Practice Area: Construction

FLORIDA APPELLATE COURT DETERMINES HOMEBUILDER IS NOT ENTITLED TO COMPEL ARBITRATION AGAINST SUBSEQUENT BUYERS OF THE HOME DUE TO ALL WARRANTIES BEING TIME-BARRED EXCEPT FOR STRUCTURAL DAMAGE WHICH WAS NOT ALLEGED BY BUYERS

Posted on January 1, 2025

In Osborne v. Drees Homes of Fla., Inc., a home builder deeded a built home to original buyers by a warranty deed in December 2012. No. 5D2023-2978, 2024 WL 4575415 (Fla. 5th DCA Oct. 25, 2024). In addition to the deed, the Parties entered into a purchase and sale agreement that contained a limited warranty…
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COURT OF APPEALS OF OHIO FINDS CONSTRUCTION COMPANY’S DUTY TO PERFORM HOME RENOVATION IN WORKMANLIKE MANNER DID NOT EXTEND TO SUBSEQUENT HOMEOWNERS

Posted on December 2, 2024

In Wood v. MAK Investment Properties, LLC, the Court of Appeals of Ohio affirmed the lower court’s grant of summary judgment for a construction company on claims brought by homeowners, finding privity of contract was necessary to maintain a negligence action against a subcontractor for remodeling work. 2024 WL 4164066. Plaintiffs Jason Wood and Charlene…
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COURT RULES THAT NONRECOURSE PROVISION IN COMMERCIAL CONTRACT BARRED TORT CLAIMS AGAINST PARTY THAT BREACHED CONTRACT

Posted on November 1, 2024

In Iberdrola Energy Projects v. Oaktree Capital Management L.P., 2024 WL 3363321 (N.Y. App. Div. July 11, 2024), a New York appellate court held that a nonrecourse provision in a construction contract entered into by sophisticated parties barred tort claims against the alleged breaching party. Defendants Oaktree Capital Management L.P. (“Defendants”) created a special-purpose entity,…
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MARYLAND SUPREME COURT REJECTS SUBCONTRACTORS’ REQUEST FOR PROJECT-WIDE WAIVERS OF SUBROGATION

Posted on October 1, 2024

In Lithko Contracting, LLC v. XL Insurance America, Inc., the Supreme Court of Maryland held that petitioners, four subcontractors who were involved in the construction of a warehouse (the “Project”), were not covered by a project wide waiver of subrogation merely because there was a general contract that required that the contractual subrogation waiver be…
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NEW YORK DISTRICT COURT UPHOLDS CONTRACTUAL PROVISION SHORTENING TIME LIMIT FOR FILING SUIT

Posted on September 3, 2024

In Markel American Insurance Company v. MT Group, LLC, et al., the United States District Court for the Eastern District of New York held that a suit brought within the time permitted under the state statute of limitations was untimely filed based on a contractual provision that shortened the time limits for filing suit. 2024…
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SUBCONTRACTOR IS NOT A PREVAILING PARTY SIMPLY BECAUSE IT OBTAINED A JUDGMENT AGAINST THE OWNER AND GENERAL CONTRACTOR

Posted on August 1, 2024

In Lemartec Corp. v. E. Coast Metal Structures Corp., a commercial owner hired a contractor to construct a project consisting of three buildings: an office building; a molding building; and a pulping building. 2024 WL 2178312, at *1 (Fla. 4th DCA May 15, 2024). The contractor issued drawings to a subcontractor and provided three Letters…
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INDIANA COURT OF APPEALS HOLDS “NO DAMAGE FOR DELAY” CLAUSE BARRED SUBCONTRACTOR FROM RECOVERING FINANCIAL DAMAGES

Posted on July 1, 2024

In Luse Thermal Technologies, Inc. v. Graycor Industrial Contractors, Inc., 221 N.E.3d 701 (Ind. Ct. App. 2023), the Indiana Court of Appeals held a “no damages for delay” contractual clause barred a subcontractor from recovering damages when it accelerated its own work to account for delay caused by others. On May 17, 2018, BP entered…
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FLORIDA APPELLATE COURT REVERSES SUMMARY JUDGMENT FINDING SUFFICIENT EVIDENCE THE GENERAL CONTRACTOR ENGAGED IN ACTIVE NEGLIGENCE

Posted on May 1, 2024

In Claudio Navarro v. Alfredo L. Borges, a construction laborer sued the general contractor and president of the company alleging they breached a duty to provide adequate safety equipment on the jobsite after he sustained injuries from a fall off a roof. On appeal, the Third District Court of Appeals for the State of Florida…
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PENNSYLVANIA APPELLATE COURT AFFIRMS SUMMARY JUDGMENT AGAINST HOMEOWNER FINDING THAT STATUTE OF REPOSE BARRED CLAIMS FOR NEGLIGENCE AND UNLAWFUL ACTS AGAINST CONTRACTOR

Posted on April 1, 2024

In Johnson v. Toll Bros., Inc., two homeowners sued a construction contractor alleging that it had negligently constructed their house in such a manner that allowed significant water intrusion resulting in continuous damage for a period of at least five years up until the time they filed suit. 2023 PA Super 169, 302 A.3d 1231…
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SIXTH CIRCUIT COURT OF APPEALS AFFIRMS SUMMARY JUDGMENT ON THIRD-PARTY INDEMNITY CLAIM FINDING TENNESSEE STATUTE OF REPOSE FOR DEFECTS IN IMPROVEMENTS TO REAL ESTATE APPLICABLE TO CONTRACTUAL INDEMNITY CLAIMS

Posted on March 1, 2024

In Hinman v. ValleyCrest Landscaping Dev., Inc., the Sixth Circuit Court of Appeals affirmed the United States District Court, for the Middle District of Tennessee, Nashville Division’s grant of summary judgment to a Third-Party Defendant based on the statute of repose. 89 F.4th 572, 573 (6th Cir. 2024). The underlying claim stemmed from alleged faulty…
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