Insured's Failure to Challenge Trial Court's Application of Exclusion Makes Appeal Futile
November 15, 2022 —
Tred R. Eyerly - Insurance Law HawaiiThe Texas Court of Appeals affirmed the trial court's granting of summary judgment to the insurer because the appeal failed to challenge the exclusion under which the insurer found no coverage. Sosa v. Auto Club Indemn. Co., 2022 Tex. App. LEXIS 6520 (Tex. Ct. App. Aug. 30, 2022).
Sosa's house was damaged during Hurricane Harry on August 26, 2017. Sosa filed a claim with Auto Club. She reported that two feet of floodwater had entered her home, her roof was missing shingles and was leaking, and she had sustained interior damage. An adjuster estimated the cost to prepare the roof damage was $1,191.96, less that her deductible. Auto Club determined that any remaining damage was caused by flood water, which was expressly excluded from coverage.
On November 11, 2020, Sosa filed suit against Auto Club for breach of the policy. Among other things, she argued the adjuster spent minimal time at her home inspecting and was inexperienced. In its answer, Auto Club asserted Sosa's claim was time-barred by the statute of limitations. Sosa then filed an amended complaint and changed the date of the loss from August 26, 2017, to June 28, 2019.
Read the court decisionRead the full story...Reprinted courtesy of
Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Professional Liability Client Alert: Law Firms Should Consider Hiring Outside Counsel Before Suing Clients For Unpaid Fees
March 31, 2014 —
David W. Evans and Blythe Golay - Haight Brown & Bonesteel LLPLaw firms seeking to recover attorney’s fees as the prevailing party in fee dispute litigation with their former client should hire outside counsel in order to avoid waiving any entitlement to such fees. Evaluating any potential exposure for a professional negligence claim or cross-claim before filing suit should also be considered. In Soni v. Wellmike Enterprise Company, Ltd., et al., No. B242288 (filed March 26, 2014) the California Court of Appeal for the Second District held that a law firm, represented by its own employees and associates, was not entitled to recover attorney fees as the prevailing party, pursuant to the attorney’s fee provision in the retainer agreement. The Soni decision is the latest addition to the general prohibition enunciated by Trope v. Katz (1995) 11 Cal.4th 274 (“Trope”) and its progeny that law firms are precluded from recovering attorney’s fees for self-representation.
In Soni, the law firm obtained a $28,384 judgment for delinquent legal fees against a former client. The firm then filed a motion for attorney’s fees, seeking $120,912 as the fees it incurred as the prevailing party under the retainer agreement. The trial court denied the motion based on the general rule set forth in the Trope line of cases that fees are not recoverable where the firm is represented by attorneys employed by the firm, despite the presence in the applicable retainer agreement of a clause notifying the client that fees the law firm would seek if it prevailed would include those for its in-house personnel.
Reprinted courtesy of
David W. Evans, Haight Brown & Bonesteel LLP and
Blythe Golay, Haight Brown & Bonesteel LLP
Mr. Evans may be contacted at devans@hbblaw.com; Ms. Golay may be contacted at bgolay@hbblaw.com
Read the court decisionRead the full story...Reprinted courtesy of
A License to Sue: Appellate Court Upholds Condition of Statute that a Contracting Party Must Hold a Valid Contractor’s License to Pursue Action for Recovery of Payment for Contracting Services
June 21, 2017 —
Omar Parra & Jesse M. Sullivan - Haight Brown & Bonesteel LLPCalifornia Business & Professions Code section 7031(a) requires a party to have contractor’s license in order to maintain an action for compensation for services performed for which a contractor’s license is needed. In Phoenix Mechanical Pipeline, Inc. v. Space Exploration Technologies Corp., No. B269186 (2017 WL 2544856) (Cal. Ct. App. June 13, 2017), the Court of Appeal for the Second Appellate District considered the scope of this statute in denying, in part, Phoenix Mechanical Pipeline, Inc.’s (“Phoenix Pipeline”) appeal of a trial court ruling granting Space Exploration Technologies Corporation’s (“SpaceX”) demurrer to Phoenix Pipeline’s second amended complaint, without leave to amend.
Phoenix Pipeline filed the underlying lawsuit for, among other claims, breach of contract and breach of the duty of good faith and fair dealing arising from an agreement with SpaceX for Phoenix Pipeline to perform various plumbing, concrete removal and electrical services. Phoenix Pipeline alleged SpaceX paid for such services from 2010 to October 2013, but failed to pay Phoenix for services performed from October 2013 to August 2014, totaling just over $1,000,000. According to Phoenix Pipeline, this work was performed pursuant to a series of invoices, which constituted individual agreements between SpaceX and Phoenix Pipeline.
Reprinted courtesy of
Omar Parra, Haight Brown & Bonesteel LLP and
Jesse M. Sullivan, Haight Brown & Bonesteel LLP
Mr. Parra may be contacted at oparra@hbblaw.com
Mr. Sullivan may be contacted at jsullivan@hbblaw.com
Read the court decisionRead the full story...Reprinted courtesy of
Louisiana Couple Sues over Defects in Foreclosed Home
September 24, 2013 —
CDJ STAFFA Louisiana couple is suing over the home they bought, claiming that the sellers knew there were defects in the home, including termite damage, mold, and roof leaks. When the Eastmans bought the home, they were assured that inspectors had cleared the property.
The home had been foreclosed upon and purchased by Beverly Knoll, LLC. The Eastmans subsequently purchased the home from Beverly Knoll. After the sale, the plaintiffs hired their own inspector who found the damage and no evidence of attempts at repair.
The Eastmans informed one of the defendants, Troy Duhon, who informed them that the defendants would be assuming the costs of repair. However, after the Eastmans requested $94,000 in reimbursements, the defendants declined to pay.
Read the court decisionRead the full story...Reprinted courtesy of
Before Collapse, Communications Failed to Save Bridge Project
December 30, 2019 —
Scott Judy - Engineering News-RecordThe National Transportation Safety Board’s Oct. 8 release of documents related to its FIU bridge collapse investigation raises questions but provides no definitive conclusions about why the partially built structure suddenly crashed to the ground on March 15, 2018, killing six. The last official word on the cause of the fatal collapse will have to await the agency’s final report, scheduled to be released on Oct. 22.
Scott Judy, Engineering News-Record
Mr. Judy may be contacted at judys@enr.com
Read the full story... Read the court decisionRead the full story...Reprinted courtesy of
Contractor Underpaid Workers, Pocketed the Difference
February 10, 2012 —
CDJ STAFFProperty Casualty 360 reports that the owner of a construction company in California’s Bay Area has been arraigned in San Francisco Superior Court. The fifty-seven felony counts include charges of payroll theft and insurance fraud.
San Francisco District Attorney, George Gascon is quoted as saying that Doherty’s actions “hurts the honest businesses that were unable to successfully compete for these projects which the defendant was able to underbid and win as a result of this scheme.”
Frances Ann Doherty, owner of Doherty Painting & Construction has been charged with submitting false documentation as to what wages she paid her workers. It is alleged that over three years she pocketed $600,000. Additionally, she is charged with underpaying her insurer by more than $100,000 by submitting to them the fake payroll information.
Read the full story…
Read the court decisionRead the full story...Reprinted courtesy of
Construction Defects and Commercial General Liability in Illinois
October 25, 2013 —
CDJ STAFFNathan B. Hinch writes on his blog about construction defect law in Illinois. Mr. Hinch notes that he has been providing continuing legal education presentations about commercial general liability insurance and coverage of defective construction. In Illinois, for coverage to exist, “there must be ‘an occurrence’ that results in ‘property damage.’”
The Illinois courts have determined that “defective work is not an ‘accident,’ reasoning that the contractor intended to do the work, whether it turned out to be defective or not,” however the court “found that there was an ‘accident’ and therefore an ‘occurrence’ in a case where a contractor allegedly caused property damage by negligently backfilling around a residential basement.” And ‘property damage’ must be “damage to property other than the work.”
Read the court decisionRead the full story...Reprinted courtesy of
Hunton Insurance Practice Again Scores “Tier 1” National Ranking in US News Best Law Firm Rankings
December 05, 2022 —
Hunton Insurance Recovery BlogOn November 3, 2022, US News announced its
annual law firm rankings, where Hunton Andrews Kurth LLP garnered the highest (Tier 1) ranking among national insurance law practices. Hunton’s insurance team also received Tier 1 honors for “Insurance Law” in three regions (Washington, DC, Atlanta and San Francisco) and Tier 2 honors for “Litigation – Insurance” in Washington, DC. US News ranks law firms in tiers from 1 (highest) to 3 (lowest) based on quantitative data that speaks to general demographic and background information on the practice group, attorneys and other data that speaks to the strengths of a law firm’s practice, as well as qualitative client feedback about:
- the practice group’s expertise,
- responsiveness,
- understanding of a business and its needs,
- cost-effectiveness,
- civility, and
- whether the client would refer another client to the firm.
Read the court decisionRead the full story...Reprinted courtesy of
Hunton Andrews Kurth LLP