Wade Clark Mulcahy LLP

News Erupting Toilets In Mall Found To Be The Act of God February 15, 2011 < Back Share to: In Abarca v. Clark Shoes, et al., the plaintiff was the manager of a Coach store, located in the Queens Center Mall. In July of 2007, a large storm hit Queens, causing severe flooding within many of the mall's stores. The toilet in the Clark Shoes store, located above the Coach store, erupted, causing severe flooding that leaked down into the Coach store. The plaintiff sustained injuries after slipping on this puddle. The lower court dismissed the claims against the owner of the mall. The Second Department affirmed that decision, finding that the storm was an act of God and that the resulting damage was unforeseeable. Thanks to Georgia G. Stagias for her contribution to this post. http://www.nycourts.gov/reporter/3dseries/2011/2011_00992.htm Previous Next Contact

News Preservation of Appellate Review – Is It Waived? July 21, 2023 < Back Share to: Dupree v. Younger, Case Number 22-210 (May 25, 2023) addresses the preservation of legal issues for appellate review. In Dupree, the U.S. Supreme Court found that a summary judgment motion “allows the district court to take first crack at the question that the appellate court will ultimately face: Was there sufficient evidence in the trial record to support the jury’s verdict?” The court also found that “[b]ecause the factual record developed at trial supersedes the record existing at the time of the summary judgment motion, it follows that a party must raise a sufficiency [of the evidence] claim in a post-trial motion in order to preserve it for appeal.” The court further found that a “repeat-motion requirement” would be an “empty exercise,” where the averse ruling is based on a purely legal issue because “a purely legal question is, by definition, one whose answer is independent of disputed facts” and, thus, “factual development at trial will not change the district court’s answer.” Applying this reasoning to the case at hand, the Dupree Court unanimously held that where an averse pretrial ruling is based on a purely legal issue, a litigant need not, to preserve the issue for appellate review, re-raise the issue at or after trial. The Take Away. Be careful! While Dupree eliminates the need to re-raise averse rulings on purely legal issues; to avoid waiver, and preserve appellate review of fact-based issues, one must re-raise the fact-based issue(s) at trial and by post-trial motion. Thanks to Charles "Chip" George for this post. Please contact Chip with any questions. Previous Next Contact

News Mediation Agreements Are Binding in NJ. August 12, 2011 < Back Share to: In the case of Willingboro Mall v. 240/242 Franklin Avenue, et al., the plaintiff appealed from an order enforcing a settlement reached during a mediation session conducted pursuant to Rule 1:40-4. Plaintiff argued that the rule precludes enforcement of an oral settlement reached at a nonbinding mediation session. It also contended the alleged settlement was the product of coercion by the mediator. The facts giving rise to the appeal are as follows. Plaintiff and defendants were commercial real estate entities who were involved in a default and foreclosure dispute. The parties were referred to mediation by the General Equity judge. The parties selected a retired Superior Court Judge as mediator, and attended a mediation session with their attorneys at the office of defendants' attorney. After several hours, the parties agreed to a settlement. Counsel for defendants then wrote a letter to the General Equity judge to inform him that the parties had reached a settlement. The letter also stated the terms of the settlement. Plaintiff refused to consummate the settlement and instead asserted that a final, binding settlement agreement had not been reached at the mediation session. Defendants then filed a motion to enforce the mediated settlement agreement, and supported the motion with a certification of their attorney and the mediator. A plenary hearing was conducted and a written opinion was issued, which found that the parties did in fact arrive at a settlement of the underlying case, and that the settlement was therefore binding. On appeal, plaintiff argued that Rule 1:40-4(i) prevented enforcement of an oral settlement because the terms of the settlement were not reduced to writing at the mediation session, a copy of the writing was not provided to each party, and the parties did not affix their signatures to the writing at the mediation session. In addition, plaintiff argued that enforcement of a settlement reached at a mediation session is contrary to the non-binding nature of the mediation process. The Appellate Division agreed with the trial court. It ruled that mediation is utilized to afford the parties an opportunity to present their position before an experienced professional with the goal of resolving some or all of the differences between the parties. Rule 1:40-4 (i) does not prohibit the mediator or one of the parties from reducing the terms of the agreement to writing shortly after conclusion of the mediation session as occurred in this case. Specifically, the court noted that in this case, three days after the mediation session, defendants' attorney prepared and sent a letter stating the terms of the agreement reached by the parties. Two weeks later, he sent another letter informing plaintiff that he had placed the sum required to resolve the dispute in an escrow account. The Appellate Court held that these writings, the first memorializing the terms of the settlement and the second notifying plaintiff of defendants' action to consummate the settlement, were within the intention of the rule requiring the agreement to be reduced to writing. Two important points bear mention here. First, sometimes attorneys (and litigants) are held to their word and bound by their verbal actions. Second, and perhaps more importantly, know your case and the attorneys. If the attorneys on the other side seem like the kind of folks who will try to weasel their way out of an agreement, don’t leave the mediation until a written agreement is finalized and signed by all parties. It might take a little bit longer, but it’s certainly worth the effort – in fact, we just did this on a case on Wednesday where a post mediation “agreement on written terms” seemed like it might be hard to come by. But that’s a story for a different day… Special thanks to Sheila Osei for her contributions to this post. For more information about it, or WCM's NJ practice, please contact Bob Cosgrove at rcosgrove@wcmlaw.com . Previous Next Contact

News PA Appellate Court Clarifies Insured’s Right to Own Counsel. August 8, 2011 < Back Share to: In the case of Eckman v. Erie Insurance, Solid Waste Services sued Eckman for false statements made during a local election campaign. Eckman presented the claim to its homeowner’s carrier, Erie. Erie assigned defense counsel under a reservation of rights. The ROR noted that intentional acts and punitive damages were excluded from coverage. Eckman rebuffed Erie’s assigned counsel and instead demanded counsel of its own choosing. When that offer was rejected, Eckman commenced a declaratory judgment action and sought injunctive relief to force Erie to provide Eckman with counsel of Eckman’s choosing. In making its argument, Eckman relied upon admittedly non-binding Pennsylvania case law and suggested that “a conflict of interest is a conflict of interest, exclusive of Pennsylvania case law.” Eckman argued that any attorney selected by an insurer under a reservation of rights, and paid by that insurer, would ipso facto breach his or her obligations to the insured/client. Eckman’s claim was rejected both by the trial court and the Superior Court. In a good result for insurers, the court reasoned that a conflict of interest (such to support the assignment of independent counsel) must be proven and cannot merely be presupposed. This decision is consistent with controlling PA precedent and as the court rightfully noted, it is bound to “follow controlling precedent as long as decision has not been overturned by the Supreme Court.” So, in Pennsylvania at least, a reservation of rights does not automatically trigger a right to independent counsel. If you have any questions about this post, please contact Bob Cosgrove at rcosgrove@wcmlaw.com . Previous Next Contact

News Reality or Wishful Thinking: Is the Admitted Market About to Get Hammered? February 15, 2011 < Back Share to: The softness of the current insurance market has impacted everyone. One specific way in which it has impacted the E&S market is that admitted carriers (to increase premium intake) have underwritten risks that usually reverted to the E&S market. Some professionals believe that the worm is about to turn as the admitted carriers flee the newly written risks because of bad loss ratios -- http://www.insurancejournal.com/news/national/2011/02/10/184165.htm. The question is -- when? And to that question, no-one knows the answer. For more information about this post, please contact Bob Cosgrove at rcosgrove@wcmlaw.com . Previous Next Contact

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News Microwave "Popcorn Lung" Claim Filed In Denver January 18, 2008 < Back Share to: Wayne Watson has filed suit against Kroger Co. in U.S. District Court in Denver claiming injury from the buttery flavor added to microwave popcorn. Watson generally eats 2 bags of microwave popcorn a day and has been diagnosed with bronchiolitis obliterans, also known as "popcorn lung". The vapor from the chemical , diacetyl, which is used to provide the butter flavor to microwave popcorn, has been associated with respiratory illness in popcorn plantworkers by some experts. http://www.njlnews.com/daily_briefing Previous Next Contact

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