New Jersey Supreme Court Hears Insurers’ Bid to Overturn a $400M Decision
January 25, 2021 —
Lawrence J. Bracken II, Michael S. Levine & Daniel Hentschel - Hunton Andrews KurthNew Jersey’s highest court heard arguments Monday in the appeal of a ruling that the New Jersey Transit Corp.’s (“NJ Transit”) insurers are required to insure $400 million of water damage loss caused by Hurricane Sandy.
The matter stems from an insurance claim NJ Transit made after the super storm rocked the East Coast in 2012. NJ Transit claimed over $400 million in losses as a result of damage to its tracks, bridges, tunnels and power stations. In response, its tower of property insurers took the position that a $100 million flood sublimit applied to limit NJ Transit’s recovery under its insurance tower, not the policy’s $400 million overall limits.NJ Transit filed a coverage action in state court. The trial court granted summary judgment to NJ Transit, holding that NJ Transit was entitled to full coverage of $400 million under the tower’s named windstorm coverage. The insurers appealed, again arguing that the flood sublimit applied to the claim.
Reprinted courtesy of
Lawrence J. Bracken II, Hunton Andrews Kurth,
Michael S. Levine, Hunton Andrews Kurth and
Daniel Hentschel, Hunton Andrews Kurth
Mr. Bracken may be contacted at lbracken@HuntonAK.com
Mr. Levine may be contacted at mlevine@HuntonAK.com
Mr. Hentschel may be contacted at dhentschel@HuntonAK.com
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Iowa Tornado Flattens Homes, Businesses and Wind Turbines
June 17, 2024 —
Annemarie Mannion - Engineering News-RecordBusiness owners and residents are picking up the pieces after a tornado tore through south-central Iowa May 21, devastating the town of Greenfield, about 60 miles southwest of Des Moines, by destroying homes and businesses, toppling MidAmerican Energy Co. wind turbines and damaging the Adair County Memorial Hospital.
Reprinted courtesy of
Annemarie Mannion, Engineering News-Record
Ms. Mannion may be contacted at manniona@enr.com
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The Sounds of Silence: Pennsylvania’s Sutton Rule
January 29, 2024 —
William L. Doerler - The Subrogation StrategistIn Westminster Am. Ins. Co. a/s/o Androulla M. Toffalli v. Bond, No. 538 EDA 2023, 2023 Pa. Super. LEXIS 626, 2023 PA Super 272, the Superior Court of Pennsylvania (Appellate Court) recently discussed the impact of silence on the Sutton Rule with respect to the landlord, Androulla M. Toffalli (Landlord), securing insurance. After holding that the tenant, Amy S. Bond (Bond) t/a Blondie’s Salon – who leased both commercial and residential space in the building pursuant to written leases – was not an implied “co-insured” on Landlord’s insurance policy, the Appellate Court reversed the decision of the trial court.
In this case, Bond rented the ground floor of a property located in Monroe County pursuant to a written commercial lease (Commercial Lease) and operated Blondie’s salon out of the leased location. In addition, Bond rented and lived in a second-floor apartment pursuant to a residential lease (Residential Lease). Both leases required the tenants (Tenants) to obtain insurance for personal items. The leases, however, did not require Landlord to obtain fire insurance for the property.
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William L. Doerler, White and Williams LLPMr. Doerler may be contacted at
doerlerw@whiteandwilliams.com
David M. McLain named Law Week Colorado’s 2015 Barrister’s Best Construction Defects Lawyer for Defendants
September 17, 2015 —
Sheri Roswell – Colorado Construction LitigationIt is my sincere pleasure to announce Law Week Colorado named my friend and partner, Dave McLain, as the 2015 Barrister’s Best Construction Defects Lawyer for Defendants. Law Week Colorado’s summary of David’s accomplishments includes the following recognition:
David McLain has set himself apart in the heated area of construction defects litigation as a founding member of his firm and as a member of several associations that serve developers. As one of the most connected and most vocal members of this area of law, we certainly know whom to go to when the construction defects issue inevitably bubbles up again.
I can say with pride and certainty, that there is no one more deserving of such recognition in the legal and construction community than David. I have had the honor of working side by side with David since he began practicing law. Together, fourteen years ago, we founded Higgins, Hopkins, McLain & Roswell, LLC with a vision of serving the construction industry at the highest level. Our firm’s Mission Statement states that “HHMR exists to embody and exemplify the principles of service and stewardship. In everything we do, we focus on serving our clients selflessly and to the best of our ability.” David lives our values each and every day.
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Sheri Roswell, Higgins, Hopkins, McLain & Roswell, LLCMs. Roswell may be contacted at
roswell@hhmrlaw.com
The General Assembly Seems Ready to Provide Some Consistency in Mechanic’s Lien Waiver
March 14, 2018 —
Christopher G. Hill – Construction Law MusingsBack in 2015, the
Virginia General Assembly amended the mechanic’s lien statute (Va. Code 43-3) here in Virginia to preclude any contractual provision that diminishes a subcontractor or supplier’s “lien rights in a contract in advance of furnishing any labor, services, or materials.” However, this amendment was only applicable to subcontractors and suppliers. For political and other reasons, general contractors in Virginia were left out of this change. This omission by the legislature put Virginia general contractors in the position of potentially being forced by project owners to waive their mechanic’s lien rights without the ability to run that risk downstream to their subcontractors and suppliers.
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Christopher G. Hill, The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
When an Intentional Act Results in Injury or Damage, it is not an Accident within the Meaning of an Insurance Policy Even When the Insured did not Intend to Cause the Injury or Damage
June 06, 2022 —
Gary L. LaHendro - Haight Brown & Bonesteel LLPIn
Maryam Ghukasian v. Aegis Security Insurance Company (No. B311310, filed April 14, 2022, and certified for publication on May 5, 2022), the Court of Appeal of the State of California, Second Appellate District held that Maryam Ghukasian’s insurer, Aegis Security Insurance Company (“Aegis”), had no duty to defend her in an underlying lawsuit alleging she cleared land and cut trees on her neighbors’ property without their consent. The appellate court explained Ms. Ghukasian’s acts of intentionally cutting the trees and clearing the land were not accidental for purposes of insurance coverage, even if she acted on the good faith but mistaken belief the trees were on her property.
Ms. Ghukasian owns a home in Glendale, California. She purchased a homeowner’s insurance policy from Aegis for the policy period of June 13, 2018 to June 13, 2019 (the “Aegis Policy”). In August 2018, Ms. Ghukasian hired a contractor to clear and cut trees she believed were on her property. However, the trees were on the property of her neighbors, Vrej and George Aintablian.
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Gary L. LaHendro, Haight Brown & Bonesteel LLPMr. LaHendro may be contacted at
glahendro@hbblaw.com
New American Home Construction Nears Completion Despite Obstacles
January 29, 2014 —
Beverley BevenFlorez-CDJ STAFFConstruction of the New American Home in Las Vegas, Nevada, to be completed for the 2014 International Builders’ Show, has faced enormous challenges, according to Jennifer Goodman writing for Big Builder. Josh Anderson, owner of Element Building Co., told Goodman “he couldn’t have imagined what lay ahead when he signed on in fall 2012 to the project, which is co-sponsored by BUILDER and the NAHB.”
Challenges began during the “design phase” when Anderson “was troubled by the sitting of the house on its lot in the tony Sky Terrace subdivision.” Furthermore, he “balked at the floor plan, which encompassed a traditional design aesthetic and opulent touches.” The project’s architect, Barry Berkus, passed away in late 2012, and his son, Jeffrey Berkus, took over for him.
After the plans were “complete and approved by the city,” a labor shortage in Las Vegas made it “particularly difficult to find skilled framers.” The shortage also increased labor costs. Anderson also contended with weather anomalies: “Over the summer, the area set a record for the most consecutive wet days in 30 years. Winds blew sawdust and rain into the open structure, ruining 350 sheets of drywall and slowing down construction,” according to Big Builder.
The “mammoth project” is close to completion. Anderson told Big Builder, “I’ve always been a sucker for a challenge.”
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Second Month of US Construction Spending Down
November 05, 2014 —
Beverley BevenFlorez-CDJ STAFFABC News reported that US Construction spending was down again in September, though housing had a slight rebound. "Construction spending dropped 0.4 percent in September compared to August when spending fell 0.5 percent, the Commerce Department reported Monday," as quoted by ABC News.
However, "expectation is that further gains in construction will help support growth this quarter and into next year. Many economists are looking for the economy to grow at a 3 percent rate in the final three months of this year and average 3 percent in 2015 as well," according to ABC News.
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