Insured Under Property Insurance Policy Should Comply With Post-Loss Policy Conditions
June 10, 2019 —
David Adelstein - Florida Construction Legal UpdatesYour property insurance policy will contain post-loss policy conditions. Examples include submitting a sworn statement in proof of loss, providing documentation to your insurer, and sitting for an examination under oath. Insurers will require you, as the insured, to comply with post-loss policy conditions unless they elect to promptly deny coverage. If you do not comply with such post-loss policy conditions you can forfeit coverage under the policy and/or give the insurer the argument that any lawsuit you filed against the property insurer is premature. Thus, there really is no upside in refusing to comply with the post-loss policy conditions, which should be done in consult with an attorney or, as the case may be, a public adjuster.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Plaintiffs Not Barred from Proving Causation in Slip and Fall Case, Even With No Witnesses and No Memory of Fall Itself
February 01, 2022 —
David Hoynacki, Arezoo Jamshidi & Lawrence S. Zucker II - Haight Brown & Bonesteel LLPOn January 19, 2022, the California Court of Appeal, Second Appellate District (Los Angeles), held that a plaintiff is not barred as a matter of law from proving causation in a slip and fall case if there were no witnesses to the fall, and the plaintiff does not remember the fall itself. The Court of Appeal stated specifically that circumstantial evidence would permit a jury to make a “reasonable and probable inference” regarding contributing factors to a fall, even with no eye-witness evidence.
In
Kaney v. Mazza (BC619247, Jan. 19, 2022), plaintiff and appellant Lydia Kaney (Kaney), was visiting her sister in her rented home in September of 2014. At some point during the visit, the light in the bathroom at the top of the stairs stopped working—Kaney used the stairs, and fell. Kaney filed suit against her sister and the owner of the home alleging premises liability, negligence, and violation of the Americans with Disabilities Act (ADA). In her deposition, Kaney testified that she remembered going up to the bathroom, and then waking up on the floor in pain. She could not remember how she fell; she did not know if she had missed a step, or if she had slipped and fallen backwards. She speculated that a worn-out bath mat may have been the cause of the slip and fall because the rubber traction on the bath mat was worn away.
Reprinted courtesy of
David Hoynacki, Haight Brown & Bonesteel LLP,
Arezoo Jamshidi, Haight Brown & Bonesteel LLP and
Lawrence S. Zucker II, Haight Brown & Bonesteel LLP
Mr. Hoynacki may be contacted at dhoynacki@hbblaw.com
Ms. Jamshidi may be contacted at ajamshidi@hbblaw.com
Mr. Zucker may be contacted at lzucker@hbblaw.com
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Big League Dreams a Nightmare for Town
April 03, 2013 —
CDJ STAFFThe town of Gilbert, Arizona had their own big dreams for Big League Dreams Gilbert, which the town was convinced would bring in financial benefits. Now the amateur sports complex is plagued by defects and failing infrastructure. The town was wondering how to create sufficient recreation facilities when Big League Dreams made a proposal that would bring tax revenue from a new stadium complex.
Ten years later, Gilbert says it’s not getting enough of the revenue from the parks. The proposal, created by Big League Dreams, estimated an economic benefit of $40 million over 30 years with a construction cost of $22.7 million. Instead, construction ran to $42.7 million and over the last two years the town has received only $250,570.
Then there are the construction defects. The structure was warranteed for only one year. That warrantee long over, the complex has problems with various concrete surfaces and has generated injury claims. The town did not inspect the park after Big League Dreams started operating it. They later found out that some parts did not conform to code, with 39 problem areas referenced in a report. Some of these included safety issues like missing handrails.
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Commercial Construction Heating Up
November 20, 2013 —
CDJ STAFFThe Motley Fool suggests that commercial construction is the next hot sector. Their analysis is that lag time between a rise in residential construction and commercial construction is just about over. “Industry surveys and construction data are suggestion that commercial construction could be about to turn.”
Among the indicators are increased billing by architects for commercial projects. With the exception of December 2012, with a strong slump in residential work, commercial projects lagged below residential projects from June 2012 until June 2013.
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Doing Construction Lead Programs the Right Way
October 16, 2018 —
Natalie Craigmile - Construction InformerRunning a construction business takes hard work. When you are working on a job, it can be difficult to find time to spend on marketing and advertising. If you are short on time, buying leads through construction lead programs could be a good way to meet new customers, grow your business, and find your next job. Keep reading to learn more about some of the pros and cons of buying leads.
A construction lead generation service exists solely to connect home owners with local home improvement contractors. They market across different construction specialties and reach customers who are looking for construction companies. Once they capture the ‘lead’, which is essentially the contact information and a few project details of that potential customer, they sell the lead to one or more local contractors in their network.
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Natalie Craigmile, Construction Informer
Privacy In Pandemic: Senators Announce Covid-19 Data Privacy Bill
May 11, 2020 —
Kyle Janecek & Jeffrey Dennis – Newmeyer Dillion"Data! Data! Data!. . . I can't make bricks without clay." This classic statement from Sherlock Holmes in The Adventure of the Copper Beeches takes on a new meaning in the COVID-19 pandemic. With the plans to begin contact tracing the spread of the COVID-19 pandemic slowly moving towards the forefront, a valid and important issue presents itself: how do we treat and protect the data we so desperately need to trace, track, and address the pandemic? U.S. Senators Wicker, Thune, Moran, and Blackburn introduced a possible solution to this problem with the COVID-19 Consumer Data Protection Act, as announced on April 30, 2020. So what does the Act entail? What information is protected? What action would businesses need to take towards individuals, such as consumers or even employees, in order to comply with this new legislation?
WHAT IS THE COVID-19 CONSUMER DATA PROTECTION ACT?
The Act is meant to address the concern regarding data collection and privacy due to large companies, like Google and Apple, adjusting the software within their devices to facilitate digital contact tracing. The Act can be broken up into three parts - the treatment of information; the privacy notice requirements; and the transparency requirements.
First, the Act prohibits the collection, processing, or transfer of certain categories of data without notice and the affirmative express consent of the individual, in order to:
- Track the spread of COVID-19,
- Trace the spread of COVID-19 through contact tracing, or
- Determine compliance with social distancing guidelines without the requisite notice to individuals and their express consent.
To accomplish this, the Act also restricts entities in their ability to collect excessive information, stating that an entity cannot collect information beyond what is reasonably necessary to conduct any of the three COVID-19 related purposes listed in the statute. The entity must also provide reasonable administrative, technical, and physical data security policies and practices to protect the information collected. Furthermore, in the event that the entity stops using the information for any of the three COVID-19 purposes, it must delete or de-identify the information it has collected.
Next, the Act describes the requirements for notice to individuals. In order to legally collect, process or transfer the information, the entity needs to provide the consumer with prior notice of the purpose, processing, and transfer of the data through their privacy policy within 14 days of the enactment of the law. This policy would have to:
- Disclose the consumer's rights in a clear and conspicuous manner prior to or at the point of collection,
- Be available in a clear and conspicuous manner to the public,
- Include whether the entity will transfer any of the information it collects in order to track or trace COVID-19 or determine compliance with social distancing,
- Describe its data retention policy, and
- Generally describe its data security measures.
Notably, many of these are already requirements common to many privacy policies, including the disclosure regarding the transfer of an individual's information.
In addition, an individual must give their affirmative express consent to such collection, processing and transfer. In other words, an individual must "opt-in" to having their information collected. This would be done through a checked box or electronic signature, as the law prohibits entities from inferring consent through a failure by the individual to take an action stopping the collection. Furthermore, the individual would also need the ability to expressly withdraw their consent, with the entity then having to cease collection, processing, or transfer of the information within 14 days of the revocation. In essence, due to the restriction on transferal, this may result in businesses opting to delete or de-identify data upon a revocation.
Finally, the entity would have to abide by certain reporting and transparency requirements, namely a monthly public report stating how many individuals had information collected, processed or transferred, and describing the categories of the data collected, processed or transferred by the entity and why. This is akin to the California Consumer Privacy Act's treatment of categories of information, though it would require this information to be released on an ongoing, monthly basis.
WHAT DATA IS COVERED?
Notably, the Act only affects a very limited scope of data. The Act covers geolocation data (exact real-time locations), proximity data (approximated location data), and Personal Health Information (any genetic/diagnosis information that can identify someone). This could cover information like Bluetooth communication or real-time tracking based on a cell phone's geolocation features. Notably, Personal Health Information does not include any information that may be covered under HIPAA or the broader categorization of "Biometric" data (i.e. retinal scans, finger prints, etc). Furthermore, and more generally, "publicly available information" is excluded, which includes information from telephone books or online directories, the news media, "video, internet, or audio content" as well as "websites available to the general public on an unrestricted basis." The latter of which potentially would push any and all information made available through social media (i.e. Facebook or Twitter) into the definition of "publicly available information."
HOW IS IT ENFORCED?
Generally, the law would be enforced by the FTC, under the provisions regarding unfair or deceptive acts or practices, similar to other enforcement actions arising out of privacy policies. Notwithstanding, state attorney generals may also bring actions to enforce compliance and obtain damages, civil penalties, restitution, or other compensation on behalf of the residents of the state.
WHAT SHOULD MY COMPANY DO?
If your entity plans on collecting information for tracking COVID-19, measuring social distancing compliance, or contact tracing, it is advisable to include language in your privacy policy now. This could be as simple as adding an additional provision within your privacy policy stating that the entity will retain information to conduct one of the three COVID-19 purposes as laid out in the statute. In addition, this also means that should the entity collect and use employee information for contact tracing, tracking the spread of COVID-19 or ensuring compliance with social distancing measures, it will need to disclose some of the specifics of that process to the employees and have them opt-in for the process. Finally, for contact tracing purposes, any individual that shares their diagnosis will have to opt-in for the entity to legally collect, process, and transfer that information to others.
While the time to reach compliance is unknown, it is more important than ever to form a compliance plan for privacy legislation if you do not already have a plan in place. If you decide to prepare with us, our firm has created a 90 day California Consumer Privacy Act compliance program (which can be expedited) where our team will collaborate with you to determine a scalable, practical, and reasonable way for you to meet your needs, and we will provide a free initial consultation. For further inquiries or questions related to COVID-19, you can consult with a Task Force attorney by emailing NDCovid19Response@ndlf.com or contacting our office directly at 949-854-7000.
Kyle Janecek is an associate in the firm's Privacy & Data Security practice, and supports the team in advising clients on cyber related matters, including policies and procedures that can protect their day-to-day operations. For more information on how Kyle can help, contact him at kyle.janecek@ndlf.com.
Jeff Dennis (CIPP/US) is the Head of the firm's Privacy & Data Security practice. Jeff works with the firm's clients on cyber-related issues, including contractual and insurance opportunities to lessen their risk. For more information on how Jeff can help, contact him at jeff.dennis@ndlf.com.
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Don’t Assume Your Insurance Covers A Newly Acquired Company
February 19, 2019 —
Patrick M. McDermott & Michael S. Levine - Hunton Insurance Recovery BlogThe Supreme Court of Virginia’s decision yesterday finding no coverage for fire damage to a building is a cautionary tale for companies acquiring other companies. Erie Ins. Exch. v. EPC MD 15, LLC, 2019 WL 238168 (Va. Jan. 17, 2019). In that case, Erie Insurance issued a property insurance policy to EPC. The policy covered EPC only and did not cover any subsidiaries of EPC. EPC then acquired the sole member interest in Cyrus Square, LLC. Following the acquisition, fire damaged a building that Cyrus Square owned.
EPC sought coverage under its property insurance policy. Because the policy did not cover Cyrus Square, EPC argued that a provision extending coverage to “newly acquired buildings” applied, contending that EPC had newly acquired Cyrus Square’s building by virtue of becoming the sole member interest in the LLC. Based on the law relative to LLCs and its interpretation of the policy, the Supreme Court of Virginia ruled against EPC. It found that although EPC had acquired Cyrus Square, it had not “newly acquired” the building and so the “newly acquired buildings” coverage extension did not apply.
Reprinted courtesy of
Patrick M. McDermott, Hunton Andrews Kurth and
Michael S. Levine, Hunton Andrews Kurth
Mr. McDermott may be contacted at pmcdermott@HuntonAK.com
Mr. Levine may be contacted at mlevine@HuntonAK.com
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Flood Coverage Denied Based on Failure to Submit Proof of Loss
November 26, 2014 —
Tred R. Eyerly – Insurance Law HawaiiThe court granted summary judgment to the insurer because the insureds submitted only documentation of damage by flood, not proof of loss forms required by the policy. Alexander v. Allstate Ins. Co., 2014 U.S. Dist. LEXIS 143284 (E.D. La. Oct. 8, 2014).
Hurricane Isaac caused flood damaged to the insureds' home. A claim was filed for flood damage under their Standard Flood Insurance Policy issued by Allstate. An independent adjuster estimated that building repairs would be $50,025. Allstate also prepared a contents loss estimate of $22,655 based on a personal property list submitted by the insureds. Proof of loss forms for these amounts were sent to the insureds and returned to Allstate. Consequently, these claims were paid.
The insureds submitted a new proof of loss for additional lost contents, and another payment was made. Additional building damages were found. Again, the proof of loss was resubmitted and an additional payment was made by Allstate.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
