4 Breakthrough Panama Canal Engineering Innovations
October 11, 2017 —
Hobbes S. Sujith - Construction InformerThrough the rainforest of Central America stretches one of the seven wonders of the modern world. It’s the mother of all shortcuts – the Panama Canal. Over 300 million tons of cargo pass through its gates every year. Stretching through the heart of the Americans, this canal has changed the face of global trade. Ships traveling between the Atlantic and Pacific used to sail thousands of kilometers around Cape Horn. So in 1879 engineers planned to cut a channel through the Isthmus of Panama. And that, was going to become the history of Panama Canal engineering.
To understand how the Panama Canal can carry such a huge amount of cargo, we need to travel back in time to 17th century France. There, engineers building the Briare Canal (Canal de Briare) faced an big problem. How to make water flow up a hill?
Read the court decisionRead the full story...Reprinted courtesy of
Hobbes S. Sujith, Construction Informer
Missouri Protects Subrogation Rights
April 15, 2024 —
Lian Skaf - The Subrogation StrategistThe point at which an insurance carrier possesses the equitable right of subrogation is an issue on which the states have differed. Some allow carriers to pursue rights of subrogation immediately upon payment and some have taken stricter approaches. Missouri falls into the latter group. By not allowing the carrier the right to file suit against third-party tortfeasors until the insured provides its carrier with an assignment of all its rights, Missouri’s approach has opened the door for challenges to subrogation rights.
In Megown v. Auto Club Fam. Ins. Co., 2024 Mo. App. LEXIS 82, the plaintiff-insureds Michael and Jane Megown (the Megowns) suffered a house fire on February 8, 2016. Their insurance carrier, Auto Club Family Insurance Company (Auto Club) reimbursed the Megowns for their property damage in the amount of $722,433.56. Subsequently, the Megowns sued Auto Club for breach of contract and later amended their complaint to add claims against Tyberius Enterprises, LLC d/b/a Crag Electric (Craig Electric), the third-party tortfeasor, for direct negligence, alleging both property damage and personal injuries. Auto Club intervened in the Megowns’ claim against Craig Electric to protect its interest as subrogee for its property damage payment to the Megowns. Craig Electric settled prior to trial, paying $1,000,000.00 to both the Megowns and Auto Club, to be allocated at a later date. After a bench trial that apportioned the settlement with $722,433.56 paid to Auto Club and $277,566.44 paid to Megowns – and a jury trial awarding no further damages – the Megowns appealed.
Read the court decisionRead the full story...Reprinted courtesy of
Lian Skaf, White and Williams LLPMr. Skaf may be contacted at
skafl@whiteandwilliams.com
Lane Construction Sues JV Partner Skanska Over Orlando I-4 Project
February 08, 2021 —
Scott Judy - Engineering News-RecordOne of Florida’s most troubled construction projects is now in court, with one partner in a design-build joint venture pitted against another.
Reprinted courtesy of
Scott Judy, Engineering News-Record
Mr. Judy may be contacted at judys@enr.com
Read the full story...
Read the court decisionRead the full story...Reprinted courtesy of
Construction Litigation Roundup: “You May Want an Intervention …”
June 10, 2024 —
Daniel Lund III - LexologyYou may want an intervention … but you are not getting one!
So said a federal court in New Orleans to a masonry supplier seeking to intervene in in an upstream subcontractor’s lawsuit against a payment bond surety for allegedly unpaid subcontract sums.
It all seems so obvious: the masonry supplier indicates it is unpaid, and the subcontractor to which it supplied materials is saying the same thing and pursuing monies from the general contractor’s surety. Eventually, if the subcontractor prevails against the surety, monies ought to flow to the supplier – a set of facts lending itself to an intervention.
The federal district court disagreed, however. Referring to Federal Rule of Civil Procedure 24(a)(2) and prior United States Fifth Circuit Court of Appeals case law the topic, the court opined that the masonry supplier lacked an interest in the subcontractor’s potential recovery that was “related to the property or transaction that forms the basis of the controversy…an interest that is ‘direct, substantial, [and] legally protectable.’"
Read the court decisionRead the full story...Reprinted courtesy of
Daniel Lund III, PhelpsMr. Lund may be contacted at
daniel.lund@phelps.com
Some Coastal Cities Are Sinking Even Faster Than Seas Are Rising
June 20, 2022 —
Ditas B Lopez - BloombergRising seas have long been a threat to coastal cities. New research suggests that cities—particularly in Asia—are sinking as well, compounding the risks of frequent and severe flooding.
In Karachi, land is sinking five times as fast as the sea level is rising, according to the study published this month in Geophysical Research Letters. Manila and Chittagong, Bangladesh’s second-largest city, are sinking at 10 times the rate of the rising waters.
In China’s Tianjin, a coastal city about 150 kilometers southeast of Beijing, the ground is giving way at 20 times that speed.
In those four cities alone, the phenomenon could affect roughly 59 million residents.
Read the court decisionRead the full story...Reprinted courtesy of
Ditas B Lopez, Bloomberg
Florida’s Citizens Property Insurance May Be Immune From Bad Faith, But Is Not Immune From Consequential Damages
July 15, 2019 —
Michael S. Levine, Andrea DeField & Daniel Hentschel - Hunton Insurance Recovery BlogA coverage dispute arising as a result of property damage from Hurricane Frances, which occurred in 2004, will continue following a Florida appellate court decision in an action brought against Citizens Property Insurance Corp.
The insureds, Manor House, LLC, Ocean View, LLC, and Merrit, LLC, presented a claim to Citizens for damage sustained at nine apartment buildings as a result of Hurricane Florence. After payments for a portion of the property damage were sustained, Citizens continued to dispute the full amount due. Meanwhile, the insureds suffered lost rental income because of the delay. Ultimately, the insureds filed suit against Citizens alleging, among other things, breach of contract and fraud, and sought to recover extra-contractual damages for loss of rental income due to the delay in adjusting and repairing the damaged property.
The trial court granted Citizens’ motion for partial summary judgment on several issues, including Citizens’ motion for partial summary judgment regarding appraiser and umpire fees; motion for partial summary judgment to prevent the insureds from pursuing a claim for extra-contractual, consequential damages; and motion for judgment on the pleadings on the insured’s claim for fraud.
Reprinted courtesy of Hunton Andrews Kurth attorneys
Michael S. Levine,
Andrea DeField and
Daniel Hentschel
Mr. Levine may be contacted at mlevine@HuntonAK.com
Ms. DeField may be contacted at adefield@HuntonAK.com
Mr. Hentschel may be contacted at dhentschel@HuntonAK.com
Read the court decisionRead the full story...Reprinted courtesy of
Avoid the Headache – Submit the Sworn Proof of Loss to Property Insurer
September 28, 2020 —
David Adelstein - Florida Construction Legal UpdatesProperty insurance policies (first party insurance policies) contain post-loss obligations that an insured must (and should) comply with otherwise they risk forfeiting insurance coverage. One post-loss obligation is the insurer’s right to request the insured to submit a sworn proof of loss. Not complying with a post-loss obligation such as submitting a sworn proof of loss can lead to unnecessary headaches for the insured. Most of the times the headache can be avoided. Even with a sworn proof of loss, there is a way to disclaim the finality of damages and amounts included by couching information as estimates or by affirming that the final and complete loss is still unknown while you work with an adjuster to quantify the loss. The point is, ignoring the obligation altogether will result in a headache that you will have to deal with down the road because the property insurer will use it against you and is a headache that is easily avoidable. And, it will result in an added burden to you, as the insured, to demonstrate the failure to comply did not actually cause any prejudice to the insurer.
By way of example, in Prem v. Universal Property & Casualty Ins. Co., 45 Fla. L. Weekly D2044a (Fla. 3d DCA 2020), the insured notified their property insurer of a plumbing leak in the bathroom. The insurer requested for the insured to submit a sworn proof of loss per the terms of the insured’s property insurance policy. The insurer follow-up with its request for a sworn proof of loss on a few occasions. None was provided and the insured filed a lawsuit without ever furnishing a sworn proof of loss. The insurer moved for summary judgment due the insured’s failure to comply with the post-loss obligations, specifically by not submitting a sworn proof of loss, and the trial court granted the insurer’s motion. Even at the time of the summary judgment hearing, the insured still did not submit a sworn proof of loss.
Read the court decisionRead the full story...Reprinted courtesy of
David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Montana Supreme Court: Insurer Not Bound by Insured's Settlement
December 02, 2019 —
K. Alexandra Byrd - Saxe Doernberger & Vita, P.C.In Draggin’ Y Cattle Co., Inc. v. Junkermier, et al.1 the Montana Supreme Court held that where an insurer defends its insured and the insured subsequently settles the claims without an insurer’s participation, a court may approve the settlement as between the underlying plaintiff and underlying defendant, but the settlement will not be presumed reasonable as to the insurer. Therefore, an insurer who defends its insured cannot be bound by a stipulated settlement that the insurer did not expressly consent to.
The case involved Draggin’ Y Cattle Company (the “Cattle Company”), a ranching and cattle business that utilized the services of an accounting firm, Junkermier, Clark, Campanella, Stevens, P.C. (“Junkermier”), to structure the sale of real property to take advantage of favorable tax treatment. It was discovered that Junkermier’s employee misinformed the Cattle Company’s owners of the tax consequences of the sale. The Cattle Company’s owners subsequently filed suit against Junkermier and its employee and alleged nearly $12,000,000 in damages due to the error. Junkermier’s insurer, New York Marine, provided a defense for Junkermier and its employee.
The Cattle Company’s owners offered to settle the claims against Junkermier and its employee for $2,000,000, the policy limit of the New York Marine policy. New York Marine refused to give its consent or tender the policy’s limit. Subsequently, Junkermier, its employee, and the Cattle Company entered into their own settlement agreement for $10,000,000. The settlement was contingent upon a reasonableness hearing to approve the stipulated agreement.
Read the court decisionRead the full story...Reprinted courtesy of
K. Alexandra Byrd, Saxe Doernberger & Vita, P.C.Ms. Byrd may be contacted by
kab@sdvlaw.com