- Volume 19, Issue #5
- Nevada High Court Reinstates Association's Negligence Claim Against Contractor
CARSON CITY, Nev. - The Nevada Supreme Court on May 24 overturned a lower court judge's ruling awarding summary judgment to a general contractor on a homeowners' association's negligence claim, holding that it is unclear if an expert's report adequately disclosed defects in the construction of the condominium complex when it was sold by the developer to the declarant (Regent at Town Centre Homeowners' Association v. Oxbow Construction LLC, Nos. 69777, 70296, Nev. Sup., 2018 Nev. Unpub. LEXIS 462).
- Homeowners' Defects Suits Subject To Arbitration, Nevada High Court Rules
CARSON CITY, Nev. - The Nevada Supreme Court on May 10 reversed two rulings denying U.S. Home Corp.'s motion to compel arbitration, finding that the arbitration provisions in sales agreements and covenants, conditions and restrictions (CC&Rs) between the builder and buyer are enforceable under the Federal Arbitration Act (FAA) (U.S. Home Corp. v. Miguel Medina, et al., No. 64604, Nev. Sup., 2018 Nev. Unpub. LEXIS 400).
- Homeowners' Defects Claims Are Subject To Arbitration, Nevada High Court Says
CARSON CITY, Nev. - Construction defects claims brought by 49 homeowners against the entities that developed their homes are subject to arbitration, the Nevada Supreme Court ruled May 24, holding that arbitration provisions in the sales agreements are enforceable under the Federal Arbitration Act (FAA) and conscionable under Nevada law (U.S. Home Corp., et al. La Harris, et al., No. 68025, Nev. Sup., 2018 Nev. Unpub. LEXIS 460).
- Magistrate Recommends Denying Remand Of Suit Seeking To Vacate Arbitration Award
WILMINGTON, Del. - A federal judge in Delaware on May 29 recommended denying a couple's motion to remand their lawsuit seeking to vacate or amend a $17,500 arbitration award they obtained from their home warranty provider and its insurer, finding that complete diversity exists between the parties and that the plaintiffs do not state the amount in controversy in their complaint (Jason Jones, et al. v. Home Buyers Warranty, et al., No. 17-773-JFB,SRF, D. Del., 2018 U.S. Dist. LEXIS 88908).
- Colorado Appeals Panel Says Couple's Defects Suit Was Filed In Time
DENVER - A Colorado appellate panel on May 3 upheld a trial court judge's ruling denying a contractor's motion for summary judgment in an action brought by a couple accusing it of construction defects, finding that the plaintiffs' initial lawsuit was timely because it was filed within the two-year limitations period (Brock Curry, et al. v. Zag Built LLC, et al., No. 18CA0018, Colo. App., 2018 Colo. App. LEXIS 647).
- Appeals Court Agrees Couple's Suit Over Roof Trusses Is Time-Barred
SPOKANE, Wash. - A couple could have determined that the trusses installed on their custom-built home were defective in 2007 after receiving the engineer-stamped designs, a Washington appeals court ruled May 8, upholding a trial court's decision that the plaintiffs' breach of warranty and Washington Consumer Protection Act (CPA) claims were barred by the four-year statute of limitations (Terry Schilling, et al. v. ProBuild Co. LLC., et al., No. 34435-5-III, Wash. App., 3rd Div., 2018 Wash. App. LEXIS 1102).
- Washington Appeals Court Panel Finds Association's Defects Suit Timely
SEATTLE - A trial court judge's ruling awarding summary judgment to a developer's successor based on the statute of limitations was reversed May 14 by a Washington appeals panel that found that a condominium association's lawsuit under the Washington Condominium Act (WCA) was filed within the four-year statute of limitations because the declarant controlled the association until 2014 (Burien Town Square Condominium Association v. Burien Town Square Parcel 1 LLC, et al., No. 76502-7-I, Wash. App., 1st Div., 2018 Wash. App. LEXIS 1137).
- Judge: Construction Contract Contained Start Date Of Defects Claim
DOVER, Del. - A Delaware judge on May 22 awarded summary judgment to a general contractor accused of defectively constructing a group home for adults with cerebral palsy, finding that the suit was barred by the three-year statute of limitations because the construction contract stated when any possible claims would begin to accrue (Black Diamond Hope House Inc., et al. v. U&I Investments LLC, et al., No. K15C-12-034 JJC, Del. Super., Kent Co.).
- Association Cannot Pursue Defects Claims Against Subcontractors, Judge Says
HARTFORD, Conn. - A Connecticut judge on April 20 dismissed a homeowners association's claims against four subcontractors accused of construction defects, finding that it lacked standing because the subcontractors were not provided with proper presuit notification (Sherwood Falls Homeowners Association Inc. v. CIL Development of Kensington Inc., et al., No. X07HHDCV166086133S, Conn. Super., Hartford Dist., 2018 Conn. Super. LEXIS 805).
- Judge Finds Couple Learned Of Window Defect In 2015, Finds Claims Timely
BATON ROUGE, La. - A couple's redhibition claim stating that windows manufactured by Jeld-Wen Inc. that were installed in their home are defective is not prescribed by the statute of limitations, a federal judge in Louisiana ruled May 11, because they did not learn about the alleged defect until 2015 (Ronald Leo, et al. v. Jeld-Wen Inc., No. 16-00605-BAJ-EWD, M.D. La., 2018 U.S. Dist. LEXIS 80179).
- California Panel Overturns Ruling Enforcing Settlement Of Defective Windows Suit
SAN FRANCISCO - A California trial court erred when granting a plaintiff's motion to enforce the terms of a settlement agreement with the manufacturer of allegedly defective windows, a state appeals panel ruled May 24, holding that none of the settling parties had consented to the agreement in court or in a signed writing as required by California law (Theresa Teuma v. Marvin Lumber & Cedar Co., et al., No. A149733, Calif. App., 1st Dist., 2nd Div., 2018 Cal. App. Unpub. LEXIS 3631).
- Pella Removes Suit Over Leaky Windows, Cites Diversity, Excessive Damages
ALLENTOWN, Pa. - Pella Corp. says in a May 11 notice of removal that a man's state court lawsuit over windows and doors that were allegedly defective because they leaked belongs in federal court in Pennsylvania because he is seeking damages in excess of the $75,000 jurisdictional threshold and because complete diversity exists between the parties (Edward Melhem v. Pella Corp., et al., No. 18-cv-2007, E.D. Pa.).
- Release Requires Contractor To Indemnify Lumber Liquidators, Judge Finds
PROVIDENCE, R.I. - A release agreement between a general contractor and Lumber Liquidators Inc. resolving warranty claims stemming from bamboo flooring that buckled due to the lack of expansion spaces requires the contractor to indemnify the company for allegations brought by the developer of a condominium complex, a Rhode Island trial court judge ruled May 10, finding that terms of the release are unambiguous and enforceable (Providence Capital LLC v. Lumber Liquidators Inc., et al., No. PC-2015-0995, R.I. Super., Providence Co., 2018 R.I. Super. LEXIS 48).
- Plaintiffs Voluntarily Dismiss Appeal Over Dismissal Of Dimensional Lumber Suit
CHICAGO - Two men who claimed that a federal judge in Illinois erred when dismissing their class action lawsuit accusing Menard Inc. of violating the Illinois Consumer Fraud Act (ICFA) by selling lumber with deceptive labels about the product's dimensions dismissed their appeal in the Seventh Circuit U.S. Court of Appeals on May 7 (Michael Fuchs, et al. v. Menard Inc., No. 17-3260, 7th Cir.).
- Standards Regarding Lumber Size Are Not 'Common Knowledge,' Plaintiffs Say
CHICAGO - Two men who argue that a federal judge in Illinois erred when dismissing their class action suit accusing Menard Inc. of violating the Illinois Consumer Fraud Act (ICFA) by misrepresenting the size of dimensional lumber tell the Seventh Circuit U.S. Court of Appeals in an April 30 brief that contrary to the retailer's argument, the industry standards that establish that 4x4s are not actually that size are not common knowledge (Michael Fuchs, et al. v. Menard Inc., No. 17-3260, 7th Cir.).
- Roofing Subcontractor Can Face Gross Negligence Claims, Judge Rules
BEAUFORT, S.C. - A federal judge in South Carolina held that a roofing subcontractor can face a general contractor's third-party claim of gross negligence for moisture intrusion that occurred at a golf clubhouse and community clubhouse due to a lack of flashing because there is evidence that there is evidence that the subcontractor supplied roofing material and flashing (Hampton Hall LLC v. Chapman Coyle Chapman & Associates Architects AIA Inc., et al., No. 17-1575-RMG, D. S.C., 2018 U.S. Dist. LEXIS 84502).
- Window Installer Says No Evidence Links His Work To Water Intrusion
WILMINGTON, Del. - A subcontractor who installed the windows in a man's home says in a May 18 motion for summary judgment filed in Delaware state court that there is no evidence that his work caused water intrusion that has prevented a man from selling his home (Gary Loh v. Muirfield Associates LLC, et al., No. N16C-09-234, Del. Super., New Castle Co.).
- Subcontractor Waived Argument Over Jurisdiction In Defects Suit, Panel Finds
ST. PAUL, Minn. - A subcontractor accused of construction defects waived its argument that it was not properly served with a third-party complaint by a general contractor and an amended complaint from a homeowners association, a Minnesota Court of Appeals panel ruled May 7, holding that the subcontractor waived its argument because it did not pursue it as a means to dismiss the actions (Village Homes of Grandview Square II Association, et al. v. R.E.C. Inc., et al., No. A17-1747, Minn. App., 2018 Minn. App. Unpub. LEXIS 342).
- Association, Homeowners File Class Action Alleging Defective Stucco
ORLANDO, Fla. - A homeowners association and 29 individual homeowners sued Lennar Homes LLC and a general contractor in a Florida state court April 18 on behalf of a putative class of residents of a 191-home development, contending that stucco on their homes was improperly installed (Emerson Park Homeowners Association Inc., et al. v. Lennar Homes LLC, et al., No. 2018-CA-003910-O , Fla. Cir., Orange Co.).
- Association Sues Engineer, Subcontractor For Faulty Decking Installation
TRENTON, N.J. - A condominium association on May 11 filed a lawsuit in New Jersey state court accusing an engineering firm and a contractor hired to replace breezeway decking of failing to properly install the new decking material despite the engineer's knowledge that quarter-inch sloping was needed underneath the new material to prevent water from pooling on the deck surface (Lawrence Square Village II Condominium Association v. Kipcon Inc., et al., No. MER-L-001038-18, N.J. Super., Mercer Co.).
- Defective Shingles Caused Leaks, Kitchen Damage, Couple Complains
CLEVELAND - An Ohio couple filed a lawsuit in state court on May 16 against the maker of shingles that were installed on their home, claiming that they were defective because they allowed the roof to leak, causing damage to their kitchen (Blanche Forman, et al. v. IKO Industries Inc., No. CV 18 897861, Ohio Comm. Pls., Cuyahoga Co.).
- Couple Accuses Contractor Of Faulty Foundation Work When Building Addition
GEORGETOWN, Del. - A couple sued the general contractor they hired to build an addition on their Rehoboth Beach, Del., home in Delaware state court on May 22, claiming that the builder's negligence when installing the foundation, footers and framing have caused the structure to pull away from the existing home (Dennis Runsten, et al. v. Burton Builders LLC, No. S18C-05-025, Del. Super., Sussex Co.).
- Woman: Contractor's Defects Left Home Uninhabitable For Over 2 Years
PATTERSON, N.J. - A New Jersey woman sued a contractor in state court on May 4 complaining that his breach of a construction contract and failure to perform work pursuant to architectural designs caused the home to be uninhabitable for over two years (Dori La Cap v. Peco Nikoloski, et al., No. PAS-L-001462-18, N.J. Super., Passaic Co.).