Seattle Washington Building Expert Directory

County Elects Not to Sue Over Construction Defect Claims

June 18, 2014 — Beverley BevenFlorez-CDJ STAFF
Even though repairs are expected to cost four million, the New Hanover County Board of Commissioners announced that they will not be pursuing litigation against Clancy and Theys Construction Company for their alleged construction defects of their work on the W. Allen Cobb Judicial Annex in North Carolina, according to Star News Online. “The board stated that taxpayer money would be better spent on the repairs than on a lengthy court case,” reported Star News Online. “But as a result of the faulty work, the board removed the company from its list of prequalified bidders and stated that it would not be eligible to work on other county construction projects.” Read the court decision
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Illinois Appellate Court Addresses Professional Services Exclusion in Homeowners Policy

August 03, 2022 — James M. Eastham - Traub Lieberman
In Stonegate Ins. Co. v. Smith, 2022 IL App (1st) 210931, the Insured was performing plumbing work at a multi-story townhouse when a fire ensued causing damage to the second story unit. Although a carpenter by trade, the Insured was performing plumbing work consisting of the replacement of a shower valve as a favor for a friend. To accomplish the task, the Insured utilized a small propane torch to attempt to remove the old water piping to the shower. In doing so, the insulation behind the bathroom wall caught fire and the flame spread upward to the neighboring unit. Stonegate had issued a homeowner’s policy to the Insured during the relevant time period. The homeowner's policy excluded coverage for property damage "[a]rising out of the rendering of or failure to render professional services." Subsequent to tender of the loss, Stonegate initiated a declaratory judgment action seeking a declaration that it owned no duty to defend or indemnity pursuant to the professional services exclusions. In finding in favor of the Insured, the Court began its analysis by noting that the homeowner's policy did not define the term "professional services" such that it was the Court’s task to determine whether the Insured’s work qualified as a "professional service" for purposes of the exclusion. The Court further prefaced its holding by stating that for an exclusionary clause to effectively deny coverage, its applicability must be clear and free from doubt because any doubts as to coverage will be resolved in favor of the insured. Looking to Illinois case precedent, the Court found that the term "professional service" is not limited to services for which the person performing them must be licensed by a governmental authority. Rather, "professional services" encompass any business activity conducted by an insured that (1) involves specialized knowledge, labor, or skill, and (2) is predominantly mental or intellectual as opposed to physical or manual in nature. Read the court decision
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Reprinted courtesy of James M. Eastham, Traub Lieberman
Mr. Eastham may be contacted at jeastham@tlsslaw.com

Jobs Machine in U.S. Created More Than Burger Flippers Last Year

January 14, 2015 — Carlos Torres – Bloomberg
The biggest private employment increase in 17 years was driven by gains among above-average paying jobs, dispelling the popular notion that the U.S. is turning into a nation of fast-food workers. Industries that pay employees more than the average for all workers accounted for 66 percent of total jobs created in 2014, based on data compiled by Bloomberg from Labor Department records. Business services -- staffing agencies, accountants, consultants and computer-system designers -- and goods producers, including construction firms and manufacturers, were among those hiring the most. Read the court decision
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Reprinted courtesy of Carlos Torres, Bloomberg
Mr. Torres may be contacted at t ctorres2@bloomberg.net

Homebuilders Offer Hope for U.K. Economy

August 20, 2014 — Mark Gilbert – Bloomberg
The two elements of the U.K. economy that the Bank of England currently finds most worrying are the overheating housing market and the paucity of wage growth. Earnings reports this week from two of the nation's biggest homebuilders make for cheery reading on both counts. Persimmon Plc, the U.K.'s largest homebuilder by market value, said today it completed 6,408 new homes in the first half of the year, a 28 percent increase from the year-earlier period. Bovis Homes Group, which mostly builds what it calls "traditional" family homes in the south of England outside London, said it sold 1,487 new homes in the first six months, a gain of 54 percent. "The government has told us that we need 230,000 new homes per annum, and far be it for us to disagree with that," Bovis Chief Executive Officer David Ritchie said on a conference call. He expects to build about 3,650 homes this year, and reckons that "5,000 to 6,000 homes per annum is a very sensible target for the business." Read the court decision
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Reprinted courtesy of Mark Gilbert, Bloomberg
Mr. Gilbert may be contacted at magilbert@bloomberg.net

Excess Policy Triggered Once Retention Paid, Even if Loss Not Covered By Excess

July 23, 2014 — Tred R. Eyerly – Insurance Law Hawaii
The Fifth Circuit determined that the Umbrella policies took effect once the primary insurance was exhausted by claims not covered by the Umbrella policies. Indem. Ins. Co. of N. Am. v. W&T Offshore, 2014 U.S. App. LEXIS 11775 (5th Cir. June 23, 2014). W&T had primary and Umbrella/Excess coverage to protect its offshore oil rigs from hurricane damage. The primary policies covered property damage and third party claims. The Umbrella policies only covered third-party claims. All policies covered Removal of Debris (ROD). In September 2008, Hurricane Ike caused damage to 150 offshore platforms in which W&T had an interest. W&T submitted over $150 million in claims for property damage to the primary carriers. The primary policies had a $10 million self-insured retention (SIR). The primary policies covered $150 million in coverage over the $10 million SIR. Anticipating that W&T would submit all of its ROD claims, which were estimated to exceed $50 million, the Umbrella carriers filed suit for a declaratory judgment. 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

Property Owner Found Liable for Injuries to Worker of Unlicensed Contractor, Again

September 17, 2018 — Garret Murai - California Construction Law Blog
It’s not like we didn’t warn you. In Jones v. Sorenson, Case No. C084870 (August 2, 2018), homeowner Danita Sorenson discovered to her chagrin that she had unwittingly become the employer of Mary Jones, who had been hired by Odette Miranda doing business as Designs by Leo to trim some trees, and was liable for Jones’ injuries when Jones fell off a ladder provided by Miranda. “How can this be?” you might ask. The reason, as it turns out, is simple. Miranda was required to hold a Class D-49 Tree Service Contractor’s license in order to contract with Sorenson to trim her trees, and because Miranda did not hold that license (or, for that matter, any contractor’s license), Sorenson automatically was deemed the employer of Jones under Labor Code Section 2750.5 and, therefore, liable for her injuries. Read the court decision
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Reprinted courtesy of Garret Murai, Wendel, Rosen, Black & Dean LLP
Mr. Murai may be contacted at gmurai@wendel.com

Packard Condominiums Settled with Kosene & Kosene Residential

August 27, 2014 — Beverley BevenFlorez-CDJ STAFF
Residents of the Packard Condominiums in Indianapolis, Indiana “have settled a two-year-old lawsuit with developer Kosene & Kosene Residential,” according to the Indianapolis Business Journal. The Homeowners association stated that “the agreement would lead to repayment of a construction loan and avoidance of a special assessment on residents.” The association claimed to have spent “$3 million on ‘renovation and remediation’ of subpar construction of the condo building,” reported the Indianapolis Business Journal. The article also declared that at least 25 subcontractors participated in the mediation. Read the court decision
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Home Prices in U.S. Rose 0.3% in August From July, FHFA Says

October 28, 2015 — Prashant Gopal – Bloomberg
U.S. home prices rose in August as low borrowing costs and sustained job growth fueled demand amid a tight inventory of properties on the market. Prices climbed 0.3 percent on a seasonally adjusted basis from July, the Federal Housing Finance Agency said Thursday in a report from Washington. The average estimate of 16 economists was for a 0.5 percent increase, according to data compiled by Bloomberg. The gain was 5.5 percent from a year earlier. Values have increased steadily as buyers, bolstered by an improving job market and easing mortgage standards, compete for a limited supply of existing homes. The number of listed properties in August was the second-lowest for that month since 2002, according to the National Association of Realtors. Read the court decision
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Reprinted courtesy of Prashant Gopal, Bloomberg

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