USLAW-Magazine_FallWinter2018
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U S L A W www.uslaw.org 4 9<br />
Ms. Chelsea successfully argued the<br />
client did not violate Section 1630(a) because<br />
the building at issue (built on a steep<br />
slope) measured 59 feet 10 inches at the<br />
northeast side of the building where the primary<br />
construction entrance was located,<br />
and therefore the building was not 60 feet<br />
or more in height. She further argued it<br />
was immaterial the building height exceeded<br />
60 feet in height as measured at the<br />
three other sides of the building because<br />
the only relevant measurement was from<br />
the primary construction entrance.<br />
The Division of Occupational Safety<br />
and Health (“DOSH”) that prosecuted the<br />
citation claimed the building exceeded 60<br />
feet in height at other construction entrances<br />
and disputed the location of the primary<br />
construction entrance. The client<br />
introduced evidence of the height of the<br />
building as measured from ground level at<br />
the primary construction entrance. DOSH<br />
introduced the building plans showing the<br />
building exceeded 60 feet in height at locations<br />
other than the primary construction<br />
entrance. DOSH also argued because the<br />
client originally believed the building<br />
height exceeded 60 this was proof of how<br />
the building should be measured and established<br />
a willful violation of Section 1630(a).<br />
After a one-day hearing, the Administrative<br />
Law Judge issued an opinion finding<br />
the construction entrance identified by<br />
the client was the primary construction entrance.<br />
She further held DOSH did not<br />
meet its burden of establishing the building<br />
was 60 feet or more in height as measured<br />
from ground level of the primary construction<br />
entrance to the highest structural<br />
point. Because the building did not exceed<br />
60 feet in height, no passenger elevator was<br />
required. The citation was dismissed and<br />
the penalty vacated.<br />
This was a significant victory for the<br />
general contractor client. If the citation<br />
had been affirmed the client would be required<br />
to disclose the willful citation to potential<br />
clients, impairing its ability to obtain<br />
future contracts.<br />
Murchison & Cumming<br />
(Los Angeles, CA)<br />
A Los Angeles Superior Court Jury returned<br />
with a defense verdict in favor of a skilled<br />
nursing facility after a 10-day trial in which<br />
plaintiffs sought to recover more than $15<br />
million in compensatory as well as punitive<br />
damages. Murchison & Cumming’s Dan L.<br />
Longo and Mary C. Trinh represented the<br />
defendant skilled nursing facility and defendant<br />
corporate entities.<br />
The plaintiff was admitted to the<br />
skilled nursing facility to recover from brain<br />
surgery that was performed after a series of<br />
falls at home. On admission to the skilled<br />
nursing facility, the plaintiff was noted to<br />
have four skin ulcers. Three months later,<br />
three of the skin ulcers healed but the sacral<br />
decubitus ulcer evolved from a Stage II to<br />
an unstageable/Stage IV ulcer.<br />
At trial, the plaintiff contended that<br />
purported poor care, reckless neglect and<br />
the defendants placing "profits over people"<br />
led to the progression of the sacral decubitus<br />
ulcer from a Stage II to an infected, lifethreatening,<br />
"baseball-sized" Stage IV ulcer.<br />
The plaintiff's daughter and son asserted<br />
separate claims for negligent infliction of<br />
emotional distress and intentional infliction<br />
of emotional distress attributed to the neglect<br />
of their mother and the facility's alleged<br />
attempts to "cover up" the progression of<br />
the sacral decubitus ulcer.<br />
There was no dispute that the sacral decubitus<br />
ulcer evolved. However, the defense<br />
successfully argued that the progression of<br />
the sacral ulcer was medically unavoidable<br />
due to the plaintiff's significant underlying<br />
serious health issues which, combined with<br />
the location of the ulcer, interfered with the<br />
healing process. Mr. Longo and Ms. Trinh<br />
also presented evidence that an interdisciplinary<br />
team closely monitored and treated<br />
the ulcer and that the family received regular<br />
updates regarding the plaintiff's condition<br />
and the care provided.<br />
The jury returned with a defense verdict<br />
as to all causes of action after only three<br />
hours of deliberation.<br />
Rivkin Radler LLP (Uniondale, NY)<br />
Rivkin Radler secured a victory in the first<br />
appellate case to interpret Insurance Law §<br />
3408(c) since a 2014 amendment.<br />
Under Insurance Law § 3408(c), a<br />
property insurer or an insured can demand<br />
that appraisers selected by the parties decide<br />
disagreements over the “amount of the<br />
loss.” Typically, insurers argue that an appraisal<br />
is confined to an agreed scope of<br />
damage, and resist submission to appraisal<br />
in situations where the “scope of damage”<br />
or required repairs are disputed.<br />
In response to intense lobbying efforts<br />
from the plaintiffs’ bar, the New York<br />
Legislature amended the statute in 2014 to<br />
permit appraisers to decide the “extent of<br />
the loss or damage.” The Legislature also acknowledged<br />
that an appraisal is only appropriate<br />
to determine issues relating to<br />
damages and that “an appraisal shall not determine<br />
whether the policy actually provides<br />
coverage for any portion of the<br />
claimed loss or damage.” After the amendments<br />
became effective, insureds aggressively<br />
pursued appraisal, even in cases where<br />
coverage was disputed by the insurer.<br />
No appellate court had interpreted the<br />
amendments to the statute until the First<br />
Department issued its opinion in Louati v<br />
State Farm Fire and Casualty Co. (2018 NY<br />
Slip Op 03908 [May 31, 2018]). In Louati,<br />
the Court affirmed the dismissal of the insured’s<br />
Petition to Compel Appraisal. While<br />
the insured argued that the only issue to be<br />
decided was the “scope of damages,” State<br />
Farm showed that an appraisal was not appropriate<br />
in this case since there were unresolved<br />
issues relating to the cause of the<br />
loss and whether or not the insured complied<br />
with certain provisions of the policy<br />
relating to exhibiting the damaged property.<br />
In ruling in our client’s favor, the Court<br />
adhered to the longstanding principle that<br />
a court must first resolve policy coverage issues<br />
before the parties can seek an appraisal.<br />
The Court also reaffirmed<br />
well-settled New York law, as well as the plain<br />
language of the amendment, that coverage<br />
issues cannot be decided in an appraisal.<br />
The decision provides guidance and clarity<br />
for those seeking to rely on New York’s appraisal<br />
statute.<br />
Attorneys Cheryl F. Korman, Michael<br />
A. Troisi, Michelle A. Bholan and Henry M.<br />
Mascia managed this case.<br />
Snyder Burnett Egerer, LLP<br />
(Santa Barbara, CA)<br />
After three weeks of jury trial in San<br />
Bernardino County, Barry Snyder and<br />
Jessica Farley of Snyder Burnett Egerer, LLP<br />
secured a defense verdict on April 30, 2018,<br />
in a race retaliation, whistleblower, and<br />
defamation case. Plaintiff, a Caucasian<br />
woman, claimed she was terminated from<br />
C.R. England because she complained to<br />
HR that she was underpaid and that her<br />
Hispanic supervisor favored Hispanic employees<br />
when it came to hiring, scheduling,<br />
speaking Spanish in the office, and celebrating<br />
staff birthdays.<br />
To prove her case, plaintiff relied<br />
largely on a parade of former employees--all<br />
of them Caucasian and female--to disparage<br />
plaintiff's Hispanic supervisor. C.R. England<br />
refuted each of these witnesses by calling<br />
former, current, Caucasian, Hispanic,<br />
Filipino, African-American, male and female<br />
employees to show that plaintiff's complaints<br />
were unsubstantiated.<br />
The defense presented undisputed evidence<br />
that plaintiff was terminated because<br />
she came to work without a required doctor's<br />
note after telling her supervisor that<br />
she had a "highly contagious" disease. In<br />
doing so, she violated company policy and<br />
a direct order by her supervisor. At trial,