Gray•Duffy settles construction defect case in mediation for an amount substantially less than asserted by plaintiffs

September 2020

Overview

Gray•Duffy settled a construction defect case in mediation for an amount substantially less than asserted by homeowners throughout litigation.

Discussion

Monica Stobo v. Brunswick Builders, Inc.

The litigation arose out of claims pertaining to various remodeling activities in a residence located in Santa Monica, California. The Homeowners contended that as a result of the General Contractor’s negligent supervision in hiring, negligent performance of the work, as well as the Subcontractor’s negligence performance of the work, they had been damaged in excess of $500,000. The General Contractor made a claim for express indemnity against the Subcontractors.

Gray•Duffy’s client did finish carpentry, and door and window installation of the site. Plaintiffs asserted claims relating to the client’s scope of work in excess of $75,000.

The case was submitted to early mediation, and we were able to establish that the scope of work was minimal and that there was no claim for contractual indemnity. This matter was settled with the Plaintiffs for $9,345, and a good faith settlement application was granted by the court.

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.