Traub Lieberman Partner Stephen Straus Wins Spoliation Motion in Favor of Defendant
June 05, 2023 —
Stephen D. Straus - Traub LiebermanTraub Lieberman Partner Steve Straus represented a refrigeration installation and service company in a subrogation action filed by a property insurer after paying a claim related to extensive water damage at premises on Long Island, New York.
The premises owner purchased a refrigerator, which was sold without a hose to connect to the water source inside the premises. The defendant retailer retained Traub Lieberman’s client to install the refrigerator. Rather than complete the installation using a new water line, the installer used the existing line from the refrigerator that was being replaced. Approximately one week after installation, the owner’s son discovered water on the floor near the refrigerator, and significant water damage in the basement of the residence. The owner filed a claim with the insurer, which sent an investigator to the premises. The retailer also sent a technician to investigate and replace the water supply line. It was reportedly determined that the original line had failed, causing the water release. After the repair, the owner’s son took possession of the old water line, which he kept for a couple of years and then discarded. The insurer initiated a subrogation action against the retailer and the installation company, alleging that the water release was caused by the defendants’ failure to replace the water line when the new unit was installed. Plaintiff claimed that photographs of the old line established that it had been damaged or defective.
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Stephen D. Straus, Traub LiebermanMr. Straus may be contacted at
sstraus@tlsslaw.com
Grad Student Sues UC Santa Cruz over Mold in Residence
November 13, 2013 —
CDJ STAFFMatthew Richert, a graduate student at UC Santa Cruz, and his wife have filed a lawsuit against UC Santa Cruz, alleging the residence they rented from the university was contaminated with mold, causing problems for them and their children.
The family noticed the signs of mold on the walls, but did not initially connect it with their daughter’s health problems, until they mentioned it to their doctor. The doctor sent a letter to the university requesting that the family be transferred to another unit if the mold problem could not be remedied. Mr. Richert made five such requests.
Eventually the university moved the family to a hotel as they investigated the unit. The Richert’s unit remains unoccupied, and a Santa Cruz spokesperson noted that 60 of the units showed mold problems.
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Maryland Contractor Documents its Illegal Deal and Pays $2.15 Million to Settle Fraud Claims
January 07, 2015 —
Craig Martin- Construction Contractor Advisor BlogWhy would a contractor create a contract for illegal work? I really don’t know.
Late last year, the FBI announced that a Maryland contractor, Forrester Construction Company, agreed to pay $2.15 million dollars to resolve a criminal investigation into alleged fraud in connection with the use of disadvantaged business enterprises involving more than $145 million of District of Columbia government contracts.
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Craig Martin, Lamson, Dugan and Murray, LLPMr. Martin may be contacted at
cmartin@ldmlaw.com
Safety Guidance for the Prevention of the Coronavirus on Construction Sites
May 25, 2020 —
Heather Whitehead - Newmeyer DillionAlthough construction projects are generally allowed to proceed under most COVID-19 stay at home orders, owners and contractors need to know how to proceed safely on their construction sites. Not only do workers and others on site need to be protected, but implementation of these protocols is also critical to avoid potential liabilities. Last week, the California Department of Industrial Relations – Division of Occupational Safety & Health (CAL/OSHA) released guidance regarding safety and health procedures to prevent the spread of COVID-19 at construction sites. A link to the CAL/OSHA Safety and Health Guidance is provided here.
While the guidance states that it is not imposing any new legal obligations, it is imperative for businesses to not only be aware of these safety practices, but to incorporate these practices as appropriate on each construction site to protect its employees as well as subcontractors, suppliers and others who may be present on site. Otherwise, owners and contractors face potential exposure to regulatory action, including potential penalties and other liabilities, if they fail to properly incorporate these guidelines into the Injury and Illness Prevention Program (IIPP) at each construction site. Now is the time to update your current Injury and Illness Prevention Program (IIPP) to include recommended protocols for preventing the spread of the Coronavirus.
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Heather Whitehead, Newmeyer DillionMs. Whitehead may be contacted at
heather.whitehead@ndlf.com
2023 Executive Insights From Leaders in Construction Law
June 12, 2023 —
Construction ExecutiveIf a major project is interrupted or canceled, are there any laws that provide protection for unpaid contractors that have performed work?
Angela Richie
Partner, Co-Chair, Construction Practice Group
Gordon Rees Scully Mansukhani
With the current volatility and uncertainty in the economy, project interruptions and cancellations are on the rise; hence, you need to take steps now to make sure you have a method to get paid for the work you have performed.
For private projects, make sure you have followed the pre-lien notification requirements for the state in which the project is located before you start work, if they are required. Then, be sure to follow the lien notice and lien filing requirements for the state. Each state is different, so you want to be ready with the appropriate documentation in advance of the project interruption or cancellation.
Reprinted courtesy of
Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Application of Set-Off When a Defendant Settles in Multiparty Construction Dispute
January 05, 2017 —
David Adelstein – Florida Construction Legal UpdatesThe defense of set-off is an important defense in construction disputes, particularly multiparty disputes. For more information on this defense, please check out this
article as it explains the application of set-off in civil disputes in detail.
The issue of set-off will come up in a multiparty dispute when a plaintiff settles with one or more of the defendants. The remaining defendant(s) wants the benefit of that settlement to set-off and reduce any judgment against it. An example of this scenario can be found in Escadote I Corp. v. Ocean Three Limited Partnership, 42 Fla. L. Weekly D23a (Fla. 3d DCA 2016).
In this case, an owner of a condominium unit sued the condominium association, the developer, and the general contractor for water intrusion and mold infestation. The claim against the condominium association was the only claim that entitled the owner to attorney’s fees pursuant to its lawsuit (thus, attorney’s fees were isolated to only that claim against the association). During trial, the owner settled with the association. In entering a settlement, the owner smartly allocated the settlement amount such that $500 was allocated to its principal damages and $374,500 was allocated to its attorney’s fees. The owner then obtained a jury verdict against the contractor and developer for approximately $2M, jointly and severally, and the contractor and developer wanted the entire $375,000 settlement amount with the association to be set-off from the $2M verdict. The trial court set-off the entire $375,000 from the jury verdict when entering judgment. The appellate court reversed.
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David Adelstein, Florida Construction Legal UpdatesMr. Adelstein may be contacted at
dma@katzbarron.com
Who is Responsible for Construction Defect Repairs?
August 24, 2017 —
Laura Parsons-CDJ STAFFAn appellate court has ruled that the sponsor and not the condo board is responsible for repairing construction defects at 50 Madison Avenue, a multi-story apartment building in New York City across from Madison Square Park, Habitat reported. Plaintiff’s Simon and Ludmilla Lorne have brought upon three lawsuits in a legal battle lasting a decade.
The first came in 2007, two years after the Lorne’s purchased their $3 million seventh-floor apartment. At that time, the sponsor offered to repair the concrete slab under the hardwood floors that had not been properly leveled. However, the Lorne’s and the condo board disagreed about who and how the repairs would be accomplished. The second lawsuit wherein the court ruled that repairing the construction defects was the responsibility of the sponsor occurred in 2009. However, the Lorne’s sued the board yet again in 2015, citing failure to maintain and repair the building. Since the 2015 suit was based on the same allegations as the 2007 suit, it was dismissed by the judge.
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MetLife Takes Majority Stake in New San Francisco Office Tower
October 21, 2015 —
Hui-Yong Yu – BloombergMetLife Inc. is taking a majority stake in a 43-story office tower being built next to San Francisco’s Transbay Transit Center, expanding the biggest U.S. life insurer’s holdings in one of the country’s most expensive office markets.
MetLife formed a joint venture with Chicago-based John Buck Co. and Golub & Co. for the property, called Park Tower at Transbay, the companies said in a statement before the building’s groundbreaking Tuesday. The tower, which doesn’t yet have a tenant, is scheduled for completion in 2018.
Financial terms of the venture weren’t disclosed. Fred Pieretti, a spokesman for MetLife, said the company will own a majority interest in the building.
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Hui-Yong Yu, Bloomberg