Federal Court Holds That Other Insurance Analysis Is Unnecessary If Policies Cover Different Risks
September 28, 2020 —
Craig Rokuson - Traub Lieberman Insurance Law BlogIn Greater Mutual Insurance Company v. Continental Casualty Company, 2020 WL 5370419 (S.D.N.Y. September 8, 2020), the United States District Court for the Southern District of New York had occasion to consider the “other insurance” provisions of a commercial general liability policy, issued by Greater Mutual Insurance Company (“GNY”), and a directors and officers (“D&O”) policy, issued by Continental, to the same insured. The GNY policy covered, inter alia, property damage caused by an occurrence, as well as “personal advertising injury,” defined to include “[t]he wrongful eviction from, wrongful entry into, or invasion of the right of private occupancy of a room, dwelling or premises that a person occupies, committed by or on behalf of its owner, landlord or lessor.” The Continental D&O policy covered claims for wrongful acts, including “wrongful entry or eviction, or other invasion of the right to private occupancy. . . .” Unlike the GNY policy, however, the Continental policy expressly excluded coverage for damage to tangible property.
In the underlying action, the plaintiffs alleged that the insured engaged in construction work to fix a leak from a terrace on the seventeenth floor. In doing so, the insured accessed the plaintiffs’ roof terrace. The plaintiffs alleged that the construction workers installed and stored construction materials on the roof terrace, making the plaintiffs unable to access the terrace. Plaintiffs also alleged that their deck furniture may have suffered damage, and that the workers had a “direct line of sight” into their unit, resulting in the plaintiffs having to leave their unit frequently. Causes of action were for property damage, constructive eviction, partial constructive eviction, and invasion of privacy.
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Craig Rokuson, Traub LiebermanMr. Rokuson may be contacted at
crokuson@tlsslaw.com
Pennsylvania Supreme Court Will Not Address Trigger for DEP Environmental Cleanup Action at This Time
August 14, 2018 —
Gregory Capps - White and Williams LLPOn July 18, 2018, in Pennsylvania Manufacturers’ Association Insurance Company v. Johnson Matthey, Inc., et al., No. 24 MAP 2017 (Pa. July 18, 2018), the Pennsylvania Supreme Court quashed the Pennsylvania Manufacturers’ Association’s (PMA) appeal seeking review of a ruling denying its motion for summary judgment for an order that coverage for the cleanup of a toxic waste site is limited to the policy in effect when property damage was first discovered. In short, the court found the lower court’s ruling only narrowed the dispute between the parties and is, therefore, interlocutory and not appealable at this time.
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Gregory Capps, White & Williams LLPMr. Capps may be contacted at
cappsg@whiteandwilliams.com
Language California Construction Direct Contractors Must Add to Subcontracts Beginning on January 1, 2022, Per Senate Bill 727
December 20, 2021 —
William L. Porter - Porter Law GroupSenate Bill No. 727, Imposing Liability on Contractors for Wage Claims of Subcontractor Employees:
California Senate Bill 727 was approved by the Governor on September 27, 2021. The new Act amended Labor Code Section 218.7 and added a new section 218.8 to the Labor Code. Both Labor Code sections impose on “direct contractors” in the construction industry (defined by Civil Code 8018 as “a contractor that has a direct contractual relationship with an owner”) liability for the wage violations of their subcontractors and sub-subcontractors at any tier when working on California private construction projects.
Specifically, new Section 218.8 expands the liability of direct contractors for wage claims of the employees of subordinate subcontractors on projects for contracts executed beginning on January 1, 2022. The liability of the direct contractor under Labor Code 218.8 will include “any debt owed to a wage claimant or third party on the wage claimant’s behalf, incurred by a subcontractor at any tier acting under, by, or for the direct contractor.” Specifically included as listed liabilities of the direct contractor are: “any unpaid wage, fringe or other benefit payment or contribution, penalties or liquidated damages, and interest owed by the subcontractor on account of the performance of the labor.”
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William L. Porter, Porter Law GroupMr. Porter may be contacted at
bporter@porterlaw.com
Formal Opinion No. 2020-203: How A Lawyer Is to Handle Access to Client Confidential Information and Anticipation of Potential Security Issues
December 07, 2020 —
Bremer Whyte Brown & O'Meara LLPRecently, the California Bar Association (“CBA”) published Formal Opinion No. 2020-203[1] concerning a lawyer’s ethical obligations with respect to unauthorized access to electronically stored client information. The onset of the COVID-19 pandemic greatly accelerated the growing trend of storing and maintaining data and information online so that employees and clients can access the data from anywhere in the world at any time. Now, in today’s working world, the reality is nearly all information and data is stored and shared digitally online for ease of access, use, and dissemination.
Unfortunately, a major draw-back of this switch to a cyber paradigm is serious exposure to data breaches as a result of hacking, inadvertence, or theft. Formal Opinion No. 2020-203 outlines how a lawyer is to handle access to client confidential information and anticipation of potential security issues. This article will briefly cover the key aspects addressed in Formal Opinion No. 2020-203.
What is the duty owed by a lawyer to his or her client regarding the use of technology?
At the outset, the CBA reminds lawyers of the ongoing duty of competence (Rule 1.1) and the duty to safeguard clients’ confidences and secrets (Rule 1.6; Cal. Bus. & Prof. Code, § 6068(e)) which impose the requirement that a lawyer must have a basic understanding of the risks posed when using a given technology and (if necessary) obtain help from appropriate experts to assess those risks and take reasonable steps to prevent data breaches.
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Bremer Whyte Brown & O'Meara LLP
Updates to the CEQA Guidelines Have Been Finalized
February 06, 2019 —
Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law BlogThe California Natural Resources Agency (CNRA) recently posted final adopted text for amendments to the CEQA Guidelines. The result of over five years of development efforts by the Governor’s Office of Planning & Research and CNRA, the amendments are the most comprehensive update to the CEQA Guidelines since 1998. In “Natural Resources Agency Finalizes Updates to the CEQA Guidelines,” Pillsbury environmental attorneys Norman F. Carlin, Kevin Ashe and Eric Moorman explore the wide range of issues covered in the amendments, including the new Vehicle-Miles-Traveled (VMT) methodology for analyzing transportation impacts; use of regulatory standards as significance thresholds; environmental baselines; and numerous procedural and technical improvements.
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Pillsbury's Construction & Real Estate Law Team
Continuity and Disaster Recovery Plans for Contractors: Lessons From the Past
November 28, 2022 —
Rich Sghiatti - Construction ExecutiveThere is no shortage of natural disasters to illustrate the importance of being prepared. Wildfires, hurricanes, winter storms and floods can hit a construction job site hard. Appropriate property-casualty insurance and surety bonds are necessary protections for a contractor and project owner. But the addition of well-thought-out continuity and disaster recovery plans will better position the contractor to deal with whatever Mother Nature brings.
Consider Hurricane Katrina, the costliest hurricane to hit the United States. Pummeling Florida, Louisiana and Mississippi in August 2005, the storm led to 1,833 fatalities and an estimated $108 billion in damages. Levees meant to protect New Orleans from Lake Pontchartrain did not hold, flooding 80% of the city.
Utilities including power, water and sanitary sewers were severely damaged. Homes were destroyed. Roadways were closed. Communications systems were down.
Contractors who had good business continuity and disaster recovery plans fared better than those who did not.
Reprinted courtesy of
Rich Sghiatti, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Labor Code § 2708 Presumption of Employer Negligence is Not Applicable Against Homeowners Who Hired Unlicensed Painting Company
December 02, 2015 —
Kristian B. Moriarty & Yvette Davis – Haight Brown & Bonesteel LLPIn Vebr v. Culp (Filed 10/28/2015, No. G050730), the Fourth District Court of Appeal affirmed a trial court’s grant of summary judgment in favor of homeowners, where an employee of an unlicensed painting company was injured on the premises. Despite the fact that the painting company was deemed unlicensed for failure to acquire workers’ compensation insurance, the negligence presumption of Labor Code § 2708 was inapplicable to the homeowners as de facto “employers" of the plaintiff.
Plaintiff, Tomas Vebr, was employed by OC Wide Painting, a licensed painting contractor. OC Wide Painting had a license issued by the California Contractors State License Board, but had filed for an exemption from the requirement that it maintain workers’ compensation insurance. The exemption was granted on the basis OC Wide Painting “did not have any employees.” However, OC Wide Painting actually had multiple employees, including Vebr. Therefore, by operation of law, the license was deemed void.
Reprinted courtesy of
Kristian B. Moriarty, Haight Brown & Bonesteel LLP and
Yvette Davis, Haight Brown & Bonesteel LLP
Mr. Moriarty may be contacted at kmoriarty@hbblaw.com
Ms. Davis may be contacted at ydavis@hbblaw.com
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PSA: Virginia DOLI Amends COVID Workplace Standard
October 18, 2021 —
Christopher G. Hill - Construction Law MusingsAs the governmental response to COVID-19 evolves, so do the various standards that apply to employers. Effective September 8, 2021, the Virginia Department of Labor and Industry superseded its earlier permanent workplace standard with a new standard.
In many ways, the new standard simplifies compliance because it gets rid of what I believed to be overly confusing workplace classifications into risk levels and simply applies the new standard to all workplaces regardless of how they would have been classified. Some key points to keep in mind regarding the new standard are the following (with the recommendation that all employers read and understand the text of the standard):
- Masks: All unvaccinated employees must wear masks in all public, common, or shared workspaces with certain exceptions. These exceptions include when an employee is alone in a room/office, when eating, certain medical conditions, and where it is important that the mouth can be seen (such as communication with the deaf). Vaccinated employees need not mask up unless working in a high or substantially transmission area per the CDC Data Tracker.
- Vaccination Requirement: As of now, the DOLI does not require employee vaccinations. However, employers will need to have a way to determine vaccination status to comply with other parts of the standard.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com