Court Dismisses Cross Claims Against Utility Based on Construction Anti-Indemnity Statute
August 14, 2018 —
David R. Cook - Autry, Hall & Cook, LLPWhen a plane crashed and several passengers and crew died or were injured, their representatives sued several defendants, including a nearby plant owner, Milliken & Company (“Plant Owner”), based on claims that transmission lines on Plant Owner’s property were too close to the runways, were too high, and encroached on the airport easements. Plant Owner cross claimed against utility owner, Georgia Power Company (“Utility”). Plant Owner’s claim was based on an easement it granted to Utility, which required Utility to indemnify it for any claims arising out of Utility’s construction or maintenance of the transmission lines.
In defense, Utility argued that the easement’s indemnity provision violated Georgia’s construction anti-indemnity statute.
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David R. Cook, Autry, Hall & Cook, LLPMr. Cook may be contacted at
cook@ahclaw.com
More (and Simpler) Options Under New Oregon Retention Law
October 21, 2024 —
Michael Yelle - Ahlers Cressman & Sleight PLLCSimilar to the changes made by the Washington Legislature last year, the Oregon Legislature recently changed its retention law. Oregon public works agencies and large commercial project owners are now required to accept surety bonds in lieu of withholding retainage on construction projects. There is also no longer a requirement to deposit retention funds in an interest-bearing escrow account.
The owner or public agency must accept the bond in lieu of retainage unless specific grounds exist. For example, public agencies must find there is “good cause” for rejection of the bond based on the “unique project circumstances. Private owners have less discretion to reject a bond and if the bond meets the statutory requirements, per ORS 701.435(1)(a) “the owner and lender shall accept” the bond “in lieu of all or any portion of the retainage…”
Courts have not analyzed when “good cause” exists for public agencies to reject bonds or exactly what will allow a private owner to reject a bond. However, an agency or owner cannot have a general policy to reject retention bonds. The statute does not provide next steps if the contractor disagrees with a decision to reject the bond. It may be necessary to proceed under the contract’s dispute resolution procedure or it may be more appropriate to take the issue directly to the courts.
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Michael Yelle, Ahlers Cressman & Sleight PLLCMr. Yelle may be contacted at
michael.yelle@acslawyers.com
Tokyo Tackles Flood Control as Typhoons Swamp Subways
August 20, 2014 —
Jacob Adelman – BloombergBelow the condos and boutiques of Tokyo’s upscale Minato ward -- which includes Roppongi Hills, home to Goldman Sachs Group’s Japan headquarters -- a boring machine has carved out the city’s newest defense against floods.
“There are many buildings, there’s a freeway,” said Satoshi Yamamoto, who’s directing the Tokyo government’s 24.5 billion yen ($240 million) project to build a giant subterranean reservoir -- the city’s second of three -- to handle flood waters from the Furukawa river that winds through the area. “We decided the best approach was to go underground.”
When it’s completed in 2016, the 3.3-kilometer (2-mile) reservoir will be able to handle 135,000 cubic meters of water, enough to fill 54 Olympic-sized swimming pools. Tokyo is becoming increasingly reliant on this solution as more typhoons hit the country each year, a trend that Yamamoto said may be linked to global warming. The flooding is exacerbated by the city’s sprawling concrete footprint that keeps rainwater from seeping safely into the ground.
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Jacob Adelman, BloombergMr. Adelman may be contacted at
jadelman1@bloomberg.net
A Place to Study Eternity: Building the Giant Magellan Telescope
October 15, 2024 —
Jeff Rubenstone - Engineering News-RecordSituated on a remote mountaintop in the Atacama Desert in Chile, the Giant Magellan Telescope will one day allow astronomers to peer further into the universe with a greater degree of clarity than ever before. But siting a highly sensitive instrument with seven massive, 8.4-meter-dia mirrors on a windy peak in one of the world’s most seismically active regions takes careful engineering, especially since the 12-story upper section of the 22-story telescope enclosure will have to rotate 360° with an extreme degree of precision, multiple times a night.
Reprinted courtesy of
Jeff Rubenstone, Engineering News-Record
Mr. Rubenstone may be contacted at rubenstonej@enr.com
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Homebuilding Continues to Recover in San Antonio Area
December 04, 2013 —
CDJ STAFFThere was a slowing in the third quarter, but home builders expect that 2013 will see more than 9,000 home starts in the San Antonio area. And even though the third quarter was slow, it was still about 3% above the same quarter in 2012.
And the new homes are more expensive. Jack Inselmann, a senior vice president at MetroStudy noted that “in 2011, 40 percent of housing activity was under $175,000. And here we are two years later and 31 percent is under $175,000.” He worries that people looking for homes will go to the resale market, instead of buying a new home.
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Product Liability Alert: Evidence of Apportionment of Fault Admissible in Strict Products Liability Action
March 26, 2014 —
R. Bryan Martin and Kristian B. Moriarty - Haight Brown & Bonesteel LLPIn Romine v. Johnson Controls, Inc. (No. B239761, filed March 17, 2014), the California Court of Appeal for the Second District held that a trial court must permit a defendant, in a products liability action, to present evidence of apportionment of fault among settling and non-settling entities. The case involved an automobile collision in which the plaintiff was struck from behind, causing the driver’s seat to recline and propel plaintiff into the back seat where she struck her head. Plaintiff was left quadriplegic as a result.
Plaintiff brought suit against the driver who caused the accident, the Nissan entities who manufactured the car plaintiff was driving, Johnson Controls, Inc. (“Johnson”), Ikeda Engineering Corporation (“Ikeda”), Vintec Co. (“Vintec”), and Autoliv ASP, Inc., who designed and manufactured the driver’s seat of the vehicle plaintiff was driving, and against Faurecia Automotive Seating, Inc. who manufactured the recliner mechanism of plaintiff’s vehicle’s front seat. Ikeda participated in the design of the driver’s seat and Vintec manufactured the driver’s seat. Johnson manufactured the seat belt for the driver’s seat of plaintiff’s vehicle in accordance with Nissan’s design. Prior to trial, plaintiff settled with the defendant driver, the Nissan defendants, the Autoliv defendants, and Faurecia Automotive Seating, Inc. Plaintiff elected to proceed to trial solely on a cause of action for strict products liability against Ikeda and Vintec. Pursuant to a stipulation, Johnson agreed it would be legally responsible for damages awarded to plaintiff at trial based upon the actions of Vintec or Ikeda.
At trial, the court precluded Vintec and Ikeda from offering evidence that: (1) plaintiff would not have been injured if her vehicle’s seat belt was designed in a different manner by Nissan; (2) Nissan chose the manufacturer of the recliner mechanism and required defendants to use that manufacturer and that part in the seat; and (3) The other defendants had already reached settlements with plaintiff.
Reprinted courtesy of
R. Bryan Martin, Haight Brown & Bonesteel LLP and
Kristian B. Moriarty, Haight Brown & Bonesteel LLP
Mr. Martin may be contacted at bmartin@hbblaw.com; Ms. Moriarty may be contacted at kmoriarty@hbblaw.com
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Court Makes an Unsettling Inference to Find that the Statute of Limitations Bars Claims Arising from a 1997 Northridge Earthquake Settlement
April 15, 2015 —
David W. Evans and Stephen J. Squillario – Haight Brown & Bonesteel LLPIn Britton v. Girardi (No. B249232 – Filed 4/1/2015), the Second Appellate District upheld the trial court’s dismissal due to the statute of limitations based on an inference it drew from a letter attached to the complaint, while reaffirming its prior application of the limitations period in Probate Code section 16460 for fraud claims in the related case of Prakashpalan v. Engstrom, Lipscomb & Lack (2/27/2014) 223 Cal.App.4th 1105.
In Britton, just as in Prakashpalan, the plaintiffs sued the attorneys who had represented them in connection with claims against their insurer arising out of the Northridge earthquake. In 1997, the attorneys had settled that litigation for more than $100 million. The plaintiffs allege that the attorneys breached their fiduciary duty by (1) failing to provide an accounting for the settlement, (2) failing to obtain their informed consent to the settlement, and (3) concealing their misappropriation of the settlement funds. They claim that they did not discover this wrongdoing until nearly fifteen years later, in 2012, when the Prakashpalans contacted them about their settlement. Significantly, the plaintiffs attached as an exhibit to the complaint a page of the November 3, 1997 letter to the Prakashpalans (rather than the plaintiffs), which stated that a retired judge who presided over the settlement had determined the allocations and the attorneys could not distribute the proceeds until the plaintiffs signed the “Master Settlement Agreement” by which the plaintiffs agreed to its terms and to give up all claims against the insurer.
Reprinted courtesy of
David W. Evans, Haight Brown & Bonesteel LLP and
Stephen J. Squillario, Haight Brown & Bonesteel LLP
Mr. Evans may be contacted at devans@hbblaw.com
Mr. Squillario may be contacted at ssquillario@hbblaw.com
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The Administrative Procedure Act and the Evolution of Environmental Law
September 19, 2022 —
Anthony B. Cavender - Gravel2GavelEnacted in 1946, the Administrative Procedure Act (APA) has provided a lasting framework for federal agency rulemaking and adjudication, as well as establishing the power of the federal courts to exercise judicial review over these actions of the federal bureaucracy. The APA is codified at 5 U.S.C. §§ 551–559, and §§ 701-706. There have been very few amendments made to the APA over these years, which indicates that Congress is reasonably satisfied with its administration and implementation.
What follows is an overview of how the APA has been used by the courts to resolve disputes involving the federal agencies, with particular attention being paid to the development of environmental law and practice. While there have been very few amendments to the statute, the courts have been free to enlarge upon the sometimes-opaque text of the APA to, in effect, change the law, even in an era when “textual fidelity” to the language of the statute is the prevalent approach.
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Anthony B. Cavender, PillsburyMr. Cavender may be contacted at
anthony.cavender@pillsburylaw.com