Seattle Washington Building Expert Directory

Housing Starts in U.S. Little Changed From Stronger January

March 19, 2014 — Jeanna Smialek – Bloomberg
Housing starts in the U.S. were little changed in February after declining less than previously estimated a month earlier, indicating the home-building industry is stabilizing after bad winter weather curbed construction. The 0.2 percent decrease to 907,000 homes at an annualized rate last month followed a revised 909,000 pace in January, figures from the Commerce Department in Washington showed today. The median estimate in a Bloomberg survey called for a 910,000 rate after a previously reported 880,000 in January. Warmer temperatures, a pickup in demand during the spring selling season and limited housing supply may help fuel further gains in new residential construction. The outlook for the industry later this year depends on whether hiring picks up enough to overcome higher mortgage rates and home prices. Read the court decision
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Reprinted courtesy of Jeanna Smialek, Bloomberg
Ms. Smialek may be contacted at jsmialek1@bloomberg.net

How a Robot-Built Habitat on Mars Could Change Construction on Earth

October 14, 2019 — Drew Turney - Engineering News-Record
According to a 2018 report by the International Energy Agency and UN Environment, the global construction industry is responsible for 39% of energy-related carbon-dioxide emissions. That is a huge, scary number—but one that comes with an equally large opportunity to mitigate climate change. The 2015 Paris climate talks revealed that by using existing technology, construction could cut global carbon emissions by up to a third. Read the court decision
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Reprinted courtesy of Drew Turney, ENR
ENR may be contacted at ENR.com@bnpmedia.com

Care, Custody or Control Exclusion Requires Complete and Exclusive Control by Insured Claiming Coverage

July 30, 2019 — Christopher Kendrick & Valerie A. Moore – Haight Brown & Bonesteel LLP
In McMillin Homes Construction v. Natl. Fire & Marine Ins. Co. (No. D074219, filed 6/5/19) a California appeals court held that a “care, custody or control” exclusion did not bar coverage for defense of a general contractor as an additional insured under a subcontractor’s policy, because the exclusion requires exclusive control, but the facts and allegations posed a possibility of shared control with the subcontractor. McMillin was the general contractor on a housing project and was added as an additional insured to the roofing subcontractor’s policy pursuant to the construction subcontract. The homeowners sued, including allegations of water intrusion from roof defects. McMillin tendered to the roofing subcontractor’s insurer, which denied a defense based on the CGL exclusion for damage to property within McMillin’s care, custody or control. In the ensuing bad faith lawsuit, McMillin argued that the exclusion required complete or exclusive care, custody or control by the insured claiming coverage, which was not the case for McMillin. The insurer argued that the exclusion said nothing about complete or exclusive care, custody or control. Further, the intent to exclude coverage for damage to any and all property in McMillin’s care, custody or control, to whatever degree, was demonstrated by the fact that the additional insured endorsement in question was not an ISO CG2010 form, but a CG2009 form, which expressly adds a care, custody or control exclusion to the additional insured coverage not found in the CG2010 form. The argument was that the CG2009 form evidences an intent to conclusively eliminate coverage for property in the additional insured’s care, custody or control. In addition, the insurer argued that this result was also reinforced by its inclusion of an ISO CG2139 endorsement in the roofer’s policy, which eliminated that part of the “insured contract” language of the CGL form, defining an “insured contract” as “[t]hat part of any other contract or agreement pertaining to your business . . . under which you assume the tort liability of another party to pay for ‘bodily injury’ or ‘property damage’ to a third person or organization.” The insurer’s argument was that by having eliminated coverage for contractual indemnity or hold harmless agreements, it had “closed the loop” of eliminating additional insured coverage for construction defect claims. Reprinted courtesy of Christopher Kendrick, Haight Brown & Bonesteel LLP and Valerie A. Moore, Haight Brown & Bonesteel LLP Mr. Kendrick may be contacted at ckendrick@hbblaw.com Ms. Moore may be contacted at vmoore@hbblaw.com Read the court decision
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Reprinted courtesy of

Part I: Key Provisions of School Facility Construction & Design Contracts

May 16, 2018 — David R. Cook Jr. - Autry, Hall & Cook, LLP
We all expect our school construction projects will go smoothly, on time and under budget. But despite our best efforts, some projects will encounter speed bumps, detours or outright roadblocks. While there are many precautions a school facility manager may take, one of the best precautions is to have solid construction and design contracts. A good contract will account for the known risks and specify an outcome in favor of the school authority. School construction risks can be categorized into a few categories: performance risk, time risk, cost risk and political risk. Some risks are typical to all construction projects, while others are peculiar to the unique needs of school authorities. Read the court decision
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Reprinted courtesy of David R. Cook Jr., Autry, Hall & Cook, LLP
Mr. Cook may be contacted at cook@ahclaw.com

Chinese Drywall Manufacturer Claims Product Was Not for American Market

October 22, 2013 — CDJ STAFF
Taishan Gypsum Co. Ltd. Claimed in a hearing at the Fifth Circuit Court of Appeals that when they sold about $8.5 million of contaminated drywall to Venture Supply Inc. of Virginia, that they had no awareness that the drywall would be sold in the United States. Joe Cyr, an attorney for Taisan told the court that “Venture Supply never said it was going to distribute the goods in Virginia.” One of the judges on the three-judge panel, Judge Jennifer Walker Elrod, was skeptical of Taishan’s claim, asking, “it was packed and labeled for the Virginia market, isn’t that correct?” When asked by a judge if Taishan was trying to avoid accountability, Cyr said that Tiashan “has not said that it doesn’t want to be accountable for its drywall.” Taishan holds the position that claims against it should be arbitrated in the People’s Republic of China. Read the court decision
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Reprinted courtesy of

Florida Court Puts the Claim of Landlord’s Insurer In The No-Fly Zone

March 06, 2023 — William L. Doerler - The Subrogation Strategist
In United States Aviation Underwriters v. Turnberry Airport Holdings, LLC, No. 3D22-270, 2023 Fla. App. LEXIS 1207 (U.S. Aviation), the Court of Appeal of Florida, Third District (Appellate Court) considered whether the insurer for a commercial landlord could pursue subrogation against the landlord’s tenant. Based on the terms of the lease between the landlord and the tenant, the Appellate Court held that the landlord’s insurer could not pursue subrogation. In U.S. Aviation, the defendant, Turnberry Airport Holdings, LLC (Turnberry Airport) leased space to an insured aircraft owner. The lease contained the following provision: TENANT agrees that all policies of insurance obtained by it in connection with the Space or as required hereunder shall contain appropriate waiver of subrogation clauses. Read the court decision
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Reprinted courtesy of William L. Doerler, White and Williams LLP
Mr. Doerler may be contacted at doerlerw@whiteandwilliams.com

South Caroline Holds Actual Cash Value Can Include Depreciation of Labor Costs

July 05, 2021 — Tred R. Eyerly - Insurance Law Hawaii
Answering a certified question, the South Carolina Supreme Court held that the insurer could calculate actual cash value (ACV) by including an estimate of the depreciation of embedded labor costs. Butler v. Travelers Home & Marine Ins. Co., 2021 S. C. LEXIS 51 (S.C. May 12, 2021). Two insureds had their homes damaged in separate fires. Each held homeowners' policies with Travelers. The policies provided replacement cost value coverage to repair or replace damaged portions of homes. In the event that the insures chose not to immediately repair or replace the damaged home, the policies afforded payment to the insured for the actual cash value instead of replacement cost value. Both insured elected not to immediately repair or replace their homes, thereby deciding to accept a cash payment for the ACV of the damaged property. Neither was satisfied with the payment and both filed suit in federal district court. Travelers determined the ACV payment by estimating the replacement cost value (RCV) of the damage and then subtracting depreciation. The certified question presented by the federal district court was whether Travelers could depreciate the labor component of the costs of repair or replacement when determining the ACV. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Coverage Denied for Faulty Blasting and Improper Fill

October 08, 2014 — Tred R. Eyerly – Insurance Law Hawaii
The court found coverage was properly denied based on the subcontractor's failure to follow contract specifications in blasting at the job site. Westfield Ins. Co. v. Carpenter Reclamation, Inc., 2014 U.S. Dist. LEXIS 130752 (S.D. W. Va. Sept. 18, 2014). Carpenter was hired by the Board of Education (BOE) to perform preliminary site clearing, demolition, rock excavation, and establishment of sub-grade for a building. Carpenter was to excavate to 3.5 feet below the floor subgrade so that plumbing and other utilities could be installed. Carpenter, however, blasted to depths deeper than required, including some areas that were up to nine feet. The BOE sued, alleging over-blasting and having to pay the cost of remediating the problem, along with breach of contract issues. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

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