As a condition of a city giving approval for a developer to build 96 condominiums on a parcel of land, the city required the developer to set aside 10 condo units at below the market rate and make a substantial contribution to a city fund. The developer proceeded with construction but challenged the city’s requirements pursuant […]
Ongoing And Gradual Earth Movement Does Not Result In Lot Line Displacements.
In 1956, road construction by Los Angeles County in a then unincorporated area of the Palos Verdes Hills known as Portugese Bend accidentally reactivated a sub-surface prehistoric slide area. That incident sent just under one square mile of hillside property on an ongoing, slow-motion, downhill journey that inexorably leads to a bluff overlooking the Pacific Ocean. […]
Seller’s Agreement To Subordinate Its Security Interest To That Of The Bank’s Unenforceable.
The court’s first paragraph says it all: “This case involves competing claims of lien priority between the seller of real property, which took back a security interest on property sold to a developer, and the bank which financed development of the project through a construction loan. The issue is whether the seller’s agreement to subordinate its […]
Right To Repair Act Does Not Eliminate Homeowner’s Common Law Rights.
A homeowner purchased a newly constructed home from defendant. A pipe burst, resulting in significant damage. The homeowner’s insurer, plaintiff, paid the expenses and repair costs and then brought an action in subrogation for recovery. The trial court found the subrogation action was time barred under the Right to Repair Act [Civil Code section 895], and […]
Development Of Solar Project To Go Forward Despite Williamson Act contract.
A county cancelled a Williamson Act contract [Government Code section 51200] and certified an Environmental Impact Report [EIR] for a proposed solar power plant. The trial court denied a petition for extraordinary relief challenging certification of the EIR and the cancellation of the contracts brought by environmental groups trying to halt the proposed development. Under a […]
Insured Entitled To Have Independent Counsel Representation.
Plaintiff hired a contractor to design and build a residence, and later brought an action against the contractor for breach of contract and several other causes of action. The contractor tendered its defense to its insurance company, which company appointed counsel and defended subject to a reservation of rights. The insurer filed a separate declaratory relief […]
Delayed Discovery Rule Waived In Construction Contract.
The construction contract executed by the parties included a clause which provided that all causes of action relating to the contract work would accrue from the date of substantial completion of the project, abrogating the delayed discovery rule. The trial court concluded the clause was valid and enforceable, noting that the agreement “was one between sophisticated […]
Unlicensed General Contractor Required To Disgorge All Compensation For Its Services.
A dispute over a construction project went to arbitration. One party argued the unlicensed general contractor was required to disgorge all compensation for services pursuant to Business and Professions Code section 7031, but the arbitrator rejected the argument and found for the unlicensed general contractor. The trial court denied a motion to vacate the award and entered […]
Technological Changes Did Not End Design Immunity In Construction
Plaintiffs were injured in an accident on a bridge and brought an action for dangerous condition of public property. Defendants argued they enjoyed design immunity, but plaintiffs contended they lost that immunity when they became aware of certain technological changes which made it appropriate to install modifications. The trial court entered judgment in favor the […]
Completed And Accepted Doctrine Applied.
Under the “completed and accepted doctrine,” once a contractor completes work that is accepted by the owner, the contractor is not liable to third parties injured as a result of the condition of the work, even if the contractor was negligent in performing the contract, unless the defect in the work was latent or concealed. […]