Fairfield Connecticut Building Expert Directory

Construction Litigation Roundup: “How Bad Is It?”

September 25, 2023 — Daniel Lund III - Lexology
How bad is it? “Not that bad,” said an Illinois federal court to a surety which was complaining that its subcontract performance bond terms had not been satisfied by the obligees on the bonds (the general contractor and the building owner). In response to $3.6 million demand by the obligees on the performance bond, the surety filed an action in federal court in Illinois seeking to have the court declare that the surety had no further obligation on its performance bond. The surety urged that the obligees had not fulfilled the prerequisite requirements in the bond to make a claim on the bond (which, although the court never identified the bond form, was a bond form that closely resembled the AIA A312-2010 performance bond). Read the court decision
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Reprinted courtesy of Daniel Lund III, Phelps
Mr. Lund may be contacted at daniel.lund@phelps.com

Related’s $1 Billion Los Angeles Project Opens After 15-Year Wait

August 22, 2022 — John Gittelsohn - Bloomberg
It’s taken 15 years — longer than the time to finish Manhattan’s Hudson Yards — for Related Cos. to complete the Grand LA, a $1 billion hotel, residential and retail complex designed by star architect Frank Gehry. The Los Angeles hilltop development’s 28-floor Conrad hotel opens July 6, and the first tenants move into a neighboring 45-story apartment tower on July 15. The retail section — a mall-like space between the two towers for restaurants and boutiques — debuts in 2023. Grand LA rises across Grand Avenue from Gehry’s aluminum-clad Walt Disney Concert Hall, home of the Los Angeles Philharmonic. Nearby palaces of culture include the Dorothy Chandler Pavilion, the Ahmanson Theatre, the Broad art museum, Los Angeles Museum of Contemporary Art and the Colburn School, a music and dance academy. Read the court decision
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Reprinted courtesy of John Gittelsohn, Bloomberg

Michigan Civil Engineers Give the State's Infrastructure a "C-" Grade, Improving from "D+" Grade in 2018

May 08, 2023 — The American Society of Civil Engineers
LANSING, MI. — The Michigan Section of the American Society of Civil Engineers (ASCE) released the 2023 Report Card for Michigan's Infrastructure today, with 14 categories of infrastructure receiving an overall grade of 'C-', an improvement over the 'D+' grade issued in the state's 2018 report card. That means Michigan's infrastructure systems are improving but are still in average condition and require attention. Michigan's grade is on par with the national average of 'C-' given in the 2021 Report Card for America's Infrastructure. Civil engineers graded Michigan's aviation (C), bridges (D+), dams (C-), drinking water (D+), energy (D), inland waterways (C), public parks (C), rail (C), roads (D), schools (C-), solid waste (C+), stormwater (D), transit (C-), and wastewater (C). The report also included a chapter on the state's broadband infrastructure, which did not receive a grade due to insufficient available data. Michigan policymakers have driven progress in the last five years to improve infrastructure assets by implementing short-term funding solutions to address decades of deferred maintenance, including surface transportation funding through the Rebuilding Michigan plan and improved water infrastructure systems through the MI Clean Water Plan. The state will also benefit from recent federal infrastructure investments included in the Bipartisan Infrastructure Law (BIL), Coronavirus Aid, Relief, and Economic Security (CARES) Act, and American Rescue Plan Act (ARPA). However, Michigan generally lacks sufficient long-term funding mechanisms to ensure all infrastructure sectors reach and sustain a state of good repair. ABOUT THE AMERICAN SOCIETY OF CIVIL ENGINEERS Founded in 1852, the American Society of Civil Engineers represents more than 150,000 civil engineers worldwide and is America's oldest national engineering society. ASCE works to raise awareness of the need to maintain and modernize the nation's infrastructure using sustainable and resilient practices, advocates for increasing and optimizing investment in infrastructure, and improve engineering knowledge and competency. For more information, visit www.asce.org or www.infrastructurereportcard.org and follow us on Twitter, @ASCETweets and @ASCEGovRel. Read the court decision
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When Does a Claim Against an Insurance Carrier for Failing to Defend Accrue?

November 07, 2012 — David McLain, Colorado Construction Litigation
The following is an update on our December 20, 2010 article regarding United States Fire Insurance Company v. Pinkard Construction Company, Civil Action No. 09-CV-01854-MSK-MJW, and its underlying dispute, Legacy Apartments v. Pinkard Construction Company, Case No. 2003 CV 703, Boulder County Dist. Ct. That article can be found here. The present action, St. Paul Fire and Marine Insurance Co., et al. v. The North River Insurance Co., et al., Civil Action No. 10-CV-02936-MSK-CBS, encompasses the coverage battle that ensued between Pinkard’s insurers, Travelers Indemnity Company of America (“Travelers”) and United States Fire Insurance Company (“USFI”), following the settlement of Legacy’s construction defect claims against Pinkard. A short history of the underlying facts is as follows: In 1995, Pinkard constructed the Legacy Apartments housing complex in Longmont, Colorado. Following construction, Legacy notified Pinkard of water leaks associated with various elements of construction. Legacy ultimately filed suit against Pinkard in 2003, and would go on to clarify and amend its defect claims in 2004, 2006, and again in 2008. Following Pinkard’s notification of Legacy’s claims, USFI provided a defense to Pinkard, but Travelers refused to do so, on the purported basis that Legacy’s allegations did not implicate property damage under the terms of Travelers’ policy. Read the court decision
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Reprinted courtesy of David M. McLain, Higgins, Hopkins, McLain & Roswell, LLC
Mr. McLain can be contacted at mclain@hhmrlaw.com

Hunton Insurance Practice, Partners Recognized by The Legal 500

July 16, 2023 — Hunton Insurance Recovery Blog
Hunton Andrews Kurth LLP’s insurance practice was recognized among the top policyholder insurance practices nationally, receiving a Band 2 national ranking in the 2023 United States Edition of The Legal 500 for Advice to Policyholders. The Legal 500 ranks the nation’s top law firms, practices, and lawyers, highlighting those that consistently provide “the most cutting edge and innovative advice to corporate counsel … based on feedback from 300,000 clients worldwide, submissions from law firms and interviews with leading private practice lawyers, and a team of researchers who have unrivalled experience in the legal market.” Bolstering the team’s national recognition, two of its partners received individual accolades. Lorie Masters was named in The Legal 500 Hall of Fame and Andi DeField was named a Next Generation Partner, while team head Syed Ahmad and partners Walter Andrews, Michael Levine and Geoffrey Fehling also were recognized. Read the court decision
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Reprinted courtesy of Hunton Andrews Kurth LLP

Insurance Law Alert: Incorporation of Defective Work Does Not Result in Covered Property Damage in California Construction Claims

June 18, 2014 — Valerie A. Moore and Chris Kendrick - Haight Brown & Bonesteel LLP
In Regional Steel Corp. v. Liberty Surplus Ins. (No. B245961, filed 5/16/14, ord. pub. 6/13/14), a California appeals court held that the insured's use of the wrong steel seismic reinforcement hooks in construction of a mixed-use building was not an occurrence, and did not result in covered property damage. Regional Steel was the structural steel subcontractor on a 14-story mixed-use project in North Hollywood, California. Regional supplied plans which were approved by the developer and its structural engineers for installation of steel reinforcements, including seismic reinforcement hooks, to be encased in concrete. During construction, City inspectors determined that the plans called for the wrong hooks, necessitating repairs to finished portions of the work and delays in further construction. This ultimately resulted in a lawsuit between the developer, Regional Steel, the concrete subcontractor, the structural engineer and a quality assurance inspector. The project was insured under a wrap policy issued to the developer, with Regional named as an additional insured. The court rejected an argument that the wrap endorsement fundamentally changed the insurance, and the issue boiled down to whether incorporation of the wrong hooks, the damage caused by tearing out concrete to replace the hooks, or the resulting loss of use, triggered coverage. Liberty asserted that no damage to property was alleged and the purely economic losses caused by the need to reopen the poured concrete to correct the tie hook problem did not constitute "property damage" within the meaning of the policy. Liberty further posited that the tie hook problem did not constitute an “occurrence” within the meaning of the policy because the alleged damage was not caused by an accident. Reprinted courtesy of Valerie A. Moore, Haight Brown & Bonesteel LLP and Chris Kendrick, Haight Brown & Bonesteel LLP Read the court decision
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You Can Now Build a Multi-Million Dollar Home via Your iPad

January 07, 2015 — Sara Pepitone – Bloomberg
There are apps for real estate sales, apps for paint color, apps for arranging furniture, and apps for making the best use of natural light. But until now, there was no app for that most fundamental process of homesteading: creating a new one from scratch. In the coming weeks Al Hamra Real Estate Development will unveil its all-inclusive Home Builder app. All you need is an iPad and five million UAE Dirham ($1.36 million), to start. Swipe and spend has never been so elite. Designed by A++ Architecture Design and Communication, Home Builder starts with property acquisition and ends with finishes and furnishings. Well, to be precise, it ends with a form sent to a sales person to calculate a price to purchase. This means less time and fewer people and permits in your way, plus a more gratifying (literal) hands-on experience in the process. Read the court decision
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Reprinted courtesy of Sara Pepitone, Bloomberg

No Coverage For Damage Caused by Chinese Drywall

December 02, 2015 — Tred R. Eyerly – Insurance Law Hawaii
The Florida Court of Appeals determined that there was no coverage for damage to the insured's home caused by the installation of Chinese drywall. Peek v. Am. Integrity Ins. Co., 2015 Fla. App. LEXIS 14147 (Fla. Ct. App. Sept. 25, 2015). Chinese drywall was installed in the Peek's new home. After moving in, the Peeks reported to American Integrity a sulfur odor caused by the Chinese drywall. The odor caused the Peeks to vacate their home. The Peeks also claimed corrosion and deterioration of copper coils in the air conditioning system were caused by the Chinese drywall. American Integrity denied coverage based upon policy exclusions for latent defects, corrosion, pollutants, and faulty, inadequate or defective constrution materials. The Peeks sued American Integrity. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

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