Deluxe Apartment in the Sky? Condos and Right-to-Repair in Texas
What rights do contractors have to inspect and repair alleged defects in projects? How are those rights exercised and preserved? Recent events have breathed newfound urgency into these questions. The unparalleled construction activity in the State over the past decade combined with the rapid deceleration of the national economy due the novel coronavirus pandemic promises to bring an uptick in claims relating to construction defects, alleged or real.
The answers depend, in part, on the nature of the project. For residential construction, which includes pools and condominiums, at least
Punxsutawney Phil: Product Liability In Construction Projects
In many ways, the COVID-19 pandemic resembles the movie, Groundhog Day. The endless stay-at-home days that blend together anonymously aside, one déjà vu legal issue is the prospect of increased claims relating to not-yet-completed as well as completed projects. The proliferation of the use of novel and proprietary construction building materials assures that product liability claims will be part of many construction disputes.
In Texas, product liability claims are governed by case law and a statute, Chapter 82 of the Texas Civil Practice & Remedies Code (Chapter 82). As we enter un
What Goes Up (Must Come Down): Escalation Clauses In A Pandemic Era
Depending on which news channel you subscribe to, we are entering an era of inflation or deflation or a Goldilocks economy. One view is that disruption to global supply chains will lead to rapid price escalation which in tandem with a loose monetary policy by almost every developed country in the world, will lead to a large increase in prices of basic commodities and fabricated products. Another and completely different view is that mass unemployment will suffocate demand which in tandem with the exact same loose monetary policies will result in large decreases in prices of basic commodit
The Gambler: Waiver of Consequential Damages
Consequential damages—the types, magnitude, recoverability—can be a gamble. A waiver of consequential damages clause is one way to hedge that bet.
In the COVID-19 era and looming recession, business interruption and other forms of consequential damages can magnify losses attributable to design or construction defects. Waivers of consequential damages are one effective tool to contain and minimize this risk.
1. You have to know when to hold ‘em, know when to fold ‘em
Looking at Atlantic City, NJ today, it is hard to fathom that it was once a rival to Las Vegas. Yet, our jou
Case Note: Texas Supreme Court Recognizes First Exception To 8-Corners Rule
On May 1, 2020, the Texas Supreme Court recognized its first exception to the eight-corners rule regarding an insurer’s duty to defend. Given the significant interplay between insurance and many types of construction related disputes, the exception is noteworthy, even if narrow in its application.
1. What is the eight-corners rule?
One of an insurance company’s primary duties towards an insured is a duty to defend the insured against claims or suits seeking damages covered by the insurance policy. For instance, an insurance company that issues a commercial general liability policy