California Courts Call a “Time Out” During COVID-19 –New Emergency Court Rules on Civil Litigation
May 04, 2020 —
Tara C. Dudum - Newmeyer Dillion“We are at this point truly with no guidance in history, law, or precedent. To say that there is no playbook is a gross understatement of the situation.”
-Chief Justice and Chair of the California Judicial Council, Tani G. Cantil-Sakauye
Seeking to sustain essential court services while balancing weighty considerations, including litigants’ due process rights, access to justice, and stringent health and safety orders, the California Judicial Council has adopted Emergency Rules in response to the ongoing coronavirus pandemic (COVID-19).
While many of the Emergency Rules focus on criminal and juvenile dependency matters, this update highlights the Emergency Rules immediately impacting civil litigation in California state courts. The following Emergency Rules remain in effect until 90 days after the Governor lifts the state of emergency or the rule is amended or repealed by the Judicial Council:
Tolling of Statutes of Limitation in Civil Actions
Effective April 6, 2020, the statutes of limitation (the time period in which to bring a claim) for all civil causes of action is tolled until such time as the rule is no longer in effect. The impact of this rule is that it provides plaintiffs with more time to bring claims and extends the time period that defendants may face legal action for alleged violations of the law.
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Tara C. Dudum, Newmeyer DillionMs. Dudum may be contacted at
tara.dudum@ndlf.com
Get Construction Defects in Writing
December 11, 2013 —
CDJ STAFFSometimes, even if a developer is willing to make a repair, sometimes the repair doesn’t get to the actual problem, according to Nicholas D. Cowie of Cowie & Mott, writing on his blog. He notes that “getting it ‘right’ the first time is important and written documentation is key.” He gives the example of “when a developer agrees to informally repair a window or roof leak, the ‘repair,’ as far as the developer is concerned, may consist merely of sending out a worker with a caulk gun to seal gaps that should have been protected with a solid flashing material during the original installation.”
As a better course, he says that homeowner associations should “request a written description of the proposed repair” in order that it can be evaluated. This also allows follow-up to determine if the agreed-upon repair was done properly. And, although some homeowners associations would rather not have the original subcontractor repair their own work, here warranties often come into play.
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Slump in U.S. Housing Starts Led by Multifamily: Economy
September 24, 2014 —
Jeanna Smialek – BloombergHousing starts slumped in August from the highest level in almost seven years, reflecting a setback in multifamily projects that are at the forefront of the rebound in U.S. real estate.
Beginning home construction fell 14.4 percent, the most since April 2013, to a 956,000 annualized rate following July’s revised 1.12 million pace that was the strongest since November 2007, the Commerce Department said today in Washington. Work on apartments and condominiums, which tends to be volatile, dropped 31.7 percent after jumping 44.9 percent in July.
As more Americans decide that homeownership isn’t for them because wage growth is slow and qualifying for mortgages remains difficult, builders have focused on putting up more rental units, which means the industry will see bigger swings month to month. The average number of multifamily units started over the past 12 months was the most since 2006.
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Jeanna Smialek, BloombergMs. Smialek may be contacted at
jsmialek1@bloomberg.net
California Fire Lawyers File Suit Against PG&E on Behalf of More Than 50 Wildfire Victims
November 15, 2017 —
David Suggs – Bert L. Howe & Associates, Inc.Digital Journal reports that the California fire lawyers are comprised of four law firms, Baron & Budd, Singleton Law Firm, Dixon Diab & Chambers LLP, and Thornes Bartolotta McGuire. These firms filed suit against PG&E (Pacific Gas and Electric Company) on October 27th alleging that the brutal wildfires that swept through Northern California started when electrical infrastructure encountered vegetation.
According to Digital Journal, more than 50 plaintiffs are being represented in this case who endured damages including “wrongful death, personal injuries, damage to or destruction of property, loss of cherished possessions, medical bills, evacuation expenses and lost wages.”
John Fiske, an attorney at Baron & Budd stated, “through our team’s investigation to date, we believe that PG&E may have played a role in causing these fires.” Holding PG&E accountable for the 40 people killed, 8,400 structures destroyed, and 210,000 acres burned is their goal.
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Federal Courts Reject Insurers’ Attempts to Recoup Defense Costs Expended Under Reservation of Rights
April 11, 2022 —
Anthony L. Miscioscia & Margo Meta - White and WilliamsIn situations where there is a dispute over a duty to defend, an insurer may provide a defense to its insured, subject to a reservation of rights, to not only deny coverage for a defense, but also to file a declaratory judgment action and recoup defense costs in the event it is determined there is no duty to defend. But are defense costs recoupable? Last week, federal trial courts in Georgia and Pennsylvania answered this question with a resounding “no”.
In Chemical Equipment Labs, Inc. v. Travelers Property Casualty Company of America, Case No. 19-3441, 2022 U.S. Dist. LEXIS 61298 (E.D.Pa. Mar. 31, 2022), the United States District Court for the Eastern District of Pennsylvania was called to determine whether Travelers Property Casualty Company of America (Travelers) was entitled to reimbursement of defense costs after it was determined that it had no duty to defend its insured in an arbitration for breach of a charter agreement. The Travelers’ policies did not contain an express reimbursement provision. The court found that Travelers was not entitled to reimbursement because under Pennsylvania law, “[r]eimbursement of defense costs requires an express provision in the written insurance contract.”
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Anthony L. Miscioscia, White and Williams and
Margo Meta, White and Williams
Mr. Miscioscia may be contacted at misciosciaa@whiteandwilliams.com
Ms. Meta may be contacted at metam@whiteandwilliams.com
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Seeking Better Peer Reviews After the FIU Bridge Collapse
September 16, 2019 —
Engineering News-RecordOn the surface, it seemed like an outrageous defensive move following a painful tragedy. Louis Berger Group has refused requests from the Dept. of Labor to hand over emails with FIGG Bridge Engineers about its peer review of the ill-fated Florida International University pedestrian bridge. The structure collapsed on March 15, 2018, killing six people and injuring several others.
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Engineering News-RecordENR may be contacted at
ENR.com@bnpmedia.com
Disjointed Proof of Loss Sufficient
June 11, 2014 —
Tred R. Eyerly – Insurance Law HawaiiThe court found that when considered as a whole, separately filed proofs of loss and estimates of damage were sufficient to meet the requirements of a flood policy. Young v. Imperial Fire & Cas. Ins. Co., 2014 U.S. Dist. LEXIS 51863 (April 15, 2014).
On August 29, 2012, plaintiffs' property sustained flood damage due to Hurricane Isaac. After Imperial's adjustor inspected the property, advance payments were made for $5000 under the building coverage and $5000 under the contents coverage.
On October 26, 2012, the plaintiffs' adjustor submitted a proof of loss for building damages, stating the amount of loss was $175,100, which was the policy limit minus the deductible. The insured wife signed the proof of loss. The actual case value, full cost of replacement or repair, and applicable depreciation were listed "undetermined."
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Steps to Defending against Construction Defect Lawsuits
July 21, 2011 —
CDJ STAFFWriting in Claims Journal, Bryan Rendzio notes that the decline in construction has not been matched by a decline in construction defect lawsuits over condominiums. He reviews the ways in which lawyers representing developers can help protect their clients. He identifies four important considerations in defending developers from claims of construction defects.
He advocates a careful review of the contract. “Under a breach of contract claim, the insured’s duties to the party who brought the claim against the insured flow from the contract. Commonly, construction contracts limit the scope of recoverable damages, such as by waiving consequential damages.’
The next step, according to Rendzio is to check of a settlement agreement is already in place, noting that these are “a familiar occurrence in the construction industry, regardless of any lawsuits having been filed.”
He considers the statute of repose “the single-most decisive weapon an insured possesses in its arsenal during a condo defect lawsuit.” He notes that no lawsuits can be brought for construction defects after the end specified by the statute of repose, and if a lawsuit is brought beforehand, no additional parties can be named once the statute has taken effect.
Finally, he warns adjusters to be suspicious when a condo association requests contractual indemnification. He notes that the pitfall in this is that developers and the subsequent condominium association often have similar names, given the theoretical example of a condo project built by “Fake Lakes LLC” and later run by the “Fake Lakes Condominium Association.” Writing in regards to Florida law, he notes that condominium associations do not have successor interest in contracts developers made with contractors.
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