Fairfield Connecticut Building Consultant Directory

Let’s Talk About a Statutory First-Party Bad Faith Claim Against an Insurer

February 19, 2024 — David Adelstein - Florida Construction Legal Updates
Let’s talk about a statutory first-party bad faith claim against an insurer under Florida law. A recent opinion, discussed below, does a nice job providing a synopsis of a first-party statutory bad faith claim against an insurer: The Florida Legislature created the first-party bad faith cause of action by enacting section 624.155, Florida Statutes, which imposes a duty on insurers to settle their policyholders’ claims in good faith. The statutory obligation on the insurer is to timely evaluate and pay benefits owed under the insurance policy. The damages recoverable by the insured in a bad faith action are those amounts that are the reasonably foreseeable consequences of the insurer’s bad faith in resolving a claim, which include consequential damages. “[A] statutory bad faith claim under section 624.155 is ripe for litigation when there has been (1) a determination of the insurer’s liability for coverage; (2) a determination of the extent of the insured’s damages; and (3) the required [civil remedy] notice is filed pursuant to section 624.155(3)(a).” Read the full story...
Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

Drawing the Line: In Tennessee, the Economic Loss Doctrine Does Not Apply to Contracts for Services

December 11, 2023 — Gus Sara - The Subrogation Strategist
In Commercial Painting Co. v. Weitz Co. LLC, No. W2019-02089-SC-R11-CV, 2023 Tenn. LEXIS 39 (Weitz), the Supreme Court of Tennessee (Supreme Court) considered whether the economic loss doctrine barred the plaintiff’s claims for fraud, negligent misrepresentation and punitive damages arising out of a contract with the defendant for construction services. The court held that the economic loss doctrine only applies to product liability cases and does not apply to claims arising from contracts for services. This case establishes that, in Tennessee, the economic loss doctrine does not bar tort claims in disputes arising from service contracts. In Weitz, defendant, Weitz Co. LLC (Weitz), was the general contractor for a construction project and hired plaintiff Commercial Painting Co. (Commercial) as a drywall subcontractor. Weitz refused to pay Commercial for several of its payment applications, claiming that the applications were submitted untimely and contained improper change order requests. Commercial filed a lawsuit against Weitz seeking over $1.9 million in damages, alleging breach of contract, unjust enrichment, enforcement of a mechanic’s lien, and interest and attorney’s fees under the Prompt Pay Act of 1991. Weitz filed a counterclaim for $500,000 for costs allegedly incurred due to Commercial’s delay and defective workmanship. In response, Commercial amended its complaint to add claims for fraud, intentional and negligent misrepresentation, rescission of the contract and $10 million in punitive damages. Commercial alleged that Weitz received an extension of the construction schedule but fraudulently withheld this information from Commercial and continued to impose unrealistic deadlines. Read the full story...
Reprinted courtesy of Gus Sara, White and Williams
Mr. Sara may be contacted at sarag@whiteandwilliams.com

ICYMI: Highlights From ABC Convention 2024

May 06, 2024 — Grace Calengor - Construction Executive
In case you missed ABC Convention 2024 in Kissimmee, Florida, last month, here are key highlights from the week of competitions, exhibitions, speakers, performances and more. WINNERS AND HONOREES Contractor of the Year

Kwest Group was announced as ABC’s 2024 Contractor of the Year. Read CE's full story here.

Careers in Construction Awards

A total of 25 teams comprising undergraduate students from colleges across the country competed in ABC's 2024 Construction Management Competition, developing proposals for a project that included renovation and new construction at the Fort Lauderdale Aquatic Center. The overall winner was the team from Clemson University, a member of ABC of the Carolinas. For a full list of winners in all categories, visit here.
In the 35th year of ABC's National Craft Championships, nearly 200 skilled trades workers displayed their craft in the exhibit hall—taking home bronze, silver and gold as well as recognition for safety in 16 categories. For a full list of winners, visit here.

Traub Lieberman Attorneys Lisa M. Rolle, Eric D. Suben, and Justyn Verzillo Secure Dismissal of All Claims in a Premises Liability Case

November 16, 2023 — Lisa M. Rolle, Eric D. Suben & Justyn Verzillo - Traub Lieberman
On an appeal of an order denying Defendant’s motion to dismiss the complaint in a slip-and-fall action commenced in Kings County Supreme Court, Traub Lieberman attorneys Lisa M. Rolle, Eric D. Suben, and Justyn Verzillo successfully secured dismissal of all claims by the Appellate Division, Second Department, on behalf of Traub Lieberman’s client. The lawsuit sought to recover damages arising out of injuries the Plaintiff allegedly sustained when she slipped and fell in the shower of a rental property owned by the Defendant, a limited liability company. Plaintiff alleged that the subject shower was defective, and the Defendant negligent, based on the absence of non-slip surfacing and grab bars in the shower. Aside from premises liability (negligence), Plaintiffs asserted eight other causes of action, including gross negligence, breach of warranty of habitability, intentional infliction of emotional distress, negligent infliction of emotional distress, alter-ego liability, loss of consortium, and for declaratory judgment. The judge in Supreme Court denied Traub Lieberman’s motion to dismiss on behalf of Defendant, citing as the sole reason that the affidavits submitted with the motion were unsigned, and ignoring Traub Lieberman’s arguments pointing out the glaring facial deficiencies of Plaintiff’s pleading and that the signed affidavits were in fact submitted before the return date. Reprinted courtesy of Lisa M. Rolle, Traub Lieberman, Eric D. Suben, Traub Lieberman and Justyn Verzillo, Traub Lieberman Ms. Rolle may be contacted at lrolle@tlsslaw.com Mr. Suben may be contacted at esuben@tlsslaw.com Mr. Verzillo may be contacted at jverzillo@tlsslaw.com Read the full story...

Finding an "Occurrence," Appellate Court Rules Insurer Must Defend

March 11, 2024 — Tred R. Eyerly - Insurance Law Hawaii
Reversing the trial court, the Wisconsin Court of Appeals found the insurer must defend a cross-claim against the insured owner of a building after an explosion occurred. LBC, LLC v Spectrum Brands, Inc., 2023 Wis. App. LEXIS 1251 (Wis. Ct. App, Nov. 30, 2023). LBC leased commercial property to Spectrum. Spectrum stored lithium on the property. The lithium exploded when it came into contact with water that entered the premises during historic flooding in August 2018. Spectrum remediated the premises, vacated the premises prior to the lease's termination date, and stopped paying rent. LBC sued Spectrum, alleging that Spectrum negligently stored the lithium and that Spectrum breached the lease. Spectrum counterclaimed, alleging that LCB breached the lease in various respects, that LCB negligent allowed water to infiltrate the premises, and that Spectrum was constructively evicted. LCB tendered the counterclaim to its insurer, General Casualty. The tender was denied and LCB sued. Read the full story...
Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Hunton Insurance Coverage Partner Lawrence J. Bracken II Awarded Emory Public Interest Committee’s 2024 Lifetime Commitment to Public Service Award

February 26, 2024 — Hunton Insurance Recovery Blog
On February 7, the Emory Public Interest Committee (EPIC) honored insurance coverage partner Lawrence (Larry) J. Bracken II with their 2024 Lifetime Commitment to Public Service Award at the annual EPIC Inspiration Awards. As one of the Emory University School of Law’s signature events, the Inspiration Awards celebrate members of the community who do extraordinary work in the public interest and provide funding for public interest summer jobs. Larry has more than 37 years of experience litigating insurance coverage, class action and commercial cases in federal and state courts throughout the United States. He represents policyholders in insurance coverage litigation and arbitration, and is a Fellow of the American College of Coverage Lawyers. Larry also has litigated class actions and other complex commercial disputes for more than three decades. Pro bono representation of clients in habeas corpus, prisoner rights, and landlord-tenant litigation is an important part of his practice. Larry currently serves as the President of the Board of Directors of the Atlanta Volunteer Lawyers Foundation. Read the full story...
Reprinted courtesy of Hunton Andrews Kurth LLP

A Guide to California’s Changes to Civil Discovery Rules

April 29, 2024 — Lewis Brisbois Newsroom
San Diego, Calif. (April 10, 2024) - California legislators have changed the rules of discovery in civil cases through the passage of amendments to Code of Civil Procedure sections 2016.090 and 2023.050, effective January 1, 2024. Section 2016.090 creates a new set of rules for civil litigators in cases filed on or after January 1, 2024, which permits any party to the litigation to demand initial disclosures be provided within 60-days. Such a demand can be made any time after a party has filed a responsive pleading, including a demurrer or motion to strike. Notably, this rule requires production of all information relevant to any causes of action that are pled at the time of the demand, meaning the parties may be required to disclose information related to claims that are being challenged on demurrer or a motion to strike, such as claims for punitive damages. This statute is only implicated when one of the parties to the action makes a demand and may be modified by stipulation of the parties. Read the full story...
Reprinted courtesy of Lewis Brisbois

Waiving Consequential Damages—What Could Go Wrong?

March 19, 2024 — Curtis W. Martin & Kellie M. Ros - Peckar & Abramson, P.C.
You are inexcusably late with construction of a football stadium, a casino, or similar project that generates large income for the owner. The indirect damages, often referred to as consequential damages, that flow from the delay can be astronomical to the point of breaking your company if it must pay them. As a result, many construction contracts, at every tier, contain a provision that waives consequential damages. By this waiver, a party seeks to limit its risk for these damages. Over the years, courts have interpreted these provisions in a widely variable and inconsistent manner. The courts typically start with the specific language of the waiver to discern the parties’ intent. Thus, the language of the provision itself is critical. But construction professionals should not overlook other provisions in the contract that may have an impact on a court’s analysis of the parties’ intent. As one of my colleagues likes to say, “the large print giveth and the small print taketh away.” Reprinted courtesy of Curtis W. Martin, Peckar & Abramson, P.C. and Kellie M. Ros, Peckar & Abramson, P.C. Mr. Martin may be contacted at cmartin@pecklaw.com Ms. Ros may be contacted at kros@pecklaw.com Read the full story...

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