Comments on: Reactions to Green Building Industry’s First LEED Certification “Guarantee:” Implications for Insurance Coverage & Limitation of Liability Provisions

By: Stephen Del Percio

Stephen Del Percio — Tue, 01 Sep 2009 01:31:17 +0000

Not sure I’d go that far, Mark, but glad you enjoyed it- thanks.

Michael, your comments suggest one of the mantras that many of us have been repeating here in 2009 about the danger of relying on form construction agreements. Every green building project is different, and risk must be allocated accordingly.

By: Mark Rabkin

Mark Rabkin — Fri, 28 Aug 2009 03:09:23 +0000

Stephen,

BEST. POST. EVER.

Mark

By: Christopher Hill

Christopher Hill — Thu, 27 Aug 2009 21:45:12 +0000

I think these are great thoughts. Unfortunately, to give a guarantee of any sort in this arena, the guarantor would have to do what Energy Ace has done. In short, in order to keep from the pitfalls of having a project decertified or worse, not approved for a certain LEED certification, the consultant almost has to water it down with caveat after caveat.

By: Green Building Guarantees and Legal Issues

Green Building Guarantees and Legal Issues — Thu, 27 Aug 2009 20:46:18 +0000

[...] Update: My friend @stephendp (A/K/A Stephen Del Percio of the Green Real Estate Law Journal) has weighed in on this debate here. [...]

By: Michael Gibbons

Michael Gibbons — Thu, 27 Aug 2009 15:31:41 +0000

Energy Ace’s “guarantee” – All hat, no cattle.

Though Energy Ace’s “guarantee” may be excluded from coverage under the professional liablilty policy, the amount of fees placed at risk falls within or is substantially less than the standard deductible applicable to such professional liability policies. Additionally, most professional services contracts contain a mutual waiver of consequential damages which further serves to limit the exposure of the professional in the event of professional negligence. Rather than this thin guarantee, I would like to see an Energy Air agree to be responsible for damages flowing from its negligence up to the available limits of any applicable insurance policy.

Brilliant marketing but less than meets the eye.