Fairfield Connecticut Building Expert Directory

Contractor’s Coverage For Additional Insured Established by Unilateral Contract

November 18, 2011 — Tred R. Eyerly - Insurance Law Hawaii

The contractor was covered as an additional insured under the subcontractor’s policy even though the parties had never actually signed an agreement to add the contractor to the policy. Evanston Ins. Co. v. Westchester Surplus Lines Ins. Co., 2011 U.S. App. LEXIS 20081 (9th Cir. Oct. 3, 2011).

The policies held by Bellevue Master, the general contractor, required it to be an additional insured under any subcontractor’s liability policy. Northwest Tower Crane Services was a subcontractor. Bellevue Master LLC, faxed a message that Northwest could continue to be a subcontractor on the project if it complied with Bellevue Master’s insurance requirements. Northwest contacted its insurance broker and requested an insurance certificate be issued to Bellevue Master so that it would be an additional insured under Northwest’s policy.

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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii. Mr. Eyerly can be contacted at te@hawaiilawyer.com

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The Basics of Subcontractor Defaults – Key Considerations

February 15, 2021 — Gerard J. Onorata - Peckar & Abramson, P.C.
The success of general contractors in completing a construction project is often dependent upon the performance of their subcontractors. General contractors have frequently said exactly this. Traditionally, the key subcontractors on a project are the electrical, plumbing, HVAC and structural steel subs. Due to the fundamental nature of the work performed by these trades, the risk of defaulting and terminating one or more of them is likely to have a substantial impact on the project, more so than with the trade contractors that perform their work after a building is made weather tight (i.e., drywall, tile, painting). Most general contractors have, over a period of years, established longstanding relationships with certain subcontractors that they have come to depend upon. The risk of having to default and terminate one of these subs is minimal. Nevertheless, there will inevitably arise occasions when even a once reliable subcontractor fails to perform and it becomes necessary to invoke the remedies of default and termination. Areas ripe for controversy with subcontractors that often can lead to default and termination often involve disputes over change orders and the scope of work, the installation of defective work and the back-charges that ensue therefrom, and, to a lesser extent, conflicts that arise from ambiguous plans and specifications and the extra work and delays caused by the discovery of unforeseen site conditions. Read the court decision
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Reprinted courtesy of Gerard J. Onorata, Peckar & Abramson, P.C.
Mr. Onorata may be contacted at gonorata@pecklaw.com

Another Setback for the New Staten Island Courthouse

January 13, 2014 — Melissa Zaya-CDJ STAFF
The new Staten Island Courthouse received another setback when James McDonough filed suit stating unsafe work conditions, according to Frank Donnelly writing for Silive. The completion date for the new multistory, $230 million complex has been rescheduled four times so far. Fifty-eight year old James McDonough, resident of Ridgewood Queens, became injured after a fall down a shaft, and he subsequently “sued the city, state Dormitory Authority, the state Office of Court Administration and various contractors,” Donnelly reported. A total of ten defendants have been named in the suit. According to Silive, the Office of Court Administration, Dormitory Authority and the Law Department would not comment on the pending litigation further except to say that papers have been filed and the case is under review. Read the court decision
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Additional Insured Is Covered Under On-Going Operations Endorsement Despite Subcontractor's Completion of Work

December 20, 2017 — Tred Eyerly - Insurance Law Hawaii
Although the homeowners did not own their homes when the subcontractors completed their work, the general contractor was still covered as an additional insured for the homeowners' suits based on the ongoing operations endorsement in the subcontractors' policies. McMillin Mgmt. Servs. v. Fin. Pac. Ins. Co., 2017 Cal. App. LEXIS 1000 (Cal. Ct. App. Nov. 14, 2017). McMillin was the developer and general contractor for the project. Among the subcontractors were Martinez Construction Concrete Contractor, Inc. and Rozema Corporation. Martinez performed concrete flatwork between 2003 and November 2005. Rozema performed lath and stucco work between March 2003 and October 2005. Lexington issued CGL policies to Martinez and Rozema. McMillin was an additional insured under both policies, "but only with respect to liability arising out of your [i.e., Martinez's or Rozema's] ongoing operations performed for [McMillin]." An exclusion provided that the insurance did not apply to property damage occurring after the insured subcontractor had completed operations on behalf of the additional insured. Read the court decision
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Reprinted courtesy of Tred Eyerly, Insurance Law Hawaii
Mr Eyerly may be contacted at te@hawaiilawyer.com

A Game of Texas Hold’em: How Texas Stopped Wage Increases for Salaried Exempt Employees Nationwide

December 03, 2024 — Matthew DeVries - Best Practices Construction Law
Construction contractors often have to deal with classification of employees, particularly those who work in the home office. Today’s guest post by Alexandra Shulman and Leah Lively addresses a recent court decision affecting the wage protection of employees under the the Fair Labor Standards Act (FLSA). On November 15, 2024, a federal court in Texas vacated a U.S. Department of Labor (DOL) rule (the “2024 Rule”) that increased the minimum salary threshold for employees classified as exempt from overtime and minimum wage protections under the FLSA. The Texas court’s decision nullifies the 2024 Rule nationwide, effective immediately. Read the court decision
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Reprinted courtesy of Matthew DeVries, Buchalter
Mr. DeVries may be contacted at mdevries@buchalter.com

COVID-19 Case Remanded for Failure to Meet Amount in Controversy

September 14, 2020 — Tred R. Eyerly - Insurance Law Hawaii
The federal district court remanded to state court a loss of rent claim because the amount in controversy requirement was not met. Geragos & Geragos Fine Arts Bldg., LLC v. Travelers Indemn. Co., 2020 U.S Dist. LEXIS 127427 (C.D. Cal. July 20, 2020). Geragos suffered loss of rental income due to the COVID-19 tenant relief measures implemented in Los Angeles. The tenant relief orders would remain in effect for the duration of the emergency period, the end date of which was not presently set. Geragos submitted a claim for loss of rental income to Travelers. When the claim was denied, Geragos sued in state court. Travelers removed to federal district court. Geragos moved to remand the case back to state court for lack of subject matter jurisdiction. 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

Colorado Senate Bill 13-052 Dies in Committee

May 10, 2013 — David M. McLain
On April 17, 2013, the Colorado Senate Judiciary Committee voted, along party lines, to postpone indefinitely SB 52. Here is a link to the Denver Business Journal's story regarding the bill and its untimely demise: "Lawmakers kill lawsuit limits on condo defects." Unfortunately, it will be at least another year before the legislature will have the ability to provide some much needed relief to the Colorado construction industry. Read the court decision
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Reprinted courtesy of David M. McLain
Mr. McLain can be contacted at mclain@hhmrlaw.com

Asbestos Client Alert: Court’s Exclusive Gatekeeper Role May not be Ignored or Shifted to a Jury

February 07, 2014 — Lee Marshall and Chandra L. Moore - Haight Brown & Bonesteel, LLP
In Estate of Henry Barabin v. AstenJohnson, Inc., - F.3d -, 2014 U.S. App. LEXIS 774, 2014 WL 129884 (9th Cir., Jan. 15, 2014) en banc, the Ninth U.S. Circuit Court of Appeals vacated a $10.2 million judgment in the Plaintiffs’ favor in a case where Plaintiff alleged that occupational exposure to asbestos from dryer felts caused his mesothelioma. The Ninth Circuit held that the district court abused its discretion by neglecting its duty as a “gatekeeper” under Daubert v. Merrell Dow Pharms., 509 U.S. 579, 113 S. Ct. 2786, 125 L. Ed. 2d 469 (1993), and Federal Rule of Evidence 702, by improperly admitting expert testimony at trial without first determining its reliability. The en banc court held that admitting the testimony on the debated theory that “each asbestos fiber causes mesothelioma” was prejudicial error and the court remanded the case for a new trial. The court also held that a reviewing court has the authority to make Daubert findings based on the record established by the district court, but in the instant case, the record was “too sparse” to determine whether the expert testimony was relevant and reliable or not. This ruling is a victory for the defense in that it reaffirms the federal court’s exclusive gatekeeper role and holds that the role may not be ignored or shifted to a jury. Unfortunately, the court did not go so far as to evaluate the inherent reliability of expert opinions based on the theory that “each asbestos exposure causes mesothelioma.” As such, it did not provide guidance as to what specific foundational requirements are required to admit, or exclude, these types of opinions under a Daubert analysis. In Barabin, Plaintiff alleged he was exposed to asbestos while working at a paper mill with dryer felts manufactured and supplied by Defendants. The issue was whether the dryer felts substantially contributed to Barabin’s development of mesothelioma, a determination that required expert testimony. Reprinted Courtesy of Lee Marshall, Haight Brown & Bonesteel, LLP and Chandra L. Moore, Haight Brown & Bonesteel, LLP Mr. Lee may be contacted at lmarshall@hbblaw.com and Ms. Moore may be contacted at cmoore@hbblaw.com. Read the court decision
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