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DIRECTORY AND CAPABILITIES

Your Excess Policy May Not “Follow Form” to Your Primary Policy’s Aggregate Limits: How to Avoid a Multi-Million Dollar Mistake

February 19, 2025 — Kyle A. Bechet & Richard W. Brown - Saxe Doernberger & Vita, P.C.
Commercial general liability (“CGL”) policies providing limits on a “per-project” basis have become standard in the construction industry. General contractors and other upstream parties on large construction projects, as a rule, require downstream subcontractors to maintain CGL coverage with limits provided on a “per project” basis. The goal is to ensure access to dedicated limits that are not exhausted or otherwise impaired due to losses on other projects. Contractors that require or are obligated to provide insurance with dedicated “per project” limits should, however, be aware that many excess policies ––which, despite “following-form” ––fail to provide the same “per project” aggregate limits as their underlying insurance. This issue is further illustrated in our discussion below of J.D. Eckman Inc. v. Starr Indemnity & Liability Company, wherein the United States District Court for the Eastern District of Pennsylvania ruled that an excess policy did not incorporate the underlying insurance’s “per project” aggregate limit. The Background In J.D. Eckman Inc., a highway construction company (“Eckman”) found itself simultaneously defending against ten Pennsylvania lawsuits. Eight of the lawsuits arose from a single project in Dauphin County, Pennsylvania, which caused several serious injuries and three fatalities. The other two lawsuits arose from a single project in Berks County, Pennsylvania, which caused two additional fatalities. The severity of the claims ensured that the company’s legal liability would exceed the limits of its primary insurance policy. Reprinted courtesy of Kyle A. Bechet, Saxe Doernberger & Vita, P.C. and Richard W. Brown, Saxe Doernberger & Vita, P.C. Mr. Bechet may be contacted at KBechet@sdvlaw.com Mr. Brown may be contacted at RBrown@sdvlaw.com Read the full story...

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Safeguarding History: Fire Risks in Renovating Historic Buildings

January 28, 2025 — Birgitte Messerschmidt - Construction Executive
The renovation of historic and unique buildings is both a labor of love and a huge responsibility. Rich in stories and architectural beauty, these structures link communities to their past. However, giving new life to these iconic buildings through renovation projects can place them in jeopardy, as fire-related risks remain a significant challenge. This is evidenced by the number of devasting fire tragedies that have happened during work on these structures, including at the Glasgow School of Art in 2014 and 2018 and the Notre-Dame Cathedral in 2019, showcasing how vulnerable these buildings are amid the status quo of renovation protocols. Preventing these types of fire-related incidents during future historic building renovations, maintaining compliance with codes and standards such as NFPA 241, Standard for Safeguarding Construction, Alteration, and Demolition Operations, and NFPA 914, Code for the Protection of Historic Structures, must be a top priority for all workers on site. These resources provide workers with the proper tools and guidelines to address the intricate challenges that come with these operations. Reprinted courtesy of Birgitte Messerschmidt, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the full story...

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Colorado’s Housing Crisis: How S.B. 25-131 Could Be a Step in the Right Direction

March 04, 2025 — David McLain - Higgins, Hopkins, McLain & Roswell, LLC
The cost of housing in Colorado has been an ongoing concern for homeowners, tenants, and developers alike. Senate Bill 25-131 (S.B. 25-131) seeks to address some of these issues by modifying laws related to construction defect claims, landlord-tenant relationships, and local energy code requirements. This bill, scheduled for its first hearing on March 4th at 2:00 PM in the Senate State, Veterans, & Military Affairs Committee, represents a significant step toward balancing protections for homeowners and developers while fostering an environment for lower housing costs. Key Provisions of S.B. 25-131 Construction Defect Claims One of the most significant barriers to affordable home construction in Colorado has been the prevalence of construction defect litigation. Over the past two decades, this legal environment has dissuaded builders from undertaking multi-family and condominium developments, fearing costly lawsuits that can emerge years after project completion. Senate Bill 25-131 seeks to restore balance by clarifying when construction defect claims can proceed and limiting litigation that hampers development. Read the full story...
Reprinted courtesy of David McLain, Higgins, Hopkins, McLain & Roswell
Mr. McLain may be contacted at mclain@hhmrlaw.com

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Candis Jones Named to Atlanta Magazine’s 2025 “Atlanta 500” List

March 04, 2025 — Candis Jones - Lewis Brisbois Newsroom
Atlanta, Ga. (February 13, 2025) – Atlanta Partner Candis R. Jones has been named to Atlanta Magazine’s 2025 “Atlanta 500” list of the most powerful law professionals in Atlanta. This is the fifth year in a row she has received this recognition. According to Atlanta Magazine’s editor Jacqueline Holness, “captains of industry continue to be captivated by our city—we are the capital of the Hollywood of the South, Southern Hip Hop as a staple was created here, the FIFA World Cup is coming here, and the Super Bowl continues to come here.” She added, “I’ve always loved one of New York City’s catch phrases: If you can make it here, you can make it anywhere. But I would like to submit this catch phrase for Atlanta: If you can’t make it anywhere, you can make it here.” Read the full story...
Reprinted courtesy of Candis Jones, Lewis Brisbois
Ms. Jones may be contacted at Candis.Jones@lewisbrisbois.com

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Celebrating Excellence: Lisa Bondy Dunn named by Law Week Colorado as the 2024 Barrister’s Best Construction Defects Lawyer for Defendants

October 28, 2024 — David M. McLain – Colorado Construction Litigation
We are thrilled to announce that our very own Lisa Bondy Dunn has been recognized by Law Week Colorado as the 2024 Barrister’s Best Construction Defects Lawyer for Defendants. This prestigious accolade is a testament to Lisa’s dedication, expertise, and unwavering commitment to achieving the best outcomes for our clients. Lisa, a Partner at Higgins, Hopkins, McLain & Roswell (“HHMR”), has long been a leader in construction defect litigation, defending builders, contractors, developers, and design professionals in Colorado’s complex legal landscape. Her deep understanding of the industry and her relentless pursuit of practical, cost-effective solutions have earned her the respect of peers, clients, insurers, mediators, arbitrators, and courts alike. As noted by Law Week Colorado: “For over two decades, Lisa Dunn has represented developers, contractors and subcontractors in construction-related disputes. Dunn has spoken across the country on construction and insurance matters, and she’s worked on several appellate cases during her career. She’s admitted in four states, and has consulted and represented some of the nation’s largest builders.” Read the full story...
Reprinted courtesy of David McLain, Higgins, Hopkins, McLain & Roswell, LLC
Mr. McLain may be contacted at mclain@hhmrlaw.com

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ASCE Statement on Hurricane Milton and Environmental Threats

October 15, 2024 — Feniosky Peña-Mora, P.E., President - American Society of Civil Engineers
WASHINGTON, DC. – On the heels of the tragic damage caused by Hurricane Helene throughout the Southeast, Floridians were struck by another major hurricane, Milton, less than two weeks later. Our hearts go out to those impacted again by this storm through property damage, lack of water access, power outages, or worse, loss of life, all before getting a chance to recover from Helene. Civil engineers are dedicated to protecting the public with projects that can lessen the impacts of these storms, and we are eager to help communities rebuild as quickly as possible following events like Milton and Helene. Although we do not yet know the full scope of destruction caused by Hurricane Milton, severe weather, including compound flooding events, are increasing regularly and pose a great risk to our safety and economic vitality. While so many eyes are fixated on hurricanes impacting the Southeast, wildfires are burning across several western states, including the Elk Fire in Wyoming, the largest wildfire the Bighorn National Forest has experienced in more than a century, now spanning over 75,000 acres as the region is experiencing unusually hot and dry weather and strong winds that are helping this fire to spread rapidly. The climate impacts we are accustomed to – wildfires in the West and hurricanes in the Southeast – are getting stronger, and now environmental challenges are occurring in areas we wouldn't suspect, such as Hurricane Helene striking mountain communities in Western North Carolina that have been labeled as "climate safe-havens," and Texas dealing with annual winter storms. ASCE is a leader in codes and standards development and has created an easy-to-understand toolkit for legislators and the public to learn the benefits of these up-to-date standards and determine when and how to adopt them, making our built environment more resilient to natural catastrophes. ASCE's flagship standard, ASCE/SEI 7-22, recently underwent the most significant update to its flooding chapter to ensure structures following this standard are prepared for 500-year flood events.

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It’s Not What You Were Thinking!

December 10, 2024 — Daniel Lund III - Lexology
At least it is not what the lower court was thinking… but the same result for a general contractor seeking to have its comprehensive general liability insurer pay the GC’s defense related to claims for physical damage on a construction project. In reviewing the Massachusetts federal district court’s ruling in favor of the insurer, the United States First Circuit Court of Appeals posited: “The principal question is whether a general contractor’s CGL insurance policy covers damage to a non-defective part of the contractor’s project resulting from a subcontractor’s defective work on a different part of that project.” The district court had held under Massachusetts law that the insurer had no duty to defend because the lawsuit “did not allege ‘property damage’ caused by an ‘ occurrence,’ as required for coverage” under the policy (a defense that was urged by the insurer). The Court of Appeals affirmed, “albeit for different reasons.” Read the full story...
Reprinted courtesy of Daniel Lund III, Phelps
Mr. Lund may be contacted at daniel.lund@phelps.com

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Seattle Developer Defaults on Renovated Office Buildings

December 23, 2024 — Anna Edgerton - Bloomberg
A major developer in downtown Seattle defaulted on a loan backed by two of its most prized office properties, including one that formerly housed a branch of the Federal Reserve Bank of San Francisco. Firms tied to Martin Selig Real Estate are in default on a more than $200 million loan, according to letters from lender Acore Capital dated Nov. 15 that were filed in Washington’s King County. The buildings would change ownership 30 days after that notice if no other action is taken, according to the letters. Read the full story...
Reprinted courtesy of Anna Edgerton, Bloomberg

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