High Attendance Predicted for West Coast Casualty Seminar
March 19, 2014 —
Beverley BevenFlorez-CDJ STAFFWith the diverse speakers and topics planned for this year’s West Coast Casualty Seminar in Anaheim, California on May 15th and 16th, attendance should be high. In 2013, there were approximately 1600 attendees coming from across the country as well as the United Kingdom. The event planners recently added additional blocks of rooms, as the Disneyland Hotel has sold out 90% of the previously allotted room blocks. The planners urge attendees to book their rooms soon.
Seminar and panel topics have been announced. Thomas J. Halliwell, Esq. and Barry Vaughan, Esq. will be starting the seminar off with a discussion of “Recent California, Arizona and Nevada Court Decisions that Impact Construction Litigation and Defect Claims.” May 16th will feature a number of interesting break-out sessions including “Working Smarter with Technology” with speakers Brian Kahn, Esq., Paul R. Kiesel, Esq., Hon. Peter Lichtman (ret), Hon. Nancy Wieben Stock (ret), Peter S. Curry and Don MacGregor (Bert L. Howe & Associates, Inc.).
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New York Court Temporarily Enjoins UCC Foreclosure Sale
September 21, 2020 —
Steven E. Ostrow, Timothy E. Davis, Steven E. Coury & Kristen E. Andreoli - White and WilliamsNew York courts have become a battleground for challenges to foreclosure sales under the Uniform Commercial Code (UCC) amidst the COVID-19 pandemic. Another trial court of the New York State Supreme Court (New York County) issued a preliminary injunction in Shelbourne BRF LLC v. SR 677 Bway LLC, halting a mezzanine lender’s August 19, 2020 UCC foreclosure sale. The decision confirms that the impact of the pandemic on the value of commercial real estate, and upon traditional steps taken to conduct a foreclosure auction, are both key factors that courts will continue to consider in determining whether a UCC foreclosure sale scheduled during the pandemic can be conducted in a commercially reasonable manner as required by the UCC.
THE CASE
In Shelbourne, the mezzanine borrowers owned the membership or equity interests in the companies (collectively, the “Property Owner”) that held title to a 12-story office building in Albany, New York. As security for the $3.35 million mezzanine loan, the mezzanine borrowers pledged their equity interests to the mezzanine lender. In May 2020, the mezzanine lender declared a default under the mezzanine loan as a result of the Property Owner’s default under the $28.5 million senior loan secured by a mortgage against the office building. The mezzanine lender then scheduled a public UCC foreclosure sale of the equity interests in the Property Owner for August 19, 2020. If the sale had been held, the equity interests in the Property Owner (and right to control the Property Owner and office building) would have been transferred to the successful bidder, either the mezzanine lender or a third party purchaser.
Reprinted courtesy of White and Williams attorneys
Steven E. Ostrow,
Timothy E. Davis,
Steven E. Coury and
Kristen E. Andreoli
Mr. Ostrow may be contacted at ostrows@whiteandwilliams.com
Mr. Davis may be contacted at davist@whiteandwilliams.com
Mr. Coury may be contacted at courys@whiteandwilliams.com
Ms. Andreoli may be contacted at andreolik@whiteandwilliams.com
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Product Manufacturers Beware: You May Be Subject to Jurisdiction in Massachusetts
July 05, 2023 —
Timothy Keough & Audrey Schoenike - White and Williams LLPSay you are a Floridian product manufacturer that does business in Massachusetts and you receive a Complaint filed in Massachusetts that alleges your product injured a Nova Scotian resident in Nova Scotia. You know that the only time that product was in Massachusetts was during its transport up the eastern seaboard to its final destination at a retailer in Nova Scotia. Can you be hailed into a Massachusetts court for this accident? The answer is seemingly not so simple following the Supreme Judicial Court’s holding in Doucet v. FCA US LLC.
On June 8th, the Massachusetts Supreme Judicial Court, in Doucet v. FCA US LLC, held that FCA US LLC is subject to jurisdiction in Massachusetts for a personal injury action arising out of a motor vehicle accident that occurred in New Hampshire.
No. SJC-13354, slip. op. (Mass. June 8, 2023). The vehicle had been purchased in New Hampshire by a New Hampshire resident. The Court explained that federal due process does not require a causal connection between a company’s business dealings with the jurisdiction and the injury; instead, a mere relationship between the business dealings and the injury will suffice to establish jurisdiction. Because the vehicle at issue was first sold in Massachusetts and FCA US LLC had extensive business dealings unrelated to the vehicle in question in Massachusetts, the Court concluded that a strong enough relationship existed between FCA US LLC, Massachusetts, and the litigation for jurisdiction to exist.
Reprinted courtesy of
Timothy Keough, White and Williams LLP and
Audrey Schoenike, White and Williams LLP
Mr. Keough may be contacted at keought@whiteandwilliams.com
Ms. Schoenike may be contacted at schoenikea@whiteandwilliams.com
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Subcontractor Not Liable for Defending Contractor in Construction Defect Case
February 10, 2012 —
CDJ STAFFThe California Court of Appeals has ruled on January 9, 2012 in Hensel Phelps Construction Company v. Urata & Sons Cement, upholding the judgment of the lower court.
Hensel Phelps was the general contractor for a high-rise in Sacramento. They were sued by the owners of the building after problems were discovered in the concrete slabs of the building’s parking garage. Instead of welded steel wire mesh, the slabs had been constructed with fiber mesh. Hensel Phelps filed a cross-complaint against Urata Cement, the subcontractor that had performed the cement work. Urata refused to defend Hensel Phelps. The owners’ case was subsequently dismissed due to the statute of limitations.
Although the original case was over, Hensel Phelps continued in their claims against Urata. “Urata argued that a handwritten interlineation required Hensel Phelps to prove Urata was at fault for the injury alleged in the building owners’ complaint before Urata was obliged to defend Hensel Phelps in that action.”
The lower court concluded that Urata would have been obligated to defend Hensel Phelps if the owners’ lawsuit had alleged that the damage was due to the subcontractor’s work or if evidence at trial established this. The lower court found neither of these true. Instead, the use of the fiber mesh was a design issue and “that decision was outside the scope of the subcontractor’s work.”
During the trial, Hensel Phelps conceded that Urata was not at fault. The appeals court could find no reading of the contract that would cause Urata to be obligated to defend Hensel Phelps, calling Hensel Phelps’s reading of the contact as “grammatically infeasible.”
Judges Nicholson, Raye, and Butz upheld the decision of the lower court and awarded costs on appeal to Urata.
Read the court’s decision…
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Lost Rental Income not a Construction Defect
November 27, 2013 —
CDJ STAFFA judge in Colorado has ruled that although the homeowner’s policy excluded construction defects from coverage, lost rental income and the cost of deck repair involved in fixing a defective drainage system were.
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Bad Welds Doom Art Installation at Central Park
October 30, 2013 —
CDJ STAFFLast year, the sculpture “How I Roll” was supposed to be doing its rolling at Central Park from June through August of last year, but the exhibit was taken down a month early, over concerns that the welding had rendered the moving piece “structurally unsound and unsafe.” Now the Public Art Fund is suing the company hired to do the welding.
Titon Builders of Lake Park, Florida was supposed to do the welding, but they subcontracted the work to Tru-Steel Corp. of Fort Pierce, Florida. The Public Art Fund is claiming that Titon’s contract obligated them to do the fabrication, not subcontract it. Jeffrey Klein, a lawyer for the Public Art Fund, said, “it’s sad that it had to be taken down because of shoddy workmanship.”
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The Association of Southern California Defense Counsel (ASCDC) and the Construction Defect Claims Managers Association (CDMA) Annual Construction Defect Seminar
December 04, 2013 —
CDJ STAFF
The Association of Southern California Defense Counsel (ASCDC) and the Construction Defect Claims Managers Association (CDMA) Jointly Present the 2013 Construction Defect Seminar and Holiday Party to be Held Thursday, December 5, at the Hilton Hotel, Costa Mesa
Professional development activities will include panel discussions including “What Happened to Simple HOA Actions – Litigating Commercial Projects,” a roundtable discussion by Ross Hart, Keith Koeller, Alex Robertson, Les Robertson, Todd Schweitzer, Wendy Wilcox, and Brian D. Kahn. A timely discussion of California’s “right to repair” laws “SB800 – Is It Still Worth Fighting For?,” will be presented by Nick Cammarota, Timothy Earl, Luke Ryan, Dave Simons, Dave Stern, John Terry, and Adrienne Cohen is also on the the agenda.. Additionally, Assemblyman Donald P. Wagner will serve as the event’s Special Guest Speaker.
Bert L. Howe & Associates, Inc. is pleased to return this year as an event sponsor. BHA will be exhibiting our latest inspection data collection system and forensic analysis platforms newly optimized for the new iOS 7. Visitors of the BHA exhibit booth can enter into our drawing for a 16 GB iPad Air with WiFi.
Professional development activities will be followed by a holiday party and reception honoring the Orange County Judiciary. The reception will be hosted by Glenn Barger, Adrienne Cohen, and Brian Kahn. It will place from 5:30 p.m. through 7.00 p.m.
For further information for the event, please visit http://www.ascdc.org/Events.asp.
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Buy a House or Pay Off College? $1.2 Trillion Student Debt Heats Up in Capital
June 11, 2014 —
Janet Lorin – BloombergJennifer Day spends 12 percent of her monthly take-home pay on debt that funded a master’s degree in urban and regional planning, money she’d rather be saving toward a home.
“I spend $364 a month for student loans,” said Day, 33, who conducts market research for the hospitality industry at a consulting firm in New Orleans. “To me, that is a down payment or ultimately savings down the line.”
Under legislation sponsored by U.S. Senator Elizabeth Warren of Massachusetts, Day would save about $75 a month on her payments. The bill, which could come up for a vote on the Senate floor as soon as tomorrow, would let 25 million borrowers with federal and private loans refinance their balances at lower interest rates, according to Education Department estimates.
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Janet Lorin, BloombergMs. Lorin may be contacted at
jlorin@bloomberg.net