Subcontractors

stucco

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

court

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

pipe

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

const

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

pencil

Bidding Mistakes in Public Contracts

Date: June 5th, 2013 by John Schroeder No Comments

It is four o’clock on Friday afternoon and you have been working on your bid to the general contractor all day. The bid is due by five o’clock and you are finally ready to bring the numbers over from your workup sheet to the formal bidding form provided by the general contractor in his instructions to bidders. Then it happens……you … Read More

defects

Seller Beware: Disclosing Construction Defects and Lawsuits in the Sale of a Residence

Date: March 25th, 2013 by Lance A. Adair No Comments

The old saying “let the buyer beware” is of little relevance to California real estate transactions. If you are contemplating the sale of your home in California and have had construction defects or a prior lawsuit involving defects in your home, you should be aware of the basic disclosure requirements under California law.

Sellers of real property in California have … Read More

crane

Indemnity

Date: March 15th, 2013 by Roland J. Amundsen No Comments

Indemnity is a concept that causes most lawyers and judges to cringe, and causes some clients to cry. Why? Because it is a concept that has almost nothing to do with whether you did something wrong. Instead it usually has everything to do with whether you signed a contract or other legal document where an indemnity provision was lurking. “Lurking” … Read More

home

AB 1892: Attempting to Protect Homeowners from the Perils of Construction Defect Litigation… One Sentence at a Time

Date: February 26th, 2013 by Christopher J. Stipes No Comments

Brace yourself, for you are about to be floored by how close a groundbreaking piece of legislation came to changing the landscape of construction defect litigation forever. It nearly snuck in right under our noses. If not for Governor Brown swooping in at the last minute to veto the bill, many of us may have been facing a serious downturn … Read More

insurance

Can an Intervening Insurance Company Sue for Breach of Contract?

Date: January 10th, 2013 by Michelle L. Wiederhold 1 Comment

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

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