Fairfield Connecticut Building Expert Directory

New York Preserves Subrogation Rights

September 06, 2023 — Lian Skaf - The Subrogation Strategist
The insurer’s right of subrogation is equitable in nature, even if not based in contract. However, since the insurer steps into the shoes of its insured and is limited to the rights of its insured, an integral part of the investigation process is determining what rights the insured has. Whether or not the insured can settle with the tortfeasor and that whether the settlement would also apply to the subrogated carrier is a question the Supreme Court of New York, a trial court, recently addressed. In Utica First Ins. Co. v. Homeport I LLC, et al., No. 150448/2022, 2023 N.Y. Misc. LEXIS 3087 (N.Y. Sup. Ct.), the plaintiff insurance carrier’s insured, SI Waterfront Management Inc. (SI Waterfront), owned and operated a restaurant called Wynwood at 24 Navy Pier Court in Staten Island, New York. The owner of the property was Homeport I LLC (Homeport). Significant construction work pertaining to plumbing and draining lines at the property was done by Ironstate Holdings, LLC (Ironstate), the plumbing portion of which was conducted by subcontractor Claire Construction Corp. (Claire). As a result of the construction work, on June 8, 2021, SI Waterfront allegedly sustained property damage from flooding. Read the court decision
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Reprinted courtesy of Lian Skaf, White and Williams LLP
Mr. Skaf may be contacted at skafl@whiteandwilliams.com

Whose Employee is it Anyway?: Federal Court Finds No Coverage for Injured Subcontractor's Claim Based on Modified Employer's Liability Exclusion

September 28, 2020 — Jeffrey J. Vita & Kerianne E. Kane - Saxe Doernberger & Vita
In Nagog Real Estate Consulting Corp. v. Nautilus Insurance Co.,1 the United States District Court for the District of Massachusetts held that an insurer had no duty to defend its insureds against claims brought by an injured subcontractor, based on an overbroad employer’s liability exclusion in the policy. Nautilus Insurance Company issued a commercial general liability policy to developer Nagog Homes LLC and its related construction company, Nagog Real Estate. The policy was endorsed with an Employer’s Liability Exclusion (the L205 Endorsement) that expanded the scope of the standard exclusion in the coverage form to include bodily injury claims of employees of “any” insured and their contractors or subcontractors, as opposed to simply the employees of the named insured. Nagog Homes was the developer, and Nagog Real Estate was the general contractor for a residential construction project. An employee of the framing subcontractor hired by Nagog Real Estate was injured while working on the project and sued both Nagog entities for his injuries. Nautilus, relying on the modified employer’s liability exclusion, denied coverage for the lawsuit based on allegations that the Nagog entities hired the framing subcontractor to perform work, which effectively made the plaintiff an employee of one or both of the Nagog entities. Reprinted courtesy of Jeffrey J. Vita , Saxe Doernberger & Vita and Kerianne E. Kane, Saxe Doernberger & Vita Mr. Vita may be contacted at jjv@sdvlaw.com Ms. Kane may be contacted at kek@sdvlaw.com Read the court decision
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CDJ’s #9 Topic of the Year: Nevada Supreme Court Denies Class Action Status in Construction Defect Case

December 31, 2014 — Beverley BevenFlorez-CDJ STAFF
According to Sean Whaley of the Las Vegas Review-Journal, “The Nevada Supreme Court has rejected a request for class action status for claims of damaged stucco from faulty construction by Del Webb Communities involving nearly 1,000 Sun City Summerlin residents.” However, “the court upheld the award of damages to 71 homeowners following a jury trial in Clark County District Court in 2008.” Whaley reported that this construction defect case was touted as the largest in Nevada history. Read the court decision
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Massachusetts Federal Court Rejects Adria Towers, Finds Construction Defects Not an “Occurrence”

July 03, 2022 — Eric B. Hermanson & Austin D. Moody - White and Williams
In an important ruling for insurers, U.S. District Court Judge Patti Saris found that Massachusetts does not follow the position taken in Cypress Point Condo Association v. Adria Towers, LLC, 226 N.J. 403, 418 (2016), i.e., it does not hold that "faulty workmanship claims [should be recognized] as ... an 'occurrence,' thus triggering coverage, 'so long as the allegedly defective work [was] performed by a subcontractor rather than the policyholder itself."[1] Instead, Judge Saris reaffirmed earlier Massachusetts authority holding faulty work is not an "occurrence" for coverage purposes,[2] and found this authority applied whether or not the work in question was subcontracted. In the alternative, Judge Saris found, even if a contractor's faulty work could be deemed an an "occurrence," such work did not constitute covered "property damage," because none of the alleged damage was "outside the scope of the work that Tocci was contractually required to fulfill as general contractor."[3] Reprinted courtesy of Eric B. Hermanson, White and Williams and Austin D. Moody, White and Williams Mr. Hermanson may be contacted at hermansone@whiteandwilliams.com Mr. Moody may be contacted at moodya@whiteandwilliams.com Read the court decision
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Insured’s Bad Faith Insurance Claim Evaporates Before its Eyes

August 03, 2020 — Garret Murai - California Construction Law Blog
Sometimes it’s right there before your eyes. Then, poof, it’s gone. This was the experience of one insured, who brought a bad faith insurance denial claim against his insurer thinking that the facts were in his favor, only to discover they were not. The 501 E .51st Street Case The Water Main Break and AGI’s Report The owner of a 10-unit apartment building built in 1963, 501 East 51st Street, Long Beach-10 LLC (just rolls off the tongue doesn’t it?), filed a bad faith action against its insurer Kookmin Best Insurance Co., Ltd., after it denied 501 East’s insurance tender following a water main break that caused the building’s foundation to subside. The water main break occurred sometimes between December 31, 2015 and January 2, 2016 next to the southwest side of the building. 501 East tendered its insurance claim to Kookmin on March 8, 2016, and in April 2016, presented a report prepared by American Geotechnical, Inc. (“AGI”) concerning damage to the building. According to the report prepared by AGI, AGI conducted a “limited geotechnical investigation” to “evaluate site conditions relating to the reported building distress following a waterline breach near the south end of the building.” The scope of AGI’s investigation was limited to “observation, photo documentation of the site conditions, [and[ floor-level survey of the interior of the first level units.” AGI’s investigation did not involve any subsurface investigation or soil testing. Read the court decision
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Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

How Retro-Commissioning Can Extend the Life of a Building—and the Planet

July 10, 2023 — Matthew Zweibruck - Construction Executive
Sustainability initiatives in the built environment need not be limited to new construction or other large expenditures. Aging facilities have the potential to extend their years of service while also combating greenhouse gas emissions. But what is the best course of action? From building design initiatives such as net zero and electrification to renewables and green building certifications, it can be a complicated and overwhelming field to navigate. Building owners and property managers may question if they are pursuing the correct programs to minimize their organization’s negative impacts on the environment. With all the initiatives, buzzwords and fancy awards surrounding these initiatives, there are energy-efficiency strategies available to buildings that cut through this noise—strategies that are cost effective, quick to implement, widely abundant and result in an immediate reduction in a building’s impact on climate change. Reprinted courtesy of Matthew Zweibruck, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Allen, TX Board of Trustees Expected to Approve Stadium Repair Plans

July 30, 2014 — Beverley BevenFlorez-CDJ STAFF
Construction plans to fix the $60 million high school football stadium in Allen, Texas, which has been closed due to cracks discovered in the structure, is expected to be approved by the Allen School Board of Trustees, reported KHOU. The construction company and architectural firm both stated “they will cover the costs to fix everything -- which could run between $600,000 and $1 million.” The school board plans on using “$2 million in bonds for the construction, renovation, acquisition and equipment of school facilities,” and will then seek to recover the amount of repairs “from the parties responsible for defects and/or construction problems and failures.” Read the court decision
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White and Williams Celebrates 125th Anniversary

March 04, 2024 — White and Williams LLP
White and Williams LLP, a global-reaching law firm headquartered in Philadelphia, PA, is celebrating its 125th Anniversary. Since its founding in 1899, the Firm has grown to two hundred lawyers with offices in Connecticut, Delaware, Maryland, Massachusetts, New Jersey, New York, Rhode Island, and Pennsylvania. “We are proud to celebrate our 125th anniversary. We are grateful to all of our clients for the trust that they place in our firm to handle their important litigation and transactional matters. The partnership we enjoy with our clients is special and a source of great pride to all of us at White and Williams. We are deeply committed to the success of our clients' goals and objectives,” stated Tim Davis, Managing Partner. “We look forward to celebrating this historic milestone with our clients, attorneys, staff and alumni throughout 2024,” added Davis. Read the court decision
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Reprinted courtesy of White and Williams LLP

FAIRFIELD CONNECTICUT BUILDING EXPERT DIRECTORY AND CAPABILITIES