CONSTRUCTION DEFECT JOURNAL

"News and Information for Construction Defect and Claims Professionals"

CONSTRUCTION DEFECT JOURNAL - ISSUE 242749 - WEDNESDAY, SEPTEMBER 16, 2026

Premises Liability next to gavel

The Court agreed and granted BWB&O’s Motion for Summary Judgment, disposing of Plaintiff’s claims against both the commercial property owner and property management company in their entirety.

Partner Bryan Stofferahn and Our Walnut Creek Team Secure Summary Judgment in a $28 Million Premises Liability Case!

September 15, 2026
Dolores Montoya - Bremer Whyte Brown & O'Meara LLP

BWB&O is proud to announce that Partner Bryan Stofferahn and the Walnut Creek Team secured a Summary Judgment on behalf of the firm’s clients, resulting in a complete dismissal of a negligence and premises liability claim.

Plaintiff, a teenager, was riding his bicycle on private commercial property when he was struck by a vehicle. Plaintiff was in a coma for 6 weeks and developed major neurocognitive dysfunction from a traumatic brain injury.

BWB&O’s clients are a commercial property owner and property management company, who Plaintiff contended were liable for his injuries based on the design, condition, operation, and management of the premises. Plaintiff had demanded $28 million in settlement of the claims against all defendants.

Reprinted courtesy of Bremer Whyte Brown & O'Meara, LLP

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CDJ NEWS THIS WEEK

Lessons learned

This article discusses two takeaway points to consider if you are dealing with a Miller Act payment bond lawsuit.

Two Important Points Regarding the Miller Act

September 15, 2026 — David Adelstein - Florida Construction Legal Updates

A recent Miller Act case, U.S. f/u/b/o Boundless Management Outsourcing Group, LLC v. Endurance Assurance Corp, 2026 WL 2241491 (D. Puerto Rico 2026), confirms two important points when it comes to the Miller Act. In this case, a subcontractor pursued a Miller Act payment bond lawsuit more than one year after its work was finished. The subcontractor also asserted a claim against the federal government. The lawsuit was dismissed. Below are two takeaway points to consider if you are dealing with a Miller Act payment bond lawsuit.

First, as it relates the claim against the federal government, the federal district court followed authority that held that the Miller Act does NOT include a waiver of sovereign immunity against the federal government. “[T]he Court does not identify any clear language in the Miller Act expressly waiving the United States or its agencies’ sovereign immunity.” Endurance Assurance Corp., supra at *3.

Mr. Adelstein may be contacted at dma@kirwinnorris.com

Reprinted courtesy of David Adelstein, Kirwin Norris

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Interior courtroom

The plaintiff alleged that the defendant received earnings credit payments from a bank in exchange for maintaining HOA deposit accounts and failed to disclose the arrangement to its HOA clients.

GRSM Defeats Class Certification in Precedent-Setting HOA Management Case

September 15, 2026 — Gordon Rees Scully Mansukhani

Gordon Rees Scully Mansukhani Partners Fletcher Alford and Kevin Liu and Associate Jigar Desai secured a favorable outcome on behalf of an HOA management company in a precedent-setting class action before the U.S. District Court for the Eastern District of California, obtaining denial of the plaintiff’s motion for class certification and dismissal without prejudice of the three claims at issue.

The plaintiff alleged that the defendant received earnings credit payments from a bank in exchange for maintaining HOA deposit accounts and failed to disclose the arrangement to its HOA clients. The plaintiff sought more than $40 million in damages, asserting five claims: (1) breach of contract for failing to act in class members’ best interests by not disclosing the alleged earnings credit arrangement; (2) violation of California’s Unfair Competition Law (UCL) based on alleged violations of California Civil Code §§ 5375, 5375.5, and 5380; (3) breach of fiduciary duty based on the alleged undisclosed arrangement; (4) violation of the UCL for unfair business practices arising from the alleged nondisclosure; and (5) unjust enrichment. The plaintiff sought class certification under Federal Rule of Civil Procedure 23(b)(2) and 23(b)(3) only as to its second, third, and fourth causes of action.

Reprinted courtesy of Gordon Rees Scully Mansukhani

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George Washington Bridge

Port Authority settles days before trial judge rules jury could decide if roadway debris remained in place long enough for constructive notice.

$10.5M Settlement Ends George Washington Bridge Debris Liability Fight

September 15, 2026 — Bryan Gottlieb - Engineering News-Record

A $10.5-million settlement that recently came to light has ended a six-year legal fight over whether a truck part that may have been lying on the George Washington Bridge roadway for more than 10 minutes was there long enough for the Port Authority of New York and New Jersey to have found and removed it before it caused a catastrophic accident.

Mr. Gottlieb may be contacted at gottliebb@enr.com

Reprinted courtesy of Bryan Gottlieb, Engineering News-Record

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Woman at revolving door

Mary Guzman, who worked for a cleaning company, PBM, LLC, alleged that she was injured when a glass panel in a revolving door fell onto her as she cleaned the door.

Underlying Complaint Alleges Possibility of Coverage, Triggering Duty to Defend

September 15, 2026 — Tred R. Eyerly - Insurance Law Hawaii

In a dispute among insurers for various defendants in the underlying case regarding the providing of a defense, the Second Circuit vacated, in part, the district court’s judgment and remanded the case. New Your Marine and Gen. Ins. Co. v. Fed. Ins. Co., 2026 U.S. App. LEXIS 18087 (2nd Cir. June 23, 2026).

Mary Guzman, who worked for a cleaning company, PBM, LLC, alleged that she was injured when a glass panel in a revolving door fell onto her as she cleaned the door. She filed suit in state court against the owners of the building as well as the lessee of the fifteenth floor where the accident occurred, Bank of New York Mellon (Bank). She alleged the owners and the Bank were negligent in creating the dangerous condition that caused her injury.

Mr. Eyerly may be contacted at te@hawaiilawyer.com

Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert

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Five stars

Congratulations to Wilke Fleury's 15 attorneys recognized in the 2027 editions of The Best Lawyers in America® and Best Lawyers: Ones to Watch® in America.

Wilke Fleury is proud to congratulate attorneys recognized in the 2027 editions of The Best Lawyers in America® and Best Lawyers: Ones to Watch® in America.

September 15, 2026 — Wilke Fleury

The Best Lawyers in America®: Dan Egan, Daniel Foster, David Frenznick, and George Guthrie.

Best Lawyers: Ones to Watch® in America: Islam M. Ahmad, Kathryne Baldwin, Melissa Eaton, Jason Eldred, and Mustafa Karim.

Congratulations to this outstanding group!

Reprinted courtesy of Wilke Fleury

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Testifying Construction and Building Industry Standard of Care Expert Witness

General Construction Investigation - Licensed General Building Contractor CA, AZ, UT, FL

Certified Professional Estimator (ASPE) American Society of Professional Estimators

Extensive testimony experience attendant to numerous commercial and residential construction defect and claims related expert witness designations

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Engineering Architectural Software

Consistently estimating accurately builds confidence, speeds up bidding and positions your company to win more profitable projects.

The ROI of Estimating Accuracy in Preconstruction

September 15, 2026 — Aaron Kivett - Construction Executive

Precision is the foundation of profitability in construction. Even minor quantity or pricing mistakes can swing bids anywhere from 5-15%, leading to project delays, unprofitable jobs or margin erosion through change orders. And worse, these losses can damage client trust and jeopardize long-term relationships that drive repeat business and future bids. Consistently estimating accurately builds confidence, speeds up bidding and positions your company to win more profitable projects.

Estimating accuracy is where profit is either protected or lost. In construction, you make your biggest financial decisions before a project ever starts. Once a bid is won, most of the project’s cost structure is locked in. If the estimate is wrong, no amount of execution can fully fix those mistakes. That makes estimating accuracy a business issue, not just an operations issue.

Reprinted courtesy of Aaron Kivett, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.

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Best Workplace

Snell & Wilmer is proud to announce that its Los Angeles office has been named one of the 2026 Best Places to Work by the Los Angeles Business Journal as part of its annual Best Places to Work awards.

Snell & Wilmer’s Los Angeles Office Recognized as One of the “Best Places to Work” by the Los Angeles Business Journal

September 15, 2026 — Snell & Wilmer

LOS ANGELES – Snell & Wilmer is proud to announce that its Los Angeles office has been named one of the 2026 Best Places to Work by the Los Angeles Business Journal as part of its annual Best Places to Work awards. The recognition honors outstanding employers across the Los Angeles region that are fostering strong workplace cultures and creating positive employee experiences. Selections are based on confidential employee surveys conducted by Workforce Research Group, which evaluate organizations on leadership, corporate culture, communication, employee engagement, and other key workplace factors.

“We are honored to be recognized as one of the Best Places to Work in Los Angeles,” said Joshua Schneiderman, managing partner of the firm’s Los Angeles office. “This recognition reflects the collaborative culture we have built and the dedication of our attorneys and professional staff who contribute to making our office a great place to work. We remain committed to providing opportunities for growth, fostering meaningful connections, and supporting our team members’ continued success.”

Reprinted courtesy of Snell & Wilmer

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PFAs

The decision leaves EPA’s PFOA and PFOS hazardous substance designations in place and provides guidance on the scope of EPA’s authority to make future hazardous substances designations under CERCLA Section 102(a).

D.C. Circuit Upholds EPA’s CERCLA Hazardous-Substance Designations for PFAS as State-Law Settlements Highlight Expanding Liability Landscape

September 15, 2026 — Ashleigh K. Myers, Amanda G. Halter, Jillian Marullo & Anthony B. Cavender - Gravel2Gavel Construction & Real Estate Law Blog

On August 18, 2026, a unanimous panel of the U.S. Court of Appeals for the D.C. Circuit upheld the 2024 designation by the U.S. Environmental Protection Agency (EPA) of perfluorooctanoic acid (PFOA) and perfluorooctanesulfonic acid (PFOS) as hazardous substances under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA or Superfund). (See Chamber of Commerce of the United States of America, et al. v. EPA, No. 24-1193 (D.C. Cir. Aug. 18, 2026).)

The decision leaves EPA’s PFOA and PFOS hazardous substance designations in place and provides guidance on the scope of EPA’s authority to make future hazardous substances designations under CERCLA Section 102(a). The decision also likely resolves a challenge to the rule that has spanned two presidential administrations. After taking office, the Trump administration had obtained an abeyance of the litigation challenging the Biden-era rule while EPA reconsidered its position. In September 2025, EPA informed the court that it had decided to retain the designations, while signaling that it would work with Congress and industry to address CERCLA liability concerns for “passive receivers.” The litigation then resumed, with the current Administration defending the rule.

Reprinted courtesy of Ashleigh K. Myers, Pillsbury, Amanda G. Halter, Pillsbury, Jillian Marullo, Pillsbury and Anthony B. Cavender, Pillsbury

Ms. Myers may be contacted at ashleigh.myers@pillsburylaw.com
Ms. Halter may be contacted at amanda.halter@pillsburylaw.com
Ms. Marullo may be contacted at jillian.marullo@pillsburylaw.com
Mr. Cavender may be contacted at anthony.cavender@pillsburylaw.com

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Confetti coming out of trophy

Tracy Cowan has been named an “Icon” by Missouri Lawyers Media in its inaugural “Illinois Legal Leaders” awards program.

Tracy Cowan Honored as “Icon” in Missouri Lawyers Media’s First-Ever “Illinois Legal Leaders” Awards

September 15, 2026 — Lewis Brisbois

St. Louis Managing Partner Tracy Cowan has been named an “Icon” by Missouri Lawyers Media in its inaugural “Illinois Legal Leaders” awards program.

Mr. Cowan was among 14 people who earned “Icon” status in the awards program. This category honors “senior leaders with 30 years or more of legal practice” and is one of three groups recognized. The other two include “Up & Coming Lawyers,” for attorneys with 10 or fewer years in legal practice, and “Leaders in the Law,” which recognizes members of the bar who have significantly contributed to the practice of law in the state, the local legal community, and the broader community.

Reprinted courtesy of Lewis Brisbois

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Global firm

Operating in eight jurisdictions across North America, EMEA, and APAC, the new firm provides policyholders and their brokers with a single source for the full spectrum of insurance coverage counsel.

Leading Boutiques Combine to Form SDV Fenchurch, A Global Law Firm for Insurance Policyholders

September 15, 2026 — SDV Fenchurch

TRUMBULL, Conn., and LONDON, Sept. 1, 2026 — Saxe Doernberger & Vita, P.C. (SDV), Fenchurch Law, Wesolowski Abogados, and CLIR & Fenchurch and their partner members in Asia, Europe and North America combined today to launch SDV Fenchurch, a global law firm built exclusively to represent policyholders and the brokers who advise them.

Structured as a Swiss verein, SDV Fenchurch unites dedicated insurance-recovery practices across eight jurisdictions in the United States, the United Kingdom, France, Spain, Denmark, Norway, Turkey, and Singapore. With over 90 lawyers devoted to insurance coverage matters, the firm is among the largest policyholder-side practices in the world and, by number of jurisdictions with full-time policyholder counsel capabilities, the most geographically extensive.

The founders are brought together by a single shared mission: to act solely for policyholders, never the insurers, in insurance disputes. This is in stark contrast to most international firms with insurance practices, which mostly represent insurers only.

Reprinted courtesy of SDV Fenchurch

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Construction site technology

We need innovation in the construction sector, but we struggle to turn inventions into innovations. Why is that, and what can we do about it?

What Prevents Innovation in Construction from Taking Off

September 15, 2026 — Aarni Heiskanen - AEC Business

In construction, we have the knowledge, technology, and innovative people to radically improve our performance, yet we’re still stuck in old ways. Why is that?

I attended an annual gathering for real estate and construction professionals at Rakennustieto Oy, Finland’s leading building information provider. The day before, a half-day seminar was held at the same venue. During both events, we discussed the need for change in the construction sector. Everyone agreed that we need to radically improve how we produce and share information.

Reprinted courtesy of Aarni Heiskanen, AEC Business

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Ramp on house

Since 1993, HBF has brought together Colorado’s homebuilding and construction community to provide accessibility modifications for individuals and families with disabilities.

Building More Than a Ramp: HHMR and the Home Builders Foundation

September 15, 2026 — Colorado Construction Litigation Blog

Last Friday, four members of the Higgins, Hopkins, McLain & Roswell team traded briefs, depositions, and construction litigation files for lumber, drills, and a day on a jobsite.

HHMR attorneys Ricky Nolen, Amanda Tynan, Kyle Thompson, and Tanner Davis participated in the Home Builders Foundation’s 2026 Blitz Build, helping construct an accessibility ramp for Andrea, a Denver-area resident whose mobility challenges had made something most of us take for granted extraordinarily difficult: leaving her own home independently.

The day after the build, the volunteers received an e-mail from HBF’s Terrina Reiber with an unusual request: set an alarm for 10:00 the next morning.

At 10:00 on a Saturday, she explained, they might be running errands, meeting a friend, or simply deciding what to do with the day.

When the alarm went off, she asked them to think about Andrea.

Because Andrea could now make that same choice.

Reprinted courtesy of Higgins, Hopkins, McLain & Roswell

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Consulting Design and Architecture Expert Witness

Forensic Architect CA, AZ, NV, CO, TX, UT, FL, NM, OK - NCARB - National Council of Architectural Registration Boards

California Architectural Registration Board Supplemental Examination Commissioner

(800) 482-1822

www.berthowe.com

Home rising arrow

Home Prices Pick Up in 80% of US Metro Areas, Led by Northeast

September 15, 2026 — Michael Sasso – Bloomberg

Prices of existing homes rose in 80% of US metropolitan areas in the second quarter, as home values pick up pace after several months of weakness.

Reprinted courtesy of Michael Sasso, Bloomberg

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Construction Worker

Construction Job Openings Increase By 14,000 in June, Up 36% Year Over Year

September 15, 2026 — ABC - Construction Executive

WASHINGTON, Aug. 4—The construction industry recorded 305,000 job openings on the last day of June, according to an Associated Builders and Contractors analysis of data from the U.S. Bureau of Labor Statistics’ Job Openings and Labor Turnover Survey. JOLTS defines a job opening as any unfilled position for which an employer is actively recruiting. Industry job openings increased by 14,000 last month and are up by 81,000 from the same time last year.

“Interpreting these data is often challenging,” said ABC Chief Economist Anirban Basu. “One could take these figures at face value and conclude that construction is thriving and driving demand for workers higher. Indeed, ABC’s Construction Confidence Indicator shows that the average contractor expects rising revenues and employment over the next six months.

Reprinted courtesy of ABC, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.

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California Supreme Court

California Supreme Court: Policyholders Can Sue Excess Insurers Before Exhaustion

September 15, 2026 — Payne & Fears

In Fox Paine & Co., LLC v. Twin City Fire Ins. Co., the California Supreme Court held that insureds may bring claims for declaratory relief or tortious breach of the implied covenant of good faith and fair dealing against excess insurers, even if the underlying coverage has not been exhausted.

FPC, an investment firm, held a $50 million follow-form coverage tower — a $10 million primary policy and four $10 million excess layers. A deteriorating relationship between FPC’s cofounders, Fox and Paine, produced years of litigation between them.

FPC’s insurance broker tendered notice of that litigation on behalf of FPC and all other insureds. A partner at a separate fund Paine had launched later wrote the primary carrier, representing that the tender letter had been submitted on behalf of Paine only. The excess carriers knew of that letter and said nothing to Fox.

Reprinted courtesy of Payne & Fears

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Conference

2026 IRMI Construction Risk Conference (CRC)

September 15, 2026 — SDV Fenchurch

The IRMI Construction Risk Conference (CRC) is a can’t-miss experience! The conference features top-tier speakers focusing on innovative technology, fresh construction risk and insurance content, and excellent networking opportunities. You’ll take away practical tips and future-looking strategies for proactively controlling risks, mitigating losses, negotiating equitable insurance and contract terms, and managing claims.

October 25th-28th, 2026
Gaylord National Resort & Convention Center
201 Waterfront St
Oxon Hill, MD 20745

Reprinted courtesy of SDV Fenchurch

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More Dana Point Homes in Danger of Crumbling into Ocean

Ten oceanfront homes have now been red-tagged and another seven yellow-tagged in Dana Point's Capistrano Bay due to high tides and coastal erosion caused by the remnants of Hurricane Marie, city officials announced, KTLA5 reported.

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Effort Launched to Stop Beach Erosion After High Surf from Marie Damages Long Beach Homes, Boardwalk

More beach erosion caused by pounding surf from Hurricane Marie is showing up along the Southern California coastline, damaging homes, ABC7 News reported.

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Consulting General Contractor - Certified Construction Cost Estimating Expert Witness

Certified Professional Estimator (ASPE) American Society of Professional Estimators

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(800) 482-1822

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