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  • November 13, 2019

Robert Ferguson, Timothy Dygert Argue Construction Case of First Impression in Maryland Court of Appeals

On November 4, 2019, Robert Ferguson and Timothy Dygert argued a construction case of first impression before the Court of Appeals of Maryland.  The case concerns a critical question of insurance and joint liability that is being watched by contractors, architects, and insurers in the construction industry. The case is Gables Construction, Inc. v. Red Coats, Inc. and concerns a fire in a building under construction that occurred in 2014, and which caused $17.6 million in property damage. Gables Construction (represented by Ferguson, Schetelich & Ballew) was the general contractor.  The construction contract had standard clauses by which the property…

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  • March 15, 2017

The Mechanism for—and Importance of—Service on Defunct Maryland LLCs in Construction Cases

When defending a general contractor in a construction litigation, you may need to effectuate proper service of a cross-claim or third-party complaint on a potentially responsible subcontractor.  What are your options if the subcontractor is a forfeited limited liability company (“LLC”)? Maryland law treats defunct corporations in a different manner than defunct LLCs.  While a forfeited corporation loses all powers conferred by law[1], a forfeited LLC loses only the right to do business in the State and the right to the use of its name.[2]  The Maryland statute “Contracts with forfeited LLC” states: The forfeiture of the right to do…

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