Subcontractor Permitted to File Suit against Project Owner Corporation and Corporate Officer in Individual Capacity

by Kent Holland | Oct 29, 2013 | Newsletter Article

Subcontractor suit was permitted against a project owner as well as an officer of the project owner in his individual capacity for negligent misrepresentation on the basis that the project owner had represented the General Contractor to be acting on behalf of the...

CM Did not Breach Fiduciary Duty and was Entitled to Recover for Delay Period Caused by Client

by Kent Holland | Oct 29, 2013 | Newsletter Article

On a home building project in excess of $5 million, the homeowner contracted with a construction manager to oversee the project for a $375,000 fixed fee for a specified scope of services that included preparing a budget, soliciting bids for major contracts,...

Limitation of Liability Clause Enforced – Even in Face of Allegations of Gross Negligence

by Kent Holland | Oct 28, 2013 | limitation of liability clause, Newsletter Article

Where a limitation of liability clause in a design professional contract would limit a homeowner’s claim against its designer to the total fee for services, the plaintiff sought to avoid the affects of the clause by asserting that the designer had acted with gross...

Limitation of Liability Clause Enforced – $70K Limit on $4.2 Million Claim

by Kent Holland | Oct 28, 2013 | limitation of liability clause, Newsletter Article

An architect’s contract containing a limitation of liability clause (LoL) was enforced to grant a partial summary judgment limiting the architect’s liability to $70,000 in the face of a $4.2 million claim for damages due to structural problems that required a nearly...

Economic Loss Doctrine Does Not Bar Contractor’s Negligence Claim against Architect Since There was no Contract (New Jersey law)

by Kent Holland | Oct 25, 2013 | Newsletter Article

A construction contractor under contract to a city housing authority was not barred by the economic loss doctrine from pursuing a negligence claim against the architect that designed the project under separate contract with the owner.  This is because under New Jersey...

Contractor’s CGL Insurance Carrier Must Pay Attorney’s Fees Awarded to Plaintiff against Insured Despite No Coverage for the Compensatory Damages that Were Awarded

by Kent Holland | Aug 14, 2013 | Newsletter Article

In a very strange (and I believe wrongly decided case), the Supreme Court of Idaho held that where a contractor was defended by its commercial general liability (CGL) carrier, and was found liable for breach of an implied warranty of workmanship in performing the work...