Beyond the Storm: How Non-Hurricane Catastrophes Expose Florida’s Construction Defect Blind Spot
August 11, 2026 —
Franchesco “Frank” Soto & Amanda L. Gonzalez - Ball JanikOn June 8, 2026, a magnitude 6.1 earthquake struck the Gulf near the coast of Cuba, the largest instrumentally recorded earthquake in the Gulf since seismic monitoring began in 1950. Buildings swayed, offices were evacuated, and many residents along the east coast of Florida, from Miami-Dade to Jacksonville, felt the ground shake. Although no tsunami followed and reported structural damage was limited, this event exposed a blind spot that Florida property owners, developers, and their counsel cannot afford to ignore: catastrophic stress on Florida buildings does not always come in the form of a named storm.
Florida property owners have grown accustomed to preparing for wind, storm surge, floods, and torrential rain. Far less attention is paid to earthquakes, sinkholes, tornadoes, hail, and non-tropical flooding, each of which can place unexpected stress on buildings not designed with those forces top of mind and can trigger deficiencies in buildings that were not otherwise known, expose design failures, and create an urgency for both insurance claims and subsequent litigation.
Non-Hurricane Triggers of Latent Defects
Seismic activity is the clearest example. Florida’s building code accounts for wind loads, not seismic forces, meaning even a moderate earthquake can reveal weaknesses in curtain wall systems, structural connections, or foundations that were already marginal. Sinkholes, driven by Florida’s karst limestone geology, remain a persistent threat, particularly in Central Florida, where subsurface voids can undermine foundations without warning. Non-tropical flooding, like the record rainfall that flooded South Florida in June 2024, can intrude through building envelopes and waterproofing systems that were never stress-tested for such volumes of water. Tornadoes and hail, while more localized, can cause roofing and envelope failures that mimic, mask, or trigger latent construction defects.
The Litigation and Coverage Disputes That Follow
When one of these events strikes a building already carrying undisclosed or unresolved construction defects, the resulting disputes become considerably more complex. Property owners and associations must move quickly to document existing conditions and distinguish damage caused by the event from pre-existing defective construction, the same causation issue that arises in the hurricane context under Chapter 558, but often without the benefit of established precedent or adjuster experience with these less common events.
Insurance coverage disputes frequently follow close behind. Carriers may dispute whether an earthquake, flood, or other peril is covered at all, particularly where policies contain earthquake or flood exclusions requiring separate endorsements, or anti-concurrent causation language that can bar coverage entirely when a covered peril combines with an uncovered one, such as pre-existing defective construction, to cause a loss. Sinkhole claims carry their own statutory framework under Florida law, requiring specific testing protocols and reporting before a claim is compensable. Developers and contractors, in turn, may find themselves defending Chapter 558 claims while simultaneously litigating with their own carriers over defense and indemnity obligations.
Practical Risk Mitigation Strategies
Property owners, associations, and developers can take several concrete steps to reduce their exposure. First, maintain thorough documentation, including engineering reports, maintenance logs, and photographs, well before any event occurs. This documentation is often the deciding factor in causation disputes. Second, engage structural engineers and consultants immediately following any seismic event, unusual flooding, or storm damage, regardless of whether a hurricane is involved. Prompt inspection preserves evidence and can help prevent inadvertent waiver of construction defect claims. Third, review insurance policies regularly with counsel or a broker to confirm earthquake, flood, and sinkhole coverage matches the property’s actual risk profile, rather than assuming a standard property policy responds to every peril. Fourth, avoid rushing to remediate before conditions are documented and/or before consulting counsel. Well-intentioned repairs can inadvertently compromise evidence needed to prove a defect claim.
The June earthquake was a reminder that Florida’s catastrophic risk profile extends beyond hurricane season. Property owners, associations, and developers who build readiness plans around all forms of catastrophic stress, not just named storms, will be far better positioned when the next unexpected event occurs.
Franchesco “Frank” Soto is a partner in
Ball Janik’s Construction Defect Practice Group in Miami. He may be reached at fsoto@balljanik.com.
Amanda L. Gonzalez is a litigation attorney in
Ball Janik’s Construction Defect Practice Group in Miami. She may be reached at agonzalez@balljanik.com.
Utah’s Emerging Framework for Responsible Data Center Development
September 08, 2026 —
Denise A. Dragoo & Josh Miller - Snell & WilmerUtah is establishing itself as one of the nation’s most attractive jurisdictions for large-scale data center development, with a structured, defensible regulatory pathway that gives developers and investors the clarity needed to deploy capital at scale. The cornerstone is Executive Order 2026-03, “Establishing a Higher Bar for Data Center Development in Utah,” signed by Governor Spencer J. Cox on May 29, 2026.
The Executive Order creates an actionable compliance framework letting developers demonstrate stewardship across water, air quality, energy, wildlife, and community engagement – reducing regulatory and reputational risk. Recent enactments on energy self-supply and water rights operationalize these principles, while a few counties have adopted short-term local moratoria to update zoning; understanding how these interact with the state framework matters for site selection.
Reprinted courtesy of
Denise A. Dragoo, Snell & Wilmer and
Josh Miller, Snell & Wilmer
Ms. Dragoo may be contacted at ddragoo@swlaw.com
Mr. Miller may be contacted at jmiller@swlaw.com
Read the full story...
Kamran Salour Named to Los Angeles Times' 2026 Legal Visionaries List
June 02, 2026 —
Lewis BrisboisOrange County Partner and Data Privacy & Cybersecurity Practice Co-Chair Kamran Salour was named to the Los Angeles Times' 2026 Legal Visionaries list, which honors the most innovative attorneys in Southern California.
In announcing this year's Legal Visionaries, the Times said that Mr. Salour and his co-honorees "distinguish themselves not only through skilleand results but through an unwavering commitment to their clients, their craft and the communities they serve."
"Their paths – shaped by rigorous education, defining cases and purposeful leadership – offer a deeper perspective on what sets true standouts apart," the Times' announcement stated. "Together, these visionaries exemplify a forward-thinking approach to the law, elevating both their profession and the people who depend on it."
Read the full story...Reprinted courtesy of
Lewis Brisbois
How Engineers Will Determine Why NYC's Pfizer HQ Conversion Buckled
July 13, 2026 —
Bryan Gottlieb - Engineering News-RecordConstruction crews have stabilized the former Pfizer headquarters redevelopment in Midtown Manhattan after two load-bearing structural columns buckled on the 21st floor July 7.
The focus has now shifted from emergency response to determining what caused the office-to-residential conversion to suffer a major structural failure.
Read the full story...Reprinted courtesy of
Bryan Gottlieb, Engineering News-RecordMr. Gottlieb may be contacted at
gottliebb@enr.com
Substantial Evidence of Flood Loss is Not a Substitute for Required Proof of Loss
April 20, 2026 —
Tred R. Eyerly - Insurance Law HawaiiThe court found that the insurer properly denied the insured’s claim for loss due to flood because a proof of loss was never submitted. Bay Haven at Coco Bay Condominium Association, Inc. v. Hartford Ins. Co. of the Midwest, 2026 U.S. Dist. LEXIS 6847 (M.D. Fla. Jan. 14, 2026).
Bay Haven managed several condo buildings. When Hurricane Ian hit, it caused significant flood damage to these properties. Bay Haven held federal flood insurance policies through Hartford under “Write-Your-Own” policies. This meant Hartford was essentially a fiscal agent that managed policies and handled claims but paid them using federal funds.
Following the storm, FEMA extended the usual 60-day deadline for filing a proof of loss to one year, or until September 28, 2023. Bay Haven did not submit its proofs of loss until November 2023. FEMA granted an extension but only for the specific amounts in the November requests. Hartford did not waive the 60-day proof of loss requirement for any other proof of loss. Hartford paid the amounts reflected in the November submissions.
Read the full story...Reprinted courtesy of
Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Sixth Circuit Revives Builder’s Risk Coverage, Refusing to Let Insurer Escape on a Technicality
July 27, 2026 —
Kevin V. Small & Adriana A. Perez - Hunton Insurance Recovery BlogIn 3371 Reading, LLC v. Liberty Mutual Group, the Sixth Circuit did something courts do not always do in coverage disputes: it refused to let an insurer avoid liability based on a technical policy condition that could never actually be satisfied.
The decision is a straightforward reminder of two core principles. First, policies must be interpreted from the standpoint of a reasonably prudent insured. Second, hyper-technical conditions cannot be used to deny coverage where compliance is never possible.
Reprinted courtesy of
Kevin V. Small, Hunton Andrews Kurth LLP and
Adriana A. Perez, Hunton Andrews Kurth LLP
Mr. Small may be contacted at ksmall@hunton.com
Ms. Perez may be contacted at pereza@hunton.com
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Insured Does Not Prevail on Summary Judgment Motion Invoking Ensuing Loss Provision
May 05, 2026 —
Tred R. Eyerly - Insurance Law HawaiiThe court denied the insured’s motion for summary judgment finding genuine issues of fact regarding implication of the policy’s ensuing loss provision. Stella Prop. Dev.. & Event Productions, LLC v. Auto-Owners Ins. Co., 2026 U.S. Dist. LEXIS 15854 (W.D. Pa. Jan. 28, 2026).
Stella owned a cultural center that was insured under a commercial property all-risk policy issued by Auto-Owners. A windstorm with gusts of 65 miles per hour struck the Center causing damage. The Center’s inspector found extensive wind damage on nearly all facets of the roof. Further, the inspector found the existing organic shingles were in “very poor condition” and were “defective, discontinued, and no longer available.” The estimated cost of repairs to the roof was $108,010.52.
Read the full story...Reprinted courtesy of
Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Pulling the Plug, Preserving the Product: Protecting Rights to a Modular Subcontractor’s Work Post-Termination
June 08, 2026 —
Paul Williamson - ConsensusDocsVolumetric Modular Construction (VMC) is a building method where a structure is divided into large components or modules, fabricated in an offsite factory and then transported to a construction site for assembly.[
1] Proponents of VMC hail it as a cost-efficient alternative to traditional building methods that leads to more consistent quality and shorter construction duration.[
2] Due to a growing labor shortage, high demand for compressed project schedules, and stagnant construction productivity rates, the construction industry is embracing VMC.[
3] A recent report on the market size of prefabricated construction estimates that from 2026 to 2031, VMC will grow at a compound annual growth rate of 7.16% and become a 413.11-billion-dollar industry.[
4]
As VMC becomes more prevalent, owners, general contractors, and subcontractors must consider how to effectively contract for modular construction. One important consideration, which this article focuses on, is navigating termination of a modular subcontractor.
Read the full story...Reprinted courtesy of
Paul Williamson, Peckar & Abramson, P.C.Mr. Williamson may be contacted at
pwilliamson@pecklaw.com
