Residential Mortgage Lenders and Servicers Beware of Changes to Rule 3002.1
December 08, 2016 —
James C. Vandermark & Amy E. Vulio – White and Williams LLPThis December, residential mortgage lenders and servicers will be required to comply with new requirements for providing notices of payment changes (PCNs) and post-petition fees, expenses, and charges (PPFNs) to mortgage borrowers in Chapter 13 bankruptcies. While the new Federal Bankruptcy Rule 3002.1 will provide much needed clarity, it will also significantly increase the number of PCNs and PPFNs that lenders will need to file.
Reprinted courtesy of
James C. Vandermark, White and Williams LLP and
Amy E. Vulio, White and Williams LLP
Mr. Vandermark may be contacted at vandermarkj@whiteandwilliams.com
Ms. Vulpio may be contacted at vulpioa@whiteandwilliams.com
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Injured Subcontractor Employee Asserts Premise Liability Claim Against General Contractor
March 22, 2021 —
David Adelstein - Florida Construction Legal UpdatesIn an interesting opinion, an injured employee of an electrical subcontractor sued the general contractor of a parking garage project under a premise liability theory after being injured when stepping on an uncovered floor drain at the project site. There is no discussion in the opinion as to workers compensation immunity. Rather, the discussion centers on the injured employee’s premise liability claim as to whether the general contractor “breached its duty to maintain the premises in a reasonably safe condition by leaving the drain uncovered and failing to warn of the danger of the uncovered drain.” Pratus v. Marzucco’s Construction & Coatings, Inc., 46 Fla.L.Weekly D186a (Fla. 2d DCA 2021)
The trial court granted summary judgment in favor of the general contractor finding that the drain was open and obvious on the site. The Second District Court of Appeal reversed the summary judgment with a discussion as to premise liability claims, particularly as it pertains to a business invitee, which is what the injured employee of the electrical subcontractor was.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Revel Closing Shows Gambling Is No Sure Thing for Renewal
September 03, 2014 —
Christopher Palmeri – BloombergThe Revel Casino Hotel was envisioned as a playground for Wall Streeters who hated flying to Las Vegas. Instead, it’s become a money pit for the banks and money managers who spearheaded the New Jersey project, and the losses will keep coming even after closing today.
The Atlantic City resort, built at a cost of $2.4 billion, ceased operations after two bankruptcies and a 10-month search for a buyer. Barring a sale, the new owners may be Wells Fargo & Co. and JPMorgan Chase & Co., which provided $125 million in court-approved funding. Previous backers also included Capital Group Cos., the third-largest manager of U.S. mutual funds, and Morgan Stanley, the original investor.
The resort fell prey to poor timing, bad design and a misreading of the local market. The Revel saga shows what can go wrong when bankers stray from what they know, according to Charles Geisst, a professor of finance at Manhattan College in New York and author of the book “Wall Street: A History.”
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Christopher Palmeri, BloombergMr. Palmeri may be contacted at
cpalmeri1@bloomberg.net
Housing Starts Rebound in U.S. as Inflation Eases: Economy
August 20, 2014 —
Lorraine Woellert and Victoria Stilwell – BloombergHome construction rebounded in July and the cost of living rose at a slower pace, showing a strengthening U.S. economy has yet to generate a sustained pickup in inflation.
A 15.7 percent jump took housing starts to a 1.09 million annualized rate, the strongest since November, and halted a two-month slide, the Commerce Department said in Washington. The consumer price index increased 0.1 percent after rising 0.3 percent in June, the Labor Department also reported.
An improving job market and cheaper borrowing costs are helping revive residential real estate, helping boost sales at companies such as Home Depot Inc. (HD) As inflation continues to run below the Federal Reserve’s target, it gives the central bank room to keep interest rates low well after the projected end of its bond-buying program in October.
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Lorraine Woellert and Victoria Stilwell, Bloomberg
Delaware District Court Finds CGL Insurer Owes Condo Builder a Duty to Defend Faulty Workmanship Claims — Based on the Subcontractor Exception to the Your Work Exclusion
October 04, 2021 —
Anthony L. Miscioscia & Laura Rossi - White and WilliamsOn September 7, 2021, in one of the few decisions addressing the scope of coverage for faulty workmanship under Delaware law, the Delaware District Court denied an insurer’s motion seeking a declaration that it neither needed to defend nor indemnify an insured-builder under a commercial general liability policy.
In this declaratory judgment action, Pennsylvania National Mutual Casualty Insurance Company v. Zonko Builders, the insurer argued that the ongoing underlying action failed to properly plead an “occurrence” in a case alleging damages to a condominium caused by faulty workmanship involving subcontractors.* Zonko Builders (Zonko) served as the general contractor, supervising subcontractors. The Condominium Association sued Zonko for damages allegedly resulting from design and construction deficiencies. The motion was opposed by the Condominium Association, which cross-moved for partial judgment on the pleadings.
In AE-Newark Associates, L.P. v. CNA Insurance Companies, 2001 Del. Super. LEXIS 370 (Del. Super. Ct. Oct. 2, 2001), the Delaware Superior Court found that an insured was entitled to coverage for damages arising from a faulty roof system installed by a subcontractor on behalf of the insured general contractor.
Reprinted courtesy of
Anthony L. Miscioscia, White and Williams and
Laura Rossi, White and Williams
Mr. Miscioscia may be contacted at misciosciaa@whiteandwilliams.com
Ms. Rossi may be contacted at rossil@whiteandwilliams.com
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What You Need to Know to Protect the Project Against Defect Claims
October 28, 2024 —
Scott L. Baker - Los Angeles Litigation BlogIf a property owner claims there is a construction defect, that not only brings the project’s integrity into question but also your business’s reputation. So, how can you take steps to prevent these claims from causing such damage?
Here are three things to know before beginning a project to effectively protect it and
manage construction defect claims.
1. Documentation is key
California and Los Angeles County require certain permits and documents in order for a construction project to move forward. Los Angeles County
will also conduct plan checks to ensure everything is up to code. Detailed documentation will be important while making your plans.
However, keeping notes throughout every step of the project will also be essential. Documenting all aspects of the project helps you:
- Stay updated and aware of the project’s progress
- Proactively catch and handle issues that could result in disputes
- Create a record of evidence that can help manage defect claims
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Scott L. Baker, Baker & AssociatesMr. Baker may be contacted at
slb@bakerslaw.com
A Vision and Strategy for the Adoption of Open International Standards
November 18, 2019 —
Aarni Heiskanen - AEC BusinessThe final report of RASTI is now available in English. The project outlined a national vision and strategy for the adoption of open international standards in the real estate and construction industries. The Finnish version includes several appendices.
One of the frameworks that RASTI devised was a built environment life-cycle process map. It is derived from the model of Antti Autio of the Ministry of the Environment.
The map presents the processes of the four “lanes”: the customer’s/users value creation processes, public sector processes, information work, and production. Ideally, data and information flow across the processes, using open standards.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
Colorado House Bill 17-1279 – A Misguided Attempt at Construction Defect Reform
March 29, 2017 —
David McClain - Colorado Construction LitigationOn March 17th, House Bill 17-1279, concerning the requirement that a unit owners’ association obtain approval through a vote of unit owners before filing a construction defect action, was introduced and assigned to the House State, Veterans, and Military Affairs Committee. The bill is currently scheduled for its first committee hearing on March 29th, at 1:30 in the afternoon. While, on its face, this appears to be a step in the right direction towards instituting “informed consent” before an HOA can file a construction defect action, the bill actually restricts the ability of developer to include more stringent requirements in the declaration of covenants, conditions, and restrictions for an association, thereby lowing the threshold of “consent” required to institute an action.
House Bill 17-1279 would amend C.R.S. § 38-33.3-303.5 to require an association’s executive board to mail or deliver written notice of the anticipated commencement of a construction defect action to each unit owner and to call a meeting of the unit owners to consider whether to bring such an action. Any construction professional against which a claim may attend the unit owners’ meeting and have an opportunity to address the unit owners and may include an offer to remedy any defect in accordance with C.R.S. § 13-20-803.5(3). The conclusion of the meeting would initiate a 120-day voting period, during which period the running of any applicable statutes of limitation or repose would be tolled. Pursuant to this bill, an executive board may only institute a construction defect action only if authorized by a simple majority of the unit owners, not including: 1) any unit owned by any construction professional, or affiliate of a construction professional, involved in the design, construction, or repair of any portion of the project; 2) any unit owned by a banking institution; 3) any unit owned in which no defects are alleged to exist, and/or 4) any unit owned by an individual deemed “nonresponsive.”
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David M. McLain, Higgins, Hopkins, McLain & Roswell, LLCMr. McLain may be contacted at
mclain@hhmrlaw.com