News & Analysis as of

Construction Defects

Third Appellate District Holds Right to Repair Act Precludes Certain Common Law Claims for Damages Caused by Construction Defects

In Gillotti v. Stewart (No. C075611, filed 4/26/17, publication order 5/18/17), the California Court of Appeal for the Third Appellate District held that the Right to Repair Act, Civil Code section 895, et seq. (the “Act”)...more

Colorado Construction Defect Action Reform: HB 17-1279 Approved by Colorado Legislature; Governor’s Approval Imminent

by Snell & Wilmer on

Colorado developers frequently cite Colorado’s Construction Defect Action Reform Act (CDARA) as an obstacle to building new condominiums in the state. Developers contend that the law makes it too easy for condo boards to sue...more

Colorado State Legislature Finally Passes Construction Defects Reform Legislation

In a dramatic and seemingly overnight change of course, the Colorado House of Representatives unanimously approved House Bill 1279 on April 24, 2017. Days later, on May 4, 2017, HB 1279 passed unanimously in the Colorado...more

Maryland Senate Fails To Consider Bill Passed By House To Preclude Limitations On Construction Defect Claims

by Baker Donelson on

The Maryland Senate failed to vote on SB 670, which would prevent condominium developers from limiting the ability of the council of unit owners and individual unit owners to bring claims for building defect issues. The...more

Construction Alert: "When Is It Cool Not to Pay? Fridge Dispute at Texas Supreme Court Addresses Prior Material Breach Doctrine"

by Porter Hedges LLP on

The Texas Supreme Court recently issued an opinion that could impact the next construction project where multiple parties complain about who breached (and who breached first) and whether the parties must continue performing...more

Colorado Appellate Court Holds that Commercial Entity that Owns a Senior Living Facility Is a “Residential Property Owner” Within...

by Pepper Hamilton LLP on

Broomfield Senior Living Owner, LLC v. R.G. Brinkmann Co., 2017 Colo. App. Lexis 261 (March 9, 2017) - R.G. Brinkmann Company, as general contractor, was retained by Sunrise Development, Inc., a major national developer,...more

Alleged Violations of Florida Building Code Not Subject to Class Treatment

by Carlton Fields on

Two couples who own homes in central Florida attempted to bring a class action against a homebuilder, stemming from alleged violations of Florida’s building code. Section 553.84, Florida Statutes, provides for such a private...more

Insurance Coverage for Property Damage Caused by Defective Workmanship

by Pepper Hamilton LLP on

One of the principal points of contention between insurers and insureds is whether defective construction work is, or can be, an occurrence, thereby triggering coverage. Originally published in ConsensusDocs (Vol. 3,...more

Construction Advisory: Passage, Defeat, and Uncertainty: The Colorado General Assembly Tackles Construction Defect Reform in the...

by Sherman & Howard L.L.C. on

The Colorado General Assembly is heading towards the conclusion of this year’s legislative session. Although one construction defect bill, House Bill 1279, passed the House and is expected to pass the Senate, most bills have...more

No Negligence? No Causation? No Problem. Arizona Appellate Court Holds General Contractor Need Not Prove Subcontractor’s...

by Pepper Hamilton LLP on

Amberwood Dev., Inc. v. Swann’s Grading, Inc., No. 1 CA-CV 15-0786, 2017 Ariz. App. Unpub. LEXIS 207 (Ct. App. Feb. 23, 2017) - This case arose out of a housing development project, with Amberwood Development Inc....more

These Class Action Lawyers Made Their Fees The Old-Fashioned Way. They Earned Them!

by Brooks Pierce on

It's not very often that I see a fee application in a settled class action in the Business Court that doesn't strike me as requesting approval of an overpayment for a less than successful result. Those are most often in the...more

Colorado House Bill 1279 stalls over 120-day unit owner election period

by Snell & Wilmer on

With the session more than halfway through, the Colorado Legislature’s 2017 attempts at meaningful construction defect reform may fail again. This year, the Legislature did not attempt a single-bill construction defect...more

Insurers/Reinsurers: Between a Rock and a Hard Place

by Locke Lord LLP on

A federal court in South Carolina recently adopted a Magistrate’s recommendation that an insurer’s communications with its reinsurers are relevant and discoverable. In ContraVest, Inc. v. Mt. Hawley Insurance Company, No....more

District Court Find No Federal Question Jurisdiction In Action Challenging Arbitration Award Based On Arbitrator Bias

by Carlton Fields on

A federal court has rejected the attempt of the losing party in an arbitration to engage in discovery regarding the potential bias of the arbitrator, finding that it had no jurisdiction over the matter because it did not...more

Senate Committee Issues Favorable Report On Bill To Preclude Developers From Limiting Condo Owners Claims

by Baker Donelson on

The Maryland Senate Judicial Proceedings Committee has issued a favorable report on legislation, which has already been passed by the House of Delegates, intended to protect condominium owners’ rights with regard to bringing...more

House of Delegates Passes Bill To Preclude Condo Developers From Limiting Owners Construction Defect Claims

by Baker Donelson on

By a vote of 136-0, the Maryland House of Delegates approved a bill to protect condominium owners’ rights with regard to bringing construction defect claims against the project’s developer. House Bill 676 would prevent...more

Montana Supreme Court Rules That Statute of Repose Is an Absolute Bar to Claims and Cannot be Tolled for Any Reason, Including...

by Pepper Hamilton LLP on

Hill County High School District No. A v. Dick Anderson Construction, Inc., 2017 Mont. LEXIS 38 (Mt. Feb 7, 2017) - This action arose out of the design and construction of a new roof for a high school in Hill County,...more

Indecent Exposure: New Decision Confirms Subcontractors Liability To CD Damages Is Expansive

How broad is a “broad-form” indemnity provision in a construction contract? A recent decision by the Arizona Court of Appeals has held such a provision allows a developer great latitude in recovering monies paid for...more

Reading the Crystal Ball: Reservation of Rights Letters under South Carolina Law in the Wake of Harleysville Group Insurance v....

by Carlton Fields on

The South Carolina Supreme Court recently took a firm stance on what constitutes a sufficient reservation of rights letter in Harleysville Group Insurance v. Heritage Communities, Inc., et al., — S.E.2d — , No. 2013-001281,...more

Statute of Repose Bill Passes House of Representatives

by Davis Brown Law Firm on

On Tuesday, March 21, the Iowa House passed House File 3 (HF3), a bill that would reduce the Statute of Repose applicable to construction claims. The bill is now on to Governor Branstad....more

Seventh Circuit Finds Faulty Work Not a Covered “Occurrence”

In Allied Prop. & Cas. Ins. Co. v. Metro North Condo. Ass’n, No. 16-1868, 2017 U.S. App. LEXIS 4107 (7th Cir. Mar. 8, 2017), the Seventh Circuit had occasion to consider whether claims of faulty workmanship could constitute...more

Iowa Senate Passes Bill Reducing Statute of Repose

by Davis Brown Law Firm on

On Wednesday, March 8, the Iowa Senate passed Senate File 413 (SF413), a bill that would reduce the Statute of Repose applicable to construction claims. This bill is now under discussion in the Iowa House (HF3)....more

Economic Damages and the Right to Repair Act: You Can’t Have it Both Ways

In 2002, the California State Legislature passed Senate Bill 800 also known as the Right to Repair Act (Civil Code Sections 895 et seq.) in an effort to stem a then rising tide in residential construction defect litigation....more

Construction Defect – Strict Compliance with Right to Repair Response Deadline Required

by Low, Ball & Lynch on

A residential builder must assert insufficiency of claimant’s notice within 14 days under the California Right to Repair Act also known as SB 800. William Blanchette, et al. v. The Superior Court of Imperial...more

California Court Of Appeals Holds Builder Must Respond To Notice of Claim Under The Right to Repair Act Within Statutory Period...

In William Blanchette v. The Superior Court of Imperial County [D070545, 2/20/17], the California Court of Appeals strictly construed the statutory requirement that a builder respond to a notice of claim of defects under the...more

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