Cambridge Massachusetts Building Expert Directory

Illinois Supreme Court Holds That the Implied Warranty of Habitability Does Not Extend to Subcontractors

March 04, 2019 — Michael J. Ciamaichelo - The Subrogation Strategist
The implied warranty of habitability allows a homeowner to recover damages for latent defects that interfere with the intended use of a home. In Sienna Court Condo. Ass’n v. Champion Aluminum Corp., 2018 IL 122022, 2018 Ill. LEXIS 1244 (2018), the Supreme Court of Illinois held that buyers of new homes cannot assert claims for breach of the implied warranty of habitability against subcontractors involved in the construction of the homes because the subcontractors have no contractual relationship with the homeowners and the damages are purely economic. As the court explained, the implied warranty of habitability is a creature of contract (not tort) and, therefore, only exists when there is contractual privity between the defendants and the homeowners. In Sienna, a group of condominium unit owners alleged that their new homes contained latent construction defects and asserted claims against the various parties involved in the construction and sale of the homes, including claims against the defendant subcontractors for breach of the implied warranty of habitability. The plaintiffs contracted with the property developer to purchase the homes, but the plaintiffs had no contractual relationship with the subcontractors involved in the construction of the homes. The Sienna court, overturning the decisions of the trial court and the appellate court, granted the subcontractors’ joint motion to dismiss the plaintiff’s claims for the implied warranty of habitability because the plaintiffs had no contractual relationship with the subcontractors and the damages were purely economic. Read the court decision
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Reprinted courtesy of Michael J. Ciamaichelo, White and Williams LLP
Mr. Ciamaichelo may be contacted at ciamaichelom@whiteandwilliams.com

U.K. High Court COVID-19 Victory for Policyholders May Set a Trend in the U.S.

November 09, 2020 — Andres Avila & Anastasiya Collins - Saxe Doernberger & Vita
On September 15, 2020, in a matter entitled The Financial Conduct Authority v. Arch & Others1, the High Court of Justice of England and Wales, the equivalent of a trial court in the U.S., issued a ruling on a COVID-19 business interruption insurance case (the “Judgment”). Significantly, the Court sided with policyholders on most key coverage issues under specific non-damage business interruption insurance coverage forms. U.S. policyholders should review whether any of their policies issued by U.K.-based carriers, which may be subject to English law and have the forms discussed below, are impacted by this favorable decision. The Financial Conduct Authority (“FCA”), the U.K. financial regulatory body, brought the case to establish liability under 21 lead representative sample policy wordings from eight insurer defendants. The case was filed on an expedited basis on June 9, 2020 under the Financial Market Test Case Scheme, which is used for claims of general importance that require authoritative court guidance. Although the Judgment is legally binding only on the carriers who were parties to the action, the FCA estimates the case could affect 700 types of policies across 60 different insurers, and 370,000 small to medium-sized enterprises policyholders (“SME”) in the U.K. While the Judgment may be appealed, it is expected to incentivize insurers to settle their claims before the outcome of an appeal is known. Reprinted courtesy of Andres Avila, Saxe Doernberger & Vita and Anastasiya Collins, Saxe Doernberger & Vita Mr. Avila may be contacted at AAvila@sdvlaw.com Ms. Collins may be contacted at ACollins@sdvlaw.com Read the court decision
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Construction Contractor “Mean Tweets” Edition

June 04, 2024 — Garret Murai - California Construction Law Blog
Back in the day, if someone had a problem with you the rules of school yard jungle dictated that they had better tell it to your face or you had the right to call them out on it. That, of course, was back then. These days, with social media seemingly everywhere (e.g., Yelp, Twitter, Facebook, etc.), if someone has a problem with you they tell you . . . as well as the rest of the world . . . to your digital face. Jimmy Kimmel has even made it a “thing” with his celebrity “Mean Tweets” segments. In Paglia & Associates Construction, Inc. v. Hamilton, 98 Cal.App.5th 318 (2023), homeowner Vanessa Hamilton was sued by her contractor Paglia & Associates Construction, Inc. doing business as Protech Construction after she posted critical comments to her blog and on Yelp about work performed by Paglia at her home. The Paglia Case In or about 2016, after a tree fell on her house, Hamilton’s insurer, Safeco, recommended Paglia to perform the repairs. Paglia and Hamilton entered into a repair contract in 2016 but Paglia did not finish the work until sometime in 2017 claiming that the repair was extensive because Hamilton’s circa 1923 home was in poor condition and current building codes required extensive reconstruction. Read the court decision
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Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

Mediation in the Zero Sum World of Construction

October 02, 2015 — Christopher G. Hill – Construction Law Musings
Construction is a zero sum game. What do I mean by that? I mean that even where you, a construction professional with a great construction lawyer, have reviewed and edited a subcontract presented to you or provided a well drafted contract to the other party that contains an attorney fees provision, every dollar that you spend on litigation is a dollar less of profit. Couple the fact that no construction company can or should bid or negotiate work with an eye toward litigation (aside from having a well written contract that will be enforced to the letter here in Virginia). Particularly on “low bid” type projects, contractors and subcontractors cannot “pad” their bids to take into account the possibility of attorney fees, arbitration, or litigation. Furthermore, the loss of productivity when your “back office” personnel are tied up dealing with discovery, phone calls, and other incidents of litigation that do nothing but rehash a bad project and increase the expense saps money from the bottom line. While the possibility of a judgment including attorney fees may soften this blow, you are still out the cash. Read the court decision
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Reprinted courtesy of Christopher G. Hill, Law Office of Christopher G. Hill, PC
Mr. Hill may be contacted at chrisghill@constructionlawva.com

Women in Construction Aren’t Silent Anymore. They Are Using TikTok to Battle Discrimination

March 06, 2022 — Workwear Guru
How does it feel to be a woman working in a male-dominated industry? It means an everyday fight on gender bias, discrimination, pay inequality, and a bunch of mansplaining. Though the construction industry progressed– over 1.2 million women work in construction, up from 619,000 in 1985–women continue to be a minority. Among the women working in the industry, almost 9 out of 10 women have an office role, while only 2.5% are tradespeople. The situation looks grimmer for women in higher positions as only 16% hold executive roles, and only 2% are CEOs. The issue becomes troublesome considering that 45% of women indicated that the lack of women role models working in senior positions halted advancement in their careers. Gender discrimination was always prevalent in the construction industry, though it shows higher in today’s statistics. In 2020, the annual study of women in construction showed 72% of women in construction face discrimination, up from 66% in 2005. The increase doesn’t mean there is an increase in workplace discrimination; instead, it shows women are raising their voices for the issue. Today, women are using social media to show the prejudice they confront every day, inspire each other to speak up, and showcase their competencies within the industry. Read the court decision
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Reprinted courtesy of Workwear Guru

Industry News: New Partner at Burdman Law Group

March 30, 2016 — Burdman Law Group
Burdman Law Group, a boutique civil litigation law firm with offices in California, Nevada, and Arizona, is pleased to announce that Pieter M. O’Leary, was named a Partner in January 2016. Mr. O’Leary is an experienced litigator who has represented individuals and businesses in both state and federal court in actions involving breach of contract, negligence, construction, fraud, product defect, and business torts. Read the court decision
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Millennials Want Houses, Just Like Everybody Else

September 17, 2014 — Peter Coy – Bloomberg
The proportion of homeownership among young adults has fallen from a third to a quarter over the past half-century. But the idea that today’s millennials are allergic to deeds and mortgages is a myth, says a report based on a survey of more than 1,000 Americans aged 18-29 by the Demand Institute, a nonprofit jointly operated by the Conference Board and Nielsen (NLSN). “Like most myths, there is some truth here—but only some,” says the report’s introduction. The true part is that millennials are financially squeezed because of “graduating into a weak job market with growing student loan debt,” Jeremy Burbank, a Demand Institute vice president, said in a statement. The false part, the report says, is that millennials don’t want to own their homes. Read the court decision
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Reprinted courtesy of Peter Coy, Bloomberg
Mr. Coy may be contacted at pcoy3@bloomberg.net

Best Lawyers® Recognizes 49 White and Williams Attorneys

September 16, 2024 — White and Williams LLP
Thirty-eight White and Williams lawyers were recognized in Best Lawyers in America® 2025. Inclusion in Best Lawyers® is based entirely on peer-review. The methodology is designed to capture, as accurately as possible, the consensus opinion of leading lawyers about the professional abilities of their colleagues within the same geographical area and legal practice area. Best Lawyers® employs a sophisticated, conscientious, rational, and transparent survey process designed to elicit meaningful and substantive evaluations of quality legal services. In addition, eleven lawyers were recognized as Best Lawyers: Ones to Watch® in America. This recognition is given to attorneys who are earlier in their careers for outstanding professional excellence in private practice in the United States. The firm is also pleased to announce Best Lawyers® has recognized three attorneys as "Lawyer of the Year” including: Chuck Eppolito, Litigation - Health Care, Philadelphia, who focuses his practice on medical malpractice defense as well as other insurance-related defense; William D. Kennedy, Litigation – Insurance, Philadelphia, who focuses his practice on complex claims of injury and damage arising in both the professional and general liability contexts; and, Michael O. Kassak, Litigation – Insurance, Cherry Hill, who focuses his practice on large complex commercial matters including insurance coverage and healthcare disputes. Read the court decision
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Reprinted courtesy of White and Williams LLP

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