Being deposed—not just for dictators! Depositions in the construction lawsuit (Law & Order: Hard Hat files Part 5)
January 17, 2013 —
Melissa Dewey Brumback, Construction Law in North CarolinaMy husband always finds it amusing when I talk about going “to depose” somebody. He wants to know just exactly what sort of coup d’etat I am planning. Despite the awkward language, the deposition process is not supposed to feel like water boarding, although if you don’t know what to expect it can be more miserable than truly necessary.
Simply put, a deposition is a chance for the other side’s lawyer to make you answer a whole bunch of questions (some relevant, some seemingly irrelevant) under oath. That is, first you put your hand on the Bible and swear (or affirm) to tell the truth, the whole truth, and nothing but the truth. In reality, depositions serve a variety of purposes– they educate the lawyers about the facts of the case, they give a preview of how you would “present” to a jury (i.e., would a jury like and believe you?), and they can be used to position a case for certain later dispositive motions (that is, summary judgment– stay tuned for Part 8 of the series on that issue).
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Melissa Dewey BrumbackMs. Brumback can be contacted at
mbrumback@rl-law.com
Insurer Sued for Altering Policies after Claim
January 13, 2014 —
CDJ STAFFA lawsuit alleges that Fidelity National Property & Casualty Insurance Co. retroactively cancelled policies, substituting policies that covered less after claims were made due to damages from Hurricane Sandy. Insurance Journal reports that Dayton Towers Corp., which owns seven high-rises in Queens, New York City, has sued the insurer.
According to Dayton, the policies covered the buildings for amounts from $2.5 to $2.7 million. The total coverage for all seven buildings was $18.5 million. Under new policies, the buildings were covered for $250,000 each, for a total of $1,750,000, which is the amount that Fidelity paid Dayton.
The lawsuit alleges that the policy does not allow for the terms to be rewritten when claims are pending.
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School District Gets Expensive Lesson on Prompt Payment Law. But Did the Court Get it Right?
February 26, 2015 —
Garret Murai – California Construction Law BlogMy kids don’t like riding in my car.
I urge them to look outside the window (I don’t have DVD), suggest that they roll down their windows to get some fresh air (rather than have me turn on the A/C) and persist on listening to that archaic device called the radio (I don’t “stream”).
Plus, I make them play “Dad Games.” Like Synonyms.
In Synonyms, I say a word, and the next person has to come up with a synonym for that word until someone can’t think of another synonym. Sometimes, I take a walk on the wild side, and play “Antonyms.”
Things can get heated, though. Like when someone says a word and there is a disagreement over whether that word is a synonym or not.
The next case, FTR International, Inc. v. Rio School District, California Court of Appeal for the Second District, Case No. B238618 (January 27, 2015), also involved a disagreement over synonyms . . . except that the loser had to cough up nearly $10 million.
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Garret Murai, Wendel Rosen Black & Dean LLPMr. Murai may be contacted at
gmurai@wendel.com
Virginia Chinese Drywall “property damage” caused by an “occurrence” and number of “occurrences”
August 04, 2011 —
CDCoverage.comIn Dragas Management Corp. v. Hanover Insurance Co., No. 2:10cv547 (E.D. Va. July 21, 2011), claimant residential home general contractor and developer DMC filed for arbitration against insured drywall supply and install subcontractor Porter-Blaine seeking damages for (1) the replacement of defective Chinese drywall, and (2) the repair of resulting property to other components of the DMC homes and homeowners’ personal property in seventy-four homes. Porter-Blaine’s CGL insurer Citizens and excess insurer Hanover defended Porter-Blaine in the DMC arbitration.
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Reprinted courtesy of CDCoverage.com
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Too Late for The Blame Game: Massachusetts Court Holds That the Statute of Repose Barred a Product Manufacturer from Seeking Contribution from a Product Installer
March 21, 2022 —
Gus Sara - The Subrogation StrategistIn State Farm Fire & Cas. Co. v. Wangs Alliance Corp., No. 21-cv-10389-AK, 2022 U.S. Dist. LEXIS 26712, the United States District Court for the District of Massachusetts (District Court) considered whether a product manufacturer was barred by the Commonwealth’s six-year statute of repose for improvements to real property from joining the installer of the product as a third-party defendant. The court denied the defendant’s motion for leave to file a third-party complaint to join the installer, finding that the installer completed its work more than six years prior to the motion being filed. This case reminds us that Massachusetts’ six-year statute of repose for improvement to real property also bars a defendant’s contribution claims against third parties.
The Wangs Alliance case involves a subrogation action filed by State Farm Fire & Casualty Insurance (Insurer) against Wangs Alliance Corp. (Wangs), a manufacturer of rope lighting. Insurer insured the homeowners, who experienced a fire in their home in 2018. The home was originally built in 2002 by Wellen Construction (Wellen). As part of the original construction, Wellen installed rope lighting manufactured by Wangs in the house.
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Gus Sara, White and WilliamsMr. Sara may be contacted at
sarag@whiteandwilliams.com
Texas Supreme Court Cements Exception to “Eight-Corners” Rule Through Two Recent Rulings
March 06, 2022 —
Jeremy S. Macklin - Traub Lieberman Insurance Law BlogThe Texas “eight corners” rule precludes insurers from disclaiming a defense obligation based on facts not alleged in the underlying pleadings. Texas federal and appellate courts have been issuing rulings addressing exceptions to the eight corners rule and recently sought guidance from the Texas Supreme Court on whether Texas law recognizes such exceptions to the “eight corners” rule. The Texas Supreme Court has now spoken on the issue.
Monroe Guar. Ins. Co. v. BITCO Gen. Ins. Corp., 65 Tex. Sup. Ct. J. 440 (2022).
In Monroe, David Jones contracted with 5D Drilling & Pump Services in the summer of 2014 to drill a 3,600-foot commercial irrigation well on his farmland. In 2016, Jones sued 5D for breach of contract and negligence relating to 5D’s drilling operations on Jones’s property. Jones’s pleading was silent as to when the damage flowing from 5D’s alleged acts of misconduct occurred. BITCO and Monroe stipulated that 5D’s drill struck a bore hole during 5D’s drilling operations in or around November 2014.
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Jeremy S. Macklin, Traub LiebermanMr. Macklin may be contacted at
jmacklin@tlsslaw.com
Drought Dogs Developers in California's Soaring Housing Market
September 17, 2015 —
John Gittelsohn – BloombergCalifornia’s already tight housing market is facing another long-term complication: drought.
The state’s dry spell is creating challenges for developers at a time when home prices are soaring because of limited inventory. The metropolitan areas of San Jose, San Francisco and San Diego had the nation’s biggest gap between the number of new jobs and residential building permits from 2012 to 2014, according to a report Wednesday by the National Association of Realtors. Now the drought, into its fourth year, stands to curb affordability further.
“It’s contributing to price appreciation by restricting supply,” said Mark Boud, founder of Real Estate Economics, a housing-consulting firm based in Irvine, California.
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John Gittelsohn, Bloomberg
Force Majeure and COVID-19 in Construction Contracts – What You Need to Know
April 06, 2020 —
Brenda Radmacher & Jason Suh - Gordon & Rees Construction Law Blog“Force Majeure” – While most construction contracts contain these provisions, they are often not understood in relation to the implications they may have on construction projects. With the onset of the COVID-19 pandemic, we are all taking a closer look at many portions of our contracts. The following is a brief primer on how to understand your construction contract and its potential implications on your business in this season of change.
What is a Force Majeure?
Construction contracts usually take into consideration that the parties want to agree at the outset on who bears the risk of unforeseen incidents that may affect the project’s progression. These issues are generally handled in a “force majeure” clause. Force majeure, according to Mariam Webster’s Dictionary is a “superior or irresistible force; or an event or effect that cannot be reasonably anticipated or controlled.” To be deemed a force majeure, generally the circumstances must be outside of a party’s control which makes performance impossible, inadvisable, commercially impractical, or illegal. In addition to being unforeseeable, the circumstances must have external causation, and be unavoidable. However, the key to understanding if COVID-19 will be deemed a condition that will excuse a contractor’s performance is the specific language in the provision.
Generally force majeure events are unavoidable events such as “acts of God,” most notably weather conditions including hurricanes, tornadoes, floods, earthquakes, landslides, and wildfires, as well as certain man-made events like riots, wars, terrorism, explosions, labor strikes, and scarcity of energy supplies. However, there is not much case law or specifics on conditions similar to COVID-19.
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Brenda Radmacher, Gordon & Rees and
Jason Suh, Gordon & Rees
Ms. Radmacher may be contacted at bradmacher@grsm.com
Mr. Suh may be contacted at jwsuh@grsm.com
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