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December 23, 2009
Statute of Repose: Neil Haldrup testified before the South Carolina
Senate Committee on Judiciary supporting tort reform. A
portion of the bill clarifies South Carolina’s Statute of
Repose. The clarifying language states that a building
code violation does not constitute gross negligence or
recklessness per se. The clarification is intended to eliminate
and prevent the citation of building code violations to
circumvent the Statute of Repose defense. The Statute of
Repose prevents actions for breach of contract and negligence
filed more than 8 years after a project’s substantial
completion. An exception to the Statue of Repose allows
actions if gross negligence or recklessness is proven.
Click here for a link to the bill.
December 23, 2009
Newman Update: The Supreme Court denied the
insurance company’s 2nd Petition for Rehearing. The substituted
opinion dated September 8, 2009 is now the law of the case. In
the substituted opinion, the Court held that a subcontractor’s
negligent work which damaged the GC’s other work is an
"occurrence" covered under a GC’s CGL policy, but that the cost
to repair the subcontractor’s defective work may not be covered
under the policy. As an example, a roofing subcontractor’s
"negligent" application of shingles which causes water damage to
framing materials installed by another sub may be covered. The
cost to repair the damaged framing may be covered, but the cost
to remove and replace the shingles may not be covered. In a
dissenting opinion, Judge Pleicones argues that faulty work by a
subcontractor causing any damage to the GC’s work product, i.e.
any part of the house, is not an "occurrence" and not covered
under a GC’s CGL policy. The substituted opinion follows a line
of cases that define insurance coverage for contractors and the
obligations of CGL carriers that issue insurance in South
Carolina. The application of the law, as defined by the string
of cases, is dependent on the facts of each case.
Click here for a link to the substituted Newman opinion.
November 17, 2009
Elmore & Wall is pleased to announce that co-founding
shareholder L. Franklin "Frank" Elmore of the firm's Greenville
office has been invited to become a Fellow in The American
College of Construction Lawyers. Upon induction at The College's
Annual Meeting in San Diego in February 2010, Elmore will become
one of only two Fellows of the College in South Carolina.
To read the Press Release
click here.
November 17, 2009
Elmore & Wall,. P.A. is pleased to announce that William W.
"Trey" Watkins, Jr., of the firm’s Charleston office has been
appointed to serve on the Board of Directors for the Charleston
Trident Home Builders Association. Watkins is the only attorney
on a Board of Directors comprised mostly of contractors.
To read the Press Release
click here.
November 12, 2009
The Nominating Committee of the South Carolina Defense Trial
Attorneys Association elected Graham Powell to the SCDTAA
Executive Committee at its Annual Meeting in Savannah on
November 7. Graham is actively involved in the Association
and serves as the Chairman of the Construction Law Committee.
November 10, 2009
Newman Update
The insurance carrier in the Newman matter has filed a
2nd Petition for Rehearing in the matter reported on more fully
below. Until the Petition is resolved, the prior decisions
issued by the Court are not final decisions. We continue
to monitor this important case and the impact on insurance
coverage for construction projects in South Carolina.
November 5, 2009
Fundamentals of Construction Law
The ABA Forum on the Construction Industry has selected Frank
Elmore to serve as a co-editor of the Second Edition of
Fundamentals of Construction Law. The original work
published in 2001 sought to "give the newcomer to the
construction practice a strong foundation for understanding the
thought process of the construction industry and the basics of
the legal principles which apply to it" while providing more
experienced lawyers "greater insight into the industry and the
clients they serve." The Second Edition will continue the
original educational mission and is planned to include recent
technological advances in the industry such as Building
Information Modeling (BIM) and Integrated Project Delivery
(IPD), as well as project sustainability requirements and
objectives. Anticipated publication date is late
2010/early 2011.
November 5, 2009
NC CM At-Risk Program
Keith Coltrain will speak on legal issues in At-Risk
Construction Management Projects in North Carolina. This
seminar is being presented by Carolinas AGC on December 9 in
Greensboro, NC. To view the program flyer and register for
the program,
click here.
November 4, 2009
Morgan Templeton recently received the highest Martindale
Hubbell peer review rating of AV.
Morgan Templeton will be speaking to the South Carolina Defense
Trial Lawyers at a construction seminar in December 2009
regarding "South Carolina Insurance Coverage Update - 2009" in
Charleston, South Carolina at the Charleston School of Law.
October 1, 2009
2009 SC Construction Law Update. Elmore & Wall has
released its annual South Carolina Construction Law Update
reporting on state, federal, and SC Procurement Code decisions
and legislation affecting the construction industry. To
view the 2009 SC Construction Law Update
click here.
September 14, 2009
The South Carolina Supreme Court Court Issues
New Newman Opinion on
CGL Coverage for Contractors
The South Carolina Supreme Court withdrew its initial
opinion dated March 10, 2008 and substituted a new opinion on
September 8, 2009 (Auto-Owners Ins. Co., Inc. v. Newman.
Op. No. 26450). In the substituted opinion, the Court held that
a subcontractor’s negligent work which damaged the GC’s other
work is an "occurrence" covered under a GC’s CGL policy, but
that the cost to repair the subcontractor’s defective work may
not be covered under the policy. As an example, a roofing
subcontractor’s "negligent" application of shingles which causes
water damage to framing materials installed by another sub may
be covered. The cost to repair the damaged framing may be
covered, but the cost to remove and replace the shingles may not
be covered. In a dissenting opinion, Judge Pleicones argues that
faulty work by a subcontractor causing any damage to the GC’s
work product, i.e. any part of the house, is not an "occurrence"
and not covered under a GC’s CGL policy. The substituted opinion
follows a line of cases that define insurance coverage for
contractors and the obligations of CGL carriers that issue
insurance in South Carolina. The application of the law, as
defined by the string of cases, is dependent on the facts of
each case.
Click here for a link to the substituted Newman
opinion.
September 14, 2009
Trident Technical College reappointed Sarah Mock to its
Paralegal Advisory Committee. The Committee advises the
administration for the Charleston area school on the
occupational skills needed by law firms and businesses in the
Carolinas.
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