Gray•Duffy Negotiates Favorable Settlement in Construction Defect Lawsuit

November 2009


Patrick Roberts of Gray·Duffy’s Encino office achieved an excellent settlement on behalf of a stucco subcontractor in a construction defect lawsuit involving the construction of multiple single-family residences


Carter, et al. v. Centex Homes, et al.

The firm’s client, a stucco subcontractor, was sued due to an alleged significant water intrusion case comprising 26 residences within the Centex Heights projects in the Stevenson Ranch area.  Plaintiffs asserted that the claims related to stucco required the removal of the exterior stucco to allow access to the improperly stapled lath, and for its re-stapling.  The combination of all stucco-related claims was in excess of $691,000 as presented by the plaintiffs.  As a result of extensive negotiations, Mr. Roberts was able to reduce the claims against the subcontractor from $691,000 down to $224,000, with an actual settlement of $30,000, or roughly 5% of the original demand proffered by plaintiffs.

Please Note: This article is necessarily general in nature and is not a substitute for legal advice with respect to any particular case. Readers should consult with an attorney before taking any action affecting their interests.