Seattle Washington Building Expert Directory

New York Developer’s Alleged Court Judgment Woes

May 13, 2014 — Beverley BevenFlorez-CDJ STAFF
According to The Real Deal, the New York Developer Jeshayahu “Shaya” Boymelgreen claims to owe $50 million in court judgments. Currently, Boymelgreen faces “a $1.2 million judgment in a lawsuit connected to his River Lofts condominium in Tribeca.” Furthermore, Boymelgreen is a co-defendant (along with Africa Israel) “in a separate suit at 15 Broad Street, where New York state Attorney General Eric Schneiderman is investigating the developers over the failure to obtain a certificate of occupancy at the condominium, which is marketed under the name Downtown By Starck.” Boymelgreen had been “held in contempt after failing to respond to a 2013 subpoena…requesting all financial and legal records.” The Real Deal reported that Boymelgreen declared that all documents were lost when his company’s offices “were taken by eminent domain about five years ago.” The Real Deal could not reach Boymelgreen or his lawyer for comment. Read the court decision
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New York Appellate Court Applies Broad Duty to Defend to Property Damage Case

January 03, 2022 — Craig Rokuson - Traub Lieberman Insurance Law Blog
In the recent case of New York Marine and Gen. Ins. Co. v. Eastman Cooke & Associates, 153 N.Y.S.3d 840, 841 (N.Y. App. Div. 1st Dept. 2021), New York’s first department affirmed a duty to defend under New York law. In the underlying action, the plaintiff alleged property damages due to prolonged construction work in a different unit of the subject property. The underlying plaintiff sued the owner of the subject property, which in turn sued Eastman Cooke, the general contractor at the premises. New York Marine denied coverage to Eastman Cooke, asserting that the underlying suit did not seek damages occurring during the New York Marine policy period, and commenced a declaratory judgment action. The trial court held—and the First Department affirmed—that New York Marine has a duty to defend Eastman Cooke. Initially, the court found that the underlying suit alleged property damage as required for coverage, because there were allegations regarding loss of use of the property. The court also found that the underlying suit alleged damages occurring during the New York Marine policy period. Although the underlying complaint alleged that the underlying plaintiffs were reimbursed for damages occurring during the New York Marine policy period by another insurer, the court held that the evidence was that the payments only covered a certain part of the damages sought. Accordingly, because there was a reasonable possibility that some unreimbursed damages may fall within the New York Marine policy period. Read the court decision
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Reprinted courtesy of Craig Rokuson, Traub Lieberman
Mr. Rokuson may be contacted at crokuson@tlsslaw.com

Florida Issues Emergency Fraud Prevention Rule to Protect Policyholders in Wake of Catastrophic Storms

November 05, 2024 — Geoffrey B. Fehling & Olivia G. Bushman - Hunton Insurance Recovery Blog
Last week, just before Hurricane Milton made landfall, Florida state officials issued an emergency decree to all licensed insurance adjusters in the state to protect homeowners against “unfair and deceptive acts” and “post-storm fraud” by insurance carriers. According to The Washington Post, the Florida Department of Financial Services is requiring that all claim adjusters provide an explanation for each change they make to a consumer’s loss estimate, document those changes, and retain all versions of the estimate and identify who made those revisions. When processing claims, adjusters must also use an electronic estimating system that provides an itemized report of all damage, as well as labor, materials, equipment and supplies. Those costs should be consistent with what a contractor or a repair company in that particular area would charge. “Property damage from Hurricane Milton will be catastrophic and may result in billions of dollars in property losses,” the emergency rule states. “Fair and transparent loss estimates and claims adjustments will be crucial to ensure Floridians are properly and fairly compensated under the terms of their property insurance contracts, while also ensuring ongoing insurer solvency after potentially momentous financial losses.” Reprinted courtesy of Geoffrey B. Fehling, Hunton Andrews Kurth and Olivia G. Bushman, Hunton Andrews Kurth Mr. Fehling may be contacted at gfehling@HuntonAK.com Ms. Bushman may be contacted at obushman@HuntonAK.com Read the court decision
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When is Construction Put to Its “Intended Use”?

October 10, 2013 — Brady Iandiorio — Higgins, Hopkins, McLain & Roswell, LLC.
Defining words and phrases in the law can be a tricky proposition. In everyday life one would presume to know what the phrase “intended use” would mean, but when it comes to litigation, oftentimes the definitions become much more nuanced. On March 12, 2013, in the Bituminous Cas. Corp. v. Hartford Cas. Ins. Co. v. Canal Ins. Co., WL 950800 (D. Colo. 2013) case, Senior District Court Judge Wiley Y. Daniel denied Third-Party Defendant Canal Insurance Company’s (“Canal”) motion to dismiss Third-Party Plaintiff Hartford Casualty Insurance Company’s (“Hartford”) third-party complaint. The case arose out of a liability insurance coverage dispute related to an underlying construction defect lawsuit. In the construction defect suit, a plaintiff homeowner’s association brought a suit against a developer and a general contractor (“GC”) among others. While the underlying action was settled, a dispute remained between Bituminous Casualty Corporation, which insured the GC, and Hartford, which insured the developer. Hartford asserted third-party claims against Canal seeking a declaration of Canal’s obligations and contribution in the event Hartford owed any defense or indemnity obligations to the GC. Hartford’s claims are based on the premise that Canal owed a duty to defend and/or indemnify the GC in the underlying action. Read the court decision
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Reprinted courtesy of Brady Iandiorio
Brady Iandiorio can be contacted at Iandiorio@hhmrlaw.com

White House’s New Draft Guidance Limiting NEPA Review of Greenhouse Gas Impacts Is Not So New or Limiting

September 09, 2019 — Norman F. Carlin & Eric Moorman - Gravel2Gavel Construction & Real Estate Law Blog
On June 21, 2019, the White House Council on Environmental Quality (CEQ) issued draft guidance clarifying the treatment of greenhouse gas (GHG) emissions in environmental impact reviews of federal projects under the National Environmental Policy Act (NEPA). Those wishing to comment on the draft must submit comments within 30 days after it is published in the Federal Register. The draft guidance is part of the Trump Administration’s continuing efforts to streamline the permitting and environmental review process for infrastructure and energy projects. It replaces NEPA guidance on climate impacts issued in 2016 by the Obama administration, which was rescinded by President Trump’s Executive Order 13783 early in 2017. Although some initial reports suggest that the new draft guidance significantly pulls back from the Obama administration’s approach, on closer comparison it does not depart that much from the major recommendations of the rescinded guidance. In general, NEPA requires federal agencies proposing to undertake, approve or fund a major federal action to evaluate its environmental impacts, including both direct and reasonably foreseeable indirect effects; to consider alternatives and mitigation; and to discuss cumulative impacts resulting from the incremental effects of the project when added to those of other past, present, and reasonably foreseeable future projects. The new draft and the rescinded 2016 guidance contain similar recommendations regarding an agency’s obligations to consider indirect and cumulative GHG impacts, as well as on the use of cost-benefit analysis and the contentious Social Cost of Carbon (SCC) metric. Reprinted courtesy of Norman F. Carlin, Pillsbury and Eric Moorman, Pillsbury Mr. Carlin may be contacted at norman.carlin@pillsburylaw.com Mr. Moorman may be contacted at eric.moorman@pillsburylaw.com Read the court decision
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Pennsylvania Supreme Court Adopts New Rule in Breach-of-the-Consent-to-Settle-Clause Cases

August 19, 2015 — Sean Mahoney – White and Williams LLP
In Babcock & Wilcox Company, et al. v. America Nuclear Insurers, et al., the Pennsylvania Supreme Court recently held that where a liability insurer has agreed to provide a defense to its insured in an underlying tort action subject to a reservation of rights but refuses to consent to a settlement in that action, the insured may nevertheless accept the settlement over the insurer’s objection where the settlement is “fair, reasonable, and non-collusive” from the perspective of a reasonably prudent person in the insured’s position in light of the totality of the circumstances and is covered. Babcock & Wilcox Company v. America Nuclear Insurers, No. 2 WAP 2014, 2015 WL 4430352 (Pa. Jul. 21, 2015). This decision fills an important gap in Pennsylvania precedent addressing the rules applicable when an insurer refuses to consent to an insured’s settlement of a lawsuit. In Babcock, the underlying plaintiffs sued Babcock & Wilcox Company and Atlantic Richfield Company (“the Insureds”) alleging that the Insured’s nuclear facilities caused bodily injury and property damage. The Insureds’ liability insurers agreed to defend the Insureds subject to a reservation of rights. The insurers later refused to consent to an offer to settle the underlying action for a total of $80 million because they believed the Insureds were likely to succeed on the merits. Nevertheless, in 2009, the Insureds accepted that offer and settled the underlying action for $80 million, notwithstanding the insurer’s refusal. The Insureds then sought reimbursement of the $80 million settlement from their insurers, who rejected that request on the ground that the Insureds had breached the consent-to-settlement/cooperation provisions of the implicated policies. Read the court decision
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Reprinted courtesy of Sean Mahoney, White and Williams LLP
Mr. Mahoney may be contacted at mahoneys@whiteandwilliams.com

The Future of Airport Infrastructure in a Post-Pandemic World

March 21, 2022 — Cait Horner & Adam J. Weaver - Gravel2Gavel Construction & Real Estate Law Blog
In the wake of the COVID-19 pandemic, many service industries are reevaluating their physical footprint, and the aviation industry is no exception. Opportunities abound for developers, designers, and contractors to update and expand airport terminals to accommodate traditional needs while also meeting the growing demand for more open space (including larger outdoor areas in terminals and larger cargo facilities to meet the needs of Amazon, FedEx and UPS). The Future of Passenger Terminals In nearly every service industry, safety and hygiene policies are being overhauled, with a specific emphasis on the desire for more space across the board. Even before the pandemic caused a seismic shift in the way individuals interact with each other, airports and airlines had started reducing the number of unnecessary interactions between travelers and employees by introducing self-service check-in kiosks and contactless ordering at restaurants. The automation inside the airport will only continue to advance. Reprinted courtesy of Cait Horner, Pillsbury and Adam J. Weaver, Pillsbury Ms. Horner may be contacted at cait.horner@pillsburylaw.com Mr. Weaver may be contacted at adam.weaver@pillsburylaw.com Read the court decision
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Owners Bound by Arbitration Clause on Roofing Shingles Packaging

December 04, 2018 — David Adelstein - Florida Construction Legal Updates
In today’s age, you are probably familiar with terms such as a shrinkwrap contract (terms and conditions), which is a boilerplate contract included with a retained product, or a clickwrap contract (terms and conditions), which is generally a boilerplate contract that is digitally accepted when purchasing software or an electronic product. These are are boilerplate terms from manufacturers or vendors of products or software. Arbitration provisions in these types of agreements have generally found to be enforceable. In the recent ruling by the Eleventh Circuit Court of Appeals in Dye v. Tamko Building Products, Inc., 2018 WL 5729085 (11th Cir. 2018), the court held that an arbitration provision included in a product-purchase limited warranty agreement on the package of every roofing shingles binds a homeowner to arbitrating disputes over the opened and retained product with the manufacturer, irrespective of whether the shingles were purchased by an owner’s roofer. The shingles do not have to be purchased and opened by the owner for the arbitration provision to apply. If the roofer uses or retained the shingles for purposes of the owner’s home, such knowledge of the product-purchase limited warranty agreement on the packaging of the shingles is imputed to the owner (end-user of the shingles). Read the court decision
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Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

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