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Presumption of Prejudice Applies to All Affirmative Defenses Regarding Insured’s Failure to Comply with Post-Loss Policy Conditions

June 23, 2026 — David Adelstein - Florida Construction Legal Updates
n a recent property insurance coverage dispute, an issue on appeal pertained to the “prejudice” jury instruction associated with the insured’s failure to comply with post-loss policy conditions. The trial court found that the prejudice only pertained to prompt notice and not other post-loss policy conditions. This was reversed on appeal as prejudice applied to ALL the post loss policy conditions that the insured failed to comply with, not just the prompt notice requirement. The prejudice presumption applies to all affirmative defenses regarding an insured’s failure to comply with post-loss policy conditions. Consider this discussion when dealing with an insurer raising prejudice as an affirmative defense to do an insured’s failure to comply with post-loss policy conditions, and the associated burdens of proof: On appeal, [the insurer] contends the trial court erred by instructing the jury that the presumption of prejudice was inapplicable to all of its post-loss obligation defenses except prompt notice. We agree. Read the full story...
Reprinted courtesy of David Adelstein, Kirwin Norris
Mr. Adelstein may be contacted at dma@kirwinnorris.com

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Insured General Contractor Prevails on Motion for Summary Judgment to Establish Builder’s Risk Coverage

July 06, 2026 — Tred R. Eyerly - Insurance Law Hawaii
The general contractor’s motion for partial summary judgment successfully established that damage to footings in place before the policy period was covered after the collapse of a building. Big D Builders, Inc. v. Am Zurich Ins. Co., 2026 U.S. Dist. LEXIS 72012 (D. Idaho March 31, 2026). Big D was the general contractor for building a new airplane hangar by erecting a 38,000 square foot structure. Before Big D began construction, the site of the hangar did not contain any pre-existing structures or buildings. Before completion of the hangar, it collapsed and caused extensive property damage. The builder’s risk policy issued by Zurich covered certain aspects of the construction project for the policy period December 28, 2023, to December 28, 2024. Zurich accepted coverage for most of the damage but not for damage to footings and columns installed prior to the start date of the policy. Read the full story...
Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

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GRSM Defeats Class Certification in Precedent-Setting HOA Management Case

September 15, 2026 — Gordon Rees Scully Mansukhani
Gordon Rees Scully Mansukhani Partners Fletcher Alford and Kevin Liu and Associate Jigar Desai secured a favorable outcome on behalf of an HOA management company in a precedent-setting class action before the U.S. District Court for the Eastern District of California, obtaining denial of the plaintiff’s motion for class certification and dismissal without prejudice of the three claims at issue. The plaintiff alleged that the defendant received earnings credit payments from a bank in exchange for maintaining HOA deposit accounts and failed to disclose the arrangement to its HOA clients. The plaintiff sought more than $40 million in damages, asserting five claims: (1) breach of contract for failing to act in class members’ best interests by not disclosing the alleged earnings credit arrangement; (2) violation of California’s Unfair Competition Law (UCL) based on alleged violations of California Civil Code §§ 5375, 5375.5, and 5380; (3) breach of fiduciary duty based on the alleged undisclosed arrangement; (4) violation of the UCL for unfair business practices arising from the alleged nondisclosure; and (5) unjust enrichment. The plaintiff sought class certification under Federal Rule of Civil Procedure 23(b)(2) and 23(b)(3) only as to its second, third, and fourth causes of action. Read the full story...
Reprinted courtesy of Gordon Rees Scully Mansukhani

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Insurer Dispenses with Bad Faith Claim on Summary Judgment

June 22, 2026 — Tred R. Eyerly - Insurance Law Hawaii
The court granted the insurer’s motion for partial summary judgment because the insured failed to present evidence that the insurer failed to conduct a reasonable investigation. PSY Burger, LLC v. State Farm General Insurance Company, 2026 U.S. Dist. LEXIS 66991(C.D. Cal. March 20, 2026). The insured’s commercial property suffered heavy damage from tropical storm Hilary. State Farm denied coverage to repair the damage. The insured sued State Farm alleging breach of contract and bad faith due to an inadequate investigation. Apparently, the insured did not retain an expert to opine on claims handling. Read the full story...
Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

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New York Climate Superfund Rulings Put Vermont Law in Focus

October 20, 2026 — Amanda G. Halter, Ashleigh K. Myers, Jillian Marullo & Marcus Manca - Pillsbury
A second federal judge has struck down New York’s Climate Change Superfund Act and barred its enforcement. On September 23, 2026, Judge P. Kevin Castel of the U.S. District Court for the Southern District of New York issued a decision granting summary judgment to the United States and the U.S. Environmental Protection Agency (EPA), declaring the Act unconstitutional, and permanently enjoining New York officials from enforcing it in United States v. New York, No. 1:25-cv-03656 (S.D.N.Y. Sept. 23, 2026). Judge Castel’s decision closely tracks the Northern District of New York’s August 31 decision in West Virginia v. James, Case No. 1:25-cv-00168 (N.D.N.Y. Aug. 31, 2026). Both courts held that the Clean Air Act (CAA) preempts New York’s effort to impose strict liability through a climate attribution and cost recovery framework based on interstate greenhouse gas (GHG) emissions. Both also held that the foreign affairs doctrine preempts the Act as applied to fossil fuel activity outside the United States. On September 24, the Northern District entered Rule 54(b) judgment implementing its August 31 decision, enjoining Attorney General Letitia James and DEC Commissioner Amanda Lefton from implementing or enforcing the Act and permitting an immediate appeal of the preemption claims. Reprinted courtesy of Amanda G. Halter, Pillsbury, Ashleigh K. Myers, Pillsbury, Jillian Marullo, Pillsbury and Marcus Manca, Pillsbury Ms. Halter may be contacted at amanda.halter@pillsburylaw.com Ms. Myers may be contacted at ashleigh.myers@pillsburylaw.com Ms. Marullo may be contacted at jillian.marullo@pillsburylaw.com Mr. Manca may be contacted at marcus.manca@pillsburylaw.com Read the full story...

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Endra Rethinks MEP Design with AI

July 06, 2026 — Aarni Heiskanen - AEC Business
Niklas Lindgren, co-founder and CEO of Endra, joins the AEC Business Podcast to discuss why his Stockholm-based startup is rebuilding MEP design from the ground up with AI. Endra recently raised $50 million in Series A funding and counts some of the world’s largest engineering consultancies as customers. Niklas explains why Revit’s underlying data model is too coarse to support deep automation, and why Endra built its own granular 3D data model instead of working as a plugin. He describes Endra’s “spatial AI” approach to routing conduit and ductwork without clashes, and how the platform models entire electrical systems, from receptacle to transformer, inside a single source of truth. Read the full story...
Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

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D.C. Circuit Upholds EPA’s CERCLA Hazardous-Substance Designations for PFAS as State-Law Settlements Highlight Expanding Liability Landscape

September 15, 2026 — Ashleigh K. Myers, Amanda G. Halter, Jillian Marullo & Anthony B. Cavender - Gravel2Gavel Construction & Real Estate Law Blog
On August 18, 2026, a unanimous panel of the U.S. Court of Appeals for the D.C. Circuit upheld the 2024 designation by the U.S. Environmental Protection Agency (EPA) of perfluorooctanoic acid (PFOA) and perfluorooctanesulfonic acid (PFOS) as hazardous substances under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA or Superfund). (See Chamber of Commerce of the United States of America, et al. v. EPA, No. 24-1193 (D.C. Cir. Aug. 18, 2026).) The decision leaves EPA’s PFOA and PFOS hazardous substance designations in place and provides guidance on the scope of EPA’s authority to make future hazardous substances designations under CERCLA Section 102(a). The decision also likely resolves a challenge to the rule that has spanned two presidential administrations. After taking office, the Trump administration had obtained an abeyance of the litigation challenging the Biden-era rule while EPA reconsidered its position. In September 2025, EPA informed the court that it had decided to retain the designations, while signaling that it would work with Congress and industry to address CERCLA liability concerns for “passive receivers.” The litigation then resumed, with the current Administration defending the rule. Reprinted courtesy of Ashleigh K. Myers, Pillsbury, Amanda G. Halter, Pillsbury, Jillian Marullo, Pillsbury and Anthony B. Cavender, Pillsbury Ms. Myers may be contacted at ashleigh.myers@pillsburylaw.com Ms. Halter may be contacted at amanda.halter@pillsburylaw.com Ms. Marullo may be contacted at jillian.marullo@pillsburylaw.com Mr. Cavender may be contacted at anthony.cavender@pillsburylaw.com Read the full story...

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Real Estate & Construction News Roundup (7/8/26) – Data Centers Negotiate Flexibility for Speed, Hotel Deal Activities Focus on Luxury, and DC Sues Apartment Owners

July 20, 2026 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
In our latest roundup, rail projects gain steam across the U.S., AI optimizes building operations, a modular approach speeds data center construction, and more!

• Hyperscalers want their data centers online, and utilities want to provide interconnections, but both are still looking for common operating guidelines. (Herman K. Trabish, Construction Dive)
• Contractors are taking advantage of multibillion-dollar train and transit contracts, even as funding challenges create hurdles for project execution. (Matthew Thibault, Construction Dive)
• Although hospitality and leisure M&A deal volume was down 2.5% in the first half of 2026 compared to the prior six months, investors are concentrating on the upper end of the market, including luxury hotels, wellness resorts and gaming, or “data-rich,” platforms. (Noor Adatia, Hotel Dive)

Read the full story...
Reprinted courtesy of Pillsbury's Construction & Real Estate Law Team

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