|
|
In Fox Logistics & Construction Co. v. U.S., 2024 WL 2807677 (Fed.Cl. 2024), a subcontractor sued the federal government when it was not paid by the prime contractor.
Subcontractor Strikes Out in its Claims Against Federal Government
Monday, July 8, 2024
—
David Adelstein - Florida Construction Legal Updates
Is it a good idea for a subcontractor to sue the federal government? A recent case would suggest NO–way too many huge hurdles for the subcontractor to overcome. No matter how creative the arguments may be, it’s a high mountain to climb.
In Fox Logistics & Construction Co. v. U.S., 2024 WL 2807677 (Fed.Cl. 2024), a subcontractor sued the federal government when it was not paid by the prime contractor. The subcontractor claimed it was a third-party beneficiary under the government’s modifications to the prime contractor’s payment procedure, or alternatively it had an implied-in-fact contract with the government. The Court of Federal Claims granted summary judgment in favor of the government. The subcontractor, while creative, struck out in its claims based on the hurdles in a subcontractor suing the federal government.
This case involved upgrading an air force base. The subcontractor performed most of the work. The prime contractor had cash flow problems and did not pay the subcontractor. The government got involved to enforce provisions of its contract to force the prime contractor to pay subcontractors and even modified the payment procedure by having future payments to the prime contractor deposited into a new bank account that government could monitor. This ultimately did not work, and the prime contractor filed for bankruptcy. The subcontractor claimed it was owed millions–apparently, it was not able to recover the money through the prime contractor’s bankruptcy—and pursued claims against the federal government in an effort to recover money it was owed.
Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com
Read the full story…
The statute allows for recovery of interest for contractors/subcontractors at 1% per month (12% per year) on the value of the additional work if the statute is violated.
New Change Order Bill Becomes Law: RCW 39.04.360
Monday, July 8, 2024
—
Brett M. Hill - Ahlers Cressman & Sleight PLLC
A new statute (RCW 39.04.360) became effective on June 6, 2024, and it applies to extra work performed by contractors and subcontractors on public and private projects in Washington State. The intent of the original bill was to allow contractors and subcontractors to get paid sooner for undisputed additional work. The statute does not apply to private residential projects of 12 units or less. The statute allows for recovery of interest for contractors/subcontractors at 1% per month (12% per year) on the value of the additional work if the statute is violated.
Here are the requirements of the new statute:
- Public and private owners must issue a change order for the undisputed amount of additional work performed by a contractor, subcontractor, or supplier no later than 30 days after the work is satisfactorily completed and the change is requested by the contractor.
- General contractors, and subcontractors with lower-tier subs, must issue a change order to their subcontractors impacted by the change within 10 days after receipt of the approved change order from the owner/upper-tier contractor.
Reprinted courtesy of Brett M. Hill, Ahlers Cressman & Sleight PLLC
Mr. Hill may be contacted at brett.hill@acslawyers.com
Read the full story…
When the homeowner sought coverage for hurricane damage, it was denied.
No Coverage for Homeowner Named as Borrower in Policy but Not as Insured
Monday, July 8, 2024
—
Tred R. Eyerly - Insurance Law Hawaii
The magistrate judge recommended that the homeowner's complaint seeking coverage for damage caused by Hurricanes Laura and Delta be denied because the homeowner was only named as the borrower under the policy. LeDay v. Integon Nat'l Ins. Co., 2024 U,S. Dist. LEXIS 87369 (W.D. La. April 15, 2024).
When the homeowner sought coverage for hurricane damage, it was denied. The homeowner then sued and Integon moved to dismiss. Integon argued it did not issue a policy to the homeowner, but the policy was issued to Midland Mortgage. The pro se homeowner did not respond to the motion.
Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com
Read the full story…
|
Fall Protection for Everyone
July 8, 2024 — Mark McGhiey - Construction Executive
In the construction industry, safety lapses can have dire consequences. A recent incident on a multistory construction site underscores the critical need for rigorous safety protocols. An employee slipped and nearly fell from the top level during a routine task of disposing refuse into a trash chute. Fortunately, thanks to the company's recently enhanced fall-protection program, the worker's safety equipment prevented what could have been a fatal accident.
This incident is a stark reminder of the ongoing risks of falls in construction. Despite continuous efforts to improve safety, falls remain a leading cause of injury and death on jobsites, second only to vehicle accidents. U.S. Bureau of Labor Statistics data shows that more than 400 fall-related deaths occur annually, a distressing statistic that has remained consistent over the past decade.
Reprinted courtesy of Mark McGhiey, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
One Insurer Must Reimburse Another for Defense Costs
July 8, 2024 — Tred R. Eyerly - Insurance Law Hawaii
The Second Circuit upheld the district court's grant of summary judgment finding that Scottsdale Insurance Company owed a defense to the insured and had to reimburse Greater New York Mutual Insurance Company for fronting the defense costs. Greater N.Y. Mut. Ins. Co. v. Burlington Ins. Co., 2024 U.S. App. LEXIS 10165 (2nd Cir. April 26, 2024).
Greater New York brought an action for a declaratory judgment against Scottsdale claiming Scottsdale owed a defense to Greater New York's insured, Park City 3 and 4 Apartments, Inc., in the underlying state case. A contract between Park City and Scottdale's insured, Phoenix Bridging, Inc., established Scottsdale's obligation to defend Park City in the underlying suit as an additional insured on Bridging's policies. In the underlying action for negligence against Park City and Bridging, Park City brought cross-claims against Bridging for breach of contract for failing to designate Park City as an additional insured. No party, however, could produce the contract.
|
Toll Brothers Honored at the Best in Pennsylvania Living Awards
July 8, 2024 — Toll Brothers
FT. WASHINGTON, Pa., May 29, 2024 (GLOBE NEWSWIRE) -- Toll Brothers, Inc. (NYSE:TOL), the nation's leading builder of luxury homes, today announced the Company's Pennsylvania Division was honored with multiple awards at the 2024 Best in Pennsylvania Living Awards, recently held at The Alloy Hotel in King of Prussia, Pennsylvania.
Presented by the Home Builder's Association of Bucks and Montgomery Counties and Home Builder's Association of Chester and Delaware Counties, the Best in Pennsylvania Living Awards is a best-in-class competition recognizing excellence for home building, design, and associate services. The Toll Brothers Pennsylvania Division was recognized for outstanding communities, landscaping, interior and architectural design, plus best-in-class individual and team performance.
In addition to the community awards, the Toll Brothers teams were honored for their professional achievements, outstanding performance, and leadership in onsite and online sales and Design Studio consultations. Twelve members of the Toll Brothers team were also recognized for achieving gold and platinum level home sales. To see the full list of winners and to learn more about the awards celebration, visit BPLAwards.com.
The Pennsylvania Division of Toll Brothers was also recently recognized at the Nationals, the home building industry's highly anticipated national awards competition presented by the National Association of Home Builders (NAHB). Toll Brothers' Pennsylvania Division won the Silver Award for Best Interior Merchandising of a Model Home Priced $500,000 to $600,000 for the Knox Elite at Overlook at Town Center, and the flagship Toll Brothers Pennsylvania Design Studio was recognized with the Best Design Center award and the coveted ASID Crystal Award for Best Commercial Design – Retail Space.
For more information on Toll Brothers communities throughout Pennsylvania, visit https://www.TollBrothers.com/Pennsylvania.
Webinar Series: Social Media & Claims Investigation
July 8, 2024 — Lewis Brisbois Newsroom
Orange County, Calif. (June 26, 2024) – New York Partner Jeffrey Gaylord, Las Vegas and Reno Managing Partner Josh Cole Aicklen, and Los Angeles Partner Jasmine Shams will present a webinar titled “Social Media & Claims Investigation,” on July 18, 2024 at 9:00 a.m. PT.
During this informative 60-minute CLE session, our speakers will discuss the laws that are either in effect or are in the process of being passed that govern social media and how it is used. They will also talk about the potential legal implications for using social media during claims investigations and the many insurance policies that may be involved. In addition, they will examine social media's role in legal proceedings and offer suggestions for discovery and trial tactics. Moderated by Orange County Partner Esther Holm, this session will be beneficial and informative for all insurance professionals since social media affects almost all insurance coverages, from cyber to D&O to EPL.
July 18th, 2024
Virtual Event
|
|
|
|
Lithium demand is expected to soar by 90% over the next two decades, driving a surge in production efforts.
Lithium for Batteries from Geothermal Brine
Monday, July 8, 2024
—
Robert A. James, Sidney L. Fowler & Clarence H. Tolliver - Gravel2Gavel Construction & Real Estate Law Blog
If all goes as planned, solar, wind and other clean energy technologies will help us abandon carbon emissions for good. But many green power sources perform their best only when nature cooperates, so an important (and sometimes overlooked) component of the energy transition is the ability to store electricity for a rainy or calm day. Lithium is the ingredient of choice for electric vehicle batteries, solar panels and grid elements. As these innovations ramp up, lithium demand is expected to soar by 90% over the next two decades, driving a surge in production efforts. Some experts predict a deficit in the mineral by as soon as 2025.
Predominant mining and extraction processes can be detrimental to the surrounding air, soil and water, in contrast to the environmentally friendly intentions of the lithium applications. But another type of renewable energy may be able to provide a solution. Hydrothermal brine, a high-saline water mixture found deep within the Earth’s crust, contains lithium-rich deposits that have leached from heated rocks into underground water. Geothermal power players employing hydrothermal brine are spearheading plans to extract the valuable resource in a cleaner and more sustainable manner.
Reprinted courtesy of Robert A. James, Pillsbury, Sidney L. Fowler, Pillsbury and Clarence H. Tolliver, Pillsbury
Mr. James may be contacted at rob.james@pillsburylaw.com
Mr. Fowler may be contacted at sidney.fowler@pillsburylaw.com
Mr. Tolliver may be contacted at clarence.tolliver@pillsburylaw.com
Read the full story…
The “blanket” language is critically important, as the inclusion of certain phrases in an additional insured endorsement can result in a denial of coverage for the upstream party.
Recent Decision Further Jeopardizes Availability of Additional Insured Coverage in New York
Monday, July 8, 2024
—
Nina Catanzaro & Bethany L. Barrese - Saxe Doernberger & Vita, P.C.
Additional insured endorsements often provide “blanket” coverage to persons or organizations as required by a written contract. However, the wording of the “blanket” language is critically important, as the inclusion of certain phrases in an additional insured endorsement can result in a denial of coverage for the upstream party.
For example, risk transfer issues can arise when an additional insured endorsement provides coverage to parties “when you [the named insured] and such person or organization [the additional insured] have agreed in writing in a contract or agreement.” Courts in New York (among other jurisdictions) have interpreted this phrase to require contractual privity – that is, only the entity that contracted directly with the named insured is entitled to additional insured coverage, even if the named insured agreed in that contract to provide additional insured coverage for others as well. The same goes for the phrase “any person or organization with whom you [the named insured] have agreed to add as an additional insured by written contract.”
Reprinted courtesy of Nina Catanzaro, Saxe Doernberger & Vita, P.C. and Bethany L. Barrese, Saxe Doernberger & Vita, P.C.
Ms. Catanzaro may be contacted at NCatanzaro@sdvlaw.com
Ms. Barrese may be contacted at BBarrese@sdvlaw.com
Read the full story…
P&A stands alone in being named a Band 1 firm in Construction Law nationally and has been named in the position every year since Chambers USA began awarding the recognition.
Chambers USA Names Peckar & Abramson to Band 1 Level in Construction Law; 29 P&A Lawyers Recognized as Leading Attorneys; Six Regions and Government Contracts Practice Recognized
Monday, July 8, 2024
—
Peckar & Abramson, P.C.
Peckar & Abramson, P.C. (P&A) is pleased to announce that Chambers USA has recognized the firm at the Band 1 level nationwide in Construction Law. P&A stands alone in being named a Band 1 firm in Construction Law nationally and has been named in the position every year since Chambers USA began awarding the recognition. The firm was also recognized nationally in Government Contracts: Highly Regarded.
P&A’s offices in New York, New Jersey, Florida, and Texas were ranked Band 1 in Construction Law, and the Firm’s California, Illinois, and Washington, DC practices were also highly rated. Additionally, 29 of P&A’s construction lawyers were named leading construction lawyers in their respective jurisdictions – more than any other construction law practice in the country.
As demonstrated by its consistent Chambers USA Rankings, Peckar & Abramson has earned a national reputation for exceptional legal advocacy, representing construction industry members domestically and internationally.
Reprinted courtesy of Peckar & Abramson, P.C.
Read the full story…
|
The New York Civil Liberties Union calls EA "limited and flawed."
Lawsuit Decries Environmental Assessment for Buffalo, NY, Expressway Cap Project
Monday, July 8, 2024
—
Justin Rice - Engineering News-Record
The New York Civil Liberties Union has filed a lawsuit against the New York State Dept. of Transportation for redeveloping Buffalo’s Kensington Expressway with a “limited and flawed” environmental assessment.
Reprinted courtesy of Justin Rice, Engineering News-Record
Mr. Rice may be contacted at ricej@enr.com
Read the full story...
This is the eleventh consecutive year that Mr. Murai has been recognized by Super Lawyers.
Nomos LLP Partner Garret Murai Recognized by Super Lawyers
Monday, July 8, 2024
—
Garret Murai - California Construction Law Blog
Nomos LLP Partner Garret Murai has been recognized as a 2024 Northern California Super Lawyers honoree in the area of Construction Litigation. This is the eleventh consecutive year that he has been recognized by Super Lawyers.
Super Lawyers, an annual listing of outstanding lawyers from more than 70 practice areas who have attained a high degree of peer recognition and personal achievement, is limited to no more than five percent (5%) of lawyers in a state who are selected through a multiphase process that includes a statewide survey of lawyers, independent research evaluation and peer reviews by practice area.
Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com
Read the full story…
The plaintiff had entered into a commercial lease for space within the Crowne Plaza Hotel in Redondo Beach, California, for use for her spa and massage business.
Los Angeles Team Secures Summary Judgment for Hotel Owner & Manager in Tenant’s Lawsuit
Monday, July 8, 2024
—
Lewis Brisbois Newsroom
Los Angeles, Calif. (June 11, 2024) - Los Angeles Partners David Samuels and Meegan Moloney recently obtained summary judgment for the owner and manager of a Southern California hotel in a lawsuit brought by a tenant who alleged that she suffered injuries due to the presence of mold in her leased space.
The plaintiff had entered into a commercial lease for space within the Crowne Plaza Hotel in Redondo Beach, California, for use for her spa and massage business. The lease contained "exculpatory provisions" absolving Lewis Brisbois' clients "from any and all liability and responsibility for any loss, injury or damage incurred or claimed by reason of damage to property located on the leased premises."
Shortly after taking possession of the space in September 2019, the plaintiff claimed she became ill and subsequently discovered the presence of mold in the heating, ventilation, and air conditioning ducts. In October 2022, she sued the hotel's owner and manager, asserting a host of claims including negligence, fraud - negligent and intentional misrepresentation, negligent infliction of emotional distress, breach of contract, breach of covenant of quiet enjoyment, private nuisance, and unfair business practices.
Reprinted courtesy of Lewis Brisbois
Read the full story…
|
New CDC Research Shows Construction Workers Are Dying by Suicide at an Alarming Rate
|
Today marks 14 years since his first day as a solo practitioner of construction law at The Law Office of Christopher G. Hill, PC.
Fourteen Years as a Solo!
Monday, July 8, 2024
—
Christopher G. Hill - Construction Law Musings
I have always found it appropriate that my jump to solo practice and Independence Day are so close in time. Today marks 14 years since my first day as a solo practitioner of construction law at The Law Office of Christopher G. Hill, PC. Time sure has flown by thanks to the great clients and friends who followed me to solo practice and whom I have met since the firm’s founding on July 1, 2010. I also could not have made the transition and had the fun and success I have enjoyed over the past 14 years without the support of the best wife and family that any construction lawyer could want.
Since the firm’s last anniversary, my youngest child (who was 7 when this journey began!) started and completed her junior year at N. C. State University and is currently in Idaho working as an intern for Idaho Fish & Game, my second oldest is an assistant director of admissions at Appalachian State University in Boone, NC, and is newly married, and my oldest has bought a home, adopted an adorable golden retriever puppy, and celebrated her third marriage anniversary. Our home in Captiva, Florida has also continued its recovery from Hurricane Ian.
Professionally, I’ve had a great year. I am serving as the Vice Chair of the Section Council of the Virginia Bar Association Construction and Public Contracts Law section. I was also honored to be nominated and elected to the Virginia Legal Elite in Construction Law for the 17th straight year and to the Virginia Super Lawyers in Construction Litigation for the 8th year running. I also continued to have the opportunity to teach in various construction-related venues on relevant topics and to help out some of the best clients around. I have also continued to grow my ADR practice, including arbitration and mediation.
Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com
Read the full story…
The US Securities and Exchange Commission recently charged the founder of an AI hiring startup with fraud.
The Hunton Policyholder’s Guide to Artificial Intelligence: SEC’s Recent AI-Washing Claims Present D&O Risks, Potential Coverage Challenges
Monday, July 8, 2024
—
Geoffrey B. Fehling, Michael S. Levine & Alex D. Pappas - Hunton Insurance Recovery Blog
We have previewed in prior posts the ways artificial intelligence is rapidly changing the way business operate, including the many ways AI has influenced the insurance market, creating both opportunities and risks for policyholders. We later highlighted, based on a recent securities lawsuit, how corporate management may be at risk for the alleged use or misuse of AI and how companies should evaluate their directors and officers (D&O) and management liability policies to ensure that they are prepared to respond to and mitigate AI-driven risks, including claims alleging that a company or its officers and directors made misrepresentations about AI.
That potential risk now has regulatory teeth, as the US Securities and Exchange Commission recently charged the founder of an AI hiring startup with fraud based on claims about using AI to help clients find diverse and underrepresented candidates to fulfill diversity, equity, and inclusion hiring goals.
Reprinted courtesy of Geoffrey B. Fehling, Hunton Andrews Kurth, Michael S. Levine, Hunton Andrews Kurth and Alex D. Pappas, Hunton Andrews Kurth
Mr. Fehling may be contacted at gfehling@HuntonAK.com
Mr. Levine may be contacted at mlevine@HuntonAK.com
Mr. Pappas may be contacted at apappas@HuntonAK.com
Read the full story…
The fire started on July 4, 2024 and had burned more than 790 acres of State and private land.
FEMA Fire Management Assistance Granted for the French Fire
Monday, July 8, 2024
—
The Federal Emergency Management Agency
OAKLAND, Calif. – The Federal Emergency Management Agency's (FEMA) Region 9 Administrator authorized the use of federal funds on July 4 at 11:37 p.m. PDT / 2:37 a.m. EDT to assist the state of California to combat the French Fire burning in Mariposa County.
On July 4, the state of California submitted a request for a Fire Management Assistance Grant (FMAG). At the time of the request, the fire threatened approximately 1,019 homes in and around Mariposa, CA, population 1,300. 95% of the threatened homes are primary residences and 5% are secondary residences.
The fire started on July 4, 2024 and had burned more than 790 acres of State and private land. The fire was 0% contained. There are five large fires burning uncontrolled within the State.
FMAGs provide federal funding for up to 75 percent of eligible firefighting costs. The Disaster Relief Fund provides allowances for FMAGs through FEMA to assist in fighting fires that threaten to become a greater incident.
Eligible costs covered by FMAGs can include expenses for field camps, equipment use, materials, supplies and mobilization, and demobilization activities attributed to fighting the fire.
For more information on FMAGs, visit https://www.fema.gov/assistance/public/fire-management-assistance.
Researchers at Princeton University are devising ways to transform green spaces into outdoor cooling centers.
How to Cool Down Parks in Hot Cities
Monday, July 8, 2024
—
Todd Woody - Bloomberg
The drive to be outside, even in hot weather, is hard to overcome. People without air conditioning would be more likely to seek relief at their local park, according to Elie Bou-Zeid, a professor of civil and environmental engineering at Princeton, than at a government building where they can feel like climate refugees. “It’ll certainly be more pleasant to be in a park than in some indoor stadium where nobody wants to go,” he says. The scientists are combining inexpensive technologies, some novel, some already in use, that they plan to test first in New Jersey for deployment in hot spots like Phoenix.
Kirigami
The art of cutting and folding paper, kirigami is inspiring researchers to design structures that control wind in specific ways. A kirigami structure made from fabric and placed over misters could regulate wind speed to maximize cooling. Or it could form the roof of a pavilion, steering air into the structure.
Misters
They spray small water droplets that quickly evaporate, cooling the air. But the effectiveness of misters, which have long been used in cities such as Las Vegas and Phoenix, depends on wind speed. If there’s too little wind, the droplets won’t all evaporate; too much wind and the cooling effects dissipate.
Reprinted courtesy of Todd Woody, Bloomberg
Read the full story…
|
|
|
|
