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Real Property & Development Review

Monthly Archives: May 2009

No Discovery Rule For Construction Defect Claims

Posted in Construction

Much to the delight of original builders and/or building owners (and the chagrin of some subsequent ones), the discovery rule is not recognized in Oregon in breach of contract cases involving construction defects.  The statute of limitations in those situations runs 6 years from the time of breach.  If shoddy work is not discovered within that 6 year… Continue Reading

New Parks Impact Fee Not Offset by Prior Land Dedication

Posted in Real Estate

In a recent impact fees case, Belleau Woods v. City of Bellingham, the Division I Court of Appeals upheld the City of Bellingham’s application of a new park impact fee ordinance to a development that was already conditioned on a land dedication and payment under a separate parks-related development requirement. The Court reaffirmed its prior holdings… Continue Reading

Condo Defect Claim Dismissed on Causation Grounds

Posted in Construction

A fitting way to end the week…the latest dispatch from the Great Condo Wars:  Division 1′s recent opinion in Ballard Residential v. Pacific Rim Framing establishes: Defect Causation:  The condo used prefabricated Tyvek panels for the exterior.  Pacific Rim did not install the Tyvek, but did list in its scope of work the obligation to “staple and tape ends… Continue Reading

Division 1 Restores Lien, Limits Application of “Summary” Procedure to Dismiss Frivolous Liens

Posted in Construction

Division 1 in this new case raises the bar a bit higher on RCW 60.04.081′s summary procedure for vacating frivolous liens on private jobs — the lien must be "so devoid of merit that the claim has no possibility of succeeding." The Court offered three examples for when the summary process (decided on motion with no live testimony)… Continue Reading

New Real Estate Blog

Posted in Construction

There’s a relatively new blog prowling the real estate and construction landscape, maintained by the Tacoma law firm of Dickson Steinacker.  Let’s see if they can keep up with the DWT real estate blog!  Hey, a little friendly competition is a good thing, right?  Good luck to the Dickson firm with their nice looking, informative blog.

Arbitration Clause Can Apply to Nonsignatories

Posted in Construction

The Supreme Court on Tuesday ruled an arbitration clause can be applied against (or for the benefit of) persons who do not sign the clause, as long as governing state law makes that extension to nonsignatories possible.  At issue in Arthur Anderson LLP v Carlisle was a tax shelter scheme gone bust, which in turn generated suits… Continue Reading

Division 2: ELR Bars Fraud Claims

Posted in Construction

Division 2 today joins Division 1′s recent decision in Carlile v. Harbour Homes holding that claims for fraudulent misrepresentation are barred by the Economic Loss Rule. Copy of opinion also available here Download file

Division 1 Clarifies Estoppel Remedy for Bad Faith

Posted in Construction

This case, the latest from Division 1 in its treasure chest of condo defect / insurance coverage cases, contains two notable nuggets: A 14 month delay in responding to a tender of defense and indemnity was bad faith as a matter of law, estopping the carrier from denying coverage under the additional insured endorsement it issued… Continue Reading