Commercial Properties

Case Description

Sandy Strip Mall/Cinema Complex

Aldrich Eike represented the owners of a commercial strip mall in Sandy, Oregon located right on Highway 26, next to the Sandy Cinema. The owners purchased the strip mall from the developer in 2005. As part of the purchase, the developer leased back the entirety of the strip mall from the new owners for a period of 5 years. During the 5-year lease term, the new owners had very little involvement with the strip mall. At the end of the lease, the buildings were turned over to the new owners and it became obvious that the lessor had not maintained the buildings as required under the lease. Aldrich Eike was retained to pursue claims against the developer, builder and others. The case presented unique challenges revolving around commercial CMU block concrete construction, commercial leases and complex insurance coverage issues. Aldrich Eike ultimately obtained a settlement in the mid six figure range after a hard fought battle against over six individual parties and ten different insurance companies. Aldrich Eike’s client was able to use the settlement funds to repair the complex and now is the proud owner and operator of the Smoky Hearth, a sports bar in the complex which serves the best wood fired open hearth pizzas in Sandy.

Wild Horse Resort and Casino

Aldrich Eike represented the Confederated Tribes of the Umatilla Indian Reservation regarding defects in a large casino expansion that resulted (in large part) from the general contractor going bankrupt and abandoning the project before substantial completion. Defects involved the flooring system, the roof system, and the HVAC system. A settlement with the general contractor’s liability insurer and bond company was achieved, as well as settlements with certain subcontractors. A three week arbitration was necessary to resolve the HVAC claims, in which the Tribe prevailed and was awarded damages and attorneys fees. All total, the Tribe achieved a 2.4 million dollar recovery for the defects and damages on a very difficult claim.

Devonwood Equestrian Center

Aldrich Eike represented the owner of a large equestrian arena building that suffered from roof and framing defects. On the second day of trial, a high six figure settlement was reached that reimbursed repair costs and damages despite the numerous legal and factual difficulties the case presented.

Irvington Corner Retail Center

Aldrich Eike represented the owner/developer of a boutique retail center that suffered from stucco defects in its high end artisan finish. The first day of trial, a settlement was reached that reimbursed repair costs. A special challenge in this matter was addressing tenant impacts during repairs.

Four Points Hotel

Aldrich Eike represented the general contractor in litigation against subcontractors for reimbursement of repair costs the general contractor incurred in repairing subcontractors’ defective work for owner. The general contractor obtained a substantial six-figure settlement which reimbursed all costs and attorney fees, while maintaining a positive relationship with the owner.

Gerber Properties

Aldrich Eike represented the owner of two office buildings regarding construction defects. The original contractor repaired the defects, and repair costs were reimbursed by insurance carriers.

University Station

Aldrich Eike represented the owner/developer of University Station in Salem, Oregon. Again, Aldrich Eike adopted a two-pronged approach to seek reimbursement of repair costs (property insurance claim; litigation against the builder) netting a seven figure recovery.

Pacific Place Retail/Office Center

Aldrich Eike represented the owner/developer of the Pacific Place Retail/Office Center in two separate litigations to recover repair costs. The first litigation was filed against the builder (and its subcontractors and suppliers) for defects and water intrusion damages. The second litigation was filed against the owner/developer’s property insurance company for coverage for the severely damaged and rotten structural members (i.e., “collapse” conditions). In the property insurance litigation, the federal court issued an opinion on insurance coverage that is beneficial to property owners throughout Oregon. See Richardson v. Travelers Insurance Company, 2004 WL 1173186 (D. Or. May 25, 2004). See also Schray v. Fireman’s Fund, 402 F Supp 1212 (D. Or 20050). Both cases were successfully resolved, and allowed the owner/developer full recovery of repair costs and attorneys fees.

Wilsonville-Airport Way

Aldrich Eike represented the developer/owner of two office complexes regarding construction defects. Aldrich Eike worked out an agreement wherefore the original contractors and subcontractors would come back and conduct repairs, and the developer/owner would be reimbursed full repair costs from the insurance carriers. The case involved minimal litigation.