Contractor can’t be Sued for Damages Contribution by Engineer Where Contractor has no Possible Tort Liability to Injured Parties

Based on a court’s dismissal of a town’s negligence claim against the prime contractor for failure of a vendor/supplier’s equipment to perform successfully, the contractor was granted summary judgment against a claim by AECOM, the project engineer, that was seeking...

Indemnification Clause Unenforceable Where it did not Clearly Require Indemnification for the Indemnitee’s Own Negligence

An indemnification clause in a contract between a table rental company and restaurant was held to be unenforceable where the Indemnitee sought to be indemnified for its own negligence. The indemnity claim arose out of a suit by patron at a restaurant who was injured...

Indemnification Duty not Incorporated by Reference to Prime Contract

Subcontract excavator owed a duty to indemnify and defend the prime contractor installing underground utility lines for a telecommunications company.   Two important holdings were (1) a state statute applicable to certain construction contracts, which prohibits...

Subcontractor Indemnification to Prime for Arbitration Award to Homeowner is Barred because Award did not explain basis for decision and would violate anti-indemnity statute if Prime was negligent

An arbitration award to a homeowner against a homebuilder/contractor only determined damages and did not provide any explanation for the basis of the award – such as who was at fault or even what elements of the complaint formed the basis for the award. A court...

Contract Language Made Code Compliance a separate Duty from the Standard of Care Duty

Architect is subject to potential liability for failure of design to comply with fire code requirements regardless of whether the generally accepted standard of care was satisfied. This is because it agreed to contract language stating it would comply with the...

Indemnification Clause that Included Voidable Provision was Enforced to Extent Legally Permissible Instead of Throwing out Entire Clause

An indemnification clause in a contract between a school board and a general contractor contained an indemnification clause requiring the contractor to defend and indemnify the owner against all claims and damages even if caused by the owner. This violated the state’s...

Americans with Disability Act (ADA) Penalties against Project Owner can be Recovered from Engineer and Contractor through Indemnification and Contribution Claims

Where disabled individuals sued the City of Los Angeles for alleged failure of the city’s bus facility to meet the accessibility standards of the Americans with Disabilities Act (ADA) and of the Rehabilitation Act, the city filed a third party complaint against AECOM...

Indemnity Obligation Includes First Party Attorneys Fees Based on Language of the Clause

An indemnity clause in an easement agreement required the indemnitor (contractor) to pay the Indemnitees (adjoining property owner) first party attorneys fees that were incurred in suing the contractor for property damages. This was a “Crane Swing, Tie Back and Swing...

Pollution Exclusion Can’t be Applied to Carbon Monoxide Poisoning Caused from Covered Occurrence Under Different Provision of Policy

Carbon monoxide was released into a newly constructed home due to incorrect installation of a water heater vent. The commercial general liability (CGL) carrier for the contractor declined to defend and indemnify the contractor against a suit for the homeowner’s...

Indemnification Clause Unenforceable where Inconsistent with a State’s Contribution Act Applicable to Joint Tortfeasors

By: Kent Holland A contract required the architect to indemnify its project owner client (a hotel) against damages and attorneys fees arising from injuries on hotel property. The hotel, architect and others entered into settlement agreements with a plaintiff that...