Category: Construction Law

New York’s Highest Court Holds Insurer Responsible Up to Policy Limits Where It Refused to Defend Attorney in Underlying Suit Alleging Professional Malpractice for the Lawyer’s Conduct Acting in His Capacity as a Principal of a Business and Insurer Could Not Invoke Policy Exclusions to Coverage

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This is a rather unremarkable case from the point of view of the legal rules expressed by the opinion, but I wanted to highlight a few significant points for clients to consider when addressing the parameters of an insurer’s duty and the risk involved in not taking affirmative action if a dispute arises or, better [...]

“Pay If Paid” Provision in General Contractor/Project Manager’s Contract with Subcontractor Upheld in Face of Claims of Fraudulent Concealment of Financial Status of Project Owner

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In Walbridge Aldinger v. Iafrate Constr., et al.07.25.2013, the Michigan Court of Appeals upheld a "pay if paid" provision in the contractual agreement between the general contractor and project manager and a subcontractor.  Anticipating the pending difficulties with its subcontractors in light of the financial status of the project owner, the general contractor filed a [...]