Utah Appellate Court: Homeowners’ Claim for Defective Construction Against Geotechnical Engineer Dismissed Due to Lack of Contract and the Economic Loss Rule

Patrick Johnson | Construction Industry Counselor | July 8, 2019 A recent Utah Appellate Court upheld the dismissal of a homeowners’ claims against a geotechnical engineer because the homeowners did not have a contract with the geotechnical engineer and therefore their claims were barred by the economic loss rule. See Hayes v. Intermountain Geoenvironmental Services, Inc.,… Continue reading Utah Appellate Court: Homeowners’ Claim for Defective Construction Against Geotechnical Engineer Dismissed Due to Lack of Contract and the Economic Loss Rule

Exceptions to the Economic Loss Rule in North and South Carolina: Yes, an owner MAY be able to sue that subcontractor after all!

Julia Gallagher | Nexsen Pruet | June 10, 2019 In North Carolina, the economic loss rule will not bar recovery on a negligence claim when there is no contract between the parties. In Lord v. Customized Consulting Specialty, Inc., a general contractor contracted with the plaintiff owners to construct a home. The owners subsequently sued the… Continue reading Exceptions to the Economic Loss Rule in North and South Carolina: Yes, an owner MAY be able to sue that subcontractor after all!

Colorado Supreme Court Revisits Economic Loss Rule

Justin L. Cohen, David B. Meschke and Jesse D. Sutz | Brownstein hyatt Farber Schreck LLP | May 28, 2019 The Colorado Supreme Court has issued a number of opinions over the last several years clarifying the scope of the economic loss rule. On May 7, 2019, the court revisited the economic loss rule in Bermel… Continue reading Colorado Supreme Court Revisits Economic Loss Rule

The Economic Loss Rule and Why It Matters in Construction Litigation

William S. Durr | Ward and Smith | March 20, 2019 In its broadest sense, the “economic loss rule” prohibits recovery in tort for purely economic loss incurred under contract law.  The Merriam-Webster Dictionary online defines tort as “a wrongful act other than breach of contract for which relief may be obtained in the form of damages… Continue reading The Economic Loss Rule and Why It Matters in Construction Litigation

Illinois Supreme Court Limits Reach of Implied Warranty Claims Against Contractors

Thomas G. Cronin | Gordon Rees Scully Mansukhani | February 25, 2019 In a recent decision, the Illinois Supreme Court held that a purchaser of a newly constructed home could not assert a claim for breach of the implied warranty of habitability against a subcontractor where the subcontractor had no contractual relationship with the purchaser. Sienna… Continue reading Illinois Supreme Court Limits Reach of Implied Warranty Claims Against Contractors