A License to Sue: Appellate Court Upholds Condition of Statute that a Contracting Party Must Hold a Valid Contractor’s License to Pursue Action for Recovery of Payment for Contracting Services
June 21, 2017 —
Omar Parra & Jesse M. Sullivan - Haight Brown & Bonesteel LLPCalifornia Business & Professions Code section 7031(a) requires a party to have contractor’s license in order to maintain an action for compensation for services performed for which a contractor’s license is needed. In Phoenix Mechanical Pipeline, Inc. v. Space Exploration Technologies Corp., No. B269186 (2017 WL 2544856) (Cal. Ct. App. June 13, 2017), the Court of Appeal for the Second Appellate District considered the scope of this statute in denying, in part, Phoenix Mechanical Pipeline, Inc.’s (“Phoenix Pipeline”) appeal of a trial court ruling granting Space Exploration Technologies Corporation’s (“SpaceX”) demurrer to Phoenix Pipeline’s second amended complaint, without leave to amend.
Phoenix Pipeline filed the underlying lawsuit for, among other claims, breach of contract and breach of the duty of good faith and fair dealing arising from an agreement with SpaceX for Phoenix Pipeline to perform various plumbing, concrete removal and electrical services. Phoenix Pipeline alleged SpaceX paid for such services from 2010 to October 2013, but failed to pay Phoenix for services performed from October 2013 to August 2014, totaling just over $1,000,000. According to Phoenix Pipeline, this work was performed pursuant to a series of invoices, which constituted individual agreements between SpaceX and Phoenix Pipeline.
Reprinted courtesy of
Omar Parra, Haight Brown & Bonesteel LLP and
Jesse M. Sullivan, Haight Brown & Bonesteel LLP
Mr. Parra may be contacted at oparra@hbblaw.com
Mr. Sullivan may be contacted at jsullivan@hbblaw.com
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Panama Weighs Another Canal Expansion at Centennial Mark
August 20, 2014 —
Michael McDonald – BloombergA century after the U.S. steamship Ancon first sailed through the Panama Canal, a $5.3 billion expansion delayed by bickering contractors and angry workers is nearing completion. The problem is it might not be big enough.
With the expansion 16 months behind schedule, canal administrator Jorge Quijano said officials are studying whether to dig a fourth set of locks to handle a growing fleet of super-sized ships. Those include the 400-meter-long “Triple E” vessels capable of carrying more than 18,000 containers, four times more than current ships passing through the canal.
“We are always analyzing the market and as soon as we can economically justify it we will begin,” said Manuel Benitez, deputy administrator of the Panama Canal Authority, adding that he thinks the current expansion is sufficient for now. “If that changes and the demand exists we are ready to begin.”
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Michael McDonald, BloombergMr. McDonald may be contacted at
mmcdonald87@bloomberg.net
Construction Bidding for Success
May 22, 2023 —
The Hartford Staff - The Hartford InsightsWhen construction companies develop a history of successful projects, they often consider bidding on larger projects. However, larger projects can carry greater risks.
If your company has successfully completed numerous $10 million projects and is considering a bid on a $100 million project, there are several factors to consider before submitting a proposal. That is because bidding on the wrong project could potentially put you out of business.
“When a contractor bids a larger project, there is a greater financial risk,” says Tim Holicky, a senior executive underwriter at The Hartford. There are more subcontractors to manage and additional materials to purchase, which all leads to greater financial risk.
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The Hartford Staff, The Hartford Insights
Coronavirus Is Starting to Slow the Solar Energy Revolution
March 09, 2020 —
Bloomberg NewsThe coronavirus outbreak is threatening to slow the global solar-energy revolution as it cuts the supply of key equipment for solar and wind farms in China and beyond.
As cases of the disease mounted over the past week, manufacturers including Trina Solar Ltd. sounded the alarm over production delays while developers like Manila Electric Co. in the Philippines said projects would be held up.
“If the virus outbreak lasts beyond the first quarter and spreads to more geographies, as is currently happening in Korea and Italy, then it may very well slow down global renewable energy deployment,” said Ali Izadi-Najafabadi, head of analysis in Asia for BloombergNEF which has downgraded its outlook for installations this year.
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Bloomberg
Congratulations to BWB&O’s Los Angeles Office on Another Successful MSJ!
July 11, 2022 —
Dolores Montoya - Bremer Whyte Brown & O'Meara LLPBremer Whyte Brown & O’Meara, LLP is proud to announce Partner Daniel Crespo and Associate Stefon Jackson successfully argued and won a Motion for Summary Judgment (“MSJ”) for our client, a property owner of an apartment complex.
Plaintiff was involved in a physical altercation with one of the tenants at an apartment complex owned by our client. Plaintiff alleged that our client had notice of a propensity for violence claiming that there were prior instances of contentious interactions between this particular tenant and Plaintiff. As a result, Plaintiff alleged that our client had a duty to prevent further interactions between Plaintiff and the tenant presuming that an act of physical violence was reasonably foreseeable.
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Dolores Montoya, Bremer Whyte Brown & O'Meara LLP
KONE is Shaking Up the Industry with BIM
January 20, 2020 —
Aarni Heiskanen - AEC BusinessKONE supplies elevators, escalators, autowalks and maintenance and modernization solutions. I sat down with Kenneth Flannigan to discuss how BIM is changing KONE and what it means to the industry.
KONE operates in over 60 countries, has around 1.3 million units in service, and moves over one billion people per day. The company’s mission is “to improve the flow of urban life.” Kenneth Flannigan is the BIM Solution Owner for the company. He acknowledges that even though KONE provides equipment and software innovation, in this day and age that’s not enough.
“We’re a critical path item. How innovative are we if we’re not working on every single project in a shared 3D environment, like our customers?” Flannigan asks.
KONE serves both indirect and paying customers. It works with influencers like architects and with general contractors, builders, and construction managers. It also has a life-cycle relationship with building owners, which is evidenced by the fact that over 30% of the company’s sales come from maintenance.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
Yet ANOTHER Reminder to Always Respond
July 11, 2021 —
Christopher G. Hill - Construction Law MusingsYou would think I wouldn’t have to discuss the absolute need to respond to any served pleadings, particularly after some of the prior examples of what can happen if you fail to respond. Of course, I wouldn’t be starting a post like this if those that were sued contacted an experienced attorney in a timely fashion and followed this advice.
Yet another example of the disastrous results that can occur simply from failing to file responsive pleadings occurred last year in the Eastern District of Virginia federal court in Alexandria, VA. In Pro-Telligent, LLC v. Amex Int’l, Inc. the Court considered a claim for breach of contract (among other causes of action) by Pro-Telligent against Amex. The operative facts are that Pro-Telligent was a subcontractor to Amex that claimed it was unpaid in the amount of $279,660.27, its Complaint was served on January 7, 2021, and Amex did not respond within the required 21-day window. The Court then held a hearing on February 28, 2020, regarding the validity of the Clerk of Court’s entry of default per the rules of court.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
EPA Issues Interpretive Statement on Application of NPDES Permit System to Releases of Pollutants to Groundwater
May 27, 2019 —
Anthony B. Cavender - Gravel2GavelOn Tuesday, April 23, 2019, in a development of interest to practically anyone who operates a plant or business, EPA published its Interpretive Statement in the Federal Register. (See 84 FR 16810 (April 23, 2019).) After considering the thousands of comments it received in response to a February 20, 2018, Federal Register notice, EPA has concluded that “the Clean Water Act (CWA) is best read as excluding all releases of pollutants from a point source to groundwater from a point source from NPDES program coverage, regardless of a hydrological connection between the groundwater and jurisdictional surface water.”
Acknowledging that its past public statements have not been especially consistent or unambiguous on this important matter, EPA states that this interpretation “is the best, if not the only reading of the CWA, is more consistent with Congress’ intent than other interpretations of the Act, and best addresses the question of NPDES permit program applicability for pollutant releases to groundwater within the authority of the CWA.” Indeed, the absence of “a dedicated statement on the best reading of the CWA has generated confusion in the courts, and uncertainly for EPA regional offices and states implementing the NPDES program, regulated entities, and the public.” The recent and contrary interpretations of this issue by the Ninth Circuit (Hawaii Wildlife Fund v. County of Maui, 886 F.3d 737) and the Fourth Circuit (Upstate Forever v. Kinder Morgan Energy Partners, LP, 887 F.3d 637) will be reviewed by the U.S. Supreme Court, which will now have the benefit of the agency’s official position. In addition, EPA discloses that it will be soliciting additional public “input” on how it can best provide the regulated community with “further clarity and regulatory certainly”; these comments will be due within 45 days (June 7, 2019).
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Anthony B. Cavender, PillsburyMr. Cavender may be contacted at
anthony.cavender@pillsburylaw.com