Construction Civil Procedure Insurance

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Did you know? Recent changes in the law that may impact your construction projects in the Southeast.

Forum Selection Clause - The U.S. Supreme Court recently held that forum selection clauses should be upheld in most circumstances. Have you used a forum selection clause in your contracts which would maximize the...more

Construction E-Note - April 9, 2014

In This Issue: - Ongoing Or Completed Operations? Fifth Circuit Finds No Duty To Defend Contractor Under Additional Insured Endorsement - Your Venue, My Bond Claim: A Florida Law Primer - The Condominium Form Of...more

Illinois Federal Court Grants Summary Judgment in Favor of Insurer on “Vexatious and Unreasonable” Claim by Insured

In One Place Condominium, LLC v. Travelers Property Casualty Company of America, 2014 U.S. Dist. LEXIS 33974 (N.D. Ill. March 17, 2014), plaintiffs One Place Condominium LLC, The South Loop Shops LLC, Southblock Development...more

Appellate Court Notes - Week of February 10

AC35257 - Lagueux v. Leonardi: This decision has general applicability to the right of the State to ensure an applicant for a license is of good moral standing. The majority concluded that the Connecticut Insurance...more

The Construction Advantage

We hope you enjoy Bernstein Shur’s first edition of The Construction Advantage. This newsletter will provide you with insight into the current legal issues in construction, news and updates. We hope in this newsletter and...more

Texas Supreme Court Reverses Lower Court’s Holding Excluding Construction Defect Claim From Coverage Under CGL Policy

In a victory for contractors, the Texas Supreme Court recently held that a contractor does not lose coverage under its commercial general liability (“CGL”) policy merely because it entered into a contract agreeing to perform...more

Texas Supreme Court Rejects Insurer Attempt to Expand Limited Insurance Exclusion for Liability Assumed by Contract, Holding that...

In a highly anticipated ruling earlier this month, the Texas Supreme Court rejected Amerisure Insurance Company’s attempt to radically expand the scope of a common exclusion for liability assumed by contract found in many...more

Sin of Omission: Ninth Circuit Splits with the Fifth, Finds That Failure to Include Addendum No. 2 Creates Ambiguity in Marine...

In a marine builder's risk policy coverage dispute decided under Washington state law, the United States Court of Appeals for the Ninth Circuit reversed and remanded a grant of summary judgment for Underwriters. ...more

Texas Supreme Court Rules CGL Policy’s “Contractual Liability" Exclusion Does Not Bar Coverage for Claims Arising From...

On January 17, 2014, the Supreme Court of Texas rejected a commercial general liability (“CGL”) insurer’s attempt to invoke the “contractual liability” exclusion to deny coverage under a standard CGL policy regarding a...more

Texas Supreme Court Holds “Contractual Liability” Exclusion Inapplicable

In a long and highly anticipated decision issued today, the Texas Supreme Court held that a standard “contractual liability” exclusion does not void coverage for claims alleging that a contractor failed to construct a project...more

Court Gets in Line with Majority of Jurisdictions on Faulty Products Coverage

A recent decision from an appellate court in Pennsylvania is good news for policyholders who manufacture products, as yet another jurisdiction joins the majority view that product manufacturers may be covered for damage that...more

“John Doe” Saves the Day in Washington: Avoiding S.O.L. Defense by Properly Naming “Doe” Defendants

In Powers v. W.B. Mobile Servs., Inc., 311 P.3d 58, 2013 WL 5645561 (2013), Division Two of the Washington Court of Appeals held that if a plaintiff (1) names a “John Doe” defendant with “reasonable particularity,” files suit...more

Insured’s Settlement Without Consent Bars Coverage Under An OCIP

In its recent decision in Perini/Tompkins Joint Venture v. Ace Am. Ins. Co., 2013 U.S. App. LEXIS 24865 (4th Cir. Dec. 16, 2013), the United States Court of Appeals for the Fourth Circuit, considering both Maryland and...more

Court Confirms the Limited Duty of an Insurance Broker to Procure Only Coverage Requested by the Insured

Recently, in San Diego Assemblers v. Work Comp for Less Insurance Services, Inc. (October 4, 2013, CA Court of Appeal, Fourth Appellate District), the court upheld the granting of summary judgment on behalf of a broker on the...more

One Year Later, Superstorm Sandy Still Offers Viable Recovery Opportunities for Insurers

The one-year anniversary of Superstorm Sandy serves as a reminder to property insurers that key deadlines are approaching that can directly affect recovery efforts. Viable subrogation opportunities still exist, but carriers...more

Co-Insurer’s Contribution Claim for Defense Costs Upheld by New Jersey Supreme Court

The New Jersey Supreme Court recently held that insurers can sue co-insurers to recoup defense costs. In Potomac Ins. Co. of Ill. ex rel. OneBeacon Ins. Co. v. Pa. Mfrs. Ass’n. Ins. Co. (A-2-12) (September 16, 2013), the...more

Weekly Law Resume - September 2013: Construction Defects–Does Right to Repair Act Eliminate a Property Owner’s Common Law Rights...

Liberty Mutual Insurance Company v. Brookfield Crystal Cove, LLC Court of Appeal, Fourth Appellate District (August 28, 2013) The Right to Repair Act (Code Civ. Proc., sections 896, et seq.) applies to claims for...more

California Appellate Court Expands Rights to Homeowners in Construction Defect Cases beyond Remedies Provided in the California...

On August 28, 2013, the California Appellate Court (Fourth District) issued its ruling in the case of Liberty Mutual Insurance Company v. Brookfield Crystal Cove LLC (Case No. GO46731). Liberty Mutual filed suit against...more

New Jersey Supreme Court Addresses Inter-Insurer Contribution Rights

In a case of first impression, the Supreme Court of New Jersey, in its recent decision in Potomac Ins. Co. of Illinois v. Pennsylvania Manufacturer’s Association Ins. Co., 2013 N.J. LEXIS 847 (N.J. Sept. 16, 2013), had...more

Can Your Fee Dispute Rise to the Level of Unfair Competition? Maybe; but Not This Time.

A fee dispute between Travelers, its contractor/insured and the insured's counsel, is not your run of the mill fee dispute. Travelers alleges the existence of an illicit rate agreement between the contractor and its lawyers...more

Stresscon v. Travelers: A Victory For Policy Holders

Yesterday, the construction and insurance communities received much sought-after guidance from the Colorado Court of Appeals regarding Colorado’s recently adopted bad faith statute in the highly anticipated decision,...more

California Court of Appeal Opens the Door for Construction Defect Claims Outside of SB800

On August 28, the California Court of Appeal ruled that SB800 (Civil Code sections 895 through 945.5, the "Right to Repair Act") is not the only remedy for construction defect claims even when those claims fall within the...more

A Construction Defect Insurance Carrier Need Only Demonstrate That Another Insurance Carrier's Policy May Potentially Cover The...

A California Appellate Court recently clarified the burden of proof for an insurance company seeking contribution from another insurance company in settlement of a construction defect action. When a company involved in...more

Lennar Corp., et al. v. Markel Am. Ins. Co., No. 11-0394 (Tex. Aug. 23, 2013): Texas Supreme Court Affirms 'All Sums' Allocation...

On August 23, 2013, in Lennar Corp., et al. v. Markel Am. Ins. Co., the Texas Supreme Court issued an opinion that confirms two important aspects of pro-policyholder insurance law, despite insurers’ repeated attempts to...more

No Need of Injury to Others' Property to be an "Occurrence" under a CGL Insurance Policy

In an opinion last week that could have far reaching ramifications in the construction industry in the insurance coverage context, the Supreme Court of Georgia ruled that an "occurrence" under a standard Commercial General...more

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