Efficient Proximate Cause Applies to Policy's Collapse Provisions
February 23, 2016 —
Tred R. Eyerly – Insurance Law HawaiiThe court applied the efficient proximate cause doctrine to find coverage under a property policy for a building's collapse. Vardanyan v. Amco Ins. Co., 2015 Cal. App. LEXIS 1181 (Cal. Ct. App. Dec. 11, 2015).
The insured submitted a claim to Amco for damage to the flooring of the house and for mold. Amco's adjustor reported that the house seemed to be settling, possibly due to a water leak. A structural engineer then inspected and found multiple potential leaks in the roof, gutters in disrepair, downspouts that deposited water at the base of the walls of the house, and evidence that a faucet had been spraying the wall in one area. Water damage was noticed in these areas. Further, the kitchen was water damaged and had past termite infestation.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Library to Open with Roof Defect Lawsuit Pending
December 04, 2013 —
CDJ STAFFRepairs to the Medina County District Library in Lodi, Ohio should be complete next spring. The library’s lawsuit over the roof is just beginning. The library building was a $3 million project in 2005, but the building had to close in 2011 when it was determined that the roof was not structurally sound.
The lawsuit names six defendants, including the contractor, the framing subcontractor, and the engineering firm. The library seeking damages, legal expenses, and attorney fees. The cost of replacing the roof was $1.5 million.
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Brown Act Modifications in Response to Coronavirus Outbreak
March 30, 2020 —
Gregory J. Rolen - Haight Brown & BonesteelGov. Gavin Newsom waived certain provisions of the Bagley-Keene Act and Ralph M. Brown Act to make state and local legislative bodies safer while allowing California public entities to conduct business.
In an effort to promote social distancing and slow the spread of the coronavirus pandemic Gov. Newsom issued Executive Order N-25-20. The Executive Order authorizes state and local legislative bodies, such as school district and county office of education governing boards, to more easily hold public meetings by way of teleconference. The order took further steps to make public meetings accessible to the public via electronic means, including telephone.
The Brown Act generally requires legislative body members, a clerk, or other personnel to be physically present in a meeting in order to participate or establish a quorum. Executive Order N-25-20 temporarily eliminates this requirement. Furthermore, standard Brown Act requirements such as publicly noticing the teleconference location for each meeting participant is also suspended. Clearly, this is an attempt to protect the public, as well as Board members and staff, by temporarily discouraging large group settings in the conduct of the public’s business.
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Gregory J. Rolen, Haight Brown & BonesteelMr. Rolen may be contacted at
grolen@hbblaw.com
Irene May Benefit Construction Industry
September 01, 2011 —
CDJ STAFFNoting that while it wasn’t the $15 billion disaster some predicted, Hurricane Irene still caused quite a bit of damage on its path up the Eastern Seaboard. Martha White, reporting for MSNBC cites Kinetc Analysis Corp. with an estimate of $7 billion in damage. Carl Van Horn, a professor of public policy at Rutgers University expected an initial decline in construction jobs, due to projects delayed due to the storm’s arrival, but he said, “a few weeks later, employment picks up as people rebuild.”
Kinetic says that one unknown is how much of the damage is insured. They expect only $3 billion of damage will be covered by insurance. This would likely put a drag on consumer spending, as homeowners would have to dig into their own pockets to pay for repairs, according to Karl Smith, associate professor of economics and government at the University of North Carolina at Chapel Hill.
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Application of Frye Test to Determine Admissibility of Expert
April 03, 2019 —
David Adelstein - Florida Construction Legal UpdatesFlorida went back to the Frye test/standard, instead of the Daubert test utilized in federal court, to determine the admissibility of expert testimony. The Frye test is more favorable to plaintiffs because it applies when an expert renders an opinion based on new or novel scientific principles. See D.R. Horton, Inc. v. Heron’s Landing Condominium Ass’n of Jacksonville, Inc., 44 Fla.L.Weekly D109b (Fla. 1st DCA 2018) (“The supreme court has described the Frye test as one in which the results of mechanical or scientific testing are not admissible unless the testing has developed or improved to the point where the experts in the field widely share the view that the results are scientifically reliable as accurate. Stated differently, under Frye, the proponent of the evidence has the burden of establishing by a preponderance of the evidence with the general acceptance of the underlying scientific principles and methodology. However, as stated, the Frye standard only applies when an expert attempts to render an opinion that is based upon new or novel scientific principles.”).
In D.R. Horton, Inc., a condominium association sued the developer and general contractor (same entity) for construction defects that included claims in negligence, violation of building code, and breach of statutory warranties. The developer/general contractor moved in limine / to strike the association’s experts under, at the time, a Daubert analysis, but which became a Frye analysis during the pendency of the appeal. The expert opined as to construction defects and damage and the appropriate repairs – really, no different than any construction defect dispute, from what it appeared. The trial court denied the motion and during trial the experts testified and a sizable damages judgment was entered against the developer/contractor prompting the appeal. One issue on appeal was the admissibility of the expert’s opinion. The appellate court noted that a Frye analysis is not necessary because the experts used a scientifically reliable and peer-reviewed methodology.
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David Adelstein, Kirwin NorrisMr. Adelstein may be contacted at
dma@kirwinnorris.com
40 Year Anniversary – Congratulations Ed Doernberger
November 23, 2016 —
Tracy Alan Saxe - Saxe Doernberger & Vita, P.C.Forty years ago, on the Big Island of Hawaii,
Edwin L. Doernberger was sworn in as an attorney. Fifteen years ago, Ed rejoined two former partners to help build an exciting new boutique insurance policyholder practice. Today, Saxe Doernberger & Vita is pleased to celebrate the 40th anniversary of its most distinguished partner.
“Ed’s energy and enthusiasm are undiminished,” said co-founder and Managing Partner, Tracy Alan Saxe. “He’s still one of the firm’s most active litigators.” Ed has extensive appellate experience, having argued before the Connecticut and Hawaii Supreme and Appellate Courts, New York Appellate Courts, and the Second and Ninth Circuits.
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Tracy Alan Saxe, Saxe Doernberger & Vita, P.C.Mr. Saxe may be contacted at
tas@sdvlaw.com
More Money Down Adds to U.S. First-Time Buyer Blues: Economy
August 20, 2014 —
Michelle Jamrisko and Alexis Leondis – BloombergThe challenges facing prospective buyers of the least expensive homes in the U.S. are getting harder to overcome.
Already beset by stagnant wages, growing student debt and competition from investors who are snapping up listings, those looking to purchase moderately priced houses must also provide more cash up front. The median down payment for the cheapest 25 percent of properties sold in 2013 was $9,480 compared with $6,037 in 2007, the last year of the previous economic expansion, according to data from 25 of the largest metro areas compiled by brokerage firm Redfin Corp.
The higher bar is a symptom of still-tight credit that is crowding out first-time buyers even as interest rates remain near historical lows. Younger adults, who would normally be making initial forays into real estate, are among those most affected, weakening the foundations of the housing market and limiting its contribution to economic growth.
Ms. Jamrisko may be contacted at mjamrisko@bloomberg.net; Ms. Leondis may be contacted at aleondis@bloomberg.net
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Michelle Jamrisko and Alexis Leondis, Bloomberg
Policy Reformed to Add New Building Owner as Additional Insured
July 10, 2023 —
Tred R. Eyerly - Insurance Law HawaiiThe lower court correctly reformed the policy to replace the prior owner with the new owner as an additional insured under the policy. Wesco Ins. Co. v. Fulmont Mut. Ins. Co., 2023 N.Y. App. Div. LEXIS 2650 (N. Y. App. Div. May 11, 2023).
Beyond was sued as owner of the building in a personal injury lawsuit. The former owners leased the building to the tenant who included the then-owners as additional insureds under the tenant's policy. When the deed to the building was transferred to Beyond, the additional insured endorsement in the tenant's policy was not updated to reflect the change in ownership.
Beyond's insurer, Wesco, tendered the lawsuit to the tenant's insurer, Fulmont. Coverage was denied because Beyond was not an additional insured under the tenant's policy.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com