Insurance Coverage


Defending Stucco Defect Allegations

Date: January 21st, 2014 by Paul T. McBride No Comments

Approximately 80% of construction defect lawsuits which we defend involve stucco-clad houses. Depending on the plaintiffs’ expert, alleged stucco defects usually comprise anywhere from 20% to 50% of the total cost of repair. Therefore, it is important for those involved in defending stucco subcontractors to understand, and so be better able to defend, stucco defect allegations. In this article, we … Read More


Another Important SIR Decision

Date: November 7th, 2013 by Brendan J. Coughlin No Comments

The recent California case of American Safety Indemnity Co. v. Admiral Insurance Co. (2013) 220 Cal. App. 4th 1, confirms that policy language must be unambiguous when an insurer seeks to limit its obligations under an insurance policy. In this matter, the Court of Appeal found that while the language at issue clearly imposed a $250,000 Self-Insured Retention (“SIR”) on … Read More


Court of Appeals Interprets SB 800 Time Limitations as Inapplicable Where Actual Damage is Alleged to Have Occurred

Date: September 30th, 2013 by Paul T. McBride No Comments

California’s Right to Repair Act, set forth at California Civil Code Sections 895-945.5, and commonly referred to as “SB 800,” allows homeowners to recover the cost to repair certain specified construction defects even though no actual damages have yet occurred because of the defects.  SB 800 was enacted in 2002 in response to the California Supreme Court’s decision is Aas Read More


Understanding contractor and construction surety bonds in California

Date: September 4th, 2013 by Sara Aisenberg No Comments

Earlier this summer, Mr. John Schroeder of Kring & Chung, LLP wrote an article about bidding mistakes in public contract projects. In his article, Schroeder discusses the mistakes that most often occur during the bidding process and uses real examples to explain how complex the bidding process can be. One of the complexities he discusses is surety bonding. Many … Read More


Can an Intervening Insurance Company Sue for Breach of Contract?

Date: January 10th, 2013 by Michelle L. Wiederhold No Comments

A recent case questioned the legal basis for an intervening insurance company, on behalf of its suspended developer insured, to directly sue subcontractors for various causes of action including: indemnity, breach of warranty, declaratory relief, negligence, and most notably breach of contract for failure to obtain additional insured endorsements and duty to defend. In the case, the insurance company is … Read More


Court of Appeals Weighs in on Contribution Actions Between Insurance Carriers in Construction Defect Actions

Date: November 28th, 2012 by Paul T. McBride No Comments

A recent insurance law decision by the California Court of Appeals, St. Paul Mercury Insurance v. Mountain West Farm Bureau Mutual Insurance, (2012) 210 Cal.App.4th 645, clarifies the role and obligations of insurance carriers for subcontractors involved in construction defect litigation. This decision potentially sounds a very ominous note for both subcontractors and their carriers as it makes clear … Read More


Additional Insured Coverage for Construction Clients

Date: November 29th, 2011 by J. Christopher Bennington No Comments

In an effort to spread the cost of construction defect litigation, many carriers for general contractors and subcontractors have begun requiring their named insureds to obtain “additional insured” coverage from the named insureds’ subcontractors. For example, the policy issued to a general contractor may demand that the general require his or her electrician, plumber and other subcontractors to have the … Read More


Construction Contracts: You Win or Lose Before You Tee Off: The Importance of Construction Contract Review and Negotiation

Date: October 27th, 2011 by Kyle D. Kring No Comments

I was very fortunate to get to play golf regularly with my dad and Uncle Dean and their foursome. Every Saturday morning was the same, standing on the first tee in the dark and fog at 6 a.m., and a lot of loud “negotiating” back and forth on the numerous bets that would be placed and how many strokes each … Read More