•
Construction Defect
•
Developer Liability
• Bad
Faith Insurance Practices
•
Association not Liable for
Property Damage or Personal Injury
•
Court Orders Owner to Remove all Unapproved Alterations
and Awards $70,500.00 for Civil Penalties
•
Wrongful Death Case Against
Management Company Dismissed
• Toxic
Tort
•
Employment Discrimination
Construction Defect
Example Case #1
Result: Riddle & Williams, P.C. and
Charles E. Dorr, P.C. recently recovered $4.742
million for a condominium association ($1.4 million
to litigation expenses, attorneys’ fees
and court costs).
Nature of Case: A
condominium association sued its developer and
builder for numerous construction defects, including
failure to properly seal penetrations in fire
rated walls, floors and ceilings. The defects
constituted life-safety issues. The city’s
building inspector determined to condemn the entire
condominium building containing 86 luxury units
if the fire safety defects were not remedied.
The owners’ investments of approximately
$25 million were at stake. The developer and builder
in turn brought third-party claims against the
subcontractors. The defendants recognized that
if the city condemned the building, then damages
would be astronomical. The defendants faced tremendous
risk if they failed to contribute adequate money
to fund the necessary repairs. Defendants ultimately
contributed sufficient funds to repair the life-safety
defects and avoid condemnation.
The Client’s Perspective:
“When we discovered the life-safety
defects, we sought interest from many well-known
law firms in the area. Upon reviewing our situation,
their opinion was that with new pro-builder regulations,
our chances of any type of recovery were slim.
From the moment of Mr. Riddle’s involvement,
our community was able to seize and maintain the
offensive. The result was a complete vindication
of our claims: a mediated settlement with enough
funding to address all life-safety issues in the
building. Our homes and investments were saved.”
Chris Payne, Board member.
Example Case #2
Result: Riddle & Williams, P.C. recovered
just over $1,000,000 plus additional expenses
and costs for structural defects ($175,000 to
litigation expenses, attorney’s fees and
court costs).
Nature of Case: Two
(2) units in a condominium had design and construction
defects which qualified as structural instead
of cosmetic problems. Although not life-safety
issues, resale values could forever be impacted.
We were able to negotiate a total made whole settlement
for our client.
Example Case #3
Result: Recovered judgment against roofer
for $900,000 (less than $30,000 in litigation
expenses, attorney’s fees and court costs).
Nature of Case: A
condominium engaged a roofer to install new roofing.
The roofing contractor failed to install the roof
in a good and workmanlike manner and according
to the specifications of the work. Roofs began
to leak and needed major rehab work to make living
units water tight.
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Developer Liability
Example Case #1
Result: $260,000.00 recovery for homeowner
association ($46,800.00 to litigation expenses,
attorneys’ fees and court costs).
Nature of case: A
residential developer conveyed a mile-long strip
of common area running through the middle of the
community to the association without planting
sod or installing irrigation necessary to maintain
an attractive greenbelt. The developer’s
marketing materials promised beautifully-landscaped
common areas and amenities. However, the condition
of the common area was deplorable and damaging
to property values. The owner-controlled residential
association sued the developer for failure to
complete in a good and acceptable condition the
common areas. Using the settlement funds, the
community was able to sod and irrigate the common
area so that community appeal and home values
are better preserved.
** We cannot guarantee
the results of any case or litigation, and, specifically,
cannot represent that outcomes similar to the
representative cases can be achieved in your case
or circumstance. The specific factual and legal
circumstances of each client’s case must
be considered.
Example Case #2
Result: Riddle & Williams, P.C. recently
negotiated a settlement exceeding $150,000 in
total value, which included a monetary payment
of $110,000 along with work and improvements to
the association’s common area (litigation
expenses, including attorney’s fees, was
less than $5,000).
Nature of Case: Shortly
after transition of control from the developer
to the owners, the association’s newly-elected
board of directors discovered problems/concerns
involving portions of the common areas. Among
other things, the association identified problems
with the following: drainage, erosion, common
area irrigation systems, common area trees dying,
playground equipment in decay and swimming pool
defects and leaks. The association was successful
at achieving remedial and replacement work paid
for by the developer as well as a monetary settlement
to resolve and eliminate the common area concerns.
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Bad Faith Insurance
Practices
Example Case #1
Result: $375,000.00 recovery obtained for
condominium ($100,298.26 to expert fees, litigation
expenses, attorney’s fees and court costs).
Nature of case: A
condominium association filed a claim with its
insurance carrier seeking coverage for damage
to its foundation arising from water leaks. The
insurance company denied coverage based upon policy
exclusions. The association asserted claims for
violation of the Texas Insurance Code and deceptive
trade practices. We established that the insurer
failed to abide by the Texas Insurance Code governing
the time periods to accept or deny coverage. More
importantly, through thorough investigation and
discovery, the association was able to demonstrate
that the insurer ignored a plausible ground for
coverage and should settle the claim.
Example Case #2
Result: $105,000 recovery for condominium
from insurance carriers ($23,900 in litigation
expenses, attorney’s fees and court costs).
Nature of case: An
owner reported mold in his unit due to a common
element source. The association notified its property
carrier and general liability carrier who denied
coverage. The association expended approximately
$100,000 of its money to identify and solve the
common element leak and perform interior unit
repairs, including mold remediation. The association
then hired Riddle & Williams, P.C. to protect
its rights and seek payment from its insurance
carriers. We recovered a settlement of $102,000
from two (2) different carriers to defray the
association’s expenses in resolving the
water leak and mold problems.
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Association not Liable
for
Property Damage or Personal Injury
Result: Judgment
for defendant condominium association and association
also awarded judgment for its legal fees. The
legal fees and expenses incurred in defending
this case were less than $50,000.00.
Nature of case: Owner
brought a suit against a condominium association
alleging that the association had failed to maintain
the common elements. As a result of the association’s
alleged failure to maintain the common elements,
the plaintiff claimed damage to her unit, personal
injury and pain and suffering. A vigorous defense
was mounted and a counter-claim filed for recovery
of the association’s legal fees incurred
in defending the case. The association demonstrated
it had incurred over $40,000.00 in repair costs
aimed at responding to plaintiff’s complaints.
The association demonstrated it had not failed
to reasonably discharge its maintenance obligations.
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Court Orders Owner to
Remove all Unapproved Alterations
and Awards $70,500.00 for Civil Penalties
Result: Permanent
injunction granted in favor of homeowners association
ordering owner to remove more than fifteen alterations
placed on the lot and home without prior approval
of the architectural control committee. Additionally,
the court awarded the association $70,800.00 in
civil penalties against the defendant, as well
as all its attorney’s fees and costs. The
association settled the case with the defendant
upon payment of $50,000.00 in fines and removal
of all unapproved alterations. The association’s
litigation expenses and attorney’s fees
were less than $15,000.00.
** We cannot guarantee the results of any case
or litigation, and, specifically, cannot represent
that outcomes similar to the representative cases
can be achieved in your case or situation. The
specific factual and legal circumstances of each
client’s case must be considered.
Nature of case: Without
first obtaining written approval from the association’s
architectural control committee, an owner made
numerous modifications and alterations to his
home and lot. The alterations were so bizarre
as to compel a real estate broker to conclude
she could not sell an adjacent home due to its
unattractiveness. The association filed suit seeking
a court order which instructed the owner to remove
the unapproved alterations from the home and lot
and restore the property to a condition substantially
similar to that which existed prior to making
the unapproved alterations. The association also
asserted a claim for $200.00 per day in civil
penalties for the owner’s violation of the
deed restrictions.
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Wrongful
Death Case Against
Management Company Dismissed
Result: Negotiated
a dismissal of a wrongful death case against a
management company. Plaintiff received no monetary
award from management company. Attorney’s
fees and expenses incurred in the defense of this
case were less than $5,000.00.
Nature of case: Plaintiff
asserted claims against a management company on
the basis of management’s alleged failure
to properly maintain the roof and other common
elements which caused water leaks. Plaintiff further
claimed that water leaks caused the growth of
toxic mold which contributed to and/or caused
the death of the occupant. We diligently investigated
the facts and claims. Years of records were searched.
We convinced plaintiff’s attorney that our
client had no legal duty or obligation to plaintiff.
A total dismissal of the case against the manager
was negotiated and plaintiff agreed to dismiss
the claims.
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Toxic
Tort
Result: Confidential
settlement achieved on behalf of a small business
owner for damages from toxic contamination.
Nature of case:
A property owner filed suit against an adjacent
industrial owner for loss in value and related
damages for alleged contamination of soil due
to migration of chemicals and other contaminants
from a nearby industrial site. The case included
claims commonly referred to as toxic tort. The
defendant decided to settle the case prior to
significant and costly discovery being conducted
and prior to expending significant dollars to
defend.
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Employment
Discrimination
Result: Confidential
settlement was obtained on behalf of a single
female harassed in the work place by her immediate
supervisor. As a result, our client was able to
recover financially and emotionally from the torment
caused by sex-based mistreatment and the constructive
termination of her job.
** We cannot guarantee the results of any
case or litigation, and, specifically, cannot
represent that outcomes similar to the representative
cases can be achieved in your case or situation.
The specific factual and legal circumstances of
each client’s case must be considered.
Nature of case: A
single female employee was subjected to constant
sexual harassment, intimidation and advances by
her immediate supervisor. She complained in confidence
to human resources. Against her express instructions,
and in violation of their promise, human resources
reported the charge to her supervisor, who in
turn aggressively confronted the innocent young
employee. The defendant’s treatment of its
employee was so egregious and unfair, she left
work, the city, the state and returned home to
her father. Defendant settled only after hotly
contesting liability and damages. Subsequent to
lengthy written discovery, depositions, motions
and three (3) unsuccessful mediations, we pursued
a motion for summary judgment to preclude defendant’s
affirmative defenses and establish defendant’s
liability. Although the court denied the motion,
the court concluded and expressly stated in its
order that: “[Plaintiff] suffered a hostile
work environment at the hands of [plaintiff’s
supervisor]...a fact which cannot be exorcized
from the legal calculus.” The court’s
finding motivated defendant to settle.
** We cannot guarantee
the results of any case or litigation, and, specifically,
cannot represent that outcomes similar to the
representative cases can be achieved in your case
or situation. The specific factual and legal circumstances
of each client’s case must be considered.
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