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.