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Property Damage Construction Defects Construction Contracts

Carr Maloney P.C.

To Pay or Not to Pay “Rip and Tear” Damages

Carr Maloney P.C. on

Should a contractor’s Commercial General Liability (CGL) insurance policy cover the expense of uncovering defective work causing damage to the owner’s property as well as the costs of exposing or accessing damaged building...more

Otten Johnson Robinson Neff + Ragonetti PC

Proposed State Legislation Would Nearly Double the Statute of Repose under the Colorado Construction Defect Action Reform Act and...

While Colorado struggles with an ongoing housing supply deficit and potential buyers grapple with interest rate resistant prices and higher costs of borrowing, local and state governments are entertaining all kinds of...more

Lasher Holzapfel Sperry & Ebberson PLLC

Do I Have a Claim Against my Contractor? Prelitigation Notice Requirements for Residential Defect Claims in Washington

When faced with a residential construction defect problem—such as water intrusion, poor workmanship, or material/design deficiencies—Washington homeowners are often left wondering whether they have a claim, who is at fault...more

Kennedys

Negligent damage to an insured’s work now considered “property damage” caused by an “occurrence” under Illinois law

Kennedys on

In a landmark decision, the Illinois Supreme Court has set forth a new legal framework to follow when analyzing coverage for construction defect claims under CGL policies. In Acuity v. M/I Homes of Chicago, LLC, 2023 IL...more

Woodruff Sawyer

Mitigating or Preventing Water Damage

Woodruff Sawyer on

Water’s capacity to inflict severe and costly damage looms large over all construction projects. Whether it’s caused by Mother Nature or human error, water damage presents a ubiquitous threat. Because construction water...more

White and Williams LLP

Tenants Underwater: Indiana Court of Appeals Upholds Privity Requirement for Property Damage Claims Against Contractors

White and Williams LLP on

In United States Automatic Sprinkler Corp. v. Erie Ins. Exch., et al., No. 21A-CT-580, 2022 Ind. App. LEXIS 87 (Automatic Sprinkler), the Court of Appeals of Indiana (Court of Appeals) considered whether there is a privity...more

Ervin Cohen & Jessup LLP

Construction Defect Damages May Exceed Cost To Repair

Ervin Cohen & Jessup LLP on

Construction defect cases often involve damage claims beyond simply the cost to repair the allegedly defective unit or component. These consequential damages may include damages for loss of use, expenses for mitigation and...more

Hinshaw & Culbertson LLP

[Webinar] Webinar Series: Insurance Insights – What Insurers Need to Know in 2021 - Construction Claims: A Practical Reservation...

Join us for Hinshaw's Webinar Series: Insurance Insights – What Insurers Need to Know in 2021. This series will feature insurance thought leaders from Hinshaw and RPC, presenting on the most pressing insurance claims topics...more

White and Williams LLP

Virginia Molds Tort Versus Contract Law in New Home Construction Case

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Often times, both contract and tort claims co-exist in a subrogation matter and the line between the two can be blurred. This is especially true in the context of damages resulting from new home construction defect claims....more

White and Williams LLP

Wisconsin Supreme Court Holds that Subrogation Waiver Does Not Violate Statute Prohibiting Limitation on Tort Liability in...

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In Rural Mut. Ins. Co. v. Lester Bldgs., LLC 2019 WI 70, 2019 Wisc. LEXIS 272, the Supreme Court of Wisconsin considered whether a subrogation waiver clause in a construction contract between the defendant and the plaintiff’s...more

Ward and Smith, P.A.

The Economic Loss Rule and Why It Matters in Construction Litigation

Ward and Smith, P.A. on

In its broadest sense, the "economic loss rule" prohibits recovery in tort for purely economic loss incurred under contract law. The Merriam-Webster Dictionary online defines tort as "a wrongful act other than breach of...more

White and Williams LLP

Wisconsin Court of Appeals Holds Economic Loss Doctrine Applies to Damage to Other Property If It Was a Foreseeable Result of...

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In Kmart Corp. v. Herzog Roofing, Inc., 2018 Wisc. App. Lexis 842, the Court of Appeals of Wisconsin considered whether the economic loss doctrine barred the plaintiff’s negligence claims against the defendant roofer for...more

White and Williams LLP

Northern District of Mississippi Finds That Non-Work Property Damages Are Not Subject to AIA’s Waiver of Subrogation Clause

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In recent months, the Northern District of Mississippi has grappled with how to interpret waivers of subrogation in American Institute of Architects (AIA) construction industry contracts and, specifically, how they apply to...more

Troutman Pepper

California Supreme Court Clarifies That “Right To Repair Act” Is Exclusive Remedy For Both Economic Loss And Property Damage...

Troutman Pepper on

McMillin Albany LLC v. Superior Court, No. S229762, 2018 Cal. LEXIS 211 (Jan. 18, 2018) - Several homeowners (“Plaintiffs”) brought suit against developer/general contractor McMillin Albany LLC (“McMillin”) for alleged...more

Troutman Pepper

Ninth Circuit Holds That Despite ‘Known Damage’ Exclusion Insurer Had Duty Under Oregon Law to Indemnify and Defend Contractor...

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Alkemade v. Quanta Indem. Co., 2017 U.S. App. LEXIS 6896 (9th Cir. Apr. 20, 2017) - In 1994, Adrianus and Rachelle Alkemade (the “Alkemades”) bought a house from Meltebeke Built Paradise Homes (“Meltebeke”). The home was...more

Carlton Fields

Subcontractor Exception Torpedoes Insurers’ Defense To Faulty Workmanship Claim

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As this blog has reported, a line of cases deciding coverage disputes over faulty workmanship runs against (or, at least, around) a basic rule for interpreting insurance policies. Under that rule, the scope of coverage is...more

Snell & Wilmer

“Rip and Tear” Damage Remains Covered Under CGL Policy as “Accident”—for Now.

Snell & Wilmer on

The Colorado Supreme Court has approved a settlement between the parties to an appeal of the 2012 Colorado Pool Systems v. Scottsdale Insurance Company Court of Appeals case, leaving that ruling intact. The ruling parses a...more

Carlton Fields

Rumors of Revival Were Greatly Exaggerated: Fifth Circuit Reverses Opinion on Contractual Liability Exclusion

Carlton Fields on

We previously discussed the opinion of the U.S. Court of Appeals for the Fifth Circuit in Crownover v. Mid-Continent Cas. Co., No. 11-10166 (5th Cir June 27, 2014)—an opinion that seemed to revive the contractual liability...more

Troutman Pepper

Ninth Circuit Enforces Waiver of Subrogation Clause in Design/Build Agreement Against Post-Construction Property Insurer

Troutman Pepper on

Travelers Indem. Co. v. Crown Corr, Inc., 2014 U.S. App. LEXIS 21101 (9th Cir. 2014) - This action arose out of the construction of the University of Phoenix Stadium (the “Stadium”), home of the Arizona Cardinals. ...more

Proskauer - Insurance Recovery & Counseling

Alabama Supreme Court Reverses Course, Finds Insurance Coverage for Faulty Workmanship Claims

Companies such as homebuilders, construction companies and contractors face significant financial risk from bodily injury and property damage claims arising from allegedly faulty workmanship or construction defects. Although...more

Sherman & Howard L.L.C.

When Does an "Occurrence" Occur?

Two federal courts in Denver recently addressed a fundamental question that exists in almost every construction defect case - when did the property damage that gives rise to liability, and the insurer's obligation, occur? ...more

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