The Facts

Plaintiffs claimed damages to almost every aspect of their home from framing, to roofing, to concrete and drywall. There was also a sizable claim related to the time needed to fix the home and in San Francisco, loss of use claim can far exceed the defect claims. Claimant alleged $408,971 in damages.
Bob defended claiming that many of the claims were punch-list work that was not completed due to non-payment of the contract’s retention and that the loss of use was excessive.

Settlement Discussions

Plaintiff’s lowest demand was $175,000. Mr. Sims issued a CCP § 998 in the amount of S25,000 and indicated that up to double (to $50,000) that was likely available if the matter could be resolved prior to arbitration.

The Verdict

In October of 2017, an Award was issued for a total of $70,465.17.

Practice Note

There was also an award of attorney fees. The Claimants presented bills in excess of $175,000 for the prosecution of the Arbitration. However, since the amount indicated settlement proposal of $50,000 was only $20,000 off the award and the Claimants spent in excess of $125,000 to collect that $20,000 difference, the Arbitrator only awarded fees in the amount of $48,378.