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

Mealey's Construction Defects

July 24, 2023
In 3 Orders, New York Justice Dismisses Defective Home Renovation Claims

NEW YORK — Two express trusts that purchased a newly renovated townhome lack standing to bring claims arising from the alleged defective renovation of the home because trusts lack standing to sue or be sued on their own, a New York justice found in granting three motions to dismiss in three separate orders filed in one case on the same day.
July 24, 2023
La. Federal Judge: Issue Of Fact Exists In Defective Sprinkler Installation Case

LAKE CHARLES, La. — Summary judgment is not appropriate on a negligence claim brought against a subcontractor who is alleged to have defectively installed a sprinkler during the construction of a fitness club because the general contractor presented expert testimony and reports that created a genuine issue of material fact, a Louisiana federal judge found in partly granting the subcontractor’s motion for summary judgment.
July 21, 2023
In Construction Defects Row, S.C. Panel Sets Off Some Damages From Settlements

COLUMBIA, S.C. — A trial court erred by denying a roofing company a $500,000 setoff of damages resulting from the faulty construction of a condominium complex for which it was jointly and severally liable alongside a general contractor that entered a post-verdict settlement with the complex’s homeowners association, a South Carolina panel found in reversing the trial court’s judgment in part.
July 20, 2023
Del. Judge: Employee Of Renovator Was Not Personally Responsible For Home Damage

WILMINGTON, Del. — In granting a motion for summary judgment, a Delaware judge found that the sole owner and employee of a home renovation company was not personally responsible for damages caused during a home renovation project because the homeowners failed to provide any evidence that raised a genuine issue of material fact about whether the owner acted in her individual capacity or personally directed the company to act negligently during the project.
July 20, 2023
After Mediation Fails, Florida Federal Judge Reopens Brazilian Plywood Case

FORT LAUDERDALE, Fla. — A Florida federal judge reopened the case in which a coalition of American plywood manufacturers alleges that a plywood certifying agency certified substandard Brazilian structural plywood as meeting U.S. standards after the parties stated that they failed to resolve their dispute through mediation.
July 20, 2023
Ala. Federal Judge: Diversity Jurisdiction Prevents Remand Of Construction Row

DOTHAN, Ala. — Although the amount of claimed damages is not explicitly stated in the complaint, the amount-in-controversy requirement for diversity jurisdiction is satisfied because the owner of a manufactured home who alleges that the builder defectively constructed her home seeks compensatory and punitive damages to such a degree that “judicial common sense” says the amount in controversy exceeds $75,000, an Alabama federal judge held in denying the homeowner’s motion to remand the action to the state court in which it originated.
July 19, 2023
Ohio Panel Remands Some Water Intrusion Claims In Home Construction Dispute

MIDDLETOWN, Ohio — Genuine issues of material fact exist about whether a builder trespassed and was negligent when it allegedly moved dirt on nearby properties that redirected water and damaged a new home because the builder failed to address the claims in its motion for summary judgment, an Ohio panel found in partially reversing a trial court’s decision granting summary judgment in favor of the builder and a developer on all the claims brought by the home’s owner.
July 18, 2023
Sanctions Hearing Set For Del. Homeowner Who Has Filed Multiple Construction Suits

WILMINGTON, Del. — In addition to granting a defendant-builder’s motion to dismiss under the doctrine of res judicata, a Delaware judge scheduled a hearing at which a homeowner, who has filed the same construction defects claims five times, will have the opportunity to explain why sanctions against him are not warranted.
July 13, 2023
Ohio Appeals Court Finds Expert Properly Admitted In Construction Defects Case

CANTON, Ohio — There was no error in allowing expert testimony in a case alleging that negligence by a construction worker caused structural issues to a home, an Ohio appeals court ruled, affirming a $118,752.50 award to the homeowners.
July 12, 2023
Louisiana Federal Judge Gives Homeowners Chance To Replead Unclear Roofing Claims

LAKE CHARLES, La. — The pleadings were too vague to discern which claim two homeowners intended to bring against the manufacturer of shingles used during an allegedly faulty repair of a home that was damaged by Hurricanes Laura and Delta, a Louisiana federal judge found in partly granting the manufacturer’s motion to dismiss and granting the homeowners the opportunity to amend their complaint.
July 12, 2023
Connecticut Judge Dismisses Negligent Construction Claims As Time-Barred

STAMFORD, Conn. — A homeowner’s negligence and unfair trade practices claims arising from allegedly defective renovation work are time-barred by the statute of limitations, a Connecticut federal judge found in partly granting the defendant-contractor’s motion for summary judgment.
July 11, 2023
Split Panel Reverses Denial Of Homeowner Class Certification In Anchors Defect Case

SAN FRANCISCO — A split Ninth Circuit U.S. Court of Appeals panel on July 10 reversed and remanded a federal court’s denial of class certification in a putative class action brought by homeowners alleging that a manufacturer sold them defective home connectors and anchors, with the majority holding that the court abused its discretion by excluding the homeowners’ expert witness.
July 05, 2023
Texas High Court: Later Homebuyers Can Be Compelled To Arbitrate Defects Claims

AUSTIN, Texas — In reversing an appellate court’s judgment that said subsequent homeowners of a home that allegedly suffers from mold growth did not have a valid arbitration with the homebuilder, the Texas Supreme Court reaffirmed one of its recent holdings and held that the subsequent owners can be compelled to arbitrate because their implied warranty claims necessarily arise from the original contract for the sale of the home, which contained an arbitration agreement.
July 05, 2023
Indiana Federal Judge Dismisses Dispute Over Defective Exterior Wall Construction

HAMMOND, Ind. — Following a stipulation of dismissal of all remaining claims filed by a general contractor and several subcontractors that worked on two buildings that allegedly suffered from defectively constructed exterior walls, an Indiana federal judge dismissed the case and terminated all pending motions.
June 30, 2023
Kentucky Federal Judge Amends Judgment In Defective Concrete Dispute

FRANKFORT, Ky. — In amending a judgment in favor of contractor who sued a concrete company for providing defective concrete to a construction project that later damaged the development, A Kentucky federal judge added more than $6,000 to the award in favor of the contractor because the judge made an “oversight” when calculating the previous judgment.
June 30, 2023
Faulty Restaurant Construction Row Remanded To State Court By Miss. Federal Judge

ABERDEEN, Miss. — Under the rule of unanimity, a Mississippi federal judge remanded to state court an action brought by a developer against a general contractor and architect who are alleged to have defectively constructed a Burger King restaurant because the architect failed to join or consent to the contractor’s removal.
June 29, 2023
Engineering Firm Fails To Refute Malpractice Claim In Roof Construction Dispute

BROOKLYN, N.Y. — An engineering firm failed to refute the factual allegations asserted by the owners of a residential building because the documentary evidence the firm presented failed to include a drawing referenced by the document, a New York justice found in denying the firm’s motion to dismiss the owners’ professional malpractice claim in which they allege that the firm failed to include all necessary information in a feasibility report for the building’s proposed roof terrace.
June 28, 2023
W.Va. Federal Judge: Arbitrator Will Decide Whether To Hear Construction Claims

HUNTINGTON, W.Va. — An arbitrator must decide whether the mediation requirement of a dispute resolution agreement signed between a homebuilder and a homeowner was met because it is a threshold issue to the construction defects dispute, a West Virginia federal judge found in granting the homebuilder’s request to compel arbitration against the homeowner, who says the modular home she purchased contains defects and negligent work.
June 26, 2023
Conn. Judge Awards $30,000 To Property Owner For ‘Egregious’ Roofing Replacement

WATERBURY, Conn. — The work of a contractor who replaced the roofs of buildings at two separate properties contained “defects that are so egregious that they are readily apparent to any reasonable person,” a Connecticut judge found in awarding $30,000 to the owner of the properties on its breach of contract claim.
June 26, 2023
In Failed Retaining Wall Dispute, Federal Judge Denies Untimely Motion To Dismiss

BALTIMORE — An environmental consulting company that analyzed a property where a retaining wall was built and failed filed its motion to dismiss counterclaims brought against it by the property owner 451 days after the deadline for dispositive motions, a Maryland federal judge found in denying the motion as untimely.
June 23, 2023
Texas Panel: Subsequent Homebuyers Can Be Compelled To Arbitrate

AUSTIN, Texas — Two subsequent homeowners who purchased a home from the original owners who signed an arbitration agreement in the purchase agreement with the homebuilder can be compelled to arbitrate under the theory of direct benefits estoppel because their breach of implied warranty claims against the builder requires reference to the original contract, a Texas appellate court panel held June 23 in reversing a trial court’s order denying the homebuilder’s motion to compel arbitration.
June 21, 2023
Wyoming Judge: Chancery Court Has No Jurisdiction Over Construction Defects Case

CHEYENNE, Wyo. — The Wyoming Chancery Court has limited jurisdiction and is not authorized to hear consumer claims against business entities, a judge in that court found in granting a motion to dismiss for lack of subject matter jurisdiction filed by a group of defendants who were sued by two homeowners for the allegedly defective construction of their new home.
June 20, 2023
Texas Panel: Builder Failed To Correct Defects That Caused New Home To Flood

DALLAS — A homebuilder failed to present evidence that its repairs on a new home that flooded during heavy rainfall complied with the recommendations of an engineering firm that inspected the home, a Texas appellate court panel found in affirming a trial court’s finding that the homebuilder breached a settlement it made with the homeowner after the home flooded.
June 16, 2023
Federal Magistrate Judge: Other Homeowners Can Join Defective Construction Case

MUSKOGEE, Okla. — Three homeowners who purchased allegedly defective homes from the same builder can be added as plaintiffs under a theory of permissive joinder to an action brought by a homeowning couple who allege that their newly constructed home suffered from water intrusion and other defects, an Oklahoma federal magistrate judge opined in recommending the couple’s motion for leave to file a second amended complaint.
June 15, 2023
Indemnification May Be Available To Engineer For Defects At Treatment Plant

CHARLESTON, W.Va. — In affirming and denying several orders by a trial court, the West Virginia Supreme Court of Appeals found that an engineering firm provided enough evidence to support its third-party claims of indemnification against a motion to dismiss and motion for summary judgment by showing that the alleged construction defects at a new wastewater treatment plant might have been caused by three companies that performed the construction and not the engineer’s alleged design defects.