Justia Civil Procedure Opinion Summaries

Articles Posted in Construction Law
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This appeal arose from a grant of summary judgment against Plaintiff-Appellant Parker Excavating, Inc. (“PEI”) on its civil rights claim against Defendants-Appellees Lafarge West, Inc. (“Lafarge”), Martin Marietta Minerals, Inc. (“MMM”), and Nick Guerra, an employee of Lafarge and MMM. Lafarge, a construction company, was the primary contractor on a paving project for Pueblo County, Colorado (“the County”). PEI, a Native American-owned construction company, was a subcontractor for Lafarge. MMM replaced Lafarge as the primary contractor. PEI’s participation in the project was terminated before it entered into a new subcontract with MMM. PEI alleged Lafarge retaliated against it with a letter of reprimand and a demand to sign letters of apology after PEI Vice President Greg Parker complained that County employees discriminated against PEI on the basis of its Native American ownership. In separate orders, the district court granted summary judgment on PEI’s 42 U.S.C 1981 retaliation claim to: (1) MMM and Guerra, because PEI could not show its opposition to County employees’ discrimination was “protected” opposition under section 1981; and (2) Lafarge, because PEI could not show Lafarge took an adverse action against it. Finding no reversible error, the Tenth Circuit affirmed. View "Parker Excavating v. LaFarge West" on Justia Law

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Plaintiff Ralph Rogerson, a licensed pest-control applicator in Kansas, challenged a regulation of the Kansas Department of Agriculture on the ground that it required excessive pesticide treatment in preconstruction applications. He filed suit for declaratory and injunctive relief against the Secretary of the Department, claiming that the regulation: (1) was preempted by the Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA) because it conflicted with pesticide labels approved by the Environmental Protection Agency (EPA); and (2) was preempted by the Sherman Antitrust Act because it limited consumer choice and competition through retail price maintenance. The United States District Court for the District of Kansas rejected both claims, and Plaintiff appealed. The Tenth Circuit affirmed: the Kansas regulation was neither expressly nor impliedly preempted by FIFRA. And Plaintiff conceded the absence of an essential element of his Sherman Act claim. View "Schoenhofer v. McClaskey" on Justia Law

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Laser Line Construction Company, LLC,(“Laser Line”) purchased statutory workers’ compensation insurance coverage from the Builders and Contractors Association of Mississippi (“BCAM”) Self Insurers’ Fund. Because Laser Line was a general contractor, BCAM sought premium payments for all employees of Laser Line’s subcontractors who did not independently secure workers’ compensation coverage. Laser Line refused to pay premiums for employees of subcontractors who had fewer than five employees and claimed they were thus exempt from the coverage requirement. BCAM canceled Laser Line’s coverage for nonpayment. Laser Line filed suit for damages and a declaratory judgment. The defendants answered, and BCAM separately filed a counterclaim. The parties filed competing summary judgment motions. The trial court granted Laser Line a partial summary judgment on the statutory interpretation issue. BCAM sought and was granted permission to file an interlocutory appeal. Mississippi Code Section 71-3-7 required general contractors secure workers’ compensation coverage for the employees of its uninsured subcontractors; the Mississippi Supreme Court found consistent with the unambiguous language of the statute and its own prior opinions, the number of employees of the subcontractor was not a factor in determining general-contractor liability under the Act. Thus, the trial judge’s contrary ruling was in error. View "Builders & Contractors Association of Mississippi, v. Laser Line Construction Company, LLC" on Justia Law

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In 2015, RPM Cranes and its owner Muhammad Wasim Ali sued the defendants CraneWorks, Inc. and its owners, David Upton ("David") and Steve Upton ("Steve"), and Russell Brooks, Rick Yates, and Casey Markos, alleging that Brooks, Yates, and Markos had violated their employment agreements by going to work for CraneWorks and that CraneWorks' hiring of Brooks, Yates, and Markos likewise violated those employment agreements. David and Steve were named as defendants by virtue of their ownership of CraneWorks. RPM and Ali sought monetary damages and injunctive relief. The trial court entered a permanent injunction in favor of RPM and Ali and against the defendants. The Alabama Supreme Court found the injunction at issue in defendants' appeal was not specific in its scope: the order stated that the defendants were "permanently restrained and enjoined from contacting, in any way, whatsoever, any of those clients which are now clients of RPM Cranes." The order failed, however, to specify which clients were included in the injunction. RPM and Ali introduced no evidence as to who RPM's clients were or whether it had developed any clients of its own that Yates and Brooks did not bring onboard as a result of their previous jobs with other entities. In other words, the injunction was broad and vague rather than "specific in [its] terms." The Court reversed the trial court's order and remanded for further proceedings. View "Brooks v. RPM Cranes, LLC" on Justia Law

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Homeowners sued Builder for failing to construct their home in a good and workmanlike manner. Builder’s commercial general liability insurer (Insurer) refused to defend Builder in the suit. Judgment was granted in favor of Homeowners after a trial, and Builder assigned the majority of its claims against Insurer to Homeowners. Homeowners subsequently sought to recover the judgment from Insurer under the applicable policy. The trial court entered judgment in favor of Homeowners. The court of appeals affirmed. The Supreme Court reversed and, in the interests of justice, remanded the case to the trial court for a new trial, holding (1) the judgment against Builder was not binding on Insurer in this suit because it was not the product of a fully adversarial proceeding; but (2) this insurance litigation may serve to determine Insurer’s liability, although the parties in the case focused on other issues during the trial. View "Great American Insurance Co. v. Hamel" on Justia Law

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The Act makes the builder who sells homes liable for violations without proof of negligence, while general contractors and subcontractors not involved in home sales are liable only if the plaintiff proves they negligently caused the violation in whole or part. The jury found the grading subcontractor, defendant Gerbo Excavating, was not negligent in any respect. The trial court, not the jury, found the builder/seller, Knotty Bear Development, Inc. and Knotty Bear Construction, Inc. (collectively Knotty Bear), liable after Knotty Bear failed to appear for trial. Plaintiffs sought redress from Gerbo under common law negligence theories for the tree damage, because they argued tree damage was not covered by the Act. The Court of Appeal found that plaintiffs failed to show tree damage was not covered by the Act: the jury found Gerbo was not negligent in any respect, even when the jury found building standards were violated. Finding no other basis for reversal, the Court affirmed the trial court’s judgment and post-trial orders. View "Gillotti v. Stewart" on Justia Law

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This case concerned the design and construction of a single-family residence in Pitkin County, Colorado. Heritage Builders, Inc. (“Heritage”) was retained as the general contractor by the original owners of the property, Karen and Courtney Lord. Pitkin County issued a certificate of occupancy for the home in September 2006. In November 2011, Richard Goodman purchased the property from the Lords. Then, sometime between March and June 2012, Goodman discovered the alleged construction defects in the home. Goodman gave Heritage informal notice of his construction defect claims in July 2013. In this original proceeding, the issue presented for the Colorado Supreme Court’s review was whether the statute of repose in section 13-80-104(1)(a), C.R.S. (2016), barred a general contractor’s third-party claims brought in response to a homeowner’s claim for construction defects discovered in the fifth or sixth year following substantial completion of an improvement to real property. The Court held that such claims are timely, irrespective of both the two-year statute of limitations in section 13-80-102, C.R.S. (2016), and the six-year statute of repose in section 13-80-104(1)(a), so long as they are brought at any time before the ninety-day timeframe outlined in section 13-80-104(1)(b)(II). View "In re Goodman v. Heritage Builders" on Justia Law

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Eagle Rigid Spans, Inc., ("ERS") appealed an order denying its motion for new trial and an amended judgment entered after a jury found in favor of Brandon and Constance Jalbert and awarding them $650,000 plus interest, and costs and disbursements. ERS also appealed from the district court's order overruling its objections to costs and disbursements. ERS contracted to build a multi-purpose building for the Jalberts. During and after the construction of the building the Jalberts discovered problems with the structure. The Jalberts brought suit alleging breach of contract and breach of warranty. ERS argued irregularities in the proceeding of the jury trial prevented them from having a fair trial, the jury awarded excessive damages because of the influence of passion or prejudice, sufficient evidence did not exist to justify the verdict and the trial court erred in failing to reduce the Jalbert's expert witness fees. Finding no reversible error, the Supreme Court affirmed. View "Jalbert v. Eagle Rigid Spans, Inc." on Justia Law

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Homeowners obtained loans from Bank for the construction of a new home and entered into an agreement with Contractor to complete the new home construction. When Homeowners defaulted on payments owed to Contractor and on both loans, the house was sold at foreclosure, and Homeowners filed for bankruptcy. Contractor filed a fourth amended complaint against Homeowners, who were later dismissed as parties, and Bank. Following a trial the court granted summary judgment for Bank on Contractor’s claims of fraud and civil conspiracy. The Supreme Court reversed. After remand, Contractor filed a fifth amended complaint, which differed from the fourth amended complaint in several respects. The district court determined that the election of remedies doctrine and judicial estoppel required a dismissal of Contractor’s claims. The Supreme Court reversed, holding (1) Contractor’s claims were consistently premised on the existence of a contract, and therefore, no election was required; and (2) Contractor’s claims were based on different facts and obligations, and therefore, both could be pursued. View "deNourie & Yost Homes, LLC v. Frost" on Justia Law

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The issue this case presented for the Court of Appeal's review centered on the notice and time requirements of the Right to Repair Act (the act), Civil Code section 895 et seq. The Court granted petitioner William Blanchette's petition for a writ of mandate and directed that the trial court vacate its order staying proceedings pending Blanchette's compliance with the act. Blanchette's compliance with the act was relieved by virtue of real party GHA Enterprises, Inc.'s (GHA) failure to timely acknowledge receipt of Blanchette's notice of a claim. "Contrary to GHA's argument, the act's goal of promptly resolving claims without resort to litigation cannot be achieved by permitting homebuilders to serve tardy responses to claims or to ignore them entirely." View "Blanchette v. Super. Ct." on Justia Law