Claims Retrospective: Non-Traditional Projects Create Increased Potential Liability
In Claims onRead moreWe have seen an increase in claims arising from non-traditional projects, where the engineering seems to involve experimental or unproven methods, or at least the application of standard engineering methods to a unique set of circumstances. These projects might include the use of new materials, the creation of a new product, or an attempt to create a unique visual aesthetic. While these projects can certainly…
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The United States District Court of the District of Maryland Weighs In on the Division of Responsibility between the Structural Engineer of Record and the Engineer with a Delegated Design
In Engineers onRead moreDisputes over the division of responsibility between the structural engineer of record (“SEOR”) and an engineer with whom SEOR has delegated a certain portion of the design (“delegated engineer”) have been the subject of many professional liability claims. However, there are very few cases offering any guidance on the issue. The recent case of Metromont Corp. v. Allan Myers, L.P.1 provides some useful insights as…
The Use of Statutes of Repose in Setting Record Retention and Insurance Maintenance Policies – A Difficult, but Necessary, Endeavor
In Claims onRead moreWhile engineers often use the terms “statute of limitations” and “statute of repose” interchangeably, the distinction between the two terms is of pivotal importance in understanding not only how long documents should be retained, but also in determining how long an engineer should retain insurance coverage and/or how far back the insured engineer’s retroactive date needs to be to ensure that it is covered for…
Claims Retrospective: Designs Based on the Assumption that Certain Permits/Approvals Will Be Waived or Not Required
In Claims onRead moreDesign professionals will occasionally create designs, plans, and/or drawings (collectively, referred to herein as “designs”) with the assumption that its designs will not need to be submitted or approved to the agencies normally required. For example, we have recently received multiple claims in relation to projects where the design professionals have tried to avoid the need to obtain approval or a permit from the California…
Claims Retrospective: Design-Build Projects Can Present Unique Challenges for Design Professionals.
In Claims onRead moreIn a typical construction project, the owner contracts with a design professional (typically an architect or engineer) to design the building, structure, infrastructure, etc., and the owner then contracts with a general contractor to have those items built. Accordingly, there are two separate branches of contracts: one covering the design from the owner to the design professional to subconsultants and one covering the construction from…
How Engineers Can Inadvertently Extend Their Liability
In Claims onRead moreMost engineers understand that if they commit errors or omissions that result in damages, they may face claims from their clients. However, engineers are often surprised to find they may have duties to and be held liable to other parties besides their clients.
Claims Retrospective: The Improper Termination of Contracts Lead to Claims that Are Difficult to Defend
In Claims onRead moreWhile it may not be a common occurrence, most engineers have had to terminate their contracts with clients on at least a few occasions. Typically, the engineer reluctantly terminates the contract after the client refuses to pay for services, fails to return communications, and/or engages in other actions or inactions making it impossible for the engineer to continue to perform their duties. The termination of…
Settlement Agreements – Get Them in Writing
In Claims onRead moreIt’s often beneficial for the parties of a dispute to consider an early resolution via compromise. Settlements can offer a mechanism for a cost-efficient resolution, the preservation of business relationships, and peace of mind. Accordingly, it’s not unusual for design professionals to pursue settlements prior to litigation or even during litigation.
Claims Retrospective: It Is Important to Be Aware of Local Licensing Rules, Regulations, and Requirements in order To Avoid Licensing Complaints and Investigations and the Resulting Consequences.
In Claims onRead moreWe have noticed an increase in licensing complaints across the country, many of which can be said to involve alleged technical violations with no morally culpable behavior or any injured party. Some examples of these technical violations include: (1) failure to renew the engineering firm’s registration in a timely manner; (2) failure of the design professional to include their license number on written contracts (in…
An Injured Party’s Carrier Paid the Loss – Are You Off the Hook?
In Claims onRead moreConsider the following scenario: your design error has caused damage to the person or property of another, and you are rightfully concerned about a possible claim against you. However, you later discover that the injured person or property owner has been fully compensated for their loss by their own insurer. Are you off the hook?
