Mealey's Construction Defects : Mealey's : Legal News & Analysis

Mealey's Construction Defects

June 09, 2023
New York Justice Dismisses Fraud Claims Brought Against Condominium Developer

NEW YORK — A fraud claim brought against a building developer that is alleged to have made misrepresentations about a condominium building that it deficiently developed fails because the claim was duplicative of a breach of contract claim and otherwise preempted by state law, a New York justice found in partly granting the developer’s motion to dismiss.
June 09, 2023
Ohio Panel: Trial Court Properly Considered Record In Ruling On HVAC Claims

CLEVELAND — In affirming a trial court’s decision to grant summary judgment in favor of a contractor that was sued by the owner of a building for allegedly designing and installing a defective HVAC system, an Ohio appellate panel on June 8 said that it would not assume that the trial court failed to consider the evidentiary record when ruling on the motion because the trial court explained its reasoning for granting the motion when it denied the owner’s later motion to vacate the ruling.
June 08, 2023
In Chinese Drywall Case, Federal Judge Tosses Claims, Orders Further Pleading

FORT LAUDERDALE, Fla. — In addition to dismissing claims for negligent discharge of a corrosive substance and private nuisance, a Florida federal judge ordered a group of homeowners who were affected by defectively manufactured Chinese drywall to amend their discussion of the discovery rule because they failed to explain how the accrual date for their claims was tolled by the rule in relation to the statute of limitations/repose in their first amended complaint.
June 07, 2023
Ala. Federal Judge Grants Summary Judgment In Treatment Plant Construction Dispute

BIRMINGHAM — The manufacturer and the installer of fiberglass parts that were used in a wastewater treatment plant and later failed are entitled to summary judgment on claims brought against them by the municipal agency that runs the plant except for a negligence claim against the manufacturer because the agency failed to present evidence on some claims while the statute of limitations barred others, an Alabama federal judge held June 5 in partly granting the manufacturer’s and completely granting the installer’s motions for summary judgment.
June 05, 2023
High Court Won’t Decide If Arbitration Clauses In Building Contracts Are Proper

WASHINGTON, D.C. — The U.S. Supreme Court on June 5 denied a petition for a writ of certiorari filed by a homebuilder that argued that the South Carolina Supreme Court erred in applying an anti-arbitration presumption when interpreting the enforceability of an arbitration provision present in multiple contracts for the sale of new homes that the owners alleged to be defectively constructed.
June 05, 2023
In Industrial Construction Dispute, Tenn. Federal Judge Denies Motion To Dismiss

JACKSON, Tenn. — The economic loss doctrine does not bar negligence claims brought by the owner of an industrial building against a subcontractor that performed allegedly defective construction work on the building because the doctrine does not extend beyond products liability cases and there was privity between the parties, a Tennessee federal judge held in denying the subcontractor’s motion to dismiss.
June 02, 2023
In Landslide Case, Pennsylvania Federal Judge Won’t Dismiss Claims Under Prior Order

PITTSBURGH — A motion to amend filed by a property developer and one of its partners that were sued after a landslide damaged three newly constructed homes is effectively an untimely motion for an extension of time, a Pennsylvania federal judge found in denying the motion in which the defendants sought dismissal of claims based on the judge’s previous ruling on the statute of repose and the law of the case doctrine.
May 31, 2023
In Stucco Dispute, N.Y. Justice Denies Motion For Default Despite Late Response

NEW YORK — The owner of a 38-story Marriott Hotel in New York City is not entitled to default judgment against a subcontractor that worked on the building’s allegedly defective stucco façade and filed its answer to the owner’s complaint several months late because public policy favors deciding the case on the merits, a New York justice held (LAM Group, et al. v. Anthony T. Rinaldi LLC d/b/a/ The Rinaldi Group, et al., No. 650465/2022, N.Y. Sup., New York Co.).
May 31, 2023
Liability Limitation In Construction Contract Is Invalid, Colorado Panel Finds

DENVER — An engineering firm that defectively designed an electrical system for dozens of air conditioning units within a senior living community is not entitled to limitation of its liability because Colorado’s Homeowner Protection Act (HPA) does not permit parties to limit their liability in contracts for the construction of residential properties, a Colorado panel found in reversing a trial court’s judgment.
May 25, 2023
Penthouse Owner May Owe Duty To Fellow Resident Who Says Renovation Caused Damages

NEW YORK — Genuine issues of material fact exist as to whether a penthouse owner owed a duty to a fellow resident-shareholder whose apartment unit, located one floor below the penthouse, was allegedly damaged by renovations to the penthouse, a New York justice held in granting and denying summary judgment to multiple parties to the action.
May 24, 2023
Fla. Federal Judge Further Extends Stay For Negotiations In Brazilian Plywood Case

FORT LAUDERDALE, Fla. — A Florida federal judge granted an unopposed motion for an extension of an administrative stay filed by a coalition of American plywood manufacturers that sought more time to negotiate the settlement of claims it brought against a plywood certifying agency for allegedly certifying substandard Brazilian structural plywood as meeting U.S. standards.
May 23, 2023
Roofing Contractor Deficiently Responded To Interrogatories, Magistrate Judge Finds

FORT MYERS, Fla. — A roofing contractor inadequately responded to interrogatories by filing objections and substantive answers to questions from a manufacturer of roofing products, a Florida federal magistrate judge found in granting the manufacturer’s motion to compel and ordering the contractor to file new responses to the interrogatories and a new computation of the alleged damages it incurred from the manufacturer’s sprayable roofing projects.
May 19, 2023
Claims Of Water Intrusion At New Building Are Time-Barred, Texas Panel Says

HOUSTON — A property owner’s claims arising from water leaks at a newly constructed retail building are barred by the statute of limitations because the owner failed to file the clams within four years and nothing tolled the applicable limitations period, a Texas panel found May 18 in affirming a trial court’s ruling.
May 18, 2023
Calif. Panel Affirms Dismissal Of Window Installation Claims As Time-Barred

SAN FRANCISCO — A homeowner’s claims that a contractor failed to properly install custom windows and doors were time-barred because the repairs to the windows and doors did not toll the applicable statute of limitations, a California panel found in affirming a trial court’s grant of summary judgment in favor of the contractor.
May 18, 2023
After Parties Announce Settlement, Alabama Federal Judge Dismisses Stucco Dispute

MOBILE, Ala. — Upon receiving notification of the parties’ settlement, an Alabama federal dismissed with prejudice a case in which a homeowner alleged that various parties contributed to the installation of defective stucco products during the construction of a new home.
May 16, 2023
Delaware Judge: Issues Of Fact Exist Regarding Faulty Roofing Installation

WILMINGTON, Del. — Two roofing contractors are not entitled to summary judgment on breach of contract and negligence claims brought against them by a condominium association because there are questions of fact as to whether falling shingles were sufficient to put the association on notice of its claims, a Delaware judge held in denying the contractors’ motion for summary judgment based on the statute of limitations.
May 16, 2023
Texas High Court: Subsequent Home Purchaser Must Arbitrate Mold Claims

AUSTIN, Texas — The Texas Supreme Court found that a subsequent purchaser of a home that allegedly suffers from mold damage is required to arbitrate against the home’s builder because the subsequent purchaser’s implied warranty claims arise from the contract for the home’s original sale, which contained an arbitration agreement.
May 15, 2023
Without Established Standard Of Care, Claims Against Architect Are Dismissed

TOMS RIVER, N.J. — Professional negligence claims brought by two homeowners against an architectural firm that inspected a newly built foundation that was later deemed to be unsafe were dismissed by a New Jersey court because the homeowners’ expert failed to establish a proper standard of care to support the claims.
May 15, 2023
Texas Panel: Evidence Doesn’t Support Homeowner’s Improper Repair Counterclaims

BEAUMONT, Texas — A homeowner who refused to pay a contractor for repairs made to his home in the wake of Hurricane Harvey failed to support his counterclaims for substandard repair against the contractor with sufficient evidence, a Texas appellate court panel found in reversing and remanding a trial court’s judgment in favor of the homeowner.
May 12, 2023
In Landslide Case, Property Developers Seek Dismissal Of Claims Under Prior Order

PITTSBURGH — In a motion to amend, a property development company and one of its partners request that a ruling on summary judgment in which a Pennsylvania federal judge dismissed several claims arising from a landslide that damaged three new homes under the statute of repose be applied to them under the law of the case doctrine.
May 11, 2023
In Failed Retaining Wall Dispute, Federal Judge Denies Motion For Reconsideration

BALTIMORE — A property owner who sought reconsideration of an order denying summary judgment for negligence claims brought by the purchaser of the property over the construction of a retaining wall failed to present new arguments or evidence regarding the claims, a Maryland federal judge found in denying reconsideration.
May 11, 2023
Calif. Federal Judge: Builder Failed To Prove Damages In Default Judgment Motion

LOS ANGELES — In denying two separate motions for default judgment filed by a builder against subcontractors that failed to respond to pleadings arising from the alleged defective construction of a youth center, a California federal judge found that the builder failed to provide evidence of its alleged damages.
May 10, 2023
Ky. Panel: Buyers Admitted Arbitration Provision In Home Warranty Was Enforceable

FRANKFORT, Ky. — A Kentucky appellate court panel overturned a trial court’s finding that an arbitration provision in a warranty for structural home defects was unenforceable because in their complaint against the home warranty administrator, the homeowners filed a demand for arbitration, which served as a judicial admission that the provision was enforceable.
May 09, 2023
Before High Court, Homeowners Argue That Builder Twists State Supreme Court Ruling

WASHINGTON, D.C. — A homebuilder mischaracterizes a South Carolina Supreme Court ruling in an attempt to show that the state high court was biased against arbitration agreements in its petition for writ of certiorari filed in the U.S. Supreme Court, a group of homeowners who sued the builder for allegedly defective construction of their new homes argued in their brief in opposition to the petition.
May 05, 2023
Property Owner Says Roofing Manufacturer Negligently Oversaw Installation Of Products

NEW ORLEANS — In their response to a motion to dismiss filed by a roofing manufacturer, a property owner and an operator of a nursing home argue that their negligence claim is not barred by the Louisiana Products Liability Act (LPLA) because the manufacturer’s own employees negligently oversaw the installation of roofing products that caused damage to the property during Hurricane Ida.