Category Archives: Warranty

Appellate Court Holds That the New Mexico Unfair Practices Act Applies to a “Services” Contract for the Construction of a Home, But Does Not Apply to a “Sales” Contract for the Sale of a Completed Home

Fogelson v. Bozzone, 2017 N.M. App. LEXIS 58 (July 26, 2017) In May of 2008, Wallen Development, LLC (“Wallen”) entered into a written agreement to construct and sell a new home to David and Corinne Fogelson (“Fogelson”).  But, after Fogelson … Continue reading

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Western District of Virginia Confronts Several Legal Issues That Frequently Impact Multi-Party Construction Disputes – Economic Loss, Damage to Other Property, Third Party Beneficiary Status, Warranties, Subrogation, and Third-Party Joinder

Allstate Insurance Company v. Structures Design/Build, LLC, 2016 U.S. Dist. LEXIS 34349 (WD VA March 17, 2016) This construction dispute case arises from a failed pipe connector that caused water damage to a facility and insured personal property, which Hillel … Continue reading

Posted in Defective Work, Design/Build, Economic Loss Defense, Subrogation, Warranty

U.S. District Court in Minnesota Rejects Owner’s Implied Warranty Claims Against Installation Contractor – Also Holds Recovery of Lost Profits Barred By Limitation of Damages Clause

Spectro Alloys Corp. v. Fire Brick Eng’rs Co., Inc., 2014 U.S. Dist. LEXIS 140817 (D. Minn. Oct. 3, 2014). Spectro Alloys Corporation (“Spectro”) operates a smelter, and it hired Fire Brick Engineers (“FBE”) to install refractory lining to two furnaces … Continue reading

Posted in Limitation of Damages, Warranty

US Claims Court Explains Limits of Spearin Doctrine – Denies Contractor Recovery Where Testimony Regarding Defective Design Was Conclusory

Caddell Construction Co., Inc. v. United States 2007 U.S. Claims LEXIS 285, No. 04-461C, (September 7, 2007) The United States District Court of Federal Claims held that the design deficiencies alleged by the plaintiff contractor did not rise to the … Continue reading

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US District Court in Texas Denies Summary Judgment to Contractor on Theory That Owner Waived Defect Claim, But Enforces Limitation of Consequential Damages

South Texas Electric Cooperative v. Dresser-Rand Company 2007 U.S. Dist. Lexis 66345 (S.D. Tex. Sept. 7, 2007) Plaintiff, South Texas Electric Cooperative (“STEC”) contracted with Defendant, Dresser-Rand Company (“Dresser”) for the design and construction of a steam turbine unit. As … Continue reading

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