Seattle Washington Building Expert Directory

To Sea or Not to Sea: Fifth Circuit Applies Maritime Law to Offshore Service Contract, Spares Indemnity Provision from Louisiana Oilfield Indemnity Act

March 29, 2017 — Richard W. Brown & Afua Akoto – Saxe Doernberger & Vita, P.C.
Faced with the issue of whether maritime or state law should be applied to determine the validity of an indemnity clause in a Master Services Contract (MSC), the Fifth Circuit affirmed that where there is no historical treatment of the contract in question (1), it would consider six factors established in Davis (2). In Doiron, the Apache Corporation and STS (3) entered a broad-form blanket MSC, under which STS agreed to perform flow-back services, a process designed to dislodge solid objects from inside a well, on Apache’s well located off shore of Louisiana. The MSC also contained an indemnification provision, which required STS to defend and indemnify Apache and its company groups against all claims of property injury or bodily injury. During the flow-back operation, Larry Doiron Inc. (LDI), one of the Apache Company groups, supplied a crane barge for use by STS employees. Subsequently, the crane knocked over an STS employee, causing him to suffer severe injuries. LDI then made a formal demand to STS for defense and indemnification. STS rejected the demand and argued that the Louisiana Oilfield Indemnity Act applied to the MSC instead of maritime law. Pursuant to the Act, indemnity clauses in agreements pertaining to wells for oil, gas or water are void as against public policy. But, under maritime law, the enforcement of such provisions is not barred. Therefore, if the MSC was construed under the Act, STS had no duty to defend or indemnify LDI. Reprinted courtesy of Richard W. Brown, Saxe Doernberger & Vita, P.C. and Afua S. Akoto, Saxe Doernberger & Vita, P.C. Mr. Brown may be contacted at rwb@sdvlaw.com Ms. Akoto may be contacted at asa@sdvlaw.com Read the court decision
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Metrostudy Shows New Subdivisions in Midwest

October 01, 2014 — Beverley BevenFlorez-CDJ STAFF
Metrostudy surveyed the Chicago, Indianapolis, and Minneapolis/St. Paul markets and found an increase in subdivisions—“[n]ot a re-hashing of existing communities or a re-configuring of existing developments, but new land, being newly developed,” according to Builder magazine. Builder reported that in 2010 only 383 new lots were delivered to the Chicago market, but in just the first six months of 2014, 1,500 new lots have been delivered. Furthermore, the Twin Cities had a total of 964 lots delivered in 2010. “In 2013, there were 3,683 new lot deliveries. Indianapolis has seen a total of 1,400 new lots delivered in the first six months of 2014, compared to just 650 through the first half of 2010.” Read the court decision
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Dealing with Abandoned Property After Foreclosure

April 10, 2019 — Bremer Whyte Brown & O'Meara LLP
California landlords must follow very specific steps before disposing of property that is clearly abandoned, left on real estate which has been the subject of court proceedings such as eviction or foreclosure, or otherwise left behind. Following the statutory procedures relating to abandoned property protects landlords from potential liability for an improper “conversion.” Former tenants/owners and others “reasonably believed” to be owners of the apparently abandoned personal property must be given proper written notice of the right to reclaim the abandoned property. The tenant is presumed to be the owner of any “records” remaining on the property. The California Code of Civil Procedure provides a template for such notice. The notice to be provided to former tenants/owners must be in “substantially” the same form provided in the California Code of Civil Procedure and must contain the following information:

A description of the abandoned property in a manner reasonably adequate to permit the owner of the property to identify it;
The location where the tenant can claim the property;
The time frame that the tenant has to claim the property. The date specified in the notice shall be a date not less than fifteen (15) days after the notice is personally delivered or, if mailed, not less than eighteen (18) days after the notice is deposited in the mail;
A statement that reasonable storage costs will be charged to the tenant/owner and the tenant/owner must pay those costs before claiming the property; and

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Reprinted courtesy of Bremer Whyte Brown & O'Meara LLP

Colorado Passes Compromise Bill on Construction Defects

May 03, 2017 — Jesse Witt - The Witt Law Firm
After four failed attempts, Colorado legislators have finally reached a compromise on construction defect legislation. This afternoon, HB17-1279 gained unanimous approval from the House Committee on State, Veterans, and Military Affairs. The bill is expected to pass both chambers easily and be signed into law by Governor John Hickenlooper. Proponents say that a bill is needed spur more condominium construction in the state. They contend that homebuilders have been reluctant to construct multifamily projects in recent years based on a perceived fear that small groups of homeowners can file lawsuits in the name of their community associations without adequate the consent of other members. A 2013 study found that quality control and insurance costs only reduce homebuilder profits by a small amount, but concerns about litigation have nevertheless prompted some construction professionals to focus on constructing apartments and other products. Reprinted courtesy of Jesse Howard Witt, Acerbic Witt Mr. Witt may be contacted at www.witt.law Read the full story... Read the court decision
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Home Sales and Stock Price Up for D. R. Horton

February 04, 2013 — CDJ STAFF
They call themselves "America's Builder," and in the last three months of 2013, D. R. Horton exceeded the market's predictions of how many of the homes they built would translate into sales. At the end of 2011, they had $27.7 million in earnings. At the end of last year, they saw $66.3 million in earnings. The 2011 earnings work out to 9 cents per share. Analysts were expecting 14 cents per share, but D. R. Horton delivered 20 cents per share. The stock market responded with a 3.7% increase in the home builder's stock price, upping it by 79 cents to $22.10. Read the court decision
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Insurer Doomed in Delaware by the Sutton Rule

September 12, 2023 — Katherine Dempsey - The Subrogation Strategist
In Donegal Mut. Ins. Co. v. Thangavel, No. 379, 2022, 2023 Del. LEXIS 227, the Supreme Court of Delaware (Supreme Court) considered whether the Sutton Rule prevented the plaintiff from pursuing subrogation against the defendants. As applied in Delaware, the Sutton Rule explains that landlords and tenants are co-insureds under the landlord’s fire insurance policy unless a tenant’s lease clearly expresses an intent to the contrary. If the Sutton Rule applies, the landlord’s insurer cannot pursue the tenant for the landlord’s damages by way of subrogation. Here, the Supreme Court affirmed the trial court’s decision that the Sutton Rule applied because the lease did not clearly express an intent to hold the tenants liable for the landlord’s damages. In Thangavel, the plaintiff, Donegal Mutual Insurance Company (Insurer), provided property insurance to Seaford Apartment Ventures, LLC (Landlord) for a residential property in Delaware. Sathiyaselvam Thangavel and Sasikala Muthusamy (Tenants) leased an apartment (the Premises) from Landlord and signed a lease. Insurer alleged that Tenants hit a sprinkler head while flying a drone inside the Premises which caused water to spray from the damaged sprinkler head, resulting in property damage to the Premises. Landlord filed an insurance claim with Insurer, who paid Landlord $77,704.06 to repair the damage. Insurer then sought to recover the repair costs from Tenants via subrogation. Read the court decision
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Reprinted courtesy of Katherine Dempsey, White and Williams LLP
Ms. Dempsey may be contacted at dempseyk@whiteandwilliams.com

Delaware Settlements with Minors and the Uniform Transfer to Minor Act

October 15, 2014 — Stephen J. Milewski – White and Williams LLP
As a Delaware lawyer, one of the most frequently asked questions I get from insurance clients is: “Do all personal injury settlements with minors need to be approved by the Court?” The answer is and always has been yes. This is true regardless of the amount of the settlement. There have, however, been some recent changes under Delaware law which may help facilitate the process and even reduce the costs associated with settling small tort cases with minors. Traditionally, when settling cases with a minor, a Petition would be filed with the trial court (Superior Court) and then a hearing would be scheduled for the parties to present to the Court the terms of the settlement, explain the plaintiff’s injuries and itemize the fee breakdown. This would be the settlement approval process. After that, the plaintiff would be required to have a guardian appointed over the proceeds, which had to be approved by Chancery Court (Delaware’s Court of Equity). The purpose of this process was to ensure the settlement money going to the minor was managed properly; the net proceeds were generally placed into a bank account not to be used by the guardian or the minor until the minor reached the age of majority. To both the plaintiff, and the insurance carrier paying out the settlement, this process was burdensome and added disproportionate costs to small settlements. Read the court decision
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Reprinted courtesy of Stephen J. Milewski, White and Williams LLP
Mr. Milewski may be contacted at milewskis@whiteandwiliams.com

Los Angeles Team Secures Summary Judgment for Hotel Owner & Manager in Tenant’s Lawsuit

July 08, 2024 — Lewis Brisbois Newsroom
Los Angeles, Calif. (June 11, 2024) - Los Angeles Partners David Samuels and Meegan Moloney recently obtained summary judgment for the owner and manager of a Southern California hotel in a lawsuit brought by a tenant who alleged that she suffered injuries due to the presence of mold in her leased space. The plaintiff had entered into a commercial lease for space within the Crowne Plaza Hotel in Redondo Beach, California, for use for her spa and massage business. The lease contained "exculpatory provisions" absolving Lewis Brisbois' clients "from any and all liability and responsibility for any loss, injury or damage incurred or claimed by reason of damage to property located on the leased premises." Shortly after taking possession of the space in September 2019, the plaintiff claimed she became ill and subsequently discovered the presence of mold in the heating, ventilation, and air conditioning ducts. In October 2022, she sued the hotel's owner and manager, asserting a host of claims including negligence, fraud - negligent and intentional misrepresentation, negligent infliction of emotional distress, breach of contract, breach of covenant of quiet enjoyment, private nuisance, and unfair business practices. Read the court decision
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Reprinted courtesy of Lewis Brisbois

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