Presumption of Prejudice Applies to All Affirmative Defenses Regarding Insured’s Failure to Comply with Post-Loss Policy Conditions
June 23, 2026 —
David Adelstein - Florida Construction Legal Updatesn a recent property insurance coverage dispute, an issue on appeal pertained to the “prejudice” jury instruction associated with the insured’s failure to comply with post-loss policy conditions. The trial court found that the prejudice only pertained to prompt notice and not other post-loss policy conditions. This was reversed on appeal as prejudice applied to ALL the post loss policy conditions that the insured failed to comply with, not just the prompt notice requirement. The prejudice presumption applies to all affirmative defenses regarding an insured’s failure to comply with post-loss policy conditions.
Consider this discussion when dealing with an insurer raising prejudice as an affirmative defense to do an insured’s failure to comply with post-loss policy conditions, and the associated burdens of proof:
On appeal, [the insurer] contends the trial court erred by instructing the jury that the presumption of prejudice was inapplicable to all of its post-loss obligation defenses except prompt notice. We agree.
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David Adelstein, Kirwin NorrisMr. Adelstein may be contacted at
dma@kirwinnorris.com
How to Fireproof a Neighborhood
March 17, 2026 —
Linda Poon - BloombergAs builders in fire-prone areas like California race to
reimagine homes for a more fiery future, one developer is zooming out to build entire fire-resilient neighborhoods.
KB Home’s developments tackle an issue that’s
hard for any individual homeowner to overcome: “You can do your home perfectly, but if your neighbor didn’t, you still have a fire risk,” said Roy Wright, chief executive officer of the research nonprofit Insurance Institute for Business and Home Safety. In other words, to slow the spread of urban fires
it takes a village.
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Linda Poon, Bloomberg
Introducing the Updated 2026 Pillsbury Guide to Data Centers
June 08, 2026 —
Gravel2Gavel Team - Gravel2Gavel Construction & Real Estate Law BlogSince the initial publication of the Pillsbury Guide to Data Centers in 2025, the market has continued to evolve—most notably with respect to power availability, energy strategy, tax and incentives planning, and investment activity across the sector. While many of the legal, commercial and regulatory frameworks addressed in the original Guide remain durable and relevant, recent developments warranted targeted updates and additions.
The
2026 edition expands and updates our energy-focused content to reflect the increasingly central role of power procurement, interconnection and long-term energy strategy in data center development. We have incorporated new materials addressing power purchase and interconnection agreements, solar and other renewable energy solutions, advanced reactor designs, and nuclear-powered data centers projects, including an updated project tracker. We have also added new analysis covering state and local tax considerations and incentive structures relevant to data center development and operations, as well as current M&A and private equity trends shaping investment in the sector.
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Gravel2Gavel Team
White and Williams LLP Secures Trio of Cyber Coverage Wins
May 12, 2026 —
Gabriel Darwick & Sean Elman - White and Williams LLPThree weeks, three jurisdictions, three cyber wins.
White and Williams picked up the first victory on March 9, 2026, in the United States District Court for the Western District of Texas, where the court granted summary judgment to their client enforcing a Cyber Crime Loss sublimit. See Perry & Perry Builders, Inc. v. Cowbell Cyber and Obsidian Specialty Ins. Co., 2026 U.S. Dist. LEXIS 49409 (E.D. Tex. Mar. 9, 2026). In Perry, the insured was deceived into transferring money intended for a vendor to an unintended third party. The insurer acknowledged that the loss was covered and paid the insured the policy’s Cyber Crime Loss sublimit. Discontent with a single sublimit, the insured argued that because it wired the money to the fraudster in separate transfers, it was entitled to a second Cyber Crime Loss sublimit.
Reprinted courtesy of
Gabriel Darwick, White and Williams LLP and
Sean Elman, White and Williams LLP
Mr. Darwick may be contacted at darwickg@whiteandwilliams.com
Mr. Elman may be contacted at elmans@whiteandwilliams.com
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Arizona Court of Appeals Clarifies Homeowners Association Open Meeting Requirements
June 29, 2026 —
Jill Casson Owen, Benjamin J. Hawkins & Stephen Wright - Snell & WilmerA Z N H Revocable Trust v. Sunland Springs Village Homeowners Association, No. 1 CA-CV 25-0424 (Ariz. Ct. App. Apr. 28, 2026)
OVERVIEW
The Arizona Court of Appeals issued an opinion clarifying how homeowners associations must conduct meetings under A.R.S. § 33-1804. The decision reinforces the legislative policy favoring transparency in association governance, bringing association meeting requirements more in line with the open meeting standards applicable to public bodies under A.R.S. § 38-431 et seq. (Arizona’s Open Meeting Law).
KEY HOLDINGS
1. All Voting and Formal Actions Must Occur in Open Meetings
The Court affirmed that association boards cannot vote or take formal action during closed (executive) sessions. Under A.R.S. § 33-1804(A), associations may close portions of meetings only for “consideration” of certain enumerated topics, such as legal advice, pending litigation, or personal/financial information about individual members. The Court interpreted “consideration” to mean discussion and deliberation, not voting. The Court noted that dictionaries define “consider” as “spending time thinking about a possibility” and “formulating an opinion,” which are processes that precede formal action. This interpretation mirrors how Arizona’s Open Meeting Law (A.R.S. § 38-431.03(D)) prohibits public bodies from voting in executive session.
Reprinted courtesy of
Jill Casson Owen, Snell & Wilmer,
Benjamin J. Hawkins, Snell & Wilmer and
Stephen Wright, Snell & Wilmer
Ms. Owen may be contacted at jowen@swlaw.com
Mr. Hawkins may be contacted at bhawkins@swlaw.com
Mr. Wright may be contacted at swright@swlaw.com
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IRMI Expert Commentary: NY Highest Court Confronts Downstream Risk Transfer for Subcontractor Bodily Injury Claims
March 17, 2026 —
Gregory D. Podolak & Alexander G. Hopkins - Saxe Doernberger & Vita, P.C.Originally published on IRMI.com, copyright 2026 International Risk Management Institute, Inc.
Subcontractor employee bodily injury claims (so-called action over claims) are a staple of construction risk management in the Empire State—so much so that the phrase “labor law” instinctively invites a shudder among the most experienced general contractors. The savvy among them intensely monitor case law developments and the evolution of the insurance market to ensure a cutting-edge, meticulously developed downstream risk transfer plan. And when guidance arrives from an appellate-level court, it’s a moment to take note.
This is one of those moments.
In late 2025, New York’s highest court—the NY Court of Appeals—had the rare opportunity to examine an all-too-routine bodily injury fact pattern and took the opportunity to closely examine the scope of contractual indemnity and its interplay with additional insured coverage in Dibrino v. Rockefeller Center N., Inc., 2025 N.Y. Slip Op. 07077, 2025 WL 3670593 (Ct. App. Dec. 18, 2025).
Reprinted courtesy of
Gregory D. Podolak, Saxe Doernberger & Vita, P.C. and
Alexander G. Hopkins, Saxe Doernberger & Vita, P.C.
Mr. Podolak may be contacted at GPodolak@sdvlaw.com
Mr. Hopkins may be contacted at AHopkins@sdvlaw.com
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Sausage-Making Often Relies on the Good Sense of the Chef Rather than the Recipe
June 23, 2026 —
Garret D. Murai - California Construction Law BlogEven for lawyers, the rules governing litigation can get complex and convoluted. Does something need to be filed? What needs to be filed? When is the deadline for filing?
Simple questions with not always with straightforward answers.
This was the case in
R & J Sheet Metal, Inc. v. W.E. O’Neil Construction Co. of California, 111 Cal.App.5th 878 (2025), which involved sheet metal panels lost when they fell into the Port of Long Beach harbor.
Read the full story...Reprinted courtesy of
Garret D. Murai, Nomos LLPMr. Murai may be contacted at
gmurai@nomosllp.com
Arizona Court Enters $323 Million Judgment Against ZOM Living Following Unanimous Jury Verdict
May 26, 2026 —
Gray Development GroupPHOENIX, May 19, 2026 /PRNewswire/ -- A Maricopa County court has entered a $323 million compensatory damages judgment in favor of Gray Development Group against ZOM Holding Inc., doing business as ZOM Living, following a 12-day trial, a unanimous jury verdict and post-trial proceedings related to a proposed business transaction.
The jury found ZOM liable on claims of breach of contract and breach of the implied covenant of good faith and fair dealing stemming from a proposed joint venture tied to a planned pipeline of luxury multifamily and commercial projects in Phoenix and Scottsdale.
The lawsuit centered on a 13-project, $1.4 billion development pipeline originated and planned by Gray Development Group over more than a decade. In 2019, Gray invited Florida-based ZOM to participate in a joint venture involving the completion of five projects, which would have marked ZOM's entry into the Arizona market.
According to court findings presented at trial, the companies entered into a mutual confidentiality and non-circumvention agreement before Gray shared extensive sensitive and proprietary information related to the projects, including planning, market analysis, costs, financial data, local business relationships and operational strategies developed by Gray over decades in Arizona.
Evidence presented during trial showed that over a 10-month period while under contract, ZOM made hundreds of requests for confidential project and market information before circumventing Gray and pursuing the projects independently, ultimately displacing Gray from projects it spent years planning and developing.
ZOM Living, headquartered in Orlando, develops multifamily and senior housing communities across the United States and operates regional offices in Boston, Dallas, Fort Lauderdale, Nashville, Phoenix, and Raleigh. ZOM is owned by Timeless Investments, the Amsterdam-based family office of Dutch businessman Hans van Veggel, which acquired the company in 1997.
About Gray Development Group
Gray Development Group was founded by architect Bruce Gray in 1991. The Phoenix-based company was the top-ranked multifamily developer in Arizona for more than a decade. The company designed and developed more than 15,000 apartment and condominium units throughout metropolitan Phoenix. Two Gray-designed developments — a Tempe midrise and a San Diego high-rise — received National Apartment Community of the Year awards.