Fairfield Connecticut Building Expert Directory

Waiver of Subrogation and Lack of Contractual Privity Bars Commercial Tenants’ Claims

May 08, 2023 — Melissa Kenney - The Subrogation Strategist
In United States Automatic Sprinkler Corporation v. Erie Insurance Exchange, et al., No. 2SS-CT-264, 2023 Ind. LEXIS 105, the Supreme Court of Indiana (Supreme Court) reversed an order of the trial court that denied a motion for summary judgment filed by a sprinkler contractor. At issue was whether commercial tenants – one who contracted with the sprinkler contractor and others who did not – could recover for their respective property damages. The court held that under the contract’s subrogation waiver and agreement to insure, the contracting tenant waived its insurer’s rights to recover through subrogation. With respect to the non-contracting tenants, who sought to recover only property damages, the court held that the absence of contractual privity barred their recovery. The case centered around a sprinkler system that malfunctioned and flooded the Sycamore Springs Office Complex (Landlord), causing extensive property damage to four commercial tenants. Surgery Center, one of the four tenants, requested permission from the Landlord to install a sprinkler system inside the building. Landlord agreed, in exchange for Surgery Center agreeing to be solely responsible for maintaining the sprinkler system. Surgery Center hired United States Automatic Sprinkler (Automatic Sprinkler) to both install and conduct periodic inspection and testing of the sprinkler system. The contract terms outlined the scope of work to be performed by Automatic Sprinkler and the work was limited to the inspection and testing of the sprinkler system. Although repairs and emergency services were excluded from the contract, each could be performed upon the request and authorization of Surgery Center for an additional cost. The contract also contained certain risk allocation provisions including a waiver of subrogation and an agreement to insure. Read the court decision
Read the full story...
Reprinted courtesy of Melissa Kenney, White and Williams LLP
Ms. Kenney may be contacted at kenneyme@whiteandwilliams.com

SkenarioLabs Uses AI for Property Benchmarking

December 04, 2018 — Aarni Heiskanen - AEC Business
AI continues to be a hot topic across industries. The PropTech startup SkenarioLabs has a data analytics solution that utilizes AI. The results have been successful from the perspective of property owners: reliable technical surveys that contribute to making smart investment decisions. Topi TiihonenWhile automatic valuation is not a recent invention for property owners and investors, there has not previously been an available service that combines it with technical surveying. SkenarioLabs has been building a system that digitizes technical surveys in order to help property owners manage their properties. The algorithm extracts a property’s technical risk from the market value. Read the court decision
Read the full story...
Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

Trump Administration Issues Proposed 'Waters of the U.S.' Rule

December 19, 2018 — Pam Radtke Russell - Engineering News-Record
Construction contractors said a proposed revised definition of “Waters of the United States,” released by the Environmental Protection Agency and the Army Corps of Engineers on Dec. 11, would provide their firms with clarity about what types of permits they will need for their construction projects near various bodies of water. Read the court decision
Read the full story...
Reprinted courtesy of Pam Radtke Russell, ENR
Ms. Russell may be contacted at Russellp@bnpmedia.com

Will Colorado Pass a Construction Defect Reform Bill in 2016?

December 17, 2015 — Beverley BevenFlorez-CDJ STAFF
According to blogger Jill Jamieson-Nichols of the Colorado Real Estate Journal, another construction defects bill may be debated in Colorado next year. Representative Dan Pabon told Jamieson-Nichols that “the answer lies in ‘thinking about the insurance piece’ so condominium developers can afford insurance against litigation that might arise.” She also stated that the city of Denver is considering ways to increase funding to increase affordable housing in the area. Read the court decision
Read the full story...
Reprinted courtesy of

Decline in Home Construction Brings Down Homebuilder Stocks

December 11, 2013 — CDJ STAFF
The main gains in October construction were in commercial construction. The stock market has reacted to the slow-down by selling off homebuilder stocks, leading to a drop in their price. Deutsche Bank did not expect this to be the long term situation in U.S. homebuilding. The bank expects that the dip in residential construction “should reverse course given the ongoing improvement in permits for new construction.” Read the court decision
Read the full story...
Reprinted courtesy of

Construction Defect Headaches Can Be Avoided

February 21, 2013 — CDJ STAFF
Construction defect claims can be an avoidable headache, if builders apply some forethought. Mark J. Peschel of Johnson & Lindberg, a Bloomington, Minnesota law firm, points out that simply says that windows should be weatherproofed by appropriate flashing, without any guidance on accomplishing that. He notes that “builders tend not to know the weatherproofing code provisions as well as they should.” Another lawyer, Eric S. Hayes of Brown and Carlson in St. Louis Park extends this, “it’s not just the building codes that need to be followed, but also the standards in the industry.” Hayes notes that another way builders can avoid headaches is by being proactive. “I often hear, once things have gone sour and moved toward litigation, that the homeowner contacted the contractor a dozen times about a leaking basement and nothing was done, so they were forced to sue.” His advice for builders: “Don’t let it fester.” Read the court decision
Read the full story...
Reprinted courtesy of

Stucco Contractor Trying to Limit Communication in Construction Defect Case

November 13, 2013 — CDJ STAFF
South Carolina State Plastering claimed in the South Carolina Court of Appeals that communication between attorneys and residents of a retirement community could undermine the judgment in the case. Residents of Sun City had filed a class action lawsuit over problems with stucco in the community. Phillip Segul, the plaintiffs’ attorney, noted that plasterer was “directly communicating with the class members and getting them to sign opt-outs and releases of their claims,” although this was something that Everett Kendall, the plasterer’s attorney denied. The lawsuit has been grinding along for six years. Some residents fear they won’t outlive the construction defect lawsuit. Read the court decision
Read the full story...
Reprinted courtesy of

Specific Source of Water Not Relevant in Construction Defect Claim

June 28, 2013 — CDJ STAFF
The Nebraska Court of Appeals has concluded that a lower court came to the correct conclusion in a construction defect case involving water intrusion. The Hiatts built a home in North Platte, Nebraska, in in 2004 which they sold to the Oettingers in May, 2006. Shortly thereafter, the Oettingers started experiencing problems with water intrusion and contacted the Hiatts. The Hiatts responded by replacing the septic lift. Subsequently, the Oettingers landscaped their yard, which they allege was done with the assistance of the Hiatts. The water problems continued and “the parties took substantial remedial measures, including excavating the sidewalk and inspecting the downspouts.” The water problems continued, getting worse and requiring increasingly aggressive responses. The Oettingers then had a series of inspections, and they hired the last of these inspectors to actually fix the water intrusion problem. At that point, they filed a lawsuit against the Hiatts alleging that the Hiatts “breached their contact by constructing and selling a home that was not built according to reasonable construction standards,” and that they “were negligent in the repair of the home in 2009.” During the trial, Irving Hiatt testified that they “tarred the outside of the basement and put plastic into the tar and another layer of plastic over the top of that.” He claimed that the problem was with the Oettingers’ landscaping. This was further claimed in testimony of his son, Vernon Hiatt, who said the landscaping lacked drainage. The Oettingers had three experts testify, all of whom noted that the landscaping could not have been the problem. All three experts testified as to problems with the Hiatts’ construction. The court concluded that the Hiatts had breached an implied warranty, rejecting the claim that the water intrusion was due to the landscaping. The Hiatts appealed the decision of the county court to the district court. Here, the judgment of the lowest court was confirmed, with the district court again finding a breach of the implied warranty of workmanlike performance. The Hiatts appealed again. They alleged that the district court should not have held a breach of implied warranty existed without proving the source of the water intrusion, and that damages should have been apportioned based on the degree to which the Oettingers’ landscaping and basement alterations were responsible. The appeals court dispensed with the second claim first, noting that “they do not argue this error in their brief nor do they explain how or why the trial court should have apportioned damages.” The court also noted that although the Oettingers made a negligence claim in their suit, the case had been decided on the basis of a breach of implied warranty. The appeals court upheld the Oettingers’ claim of a breach of implied warranty. In order to do this, the court noted that the Oettingers had to show that an implied warranty existed, that the Haitts breached that warranty, damage was suffered as a result, and that no express warranty limited the implied warranty. That court noted that “the record is sufficient to prove that the Hiatts breached the implied warranty in the method in which they constructed the basement” and that “this breach was the cause of the Oettingers’ damages.” The court concluded that the Oettingers “provided sufficient evidence that the Hiatts’ faulty construction allowed water, whatever its source, to infiltrate the basement.” The court rejected the Hiatts’ claim that the Oettingers’ repairs voided the warranty, as it was clear that the Hiatts were involved in carrying out these repairs. The court’s final conclusion was that “the evidence in the record supports the trial court’s factual finding that the Hiatts’ flawed construction caused water damage to the Oettingers’ basement.” Read the court decision
Read the full story...
Reprinted courtesy of

FAIRFIELD CONNECTICUT BUILDING EXPERT DIRECTORY AND CAPABILITIES