy Evidence of Ohio Wreck
February 27, 2023 —
Jef Feeley - BloombergNorfolk Southern Corp.’s plan to remove wrecked rail cars from a derailment that resulted in potentially poisonous gas being released over an Ohio town will destroy evidence of the company’s liability, lawyers for residents say.
Lawyers in proposed class-action lawsuits over the Feb. 3 accident on Friday asked a federal judge to block the company from clearing the wreckage in East Palestine, Ohio. According to the lawyers, Norfolk Southern informed them last week that it planned to move the 11 rail cars by March 1 and would make them available for inspection for only two days.
Adam Gomez, a lawyer for East Palestine residents, said in a court filing that it was “common sense” to keep the wreckage where it is for now. “These communities have questions and we need the evidence to answer them,” he said.
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Jef Feeley, Bloomberg
Insurer’s Duty to Indemnify Not Ripe Until Underlying Lawsuit Against Insured Resolved
February 03, 2020 —
David Adelstein - Florida Construction Legal UpdatesA liability insurer has two duties: 1) the duty to defend its insured; and 2) the duty to indemnify its insured.
With respect to the second duty – the duty to indemnify – this duty is typically “not ripe for adjudication unless and until the insured or putative insured has been held liable in the underlying action.” Hartford Fire Ins Co. v. Beazer Homes, LLC, 2019 WL 5596237, *2 (M.D.Fla. 2019) (internal quotation omitted).
For instance, Beazer Homes involved an insurance coverage dispute stemming from construction defects. An owner sued its general contractor for construction defects relating to stucco problems. The general contractor paid for the repairs. The general contractor then sued its stucco subcontractor to recover the costs it incurred. The subcontractor tendered the defense of the lawsuit to its commercial general liability insurer which is defending its insured-subcontractor under the commonly issued reservation of rights.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
BWB&O Attorneys are Selected to 2024 Southern California Super Lawyers Rising Stars
July 22, 2024 —
Bremer Whyte Brown & O'Meara LLPBWB&O is proud to announce Senior Family Law Associate Pamchal Deylami, Newport Beach Partner Kyle Riddles, Newport Beach Partner Courtney Serrato, Newport Beach Associate Kevin Moore, Woodland Hills Associate Brian Taylor have been selected to the 2024 Southern California Super Lawyers list as Rising Stars for their work in Family Law, Civil Litigation, Business Litigation, and Personal Injury.
SELECTED AS RISING STARS
Pamchal Deylami: 2020-2024
Kyle Riddles: 2024
Courtney Serrato: 2023-2024
Kevin Moore: 2021-2024
Brian Taylor: 2023-2024
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Bremer Whyte Brown & O'Meara LLP
Savera Sandhu Joins Newmeyer Dillion As Partner
March 23, 2020 —
Newmeyer DillionProminent business and real estate law firm Newmeyer Dillion is pleased to announce that
Savera Sandhu has joined the firm's Las Vegas office as a partner. Sandhu's addition formalizes Newmeyer Dillion's
Healthcare practice group, which will draw on the firm's existing strengths and service offerings in the healthcare industry.
"Newmeyer Dillion has been delivering services within the healthcare industry for many years, offering our premier legal services across a large range of sectors," said Office Managing Partner Nathan Owens. "We are excited to welcome Savera to our team, and believe her experience will help us to more broadly service the healthcare industry as we continue to work closely with companies in the Western region."
The firm's Healthcare practice will comprise attorneys from the firm's business, litigation, employment law and real estate practice groups, who have extensive experience advising the healthcare industry in the areas of state and federal regulatory compliance, general business matters, medical malpractice and litigation defense. Newmeyer Dillion offers a range of key legal services to healthcare clients including entrepreneurs, technology companies, physicians, dentists and other healthcare professionals, suppliers, medical device manufacturers, hospitals, physician groups, out-patient and long-term care facilities.
In addition to health care, Sandhu expands the firm's capabilities to service clients in the transportation, finance, entertainment and construction industries.
For over a decade, Sandhu has worked intimately with the healthcare industry as their legal advocate, offering solution-oriented approaches to the business side of healthcare. As a partner with the firm, Sandhu counsels a wide range of corporate and healthcare clients on business and litigation matters throughout the state and nationwide. Embracing the firm's commitment to propel businesses forward, she combines a deep knowledge of commercial litigation with finely-honed experience as a trusted legal advisor to Fortune 100 companies. She also brings a broad perspective to her work with healthcare clients, based on her exceptional knowledge of corporate law, healthcare litigation, and state and federal regulatory matters.
Sandhu believes that her effectiveness as legal counsel is enhanced by her strong commitment to both her profession and to the communities where she lives and works. Dedicated to the tenets of diversity and inclusion rooted in the firm's culture, she has held leadership roles as a long-time member of the Southern Nevada Association of Women Attorneys (SNAWA) and the South Asian Bar Association.
Sandhu received her B.A. from the University of Washington and her J.D. from Seattle University School of Law.
About Newmeyer Dillion
For 35 years, Newmeyer Dillion has delivered creative and outstanding legal solutions and trial results that achieve client objectives in diverse industries. With over 70 attorneys working as a cohesive team to represent clients in all aspects of business, employment, real estate, environmental/land use, privacy & data security and insurance law, Newmeyer Dillion delivers holistic and integrated legal services tailored to propel each client's success and bottom line. Headquartered in Newport Beach, California, with offices in Walnut Creek, California and Las Vegas, Nevada, Newmeyer Dillion attorneys are recognized by The Best Lawyers in America©, and Super Lawyers as top tier and some of the best lawyers in California and Nevada, and have been given Martindale-Hubbell Peer Review's AV Preeminent® highest rating. For additional information, call 949.854.7000 or visit www.newmeyerdillion.com.
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Public-Employee Union Fees, Water Wars Are Key in High Court Rulings
August 20, 2018 —
Jeff Yoders, Pam Radtke Russell, JT Long, and Debra K. Rubin - Engineering News-RecordTwo U.S. Supreme Court rulings on June 27 that wrapped the court’s current case calendar addressed labor relations and water rights issues with construction sector impact. Its 5-4 decision in Janus v. AFSCME that public-sector employees can’t be forced to pay “fair-share fees” to unions could affect industry professionals represented by labor groups in 22 states.
Reprinted courtesy of ENR journalists
Jeff Yoders,
Pam Radtke Russell,
JT Long and
Debra K. Rubin
Mr. Yoders may be contacted at yodersj@enr.com
Ms. Russell may be contacted at Russellp@bnpmedia.com
Ms. Debra may be contacted at rubind@enr.com
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