Fairfield Connecticut Building Expert Directory

Waiving Consequential Damages—What Could Go Wrong?

March 19, 2024 — Curtis W. Martin & Kellie M. Ros - Peckar & Abramson, P.C.
You are inexcusably late with construction of a football stadium, a casino, or similar project that generates large income for the owner. The indirect damages, often referred to as consequential damages, that flow from the delay can be astronomical to the point of breaking your company if it must pay them. As a result, many construction contracts, at every tier, contain a provision that waives consequential damages. By this waiver, a party seeks to limit its risk for these damages. Over the years, courts have interpreted these provisions in a widely variable and inconsistent manner. The courts typically start with the specific language of the waiver to discern the parties’ intent. Thus, the language of the provision itself is critical. But construction professionals should not overlook other provisions in the contract that may have an impact on a court’s analysis of the parties’ intent. As one of my colleagues likes to say, “the large print giveth and the small print taketh away.” Reprinted courtesy of Curtis W. Martin, Peckar & Abramson, P.C. and Kellie M. Ros, Peckar & Abramson, P.C. Mr. Martin may be contacted at cmartin@pecklaw.com Ms. Ros may be contacted at kros@pecklaw.com Read the court decision
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Home Builders Wear Many Hats

May 10, 2013 — CDJ STAFF
George McMahan, the president of the West Texas Home Builders Association, writes in the Lubbock Avalanche-Journal about what it takes to be a home builder. He notes that “a home builder guides dozens of skilled artisans and professionals,” and must “understand all of the home’s complex systems and know enough about each contractor’s trade in order to coordinate this skilled team to build and sell a quality product.” Additionally, home builders must “serve as liaisons with their communities and local government officials.” After the site is selected and homes are being built, “a home builder acts as an inspector.” McMahan notes that “a professional home builder will make certain the home meets both code and warranty guidelines long before and after the officials show up.” “Home builders,” he says, “are schedulers and record keepers.” They have to “tackle multiple tasks simultaneously in order to keep the construction process moving forward.” They “wear many, many hats,” so that they can “deliver a home where the new owners can hang their own hats, raise a family and build lifelong memories.” Read the court decision
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2024 Construction Law Update

December 23, 2023 — Garret Murai - California Construction Law Blog
We would like to wish you and yours a happy holiday season as we approach 2024. The first half of the 2023-2024 legislative session saw the introduction of 3,028 bills, which, according to legislative observers, are the most bills introduced in a session in more than a decade, perhaps reflecting the fact that California has a record number of new legislators with over a quarter taking the oath of office for the first time. Of these bills, Governor Newsom signed nearly 400 into law including several impacting the construction industry related to climate change and housing affordability. Read the court decision
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Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

Insurer Must Defend Construction Defect Claims

October 07, 2016 — Tred R. Eyerly – Insurance Law Hawaii
The federal district court found that under New York law, the insurer had a duty to defend construction defect claims where damage to property other than the insured's work product was possible. Am.Home Assur. Co. v. Allan Window Techs., 2016 U.S. Dist. LEXIS 101118 (S.D. N. Y. Aug 2, 2016). Kent Avenue Property ("Kent") sued Allan Window Technologies, Ltd. ("Allan"), alleging that Allan entered a written contract for the design, manufacture, assembly and installation of the window wall systems for a residential condominium building. Pursuant to the contract, Allan agreed to correct all work rejected as defective and to bear all costs for correcting the work. According to the complaint, the window wall systems and vent windows installed by Allan were not water-tight or air-tight, and therefore did not meet the air and water penetration requirements of the contract.The contract had an indemnification provision under which Allan agreed to indemnify, defend and hold harmless Kent from all losses, claims, lawsuits, etc. arising out of damage or injury to property at the project site. Kent sued for: (1) breach of contract; (2) breach of warranty, and (3) contractual indemnity. American Home agreed to defend Allan under a full reservation of rights. American Home then sued for a declaratory judgment to establish it had no duty to defend or indemnify. 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

Construction Defect Specialist Joins Kansas City Firm

January 13, 2014 — CDJ STAFF
David Schatz, whose practice specializes in construction disputes and defects, has joined the Kansas City, Missouri firm Spencer Fane Britt & Brown LLP in their litigation practice group. Mr. Schatz’s expertise also includes banking and finance, banking litigation, commercial disputes, insurance, surety, employment, contract claims, and personal injury. Pat Whalen, Chairman of Spencer Fane Britt & Brown, said that Schatz “brings great experience across a range of industries, but many of us in Kansas City are particularly pleased by his construction and general litigation credentials, which will fit will with the resources we’re building in those areas.” Read the court decision
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Want to Stay Up on Your Mechanic’s Lien Deadlines? Write a Letter or Two

March 22, 2017 — Christopher G. Hill – Construction Law Musings
90 days. 150 days. 6 months. 30 days. Do these numbers sound familiar? If you read Construction Law Musings regularly, they should be. These are various deadlines relating to the recording and enforcement of mechanic’s liens in Virginia. 90 days from your last work performed (or from the last date of the last month of work in the correct circumstances) sets the outside limit on when a construction company can record a lien on a construction project. 150 days is the “look back” period for what work’s value can be included in that lien. 6 months is the statute of limitations for the filing of an enforcement suit. Finally, 30 days amount of time after your start of work within which you, as a construction professional, must notify a mechanic’s lien agent of your presence on a residential project. Of course, there are always nuances to these rules that need to be taken into account, preferably with the help of your friendly neighborhood construction attorney, before deciding how to proceed in this very picky and “form over function” area of construction law. Read the court decision
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Reprinted courtesy of Christopher G. Hill, The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

Alleged Negligent Misrepresentation on Condition of Home is Not an Occurrence Causing Property Damage

December 17, 2024 — Tred R. Eyerly - Insurance Law Hawaii
The court found that even if the insured's negligent misrepresentations constituted an accident, the disclosures did not cause physical damage to the property. Wood v. USAA Cas. Ins. Co., 2024 U.S. Dist. LEXIS 180624 (D. S.C. Sept. 12, 2024). The insured, Clinton Wood, purchased a townhome in January 2014. After the purchase, Wood experienced leaks and significant water intrusion, as did other townhome owners in the same development. Wood and the other owners retained an engineer to evaluate the cause of the water damage. The engineer determined that the water intrusion was caused by defects in the design and construction of the residence. The engineer told Wood that the proposed repairs would not adequately address and resolve the water intrusion and leaks, and that the problems would continue even if repairs were made. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Business Insurance Names Rachel Hudgins Among 2024 Break Out Award Winners

April 22, 2024 — Hunton Insurance Recovery Blog
We are pleased to announce that counsel Rachel E. Hudgins has been recognized as one of Business Insurance’s 2024 Break Out Award winners. The magazine’s Break Out Awards honor 40 top professionals each year from a competitive field of nominees who have under 15 years’ experience in the insurance and risk management sector and are “on track to be the next leaders in the risk management and property/casualty insurance field.” Clients describe Rachel as their “chief contact for high-exposure coverage work.” She meets clients where they are with a curiosity and interest in their business strategies, as well as an ability to distill complex insurance concepts into digestible terms. Rachel also has depth of experience in coverage litigation. She has litigated hundreds of insurance coverage and bad faith claims in state and federal courts across the country and US territories. Read the court decision
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Reprinted courtesy of Hunton Andrews Kurth LLP

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