Fifth Circuit Holds Insurer Owes Duty to Defend Latent Condition Claim That Caused Fire Damage to Property Years After Construction Work
September 21, 2020 —
Jeremy S. Macklin - Traub LiebermanMost general liability policies only provide coverage for “property damage” that occurs during the policy period. Thus, when analyzing coverage for a construction defect claim, it is important to ascertain the date on which damage occurred. Of course, the plaintiffs’ bar crafts pleadings to be purposefully vague as to the date (or period) of damage to property. A recent Fifth Circuit decision applying Texas law addresses this coverage issue in the context of allegations of a condition created by an insured during the policy period that caused damage after the policy expired.
In Gonzalez v. Mid-Continent Cas. Co., 969 F.3d 554 (5th Cir. 2020), Gilbert Gonzales (the insured) was a siding contractor. In 2013, the underlying plaintiff hired Gonzales to install new siding on his house. In 2016, the underlying plaintiff’s house was damaged in a fire. The underlying plaintiff sued Gilbert in Texas state court alleging that when Gonzalez installed the siding in 2013, he hammered nails through electrical wiring and created a dangerous condition that caused a fire three years later in 2016.
At the time Gilbert performed construction work, he was insured by Mid-Continent Casualty Company. Mid-Continent disclaimed coverage to Gonzales on the basis that the complaint unequivocally alleged that property was damaged in 2016 and there were no allegations that property damage occurred prior to 2016 or was continuing in nature.
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Jeremy S. Macklin, Traub LiebermanMr. Macklin may be contacted at
jmacklin@tlsslaw.com
Nevada Senate Rejects Construction Defect Bill
June 07, 2011 —
CDJ STAFFThe Las Vegas Sun reports that Assembly Bill 401, the construction defect bill, lost in a vote of 9 to 12. The measure extended the time for construction defect suits to be filed, awarded legal costs only to successful plaintiffs, and set a definition of construction defects. Two Democrats joined the Republicans in the Senate in defeating the bill.
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Justice Dept., EPA Ramp Up Environmental Justice Enforcement
May 30, 2022 —
Pam McFarland - Engineering News-RecordThe U.S. Justice Dept. plans to launch a new office within its Environment and Natural Resources Division that will focus on enforcing environmental laws in communities that are most affected by pollution and environmental-related crimes, administration officials said May 5.
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Pam McFarland, Engineering News-Record
Ms. McFarland may be contacted at mcfarlandp@enr.com
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Building the Secondary Market for Reclaimed Building Materials
August 30, 2021 —
Christopher G. Hill - Construction Law MusingsFor this week’s guest post Friday, Musings welcomes Mark Rabkin of Deconstruction Management, Inc., the first, dedicated, for-profit deconstruction management firm in the country. Based in Northeast Ohio, it through all stages of building removal from property acquisition to deconstruction to recycling and architectural salvage.
With 10 years of professional experience as an independent risk advisor focusing on sustainable real estate and development, Mark counsels his clients on effective strategies to reduce hazards and mitigate losses. Mark oversees the marketing and administrative functions of Deconstruction Management, Inc. and is responsible for managing the architectural salvage and the upcycled material reuse and resale side of the business.
Mark is a leader in the advocacy of sustainable building strategies both locally and nationally. Mark serves as the volunteer Director of Advocacy for the Northeast Ohio Chapter of the United States Green Building Council. He is also an active contributor on many of the chapter’s strategic implementation teams. Mark is a member of Entrepreneurs for Sustainability, the Council of Smaller Enterprises’ Sustainability Task Force and is an active participant in the Sustainable Cleveland 2019 Initiative.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Revised Cause Identified for London's Wobbling Millennium Bridge After Two Decades
December 20, 2021 —
Peter Reina - Engineering News-RecordU.S. and British researchers claim to have found a better explanation for the wobble of London's River Thames Millennium pedestrian suspension bridge than the one prevailing for over 20 years. Alarming swaying of the bridge was caused not by synchronization of walkers' footsteps, as previously believed, but the negative damping effect of their efforts not to fall over.
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Peter Reina, Engineering News-Record
Mr. Reina may be contacted at reina@btinternet.com
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Randy Maniloff Recognized by U.S. News – Best Lawyers® as a "Lawyer of the Year"
October 14, 2019 —
Randy Maniloff - White and Williams LLPCongratulations to Randy Maniloff, Counsel in the Insurance Coverage and Bad Faith Group, who was named the U.S. News – Best Lawyers® 2020 Insurance Law “Lawyer of the Year” in Philadelphia. Randy was recognized by his peers for his professional abilities in this area. "Lawyer of the Year" recognitions are awarded to individual lawyers with extremely high overall peer-feedback for a specific practice area and geographic location.
Randy concentrates his practice in the representation of insurers in coverage disputes over primary and excess obligations under a host of policies, including general liability and various professional liability policies. He has significant experience in coverage matters involving additional insured and contractual indemnity issues.
His practice also includes an academic side. He is an adjunct professor of Insurance at Temple University Beasley School of Law and the co-author of “General Liability Insurance Coverage – Key Issues in Every State” (4th edition), a nearly 1,000 page reference book that provides 50-state surveys on 20 critical liability coverage issues.
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Randy Maniloff, White and Williams LLPMr. Maniloff may be contacted at
maniloffr@whiteandwilliams.com
Couple Claims ADA Renovation Lead to Construction Defects
December 30, 2013 —
CDJ STAFFA couple in Mercer County, West Virginia have claimed that the renovations done to their home not only failed to meet the requested ADA standards, but lead to construction defects, as reported by The West Virginia Record. Ray and Sherry Price are suing Lamberts Construction Company of Bluefield, West Virginia, claiming breach of contract and infliction of emotional distress. The couple hired to company to construct a bathroom addition, a bedroom addition, and a new driveway. In addition to other damages, they are also seeking the cost to repair the renovations.
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Colorado Court of Appeals Defines “Substantial Completion” for Subcontractors’ Work so as to Shorten the Period of Time in Which They Can Be Sued
October 20, 2016 —
David M. McLain – Colorado Construction Litigation BlogOver the past few years, there has been a battle raging on in district courts and arbitration hearing rooms throughout Colorado regarding when a subcontractor’s work is to be deemed “substantially complete,” for purposes of triggering Colorado’s six-year statute of repose. C.R.S. § 13-80-104 states, in pertinent part:
Notwithstanding any statutory provision to the contrary, all actions against any architect, contractor, builder or builder vendor, engineer, or inspector performing or furnishing the design, planning, supervision, inspection, construction, or observation of construction of any improvement to real property shall be brought within the time provided in section 13-80-102 after the claim for relief arises, and not thereafter, but in no case shall such an action be brought more than six years after the substantial completion of the improvement to the real property, except as provided in subsection (2) of this section.
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(2) In case any such cause of action arises during the fifth or sixth year after substantial completion of the improvement to real property, said action shall be brought within two years after the date upon which said cause of action arises.
C.R.S. § 13-80-104 (emphasis added).
As the battle raged on at the trial court level, subcontractors and design professionals argued that their work should be deemed “substantially complete” when they finished their discrete scope of work within a project. Developers and general contractors, seeking to maintain third-party claims against the subcontractors and design professionals, typically argued either that the subcontractors’ and design professionals’ work should be deemed “substantially complete” upon the issuance of the final certificate of occupancy on the project, or upon the issuance of the final certificate of occupancy for the last building within a project on which the subcontractor or design professional worked. Trial court judges and arbitrators have been split on this issue, with perhaps a slight majority favoring one or the other approaches advocated by developers and general contractors, that the subcontractors’ and design professionals’ work is “substantially complete” upon the issuance of the last certificate of occupancy in a project (the minority view) or upon the issuance of the last certificate of occupancy for the last building within a project on which the subcontractor of design professional worked (the majority view).
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David M. McLain, Higgins, Hopkins, McLain & Roswell, LLCMr. McLain may be contacted at
mclain@hhmrlaw.com