Insureds Survive Motion to Dismiss Civil Authority Claim
September 29, 2021 —
Tred R. Eyerly - Insurance Law HawaiiAfter suffering business losses due to a hurricane, the insured's Civil Authority claim survived the insurer's motion to dismiss. Pathology Lab. v. Mt. Hawley Ins. Co., 2021 U.S. Dist. LEXIS 145129 (W.D. La. Aug. 3, 2021).
Hurricane Laura devastated Lake Charles, Louisiana causing severe damage to the insured property as well as other properties within a mile of the insured property. All seven electrical transmission line corridors feeding Lake Charles were catastrophically damaged causing an extensive power outage. Government shutdown Orders prohibited the insureds' access to the Lab. The Orders were issued by the respective civil authorities both in anticipation of and as a result of damage and dangerous physical conditions expected from and actually resulting from Hurricane Laura and the continuation thereof. When the hurricane arrived, all businesses that were not essential to the recovery were ordered closed until electricity, water and sewer services were restored. As a result, the Lab was closed from August 27, 2020 toSeptember 8, 2020.
The Lab sued for business income under the policy's Civil Authority provisions. Mt. Hawley moved to dismiss. Mt. Hawley argued that the Orders did not by their explicit terms close the Lab's business because closure was entirely dependent on the conditions of the described premises itself and whether it was safe to occupy. Mt. Hawley further argued that the mandatory Evacuation Order was issued in anticipation of property damage and therefore did not trigger coverage under the Civil Authority provision.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
No Bad Faith In Filing Interpleader
August 19, 2015 —
Tred R. Eyerly – Insurance Law HawaiiThe Eighth Circuit determined that filing an interpleader action in the face of multiple claims against the policy holder did not constitute bad faith. Purscell v. Tico Ins. Co., 2015 U.S. App. LEXIS 10438 (8th Cir. June 22, 2015).
Ben Purscell's vehicle collided with another vehicle, in which Tim and Amy Carr were riding. The Carrs were injured, and Purscell's passenger, Amy Priesendorf, was killed. Before the accident, Priesendorf had stretched her leg over and put her foot on the accelerator, on top of Purscell's foot. As the other car approached, Purscell swerved to avoid an accident, but the two vehicles collided.
Purscell had a policy with Infinity Assurance Insurance Company. The policy limited liability to $25,000 per person and $50,000 per accident for bodily injury. Infinity put the full $50,000 per accident limits on reserve, with $25,000 designated to Priesendorf's fatality and $25,000 designated to the Carrs.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Real Estate & Construction News Round-Up (03/01/23) – Mass Timber, IIJA Funding, and Distressed Real Estate
March 13, 2023 —
Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law BlogThis week’s round-up explores how Infrastructure Investment and Jobs Act (IIJA) funding is being deployed, mass timber is on the rise as decarbonization efforts continue, and commercial real estate remains distressed.
- With a flurry of high-profile projects, mass timber is gaining traction. (Jeffrey Steele, Commercial Property Executive)
- Commercial real estate is experiencing high levels of distress, with multiple owners defaulting on loans across the country. (Ted Glanzer, The Real Deal)
- Even with the recent downturn in cryptocurrency value, the metaverse real estate market is expected to continue to grow. (The Real Deal)
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Pillsbury's Construction & Real Estate Law Team
Termination of Construction Contracts
November 30, 2020 —
Stuart Rosen - Construction ExecutiveLately, in view of the COVID-19 pandemic, there is a heightened concern that some construction projects will not proceed as planned. Therefore, it is important to review each party’s right to terminate a construction contract and to examine some of the resulting consequences.
While the parties to a construction contract can, as always, agree to other mutually acceptable terms and provisions, in broad terms, a typical construction contract includes four triggering events that can lead to termination.
First, an owner can terminate a construction contract if the contractor defaults and thereafter fails to cure such default, which may include, without limitation, the failure to remediate deficient work, the failure to meet the construction schedule, the failure to pay subcontractors and the failure to comply with applicable law. A contractor must be mindful of the fact that in the case of such termination by the owner for cause, the vast majority of construction contracts provide that the contractor will not be entitled to receive any further payment for work performed by the contractor until the work is finished.
Reprinted courtesy of
Stuart Rosen, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Mr. Rosen may be contacted at
srosen@proskauer.com
Contractors Must Register with the L&I Prior to Offering or Performing Work, or Risk Having their Breach of Contract Case Dismissed
March 27, 2023 —
Jill Guingcangco - Ahlers Cressman & Sleight PLLCThe Washington State Legislature has an interest in protecting the public from “unreliable, fraudulent, financially irresponsible, or incompetent contractors” (RCW 18.27.140), which is why contractors are required to register with the Department of Labor and Industries (“L&I”) before advertising, offering to do work, or performing any work as a contractor. RCW 18.27.020. Accordingly, if a contractor brings an action for the collection of compensation or sues for breach of contract for work they performed, that individual is required to allege and prove that, at the time they performed the work, they were a registered contractor. RCW 18.27.080.
In
Dobson v. Archibald,1 Dobson worked as a longshoreman, but also simultaneously performed home repair work for pay during her off time. Dobson never registered as a contractor with L&I. Dobson acquired customers for her home repair work through a referral process. Dobson was referred to Archibald through a mutual friend who Dobson performed some home repair work for. Archibald subsequently hired Dobson to refinish the hardwood floors in Archibald’s home.
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Jill Guingcangco, Ahlers Cressman & Sleight PLLCMs. Guingcangco may be contacted at
jill.guingcangco@acslawyers.com
Reroof Blamed for $10 Million in Damage
November 06, 2013 —
CDJ STAFFA renovation of the city hall in Bay City, Michigan went wrong when roof repairs lead to fire and flooding of the historic building. Bay City has sued Gregory Construction and Mihm Enterprises, who earlier had been awarded a $1.5 million contract to reroof the building. The cost of repairing the building is expected to exceed the city’s insurance limit of $10 million.
The fire that damaged the building is alleged to have started when a roofer allegedly used a DeWalt grinder in attempt to remove some bolts. Under the contract with the city, the contractor was not going to use grinders, due to the risk of fire. The suit alleges that further water damage was caused, beyond the damage due to the firefighting, due to the contractor failing to “secure a section of the roof which was part of the Roofing Project with a tarp or other water-resistant covering.”
The contractors dispute the claims made by Bay City, with Gregory Construction describing them as “untrue and contrary to the facts.” Gregory Construction also claims that their obligations were delegated to Mihn Enterprises. Mihn Enterprises disputes this and states that they do not “owe a duty to the Plaintiffs; as a result their negligence claim is unenforceable as a matter of law.”
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Happenings in and around the 2016 West Coast Casualty Seminar
April 20, 2016 —
Beverley BevenFlorez-CDJ STAFFThe West Coast Casualty Construction Defect Seminar returns to the Disneyland Hotel next month (May 12th-13th) and the Construction Defect Journal has compiled a list of concerts, sporting events, and museum exhibitions taking place in and around Anaheim. Whether you like to spend your personal time checking out a new band, or watching your favorite Angel slide into home, or perusing the local art museum, there is something to spark your interest.
CONCERT VENUES
THE HOUSE OF BLUES IN ANAHEIM
Located in Downtown Disney, The House of Blues in Anaheim is a short walk from the convention hall.
Breakthru Entertainment Presents…
Tuesday, May 10th Starting at 630pm
For More Information...
Totally 80’s Live
Friday, May 13th at 7pm
For More Information...
THE GROVE OF ANAHEIM
Near Angel Stadium, the Grove of Anaheim is just a few miles away from the seminar location.
Luca Turilli’s Rhapsody & Primal Fear
Thursday, May 12th Doors Open at 7pm
For More Information and to Purchase Tickets...
SPORTING EVENTS
ANGEL’S STADIUM – BASEBALL
Take care of your popcorn-and-peanuts-and-cracker-jacks fix while cheering for the Angel’s—conveniently just a few miles from the Disneyland Hotel.
Angels v. Cardinals
Tuesday, May 10th at 7:05pm
For More Information and to Purchase Tickets...
Angels v. Cardinals
Wednesday, May 11th at 7:05pm
For More Information and to Purchase Tickets...
FAIRS AND FESTIVALS
Art Crawl Experience
Every quarter, Downtown Anaheim hosts an art walk that includes live entertainment, local artists, as well as food and craft vendors.
Saturday, May 14 from 6pm to 10pm
For More Information...
MUSEUM EXHIBITIONS
MUZEO
This local museum and cultural center is a short drive from the convention hall.
Exhibition: Master Craft: The Art of Woodworking
March 12th, 2016-May 21st, 2016
Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 5 pm
For More Information...
Exhibition: “A Touch of Africa in Anaheim” by Da African Village: the Art of Senegal and neighboring countries
April 30th, 2016 – May 30th, 2016
Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 5 pm
For More Information...
BOWERS MUSEUM (Santa Ana)
Voted “The Best Museum in Orange County” by OC Register Readers for 16 consecutive years, this arts and cultural center is worth the fifteen minute drive.
Exhibition: Once Upon a Time
April 16th, 2016-August 28th, 2016
Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 4 pm
For More Information...
Exhibition: Mummies of the World
March 19th, 2016-September 5th, 2015
Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 4 pm
For More Information...
Exhibition: Mystery from the Tomb: The Face Beneath the Mask
December 8th, 2015-TBD
Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 4 pm
For More Information...
Exhibition: Popul Vuh: Watercolors of Diego Rivera
December 12th, 2015 – May 29th, 2016
Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 4 pm
For More Information...
Lecture: Popul Vuh: Art in Context (6-Part series): The Rise of Modernism in Europe: Realist Shifts in the Nineteenth Century (Part 3)
Wednesday, May 11 at 11am-12pm
For More Information...
Lecture: ARCE Weekend Lecture: Sudanese Antiquity: New Insights from the ‘Bio-archaeology of Nubia Expedition (BONE)’
Saturday, May 14 at 130pm-3pm
For More Information...
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Mexico’s Construction Industry Posts First Expansion Since 2012
August 13, 2014 —
Brendan Case – BloombergMexico’s construction industry expanded in June for the first time in 19 months, adding to signs that the economy is rebounding after missing analyst estimates in seven of the last eight quarters.
Construction increased 2.2 percent from the year earlier, helping industrial production to expand 2 percent, according to data released today by the national statistics agency. The median estimate of 19 economists surveyed by Bloomberg was for industrial output to rise 2.1 percent.
“Industrial activity continued strengthening in June, very much in line with what the market expected,” Mario Correa, the chief Mexico economist at Bank of Nova Scotia, said in a note to clients today. “The construction industry finally showed a positive growth rate.”
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Brendan Case, BloombergMr. Case may be contacted at
bcase4@bloomberg.net
