North Carolina Supreme Court Addresses “Trigger of Coverage,” Allocation and Exhaustion-Related Issues Arising Out of Benzene-Related Claims
January 04, 2023 —
White and Williams LLPOn December 16, 2022, the North Carolina Supreme Court decided Radiator Specialty Co. v. Arrowood Indem. Co., 2022 N.C. LEXIS 1122 (Dec. 16, 2022), in which it addressed coverage issues arising out of claims by individuals alleging injury from exposure to benzene contained in the insured’s products. Affirming in part and reversing in part the intermediate appellate court’s decision, the court held: (1) an “exposure trigger” applied; (2) defense and indemnity costs were subject to pro-rata allocation; and (3) vertical exhaustion applied to the duty to defend under certain umbrella policies. Two justices concurred in part and dissented in part.
I. Background
In Radiator Specialty, the insured (RSC) was named in hundreds of underlying suits arising from individual plaintiffs’ alleged exposure to benzene contained in its products. Between 1971 and 2012, RSC was insured under primary, umbrella and excess liability policies issued by various insurers. In 2013, RSC sued the insurers in North Carolina state court, seeking coverage for approximately $45 million in defense and indemnity costs incurred for the underlying claims. In 2016, the trial court decided motions for summary judgment on a number of coverage issues. Following a bench trial in 2018, the trial court entered final judgment, which required the insurers to reimburse $1.8 million of RSC’s past costs. The rulings were appealed to the North Carolina Court of Appeals, which issued a decision in 2020. In 2021, the North Carolina Supreme Court granted RSC’s and certain insurers’ petitions for discretionary review of the Court of Appeals’ decision.
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Settlement Ends Construction Defect Lawsuit for School
October 02, 2013 —
CDJ STAFFThe school district in the Chicago-area town of Lake Zurich has made last settlement in a construction defect lawsuit. The $80,000 settlement from Terra Group of Chicago brings the total settlement with the Community Unit School District 95 to about $1.9 million. Other firms included Bovis Lend Lease, Legat Architects, Larson Engineering, and Illinois Masonry Corporation.
The school district had contracted for work on several schools in the district. The buildings opened in 2004, with defect claims made in 2007. Defect claims included the failure of a retaining wall and need for reinforcement of stairwells. The settlement with Terra Group was made under the agreement that it was a compromise with no concession of liability.
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Technology and the Environment Lead Construction Trends That Will Continue Through 2019
June 03, 2019 —
Ryan Gould - Construction ExecutiveThere are common factors that have always defined trends in the construction industry. Elements such as labor (be it shortages or surpluses), the economy and technology determine what gets built where, when and how.
These elements have led to the rise of entire philosophies to boost profits and maximize value, such as the lean construction movement. Often these trends appear in the form of answers that help construction companies eliminate waste, curb overproduction, use talent properly, manage inventory more effectively, boost process workflow, reduce defects, and help to plan and schedule projects more efficiently.
In 2019, two factors are driving trends that are overtaking the industry: technology and the environment. They’re not only informing construction industry trends today, but they’re going to last and evolve into the foreseeable future.
Offsite construction becomes standard
Obviously, this isn’t a new trend. The earliest origins of this method, at least in North America, date to colonists importing pre-packaged construction materials from Europe to the New World in the 17th century. Then there were the kit homes sold by Sears, Roebuck, and Co. at the turn of the 20th century. And of course, the trend reached its zenith in the World War II construction boom with pre-fab companies selling ready-to-go homebuilding components to builders.
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Ryan Gould, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Pennsylvania Modernizes State Building Code
October 30, 2018 —
Joanna Masterson - Construction ExecutiveThe Pennsylvania Independent Regulatory Review Commission has updated the state’s Uniform Construction Code to align with the 2015 International Code —a family of comprehensive and coordinated building codes used in all 50 states that are updated regularly and take into account the latest health and safety technology and building science advancements.
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Joanna Masterson, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Five Reasons to Hire Older Workers—and How to Keep Them
July 06, 2020 —
Charlie Kimmel - Construction ExecutiveThe economic downturn in 2008 created a black hole of talent in the construction industry. As a result, finding project managers between the ages of 28 and 33 and superintendents between the ages of 23 and 30 in today’s market can be difficult, if not impossible in some cases. To make up for this gap in available talent, construction executives are going to have to look to project managers and superintendents in the 58-to-64 age range. Fortunately, there are numerous benefits to hiring older workers.
1. OLDER WORKERS WANT TO MENTOR THE NEXT GENERATION.
This is their most significant benefit: the older generation truly enjoys teaching younger construction workers and passing on skills and knowledge, while also getting to do a job they’re good at. This means investing in one experienced worker today can pay dividends for the quality of a company’s workforce for decades to come, as mentorship programs have proven to increase the skills and loyalty of younger workers. If a company wants someone with deep knowledge and broad experience to help mold the next generation of construction workers, they should hire an older employee.
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Charlie Kimmel, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Peckar & Abramson Once Again Recognized Among Construction Executive’s “Top 50 Construction Law Firms™”
July 02, 2024 —
Peckar & Abramson, P.C.Peckar & Abramson, P.C. (P&A) is pleased to announce that it has once again been ranked among the top of Construction Executive’s (CE) “The Top 50 Construction Law Firms™.” P&A has been recognized in this manner since 2019, the inaugural year of the publication’s rankings.
According to CE, its 2024 ranking was the result of a rigorous and comprehensive survey that invited numerous U.S. law firms with a construction practice to participate. The data collected focused on unique metrics such as the firm’s construction practice, number of attorneys and clients, and year of establishment. CE’s algorithm meticulously weighed these factors, among others, to determine the ranking, ensuring the credibility and accuracy of the recognition.
Firm Chair
Steven M. Charney commented, “We are honored to be recognized as one of Construction Executive’s “Top 50 Construction Law Firms.” This recognition serves as a resounding testament to our commitment to the construction industry and our team’s hard work and dedication. We remain committed to providing exceptional legal services to our clients and striving for excellence in all we do.”
The complete rankings and profile are available
here.
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Wendel Rosen’s Construction Practice Group Receives “Tier 1” Ranking by U.S. News and World Reports
November 10, 2016 —
Garret Murai – California Construction Law BlogWendel Rosen’s Construction Practice Group has received a “Tier 1” ranking by U.S. News and World Reports in its 2017 Best Law Firms rankings and the firm as a whole has been named one of the “Best Law Firms.” This is the fourth consecutive year that Wendel Rosen’s Construction Practice Group has achieved a “Tier 1” ranking.
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Garret Murai, Wendel Rosen Black & Dean LLPMr. Murai may be contacted at
gmurai@wendel.com
Eighth Circuit Affirms Finding of Bad Faith, Award of Costs and Prejudgment Interest
October 25, 2021 —
Tred R. Eyerly - Insurance Law HawaiiThe Eighth Circuit affirmed the district court's finding of bad faith and award to the insured of taxable costs and prejudgment interest. Selective Ins. Co. v. Sela, 2021 U.S. App. LEXIS 26062 (8th Cir. Aug. 30, 2021).
The insured suffered two hail storms that damaged his home. In 2010, the first storm caused over half a million dollars in loss. Before submitting a claim to his original insurer or beginning any repairs, the insured secured a new policy with Selective. The policy did not exclude pre-existing damage, it did preclude coverage if the insured "willfully and with intent to defraud, concealed or misrepresented any material fact or circumstance relating to the insurance."
Before issuing the policy, Selective appraised the property and assigned a $1.6 million value to the home. The insured then filed a claim with his original insurer and received $510,787.23 for actual cash value of his loss. Neither the terms of this settlement nor this new policy with Selective required the insured to repair all of the 2010 damage.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com