FAIRFIELD CONNECTICUT BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Coverage Denied for Ensuing Loss After Foundation Damage

February 07, 2014 — Tred R. Eyerly – Insurance Law Hawaii
The insureds attempt to secure coverage for ensuing losses after foundation damage was properly denied by the insurer. Walker v. Nationwide Prop. & Cas. Ins. Co., 2014 U.S. Dist. LEXIS 6683 (W.D. Tex. Jan. 6, 2014). Two provisions excluding coverage under Nationwide's homeowner's policy were key to the court's decision. Exclusion 3 (e) barred coverage for "continuous or repeated seepage or leakage of water or stem over a period of time . . . ." Exclusion 3 (f) (6) precluded coverage for settling, cracking, shrinking, bulging or expansion of pavements, patios, foundations, walls, floors, roof or ceiling. The policy also included a Dwelling Foundation Endorsement which covered settling, cracking, bulging of floor slabs or footings that supported the dwelling caused by seepage or leakage of water or steam. This endorsement stated the limit of liability would not exceed an amount equal to 15% of the limit of coverage for the dwelling. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

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Substitutions On a Construction Project — A Specification Writer Responds

July 03, 2022 — Melissa Dewey Brumback - Construction Law in North Carolina
In response to the post about Substitute Materials on a construction project, Phil Kabza explains how his company, SpecGuy, handles tracking of all such materials on a project. Phil writes: Excellent and important topic, about which there is much confusion among design professionals and contractors. We try to maintain definitions for:

• Pre-bid requests for prior approval of proposed comparable products where products are named in the specifications
• True pre-bid substitution requests that present an alternate type of product from that specified (ie., not “comparable” but perhaps suitable)
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Reprinted courtesy of Melissa Dewey Brumback, Ragsdale Liggett
Ms. Brumback may be contacted at mbrumback@rl-law.com

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Sales Pickup Shows Healing U.S. Real Estate Market

June 26, 2014 — Shobhana Chandra – Bloomberg
Americans snapped up previously owned homes in May in the biggest monthly sales gain in almost three years, a sign the residential real estate market is regaining its footing after a stumble early in the year. Purchases climbed 4.9 percent, the biggest increase since August 2011, to a 4.89 million annualized rate, figures from the National Association of Realtors showed today in Washington. The level was the strongest since October. The report also showed price appreciation is slowing as more homes become available. A more balanced market, including a wider selection of properties, smaller price gains and still-low borrowing costs, may encourage more Americans to buy as employment strengthens. Improving demand will probably spur a pickup in construction, and builders such as Hovnanian Enterprises Inc. (HOV) are optimistic. Read the court decision
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Reprinted courtesy of Shobhana Chandra, Bloomberg
Ms. Chandra may be contacted at schandra1@bloomberg.net

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Professional Services Exclusion Bars Coverage After Carbon Monoxide Leak

September 09, 2024 — Tred R. Eyerly - Insurance Law Hawaii
The Illinois Appellate Court affirmed the trial court's dismissal of the insured's complaint after damage caused by a leak of carbon monoxide caused bodily injury. Allied Design Consultants, Inc. v. Pekin Ins. Co., et al., 2024 Ill. Ct. App. LEXIS 1433 (June 18, 2024). Carbon monoxide leaked in a building addition to a middle school, prompting 23 lawsuits to be filed against the insured, Allied Design Consultants, Inc. Allied was retained to perform certain architectural services to the building addition. Pekin Insurance Company had issued a business owners liability policy and a commercial umbrella liability policy to Allied. Pekin denied a defense to Allied based upon the policies' professional services exclusions. Allied filed suit for declaratory relief against Pekin. Pekin filed a counterclaim, seeking a declaratory judgment that it had no duty to defend. The parties filed cross-motions for summary judgment. The parties agreed the allegations in the personal injury complaint filed by Ferguson were typical and representative of the allegations in the other 22 underlying lawsuits. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

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Potential Pitfalls Under the Contract Disputes Act for Federal Government Contractors

February 28, 2018 — Sarah K. Carpenter – Smith Currie Publications
The Contract Disputes Act (CDA) governs monetary and non-monetary disputes arising out of contracts or implied-in-fact contracts between the federal government and contractors. Because the CDA is an exclusive remedy, it is important that contractors be wary of the many pitfalls that may be encountered by a contractor seeking to assert a claim against the government under the CDA. The pitfalls faced by a contractor under the CDA can arise before a contractor becomes aware of a potential claim. Pursuant to the Federal Acquisition Regulation (FAR) § 43.204(c), a contracting officer should include in any supplemental agreement, including any change order, a Contractor’s Statement of Release which requires a contractor to execute a broad release of the government from any and all liability under the contract. As a result of this FAR provision, in executing a routine change order, a contractor may inadvertently release its right to pursue a potential claim under the CDA. A contractor should always review any release language prior to executing a supplemental agreement or change order with the government. Read the court decision
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Reprinted courtesy of Sarah K. Carpenter, Smith Currie
Ms. Carpenter may be contacted at skcarpenter@smithcurrie.com

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Quick Note: Steps to Protect and Avoid the “Misappropriation” of a “Trade Secret”

November 23, 2020 — David Adelstein - Florida Construction Legal Updates
Florida’s Uniform Trade Secret Act (included in Florida Statute s. 688.001 en seq.) defines the terms “trade secret” and “misappropriation.” These definitions (found here) are important in that just because 1) we deem something a trade secret does not, in of itself, make it so, and 2) we deem someone to have misappropriated a trade secret does not, in of itself, make it so. If a party deems something to be a trade secret they should identify the document or paper as “confidential trade secret” as the first-step in preserving the confidentiality of that information. The party should also consider entering into an agreement with the party that may receive that information to maximize the protection of such confidential trade secret information during the parties’ agreement. Read the court decision
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Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

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Colorado Abandons the “Completed and Accepted Rule” in Favor of the “Foreseeability Rule” in Determining a Contractor’s Duty to a Third Party After Work Has Been Completed

January 17, 2013 — Brady Iandiorio, Higgins, Hopkins, McLain & Roswell, LLC

In a recent case, the Colorado Court of Appeals found that a contractor had a duty to a third party to warn it of a dangerous condition, even after the contractor had completed its work and the owner had accepted the contractor’s work.  Collard v. Vista Paving Corp., -- P.3d --, 2012 WL 5871446 (Colo. App. 2012).  While not an earth shattering or entirely new concept, the decision rendered in Collard directly accepted the foreseeability rule at the expense of the completed and accepted rule.  Id.
 
In Collard, the City of Grand Junction (“the City”) hired Vista Paving Corp. (“Vista”) to construct two road medians according to the City’s plans and designs.  On July 9, 2007, Vista began work on the medians.  According to its contract with the City, Vista was responsible for traffic control during construction of the medians.  On July 19, 2007, Vista completed its construction of both medians.  On that date, the City’s project inspector conducted his final inspection of Vista’s work.  The City’s inspector then told Vista that its work had been completed and that Vista was authorized to leave the site.  Vista requested permission to remove the traffic control devices to which the City’s inspector agreed.  Vista removed all of its traffic control devices.
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Reprinted courtesy of Brady Iandiorio
Mr. Iandiorio can be contacted at iandiorio@hhmrlaw.com

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7 Sustainability Ideas for Modular Classrooms in the Education Industry (guest post)

June 10, 2015 — Melissa Dewey Brumback – Construction Law in North Carolina
Today, a guest post on sustainable modular classrooms from Kathy Werder, a freelance architect by profession and a researcher by nature. According to Kathy, most of her research papers focus on promoting integration that leads to sustainable and lean design and construction practices. Kathy is obsessed with the latest rage in the construction industry – modular building solutions. She is also an avid writer, and loves blogging about green buildings and portable construction units. Welcome, Kathy! According to Wikipedia, a sustainable building refers to “ a structure and using process that is environmentally responsible and resource-efficient throughout a building’s life-cycle from sitting, to design, construction, operation, maintenance, renovation, and demolition.” So if we accept this definition to be true, in order to make an actual sustainable building we have to consider the entire process of building right from the blueprint stage all the way to demolition, and ensure that at every step of the way there is minimal or no negative impact on the environment, especially in terms of resource efficiency. Read the court decision
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Reprinted courtesy of Melissa Dewey Brumback, Construction Law in North Carolina
Ms. Brumback may be contacted at mbrumback@rl-law.com

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