P r i v i l e g e d _ I n f o r m a t i o n
 

Experience • Integrity • Dedication


Jan 05
Vol 5
Issue 1

 

 



What's Happening at CB&T



Everyone at CB&T wishes you and yours a safe, happy, healthy New Year.

Have you registered your cell phone number with the Do Not Call Registry yet? Go to www.donotcall.gov

Next Month: Changes affecting Divorce

Howard County Builders Must Offer Fire Sprinklers

The Howard County Council, at the request of the county Executive, approved a substantial overhaul of the fire code for the county. The sixty-six (66) pages of changes contain numerous issues affecting all of our construction clients. One interesting note is that new home builders are required to provide an option to buyers for automatic sprinkler systems. At the time of contract execution, the contractor should use a specifically prepared form to give notice of the option. Moreover, notice that the option was provided must be given to the permit office before construction permits may be issued. There are exceptions to the requirement and technical provisions that should be discussed by the builder with its attorney. Also, new home buyers should be aware of this option and carefully consider it at the time of sale.

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Real Estate Tax Assessments Shock and Awe!

If you are one of the 692,000 Marylanders that received their triennial tax assessment this year, you may still be suffering from the real estate equivalent of "sticker shock." An average 46.6% increase in assessed values for reassessed properties is causing widespread anger as the State appears to get its cut of a strongly performing real estate market. Some qualified homeowners with significant increases in assessed values can take advantage of local county-established assessment caps. These tax caps (generally 3%-7% per year) may take some of the sting out of the rising assessments, depending upon the county you live in. Nevertheless, if you are mad as heck and don't want to take it anymore, there is a recourse!

It is your RIGHT to appeal the increased tax assessment. You could lower your tax assessment by thousands of dollars. This could make a meaningful difference when it comes to real estate tax time. Unfortunately, your time is short, as all appeals must be submitted by February 14, 2005. CB&T, with its strong background in Real Estate Law, is a natural fit to help you appeal your assessment.

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Insurer May Have to Pay Your Pre-Claim Attorney Fees

In Sherwood Brands, Inc. v. Hartford Accident and Indemnity Co., the Maryland Court of Appeals held that an insured entity was entitled to reimbursement of its attorney's fees that were incurred before it gave notice to its insurance company of the lawsuit. The Sherwood case involved a dispute between two allied insurance carriers (Hartford) and their insured (Sherwood) over whether Hartford breached its duty to defend Sherwood in an action brought against Sherwood by a competitor, and if it did breach its duty, whether Hartford was liable for attorney fees and other litigation costs incurred before Sherwood gave Hartford notice of the underlying action and demanded coverage.

If you are considering requesting reimbursement of litigation expenses in a case in which your carrier has accepted the duty to defend, the Sherwood Brands case should provide you with legal support to assert your reimbursement claims.

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Construction Manager Confined in Jail Dispute

Heery International, Inc. and architectural firm HOK are confined in their dispute over jail construction to the Montgomery County administrative appeals process and are not allowed to proceed immediately to Court as they would have preferred. The Maryland Court of Appeals has decided that, although the language of the relevant statute is not clear, claims against contractors by the County as well as claims by contractors against the County must be decided administratively first. The claim by Montgomery County against its expert construction coordinators exceeds $20 Million for lost productivity and delay. The case cements the need for contractors to make proper claims and defenses in time and in the right venue. The opinion can be found at http://www.courts.state.md.us/opinions/coa/2004/15a04.pdf in its entirety.


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COOVER, BARR &TIEDEMANN, LLC
ATTORNEYS AT LAW
(410) 995-1100 • (301) 621-5090 • (410) 997-7600
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CB&T, LLC is the Mid-Atlantic Region's Preeminent Law Firm with a practice focused on Litigation, Local Government Law, Government Contract Law, Construction Law, Small Business/Franchise Law, Transactional Law, Administrative Law, Commercial Real Estate, Land Use, Zoning, Complex Divorce/Custody/Family Law and Serious Personal Injuries

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