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DIRECTORY AND CAPABILITIES

Colorado Senate Bill 13-052: The “Transit-Oriented Development Claims Act of 2013.”

January 25, 2013 — CDJ STAFF

Last fall the Denver Regional Council of Governments approached the Colorado Association of Home Builders to inquire as to why there are no builders developing or constructing for-sale, multi-family projects along the newly constructed light rail lines. By surveying its membership, the CAHB quickly learned that the biggest impediment to such construction is Colorado’s litigation environment, i.e., “if you build it, they will sue.” This started a dialogue within the industry in order to determine what changes developers and general contractors would like to see made in order to consider again building for-sale, multi-family construction. The result of this dialogue is Senate Bill 13-052, introduced on January 16, 2013, and known as the Transit-Oriented Development Claims Act of 2013, sponsored by Senators Scheffel and Cadman and Representative DelGrosso. You can find the current iteration of SB 13-052 here. 

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Reprinted courtesy of David McLain
Mr. McLain can be contacted at mclain@hhmrlaw.com

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Condos Down in Denver Due to Construction Defect Litigation

November 06, 2013 — CDJ STAFF
A new report suggests that fears of construction defect litigation may be the cause of the slump in condo building in the Denver area. The Denver Business Journal reports that the Denver Regional Council of Governments commissioned the study by Economic & Planning Systems. The conclusion of the report was that the only type of condominium likely to be built is high-cost units with high profit margins. This is not good news for the DRCOG, which is seeking to create more affordable housing. The report found that builders assess the likeliness of being sued “is nearly 100 percent,” that costs of addressing construction defects are 12% higher than at apartment complexes, and that preparing for litigation adds about $15,000 to the cost of a condo unit. One possible remedy is to reform Colorado’s construction defect laws. Bob Muphy, the mayor of Lakewook and an advocate of construction defect litigation reform, said that he sees “this as a verification of what I’ve been talking about.” Read the court decision
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Dust Infiltration Due to Construction Defect Excluded from Policy

September 09, 2011 — CDJ STAFF

A summary judgment was affirmed in the case of Brown v. Farmers Group, by the California Court of Appeals. The Browns bought a new home in Oakley, California. At the time, they signed disclosure statement “acknowledging that the area around their home experienced gusty winds and would be in development for years to come, which might result in dust and airborne mold.”

The Browns found an unusual amount of dust in their home, which became worse when they ran their heating and air conditioning system. Shelia Brown was later diagnosed with chronic valley fever, which was attributed to airborne mold. The Browns contacted Farmers which investigated the house. Although the adjustor from Farmers said the Browns would be covered, Farmers denied the claim.

After the Browns moved out of the house, an inspector found that the HVAC line in the attic was disconnected, sending dust into the home. The Browns brought action against Mid-Century Insurance, which managed the policy, and Farmers. The identified the HVAC defect, window problems, and valley fever as causes, suing for breach of contact, breach of implied covenant of good faith and fair dealing, and the intentional infliction of emotional distress.

The court rejected all these claims. The policy with Farmers excluded losses due to defective construction. This ruled out the faulty HVAC system and any problems there might have been from the windows. The policy also specifically excluded losses from contamination, fungi, pathogens, and noxious substances. The court further found that the adjustor’s opinion was irrelevant to the question of what the policy actually covered. Finally, the court found no evidence of intentional infliction of emotional stress.

On review, the appeals court upheld the trial court’s conclusions and affirmed the summary judgment.

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New York Governor Expected to Sign Legislation Greatly Expanding Recoverable Damages in Wrongful Death Actions

June 20, 2022 — Nicholas P. Hurzeler - Lewis Brisbois
New York, N.Y. (June 3, 2022) - The New York Senate and Assembly recently passed Bill S74A, also known as the Grieving Families Act, and it is expected that Governor Hochul will likely sign the bill into law. If passed, the law would significantly expand the damages available in wrongful death actions in a number of ways. First, Section 1 would amend EPTL section 5-4.1 to extend the statute of limitations to commence a wrongful death action from two years to three years and six months, a significant increase that will permit many more wrongful death cases to go forward. Second, Section 2 amends EPTL section 5-4.3, to allow recovery for emotional damages if a tortfeasor is found liable for causing a death. The current law only allows recovery of economic damages, such as economic hardship caused by a loss of parental guidance. The old law did not permit recovery of damages for grief, sympathy, and loss of companionship or consortium (see, e.g., Liff v. Schildkrout, 49 N.Y.2d 622 (1980); Bumpurs v. New York City Hous. Auth., 139 A.D.2d 438, 439 (1st Dept. 1988)), but that would change with passage of the new bill. Read the court decision
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Reprinted courtesy of Nicholas P. Hurzeler, Lewis Brisbois
Mr. Hurzeler may be contacted at Nicholas.Hurzeler@lewisbrisbois.com

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Are Housing Prices Poised to Fall in Denver?

December 10, 2015 — Beverley BevenFlorez-CDJ STAFF
Denver, Dallas, and Houston’s housing markets are rising too quickly and will soon hit “’bubble territory’” according to a housing market index by Florida Atlantic University and Florida International University, reported the Denver Business Journal. "There is about a 70 percent chance that renters in Denver will get more wealth on average than buyers," Ken Johnson, a real estate economist at the university in Boca Raton, Florida, told the Denver Post. Read the court decision
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Federal Government Partial Shutdown – Picking Up the Pieces

February 27, 2019 — Jacob W. Scott -
Now that the partial shutdown has ended (though with the specter of another just around the corner), contractors are asking, “What now?” and “What did that cost me?” Although every case is fact-specific, following are some guidelines for moving forward after the shutdown. Following up on our previous guidance, contractors should make sure that any court, board, or agency filings made during the shutdown were received and properly docketed. If there is any question whether a filing was received, file it again as soon as possible with proof of the earlier attempt to file. The busiest tribunals, such as the federal courts, the Court of Federal Claims, the Boards of Contract Appeals, and the Government Accountability Office, remained open, or at least open to accept filings, and all indications are that filings made during the shutdown were received and acknowledged. But for some of the other tribunals or agencies, such as the Small Business Administration (“SBA”) Office of Hearings and Appeals and the SBA Office of Government Contracting and Business Development, prudence dictates double-checking that all filings were received. In many cases, non-statutory deadlines have been or will be adjusted by the court, board, or agency. Read the court decision
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Reprinted courtesy of Jacob W. Scott, Smith Currie
Mr. Scott may be contacted at jwscott@smithcurrie.com

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Trump Tower Is Now One of NYC’s Least-Desirable Luxury Buildings

July 08, 2019 — Shahien Nasiripour - Bloomberg
Trump Tower, once the crown jewel in Donald Trump’s property empire, now ranks as one of the least desirable luxury properties in Manhattan. The 36-year-old building has been turned into a fortress since Trump won the presidency, ringed with concrete barriers and the two main entrances partially blocked off. It hasn’t been substantially updated in years. And Trump’s name has been a huge turnoff in liberal New York City. For anyone who owns a unit in the tower, the past two years have been brutal. Most condo sales have led to a loss after adjusting for inflation, property records show. Several sold at more than a 20% loss. By contrast, across Manhattan, just 0.23% of homes over the past two years sold at a loss, according to real-estate data provider PropertyShark, although the firm doesn’t adjust for inflation. Read the court decision
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Reprinted courtesy of Shahien Nasiripour, Bloomberg

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BHA’s Next MCLE Seminar in San Diego on July 25th

July 02, 2014 — Beverley BevenFlorez-CDJ STAFF
There are just three weeks remaining to sign up for Bert L. Howe & Associate’s next California MCLE seminar, UNDERSTANDING CONSTRUCTION DEFECT LITIGATION. This activity will be presented on Friday, July 25th at noon, in BHA’s San Diego offices, located at: 402 W. Broadway Suite 400 San Diego, CA 92101 There is no cost for attendance at this seminar and lunch will be provided. This course has been approved for Minimum Continuing Legal Education credit by the State Bar of California Committee on MCLE in the amount of 1.0 credit hours, of which 0.0 credit hours will apply to legal ethics/professional responsibility credit. The seminar will be presented by Charlie Miller, general contractor and project manager. Water intrusion through doors, windows and roofing systems, as well as soil and foundation-related movement, and the resultant damage associated therewith, are the triggering effects for the vast majority of homeowner complaints today and serve as the basis for most residential construction defect litigation. The graphic and animation-supported workshop/lecture activity will focus on the residential construction process from site preparation through occupancy, an examination of associated damages most often encountered when investigating construction defect claims, and the inter-relationships between the developer, general contractor, sub trades and design professionals. Typical plaintiff homeowner/HOA expert allegations will be examined in connection with those building components most frequently associated with construction defect and claims litigation. The workshop will examine: • Typical construction materials, and terminology associated with residential construction • The installation process and sequencing of major construction elements, including interrelationship with other building assemblies • The parties (subcontractors) typically associated with major construction assemblies and components • An analysis of exposure/allocation to responsible parties. Attendance at THE UNDERSTANDING CONSTRUCTION DEFECT LITIGATION seminar will provide the attendee with: • A greater understanding of the terms and conditions encountered when dealing with common construction defect issues • A greater understanding of contractual scopes of work encountered when reviewing construction contract documents • The ability to identify, both quickly and accurately, potentially responsible parties • An understanding of damages most often associated with construction defects, as well as a greater ability to identify conditions triggering coverage To register for the event, please email Charlie Miller at cmiller@berthowe.com. If you have any questions, please feel free to contact Charlie at (800) 482-1822 (office) or (714) 353-1959 (cell). Read the court decision
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