Construction Law Insights

Builders Mut. Ins. Co. v. Albrittain, Inc., 2020 U.S. Dist. LEXIS 81211 (E.D. Va. May 7, 2020)

J.L. Albrittain, Inc. (“Albrittain”) and Cathedral View, LLC (“Cathedral”) were business partners in the construction and sale of four townhouses and had a general liability insurance policy (“GL Policy”) issued by Builders Mutual Insurance Company (“BMIC”). After each buying a separate townhouse and moving in, Robert and Michelle Ward (collectively “Wards”), Whitney Albrittain (“W. Albrittain”), and James and Erin Seale (collectively “Seales”) discovered that their townhouses had significant water leaks and water damage. Each engaged professionals, who observed substantial water infiltration throughout the townhouse attributable to design and construction defects. Thereafter, the Seales, Wards, and W. Albrittain, on numerous occasions, asked the Cathedral, Albrittain, and their agents or representatives (collectively, the “Defendants”) to remedy the leaks and damage, but the Defendants failed to do so.

Gentry Locke Rakes & Moore, LLP v. Pride Constr., LLC, 2020 U.S. Dist. LEXIS 185605, 2020 WL 5947590 (W.D. Va. Oct. 6, 2020)

Gentry Lock Rakes & More, LLP (“Gentry Locke”) brought a state law claim against its former client Pride Construction, LLP (“Pride”) for $130,851.52 in unpaid legal services after representing Pride in an arbitration and insurance claim related to a construction project.

Marathon Res. Mgmt. Grp., LLC v. C. Cornell, Inc., 2020 U.S. Dist. LEXIS 109892, 2020 WL 3442322 (E.D. Va. Jun. 23, 2020)

In March 2018, defendant C. Cornell, Inc. d/b/a Certa Pro Painters of College Station (“Certa Pro”) obtained a default judgment against Marathon Residential Management Group, LLC (“Marathon”) in the district court of Brazos County, Texas (“Texas Court”) for breach of contract for failure to pay Certa Pro for painting and cleaning rooms in a building in College Station, Texas, as invoiced to Marathon on August 22, 2017 and September 11, 2017. The Texas Court awarded Certa Pro $40,263.00 for its unpaid invoices, $15,000 in reasonable attorneys’ fees, pre- and post-judgment interest, and costs. In December 2018, Marathon sued Certa Pro in Richmond Circuit Court, and Certa Pro removed the action to federal court.

Sullivan Mech. Constrs., Inc. v. KBE Bldg. Corp., 2020 U.S. Dist. LEXIS 91751, 2020 WL 2735726 (W.D. Va. May 26, 2020)

In November 2017, the Commonwealth of Virginia and the Rector and Visitors of the University of Virginia (collectively “Owner”) contracted with KBE Building Corporation (“KBE”) for KBE to construct upper-class student housing (the “Project”). KBE and Sullivan Mechanical Contractors Inc. (“Sullivan”) entered into a $5.1 million subcontract for Sullivan to perform plumbing and HVAC work at the Project (the “Subcontract”). KBE paid Sullivan $4.9 million on the Project, but Sullivan alleged that it was stilled owed $579,000.00. On March 16, 2020, Sullivan filed its Complaint and on March 18, 2020 Sullivan served KBE through KBE’s registered agent. KBE’s answer was due on April 8, 2020. On April 9, 2020, Sullivan filed a motion for entry of default judgment against

Manganaro MidAtlantic, LLC v. KBE Bldg. Corp, 2020 U.S. Dist. LEXIS 160144 (W.D. Va. Sep. 1, 2020)

In November 2017, the Commonwealth of Virginia and the Rector and Visitors of the University of Virginia (collectively “Owner”) contracted with KBE Building Corporation (“KBE”) for KBE to construct upper-class student housing (the “Project”). Federal Insurance Company (“Federal”) issued a payment bond on behalf of KBE for the Project. In February 2018, KBE and Atlantic Constructors, Inc. (“Atlantic”) entered into a subcontract for Atlantic to provide fire protection work at the Project. Atlantic completed its work on the Project in November 2019. Atlantic alleged that KBE breached the subcontract, KBE and Federal breached the payment bond, and that Atlantic was owed $168,175.00 for its completed work.

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