How to Defend Stucco Allegations
February 07, 2014 —
Beverley BevenFlorez-CDJ STAFFManaging partner Paul McBride discusses how to defend stucco defect allegations in his article in Kring & Chung, LLP’s online publication. According to McBride, about “80% of construction defect lawsuits which [Kring & Chung] defend involve stucco-clad houses.” In the article, McBride addresses “improper building paper installation and stucco cracks.”
“If you are defending the stucco subcontractor,” McBride advises to look “first, at the windows section of the plaintiffs’ defect report and cost of repair estimate.” He explains that “this is the section where the plaintiffs’ expert will allege water intrusion that will be allocation to your stucco subcontractor.”
McBride declares that the “most important thing to understand about stucco cracks is that stucco cracking is common. This is both a common sense observation and a perfectly valid legal defense.”
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Construction Jobs Expected to Rise in Post-Hurricane Rebuilding
November 07, 2012 —
CDJ STAFFBusinessweek reports that construction jobs and materials will see increased demand as property owners in New York and New Jersey rebuild after hurricane Sandy. Tom Jeffery, of Irvine, California-based CoreLogic, a real estate information service, noted that “a high percent of damaged properties are going to be repaired.” Experts estimate property damage to total anywhere from $7 billion to $40 billion.
It is also estimated that about 739,000 properties in the area are underwater in the way that has nothing to do with flooding, with negative equity of 25 percent or more. Many of these homeowners are likely to walk away from their mortgages.
Ken Simonson, chief economist of the Associated General Contractors of America, expects “localized spikes in construction employment throughout November and the winter.” Martin Connor, the chief financial officer of Toll Brothers, expects to see more a rise in labor costs than in materials.
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California Court Confirms Broad Coverage Under “Ongoing Operations” Endorsements
December 01, 2017 —
Kevin C. Brantley - Payne & FearsA California Court of Appeal has confirmed that additional insured endorsements (“AIE”) granting coverage for liability arising out of a named insured’s “ongoing operations,” and in effect during those “ongoing operations,” do not require that the liability arise while the named insured is performing work. McMillin Mgmt. Servs., L.P. v. Financial Pacific Ins. Co., Cal. Ct. App., November 14, 2017, Case No. D069814.
In McMillin, a construction defect insurance coverage action, Lexington Insurance Company argued that McMillin had no liability to homeowners until after their homes closed escrow; thus, McMillin did not face liability while the named insureds’ work was ongoing. The Court of Appeal rejected Lexington’s argument, finding that the “ongoing operations” AIEs provide only that McMillin’s liability “be ‘linked’ through a ‘minimal causal connection or incidental relationship’ with [the named insureds’] ongoing operations.” (internal citations omitted). The Court reasoned that Lexington had not established that all of the damage in the underlying action occurred after the named insureds completed their work, thus Lexington had not established as a matter of law that there was no potential for coverage for McMillin under the policies.
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Kevin C. Brantley, Payne & FearsMr. Brantley may be contacted at
kcb@paynefears.com
Balestreri Potocki & Holmes Attorneys Named 2020 Super Lawyers and Rising Star
July 06, 2020 —
Balestreri Potocki & HolmesThe law firm of Balestreri Potocki & Holmes is pleased to announce that Shareholders
Thomas A. Balestreri, Jr. and
Joseph P. Potocki have been selected as 2020 Super Lawyers and Associate
Robin H. Smith has been named a 2020 Rising Star.
Each year no more than 5 percent of the lawyers in the state are selected to receive the honor of being included in the Super Lawyers list and no more than 2.5 percent of the lawyers are selected to the Rising Stars list.
Balestreri has been selected to the Super Lawyers list in the areas of Construction Litigation. Balestreri has dedicated most of his 30 plus years in practice to the representation of developers, property owners, and general contractors in litigation, negotiations, and risk management. A seasoned trial lawyer, he has tried a number of high exposure cases with great success.
Selected as a Super Lawyer in the area of Construction Litigation, Potocki’s practice concentrates on litigation, transactional matters and construction contract drafting and negotiation. His extensive litigation experience involves high-value disputes relating to a wide variety of issues in the real estate, business and construction arenas.
Smith has been named a Rising Star by Super Lawyers in the area of Civil Litigation. In her varied litigation practice, Smith represents individuals and business entities in complex catastrophic personal injury matters. She also represents employers in labor and employment matters and a variety of businesses, including automobile dealers, in breach of contract, unfair competition, unfair business practices, defamation, and consumer claims.
Super Lawyers, a Thompson Reuters business, is a rating service of outstanding lawyers from more than 70 practice areas who have attained a high degree of peer recognition and professional achievement. The annual selections are made using a patented multiphase process that includes a statewide survey of lawyers, an independent research evaluation of candidates and peer reviews by practice area. The result is a credible, comprehensive and diverse listing of exceptional attorneys.
Balestreri Potocki & Holmes is headquartered in San Diego, California. The firm provides comprehensive counsel to large and small companies across a wide range of established and emerging industries. Balestreri Potocki & Holmes is located in downtown San Diego at 401 B Street, Suite 1470. More information about the firm can be found at: www.bph-law.com.
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Balestreri Potocki & Holmes
Hawaii Supreme Court Finds Excess Can Sue Primary for Equitable Subrogation
October 21, 2015 —
Tred R. Eyerly – Insurance Law HawaiiIn responding to a certified question from the U.S. Distric Court, the Hawaii Supreme Court determined that an excess carrier can sue the primary carrier for failure to settle a claim in bad faith within primary limits. St. Paul Fire & Marine Ins. Co. v. Liberty Mut. Ins. Co., 2015 Haw. LEXIS 142 (Haw. June 29, 2015).
St. Paul, the excess carrier, and Liberty Mutual, the primary carrier, issued polices to Pleasant Travel Service, Inc. The primary policy covered up to $1 million.
Pleasant Travel was sued for damages resulting from an accidental death. St. Paul alleged that Liberty Mutual rejected multiple pretrial settlement offers within the $1 million primary policy limit. A trial resulted in a verdict of $4.1 million against Pleasant Travel. The action settled for a confidential amount in excess of the Liberty Mutual policy limit. St. Paul paid the amount in excess.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Nomos LLP Partner Garret Murai Recognized by Super Lawyers
July 08, 2024 —
Garret Murai - California Construction Law BlogNomos LLP Partner Garret Murai has been recognized as a 2024 Northern California Super Lawyers honoree in the area of Construction Litigation. This is the eleventh consecutive year that he has been recognized by Super Lawyers.
Super Lawyers, an annual listing of outstanding lawyers from more than 70 practice areas who have attained a high degree of peer recognition and personal achievement, is limited to no more than five percent (5%) of lawyers in a state who are selected through a multiphase process that includes a statewide survey of lawyers, independent research evaluation and peer reviews by practice area.
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Garret Murai, Nomos LLPMr. Murai may be contacted at
gmurai@nomosllp.com
The Argument for Solar Power
July 09, 2014 —
Beverley BevenFlorez-CDJ STAFFJennifer Goodman in Big Builder provides eight reasons why buyers should opt for solar power. First on her list is “Codes.” Goodman pointed out that beginning in 2020, “California’s Title 24 will require all new residential construction to be net-zero energy, which means that they will need renewable energy systems in order to generate as much power as they consume.”
Other reasons include incentives, aesthetics, appraisal/lending standards, payback, legislation, cost, and finally, “clean, quiet, and abundant power.” Goodman stated that the “technology generates no noise or off gassing and because solar power is generated from sunlight--not heat--even residents in the northern U.S. are able to take advantage of it.”
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A Court-Side Seat: Permit Shields, Hurricane Harvey and the Decriminalization of “Incidental Taking”
May 31, 2021 —
Anthony B. Cavender - Gravel2GavelThis is a brief review of some of the significant environmental (and administrative law decisions) released the past few weeks.
THE U.S. SUPREME COURT
On April 22, 2021, the Court decided two important administrative law cases: Carr, et al. v. Saul and AMG Capital Management v. Federal Trade Commission.
Carr, et al. v. Saul
In this case, the constitutionality of Social Security Administrative Law Judges (ALJs) hearing disability claims disputes was at issue. More precisely, were these ALJs selected in conformance with the Appointments Clause of the Constitution? A similar issue was litigated in the case of Lucia v. Securities and Exchange Commission. There, the Court held that many of the agency’s ALJs were not selected in conformance with the Appointment’s Clause. Here, the Court held that this issue could be decided by the courts without compelling the litigants to first exhaust their administrative remedies. Thousands of ALJs are employed by the federal government, and it may take some time to resolve this question for every agency.
AMG Capital Management v. Federal Trade Commission
In this case, the court held, unanimously, that the Commission does not presently have the authority to employ such equitable remedies as restitution or disgorgement.
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Anthony B. Cavender, PillsburyMr. Cavender may be contacted at
anthony.cavender@pillsburylaw.com