Short-Term Rental Legislation & Litigation On the Way!
November 18, 2019 —
Patrick J. Paul - Snell & Wilmer Real Estate Litigation BlogThe advent of the shared economy in the real estate context has provided homeowners and investors alike with expanded opportunities to generate revenue from the use of their real estate. Airbnb and VRBO are two of the most popular companies facilitating short-term rental availability. The rapid growth in this shared real estate economy has served as a disruptor of sorts to the traditional hotel and hospitality industry, causing that industry to revisit its own models in order to better compete.
The popularity of short-term rental use, however, has created a whole new set of problems about which property owners, state and local governments, renters, and those impacted by the explosion of short-term rentals should be aware. Among other things, without more, most traditional homeowners’ policies will not cover the insured property’s use for commercial purposes – a problem similar to the early rideshare providers.
Full and part-time resident owners who previously enjoyed a greater certainty with respect to their neighbors are today frustrated by the revolving door of vacationers, revelers, wedding attendees and similar nontraditional uses of neighborhood residential property.
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Patrick J. Paul, Snell & WilmerMr. Paul may be contacted at
ppaul@swlaw.com
A General Contractor’s Guide to Additional Insured Coverage
August 10, 2017 —
Gregory D. Podolak - Saxe Doernberger & Vita, P.C.LAW360.com recently surveyed attorneys to offer tips for what general contractors should – and shouldn’t – do when pursuing additional insured coverage. According to the article, “With the broad array of risks present on a typical construction site, one of a general contractor’s top options to shield itself from liability for property damage and bodily injury claims is to secure expansive “additional insured” coverage through its subcontractors.”
In the piece, Greg Podolak discussed techniques for avoiding potential gaps in coverage:
“Carriers will try to say in the additional insured endorsement that they will only be responsible to provide limits for what is required in the trade contract,” said Greg Podolak, managing partner of Saxe Doernberger & Vita PC’s southeast office. “If it turns out the trade contract requires lower limits than the policy, the insurer will likely say it only wants to be responsible for those lower limits.”
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Gregory D. Podolak, Saxe Doernberger & Vita, P.C.Mr. Podolak may be contacted at
gdp@sdvlaw.com
Irvine Partner Cinnamon J. Carr and Associate Brittney H. Aquino Prevail on Summary Judgment
June 17, 2024 —
Linda Carter - Kahana FeldCongratulations to Irvine Partner Cinnamon J. Carr and Associate Brittney H. Aquino for Prevailing on a Motion for Summary Judgment!
Irvine Partner Cinnamon J. Carr and Associate Brittney H. Aquino prevail on summary judgment in a slip and fall case venued in Riverside County!
Plaintiff filed a lawsuit alleging negligence against Kahana Feld’s client, a grocery store with over 50 stores throughout Southern California. Prior to Plaintiff’s fall, security cameras captured footage of a third-party customer picking up a case of water bottles near the entrance of the store. The customer tilted the case and water streamed to the floor. The customer then returned the leaky case to the pallet, picked up another case of water, and walked away. Approximately a minute and 10 seconds later, Plaintiff walked through the area, slipping on the spilled water.
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Linda Carter, Kahana FeldMs. Carter may be contacted at
lcarter@kahanafeld.com
New York Establishes a Registration Requirement for Contractors and Subcontractors Performing Public Works and Covered Private Projects
January 17, 2023 —
Christopher B. Kinzel, K. Greer Kuras, Aaron C. Schlesinger - Peckar & Abramson, P.C.By December 30, 2023, contractors and subcontractors bidding on public contracts and performing work on covered private projects in New York must register with the NYS Department of Labor, Bureau of Public Works, pursuant to the newly enacted Labor Law Section 220-i. The DOL has until June 28, 2023 to establish regulations to carry out the new law. There will be an online system where registrations and disclosures are publicly available.
The stated purpose of the law is to help enforce New York’s prevailing wage and other worker protection laws. The DOL will create an online system through which contractors and subcontractors will have to answer questions and submit documents about:
- the business entity and its owners and officers
- unemployment and workers’ compensation insurance
- any outstanding wage assessments
- debarment under New York or federal law, or any other state’s laws
- final determinations of a violation of any labor laws, employment tax laws, or workplace safety standards (including OSHA)
- association or signatory to an apprenticeship program
If the DOL approves the submission, the contractor will receive a registration certificate that remains valid for two years.
Reprinted courtesy of
Christopher B. Kinzel, Peckar & Abramson, P.C.,
K. Greer Kuras, Peckar & Abramson, P.C. and
Aaron C. Schlesinger, Peckar & Abramson, P.C.
Mr. Kinzel may be contacted at ckinzel@pecklaw.com
Ms. Kuras may be contacted at gkuras@pecklaw.com
Mr. Schlesinger may be contacted at aschlesinger@pecklaw.com
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Bremer Whyte Sets New Precedent in Palos Verdes Landslide Litigation
August 26, 2024 —
Dolores Montoya - Bremer Whyte Brown & O'Meara LLPIn what is believed to be a groundbreaking new precedent, Bremer Whyte Brown & O’Meara’s Los Angeles litigation team has obtained a landmark ruling on behalf of residents in the “Portuguese Bend” neighborhood of Palos Verdes, California. Congratulations to Partner
Michael D’Andrea and Senior Associate Shelly Mosallaei in receiving this result for our clients.
Plaintiff, a real estate developer, sued a number of local residents and property owners, including our client, alleging that their failure to address landslides and geological disturbances around Plaintiff’s property constituted a legal trespass and nuisance. Plaintiff alleged that its plans to develop multiple lots in Palos Verdes was thwarted because Defendant’s soil and land encroached onto Plaintiff’s property. Plaintiff’s suit against multiple residents created an uproar in the community regarding who was ultimately responsible (if anyone) for natural soils movement that has plagued this neighborhood for years.
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Dolores Montoya, Bremer Whyte Brown & O'Meara LLP
California Home Sellers Have Duty to Disclose Construction Defect Lawsuits
October 21, 2013 —
CDJ STAFFIf you’re selling a home in California that has been the subject of a construction defect lawsuit, you probably have to disclose this, according to Steven G. Lee, an attorney at Reid & Hellyer. Mr. Lee notes that California law mandates the disclosure of “any lawsuits by or against the Seller threatening to or affecting the Property, including any lawsuits alleging a defect or deficiency.” He further notes that “for those selling units in a condominium or townhouse development, this includes defects in the common areas.”
He notes that failure to disclose will not invalidate the sale, but the seller may be “liable for actual damages suffered by the buyer.” Merely disclosing the former defect may not be enough. Mr. Lee notes that the California Court of Appeals ruled in one case that although buyers had been informed of past water intrusion, knowledge of the construction defect lawsuit may have affected the buyer’s decision.
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California Mediation Confidentiality May Apply to Third Party “Participants” Retained to Provide Analysis
November 02, 2017 —
Tony Carucci - Snell & Wilmer Real Estate Litigation BlogCalifornia Evidence Code section 1119 governs the general admissibility of oral and written communications generated during the mediation process. Section 1119(a) provides that “[n]o evidence of anything said or any admission made
for the purpose of, in the course of, or pursuant to, a mediation . . . is admissible or subject to discovery, and disclosure of the evidence shall not be compelled, in any . . . civil action . . . .” Cal. Evid. Code § 1119(a) (emphasis added). Similarly, section 1119(b) bars discovery or admission in evidence of any “writing . . . prepared
for the purpose of, in the course of, or pursuant to, a mediation . . . .” Cal. Evid. Code § 1119(b) (emphasis added). Finally, section 1119(c) provides that “[a]ll communications, negotiations, or settlement discussions by and between
participants in the course of a mediation . . . shall remain confidential.” Cal. Evid. Code § 1119(c) (emphasis added).
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Tony Carucci, Snell & WilmerMr. Carucci may be contacted at
acarucci@swlaw.com
Charles Carter v. Pulte Home Corporation
October 12, 2020 —
Michael Velladao - Lewis BrisboisIn Carter v. Pulte Home Corp., __Cal.App.5th__(July 23, 2020), the California Court of Appeal affirmed the entry of judgment in favor of subcontractors in connection with a Complaint for Intervention based on equitable subrogation filed by Travelers Property Casualty Company of America (“Travelers”) seeking to recover defense costs incurred in defending Pulte Home Corporation (“Pulte”) in an underlying construction defect lawsuit. The parties’ dispute arose out of Travelers’ defense of Pulte as an additional insured under policies issued to four subcontractors involved in the underlying construction defect lawsuit. Several subcontractors involved in the underlying construction defect lawsuit refused to defend Pulte based on the indemnity clauses in their subcontracts. Such clauses promised to indemnify Pulte as follows:
“all liability, claims, judgments, suits, or demands for damages to persons or property arising out of, resulting from, or relating to Contractor’s performance of work under the Agreement (“Claims”) unless such Claims have been specifically determined by the trier of fact to be the sole negligence of Pulte. . . .”
Pulte eventually settled the construction defect lawsuit and its claims against all of the subcontractors. Travelers ultimately paid $320,491.82 for Pulte’s defense and recovered $164,400 from some of the subcontractors. Travelers’ intervention in the underlying lawsuit was intended to recover the remaining $156,091.82 from the subcontractors that refused to indemnify Pulte for the defense of the construction defect lawsuit. In the underlying trial, Travelers argued that the subcontractors were obligated to pay defense costs on a joint and several basis (minus what Travelers had already recovered). The trial court did not agree and held that Travelers was not entitled to equitable subrogation for the remaining defense costs.
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Michael Velladao, Lewis BrisboisMr. Velladao may be contacted at
Michael.Velladao@lewisbrisbois.com