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

Mealey's Construction Defects

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.
December 01, 2022
Federal Judge Approves Care Homes’ Consent Orders In $450,000 ADA Violation Suit

ALLENTOWN, Pa. — A Pennsylvania federal judge approved two separate consent orders submitted jointly by the U.S. government and two separate nursing home facilities after approving a $450,000 settlement with architects in a suit brought by the government against the owners of senior homes and the architects who designed them, alleging failure to meet the Fair Housing Act (FHA) and Americans with Disabilities Act (ADA) requirements.
November 30, 2022
N.C. Federal Magistrate Lifts Stay After Dismissal Of Construction Defects Appeal

ASHEVILLE, N.C. — A federal magistrate judge in North Carolina granted a joint request and stipulation to lift a stay filed by a custom homebuilder, its general contractor and a homeowning couple following the parties’ joint stipulation of voluntary dismissal of the builder and contractor’s appeal to the Fourth Circuit U.S. Court of Appeals of an order denying their motion to compel arbitration and to dismiss the couple’s construction defects counterclaims.
November 30, 2022
Illinois Panel: Construction Case Not Precluded By Voluntarily Dismissed Claims

SPRINGFIELD, Ill. — An Illinois appellate court panel affirmed a more than $168,000 award entered in favor of two homeowners in a construction defects suit and determined that the trial court did not err in finding that the builder failed to construct the house in a workmanlike manner and that the homeowners’ suit was not barred by a previous suit filed against the builder by the homeowners.
November 30, 2022
Certifier And Accreditor Move To Dismiss American Plywood Manufacturers’ Complaint

FORT LAUDERDALE, Fla. — A plywood certifying agency and its accreditor moved to dismiss a first amended complaint filed in Florida federal court by a coalition of nine American plywood manufacturers who allege that the agency and accreditor are exposing Florida residents to serious injury or death by certifying substandard Brazilian plywood as meeting U.S. standards.
November 30, 2022
N.C. Panel Partially Affirms Dismissal Of Contribution Claims In Waterproofing Row

RALEIGH, N.C. — A waterproofing company failed to sufficiently allege some of its claims against a manufacturer of waterproofing products but sufficiently alleged all of its claims against a landscaping company, a North Carolina panel found in reversing in part and affirming in part one order and fully reversing another filed by a trial court that dismissed the waterproofing company’s third-party complaint in which it sought contribution and indemnification of costs sought against it by a seller of a home who had to repair water intrusion discovered by the subsequent homeowners.
November 29, 2022
2nd PEX Piping Class Suit Dismissed At Parties’ Request After 1st Case Settled

SAN ANTONIO — A federal judge in Texas on Nov. 28 dismissed a putative class suit alleging faulty polyethylene (PEX) piping based on parties’ advisory report filed less than a week earlier in which the plaintiffs stated that a class action may no longer be pursued after a class settlement was approved in another case by homeowners against the same PEX piping company.
November 29, 2022
Washington Panel: Evidence Supports Trial Court’s Construction Defects Findings

TACOMA, Wash. — A Washington appeals panel found that substantial evidence supported a trial court’s findings that a builder failed to install footing drains and defectively installed a sill plate but remanded the case for the limited purpose of determining whether the builder’s breach of the construction contract was material because the trial court failed to apply the correct test when determining the breach of contract issue.
November 28, 2022
In Stucco Row, Homeowner Files 7th Complaint And Judge Dismisses Counterclaim

MOBILE, Ala. — In separate orders, an Alabama federal judge dismissed a counterclaim for indemnity brought by the manager of a stucco inspector against a contractor and allowed a homeowner and the contractor to file their seventh amended complaint, finding good cause to permit new allegations of misrepresentation to be variously raised against manufacturers, distributors, inspectors and other professionals involved in the allegedly defective application of stucco products onto a new home because those allegations were based on information discovered in depositions taken after a deadline to amend the pleadings.
November 23, 2022
Calif. High Court Denies Homeowners’ Petition For Review Of Roofing Decision

SAN DIEGO — The California Supreme Court denied a petition for review filed by two homeowners who argued that an appellate court reached the wrong conclusion when it determined that a roof is not a “manufactured product” for the purposes of the state’s Right to Repair Act and found that a trial court did not err in finding that homeowners were required to provide evidence of water intrusion or falling materials to advance their defective roofing claims under the act.
November 23, 2022
Homeowners Tell 9th Circuit Judge Erred By Denying Certification In Defect Case

SAN FRANCISCO — A group of homeowners unsealed their opening brief to the Ninth Circuit U.S. Court of Appeals in which they argue that a federal judge’s refusal to certify a class accusing construction supply manufacturers of selling defective foundational anchors and ties in violation of California’s unfair competition law (UCL) was “peppered with legal and factual errors.”