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

Mealey's Construction Defects

January 23, 2023
Pennsylvania Federal Judge Trebles Homeowners’ Unfair Trade Practices Damages

PITTSBURGH — A Pennsylvania federal judge trebled two homeowners’ damages under the Pennsylvania Unfair Trade Practices and Consumer Protection Law (UTPCPL) to deter the future conduct of the builder that defectively constructed their home and because a jury found that the homebuilder violated the UTPCPL on three occasions.
January 20, 2023
Certifier Of Brazilian Plywood And Its Accreditor Reaffirm Stance On Jurisdiction

FORT LAUDERDALE, Fla. — Two days after a Florida federal magistrate judge denied a motion for a temporary restraining order (TRO) filed by a coalition of American plywood manufacturers, a plywood certifying agency and its accreditor in support of their motion to dismiss reasserted their arguments that the Florida federal court lacked jurisdiction over negligence and false advertising claims brought by the coalition, which alleges that the agency is certifying substandard Brazilian plywood as meeting U.S. standards.
January 19, 2023
Alaska Federal Judge Denies Motion To Remand Putative Class Action Window Dispute

ANCHORAGE, Alaska — Remand of a defective window lawsuit is not warranted because the homeowners’ claims against an Alaskan window dealer do not trigger the local controversy exception to the Class Action Fairness Act (CAFA) as their allegations against the dealer are vague and minor compared to the allegations made against the window manufacturer, a nonlocal defendant, an Alaska federal judge held in denying the homeowners’ motion to remand while also granting them 30 days to file an amended complaint clarifying their allegations against the local window dealer.
January 19, 2023
Magistrate Judge: Roofer Showed Good Cause To Amend Answer In Wall Defect Suit

HAMMOND, Ind. — A roofing subcontractor who moved to amend its answer to name a nonparty as responsible for defects raised against it showed good cause to amend because it was not aware of the nonparty’s potential responsibility before a general contractor made expert disclosures after the deadline to amend, an Indiana federal magistrate judge held in granting the subcontractor’s motion to amend.
January 19, 2023
Homeowners Agree To Arbitrate Faulty Home Construction Claims But Request Stay

BALTIMORE — In response to a home developer’s motion to compel arbitration, a group of homeowners who allege that the homes purchased from the developer contained construction defects agreed that the remaining claims left in the case should be arbitrated but requested that the case be stayed, not dismissed.
January 19, 2023
Panel Manufacturer Waives Response To High Court Petition In London Fire Suit

WASHINGTON, D.C. — A manufacturer of building panels and its subsidiary waived their right to respond to a petition for writ of certiorari filed by former residents of a London high-rise public housing building destroyed by fire who are asking the high court whether the unavailability of punitive damages in an alternative forum should weigh against dismissal of a case on forum non conveniens grounds.
January 18, 2023
Parties In Water Damage Suit File Briefs On Jurisdiction Following Dismissals

CHARLESTON, S.C. —Homeowners and a subcontractor filed briefs in a South Carolina federal court addressing jurisdiction and supporting the homeowners’ motion to remand their case alleging water damage to newly built homes while the builder of the homes filed a brief opposing remand following the stipulated dismissal of the defendant that removed the case from state court under the Class Action Fairness Act (CAFA).
January 13, 2023
Washington Panel: Homeowner Waived His Right To Trial In Construction Contract

TACOMA, Wash. — A homeowner expressly waived his right to trial de novo in the arbitration provision of the contract he entered into with a homebuilder that allegedly constructed the home with defects, a Washington panel found in affirming a trial court’s decision to strike the homeowner’s motion for a trial de novo.
January 10, 2023
Wash. High Court Won’t Reconsider Construction Defects Statute Of Limitations Order

OLYMPIA, Wash. — The Washington Supreme Court denied a homebuilders’ motion for reconsideration of its Oct. 22 decision in which it held that a one-year statute of limitations within a warranty provision in a new home construction contract was unconscionable and unenforceable in light of Washington’s six-year statute of limitations for defect claims.
January 04, 2023
N.D. High Court Refuses To Expand Review Of Arbitration Awards In Construction Row

BISMARCK, N.D. — An arbitrator’s decision not to apply the substantial performance doctrine on the issue of damages was not completely irrational, the North Dakota Supreme Court held in affirming a trial court’s confirmation of an arbitration award in favor of a homeowner who sued a builder for failing to build his home on time.
January 03, 2023
Building Owner’s Motion For Default Denied For Lack Of Service In Stucco Dispute

NEW YORK — The owner of a 38-story Marriott Hotel in New York City failed to indicate that it mailed a subcontractor and an architecture firm a copy of the summons and verified complaint by first-class mail, a New York judge held in denying the owner’s motions for default on its various claims of negligent supervision and breach of warranty arising from the installation of a stucco façade, portions of which fell off and damaged a nearby building during high winds.
January 03, 2023
Plywood Manufacturers: Negligence, False Advertising Claims Were Properly Stated

FORT LAUDERDALE, Fla. — In response to a motion to dismiss, a coalition of plywood manufacturers argues in Florida federal court that it properly stated its negligence and contributory false advertising claims against a plywood certifying agency and its accreditor who are accused of exposing Florida residents to serious injury or death by certifying substandard Brazilian plywood as meeting U.S. standards.
January 03, 2023
Developer Moves To Dismiss Faulty Home Construction Claims In Favor Of Arbitration

BALTIMORE — In Maryland federal court, a home developer moved to compel arbitration and dismiss construction defects claims brought by a group of homeowners that purchased homes in the development, arguing that federal and state law require that the claims be arbitrated pursuant to an arbitration agreement in the contracts for the sale of the homes.
January 03, 2023
N.C. Panel: Statute Of Repose Bars Homeowners’ Claims Against Subdivision Builder

RALEIGH, N.C. — Residents of a subdivision whose homes flooded during Hurricane Florence filed their complaint 10 years after the substantial completion of a drainage pipe that allegedly contributed to the flooding and, therefore, failed to satisfy the six-year statute of repose applicable to their negligence claims, a North Carolina appeals court panel held in affirming summary judgment in favor of the subdivision developers.
December 28, 2022
Federal Judge: No Damages For Homeowners Affected By Chinese Drywall

NEW ORLEANS — An Alabama federal judge adopted a report and recommendation from a federal magistrate judge who said two homeowning couples who opted out of a class settlement should be awarded no damages because they failed to prove diminution in the market value of their homes affected by defectively manufactured Chinese drywall.
December 27, 2022
N.D. Federal Judge Dismisses Insurance Dispute Over Storm-Damaged Pole Barn

BISMARCK, N.D. — In adopting a joint stipulation of dismissal, a North Dakota federal judge closed an action for breach of contract and breach of implied warranty of fitness brought by an insurer against a manufacturer of pole barns and a subcontractor hired to construct a pole barn, which was later destroyed in a storm.
December 22, 2022
Federal Magistrate Judge Denies Request For Discovery In Chinese Drywall Case

MOBILE, Ala. — Additional discovery is not warranted because a group of four homeowners failed to specify what kind of discovery they were seeking and the manufacturers and distributors of defective Chinese drywall already agreed to file stipulations regarding liability and causation, a federal magistrate judge in Alabama held in denying the homeowners’ request.
December 22, 2022
Roofing Contractor: Supplier Made ‘Misrepresentations’ In Its Motion To Dismiss

FORT MYERS, Fla. — In response to a roofing supplier’s motion to dismiss strict product liability claims in its fifth amended complaint, a roofing contractor argues that the complaint is plausible on its face, that it has standing and that the supplier made “misrepresentations” about the ownership of the damaged condominiums that are the subject of the cas.
December 20, 2022
Texas Supreme Court Will Hear Dispute Over Arbitration Agreement Attached To Deed

AUSTIN, Texas — The Texas Supreme Court granted a homebuilder’s petition for review and will hear arguments pertaining to whether a covenant in a recorded deed attached to a newly constructed home can be used to compel arbitration of a subsequent purchaser’s construction defects claims.
December 19, 2022
California Panel Issues Mixed Ruling On Motions In Roofing Panel Dispute

FRESNO, Calif. — A trial court correctly found that a roofing panel manufacturer owed no duty to an owner or builder of a cold storage facility regarding repairs to the roof performed by the builder after the panels failed to prevent water intrusion because nothing in the contract for the sale of the panels created any duty for the manufacturer to train or supervise the builder, a California panel found in affirming a lower court’s granting in part and denying in part the manufacturer’s motion for judgment on the pleadings.
December 19, 2022
Nevada Federal Judge Dismisses Defects Claims Against Architects And Designers

RENO, Nev. — The economic loss doctrine serves to bar some of a contractor’s third-party construction defects claims against an architecture firm and engineering firm that provided designs to a developer that hired the contractor to construct a new home because the contractor’s claims were tort-based and he sought only economic damages, a Nevada federal judge found in granting the two firms’ motions to dismiss.
December 19, 2022
Federal Magistrate Judge Says Plywood Accreditation Documents Are Not Privileged

FORT LAUDERDALE, Fla. — A Florida federal magistrate judge ordered an accreditor of plywood certifying agencies to immediately produce documents related to the accreditation of an agency that a coalition of nine American plywood manufacturers allege is certifying substandard Brazilian plywood as meeting U.S. standards, finding that the accreditor’s claimed privilege is available only to government agencies.
December 19, 2022
Md. Federal Judge Issues Mixed Ruling On Multiple Motions Over Home Water Leaks

GREENBELT, Md. — There is no genuine issue of material fact about whether a new home was free from defects because the home suffered from water leaks and mold growth and was not built to the standard the builder guaranteed, a Maryland federal judge held in granting a homeowner’s motion for partial summary judgment on her breach of warranty and breach of contract claims against the builder of the new home.
December 16, 2022
Wash. Panel: Apartment Complex Owner Was Not Assigned Construction Warranties

TACOMA, Wash. — An apartment complex owner who sued the builder of the complex for construction defects was not assigned any construction warranties and was owed no independent tort duty outside the construction contract, a Washington appeals court panel found in affirming a trial court’s decision to grant the builder’s motion for summary judgment.
December 16, 2022
Arizona Panel Vacates $30,000 Repair Fund Award And Remands Leaky Roof Dispute

PHOENIX — A homeowner who filed a claim with Arizona’s Residential Contractors’ Recovery Fund carried the burden of proving the damages caused to his roof, an Arizona panel held in vacating a trial court’s award to the homeowner and remanding the matter to the Arizona Registrar of Contractors (ROC) director.