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    Fairfield, CT 06824

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    New Addition to the ASCE/SEI 7-22 Standard Protects Buildings from a 500-year Flood Event

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    Mechanic’s Liens and Leases Don’t Often Mix Well

    May 03, 2021 —
    As those who read my “musings” here at this construction law blog are well aware, the topic of Virginia mechanic’s liens is one that is much discussed. From the basic statutory requirements to the more technical aspects of these tricky beasts. One aspect of mechanic’s liens that I have yet to discuss in detail it how these liens attach in the situation where the contractor does work for a lessee and not for the owner of the underlying fee interest in the property. A recent case out of the Western District of Virginia federal court, McCarthy Building Companies Inc. v. TPE Virginia Land Holdings LLC, discusses the interaction of Va. Code 43-20, work on a leasehold, and parties necessary to any litigation relating to a lien for the work on that leasehold. The basic facts, outlined more thoroughly in the linked opinion, are these. MBC provided certain work to TPE Kentuck Solar, LLC on property leased from TPE Virginia Land Holdings, LLC. The lease was for a fixed term and for a fixed amount regardless of the work performed at the property. MBC was unpaid by the Kentuck entity and then recorded a lien on the property and then sued to enforce that lien and for unjust enrichment against TPE Land Holdings. TPE Land Holding filed a motion to dismiss the mechanic’s lien and unjust enrichment counts. Read the court decision
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    Reprinted courtesy of The Law Office of Christopher G. Hill
    Mr. Hill may be contacted at chrisghill@constructionlawva.com

    The Cross-Party Exclusion: The Hazards of Additional Named Insured Provisions

    July 19, 2021 —
    Most construction contracts contain insurance provisions setting forth the insurance required of the contractor or other downstream parties. Some provisions are detailed and lengthy while others are short and sweet, but all are of critical importance and should be fully understood by the contractor before signing the contract. Also, every insured should understand not only what the contract requires but more importantly what the actual policy states, as the policy, not the contract, will govern whether or not there is coverage. It is possible that certificates received will match the contractual requirements, but much of what the policy covers is not reflected on a certificate. Lurking behind the certificate is the policy, which is where the actual coverage lies. The endorsements or exclusions to the policy can make the certificates worthless pieces of paper. There are many exclusions that can cancel coverage for the work a contractor may perform. Height exclusions, residential exclusions, EFIS exclusions and many more, focus on the type of work or materials that the contractor is performing or using. One exclusion, however, focuses on who is insured and that exclusion alone can eliminate all coverage. Read the court decision
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    Reprinted courtesy of Laurie A. Stanziale, Fox Rothschild LLP (ConsensusDocs)
    Ms. Stanziale may be contacted at lstanziale@foxrothschild.com

    New OSHA Vaccination Requirements For Employers With 100 Or More Employees (And Additional Advice for California Employers)

    November 19, 2021 —
    Update 11.8.21: On Nov. 6, 2021, the United States Court of Appeals for the Fifth Circuit granted a stay of the OSHA ETS, stating that the OSHA ETS may have “grave statutory and constitutional issues.” The stay is not a final ruling on the validity of the ETS but temporarily halts its implementation nationwide. OSHA has until Nov. 8, 2021 at 5:00 PM to respond and the petitioners have until Nov. 9, 2021 at 5:00 PM to reply to OSHA’s response. The Fifth Circuit will then issue its ruling likely late this week or early next week. On Sept. 9, 2021, President Joe Biden announced his COVID-19 Action Plan. The Action Plan called on the Department of Labor’s Occupational Safety and Health Administration (“OSHA”) to develop a rule requiring all employers with 100 or more employees to ensure their workforce is fully vaccinated or require any workers who remain unvaccinated to produce a negative test result on at least a weekly basis before coming to work. On Nov. 4, 2021, OSHA released the rule in the form of an Emergency Temporary Standards (“OSHA ETS”). Here are ten things you need to know about the OSHA ETS:
    • How To Count To 100: (1) The applicable number is the total number of employees employed on November 5, 2021—this is the headcount that will be used for the duration of the OSHA ETS. (2) The count must be done at the employer level not the individual location level. (3) Part-time employees do count towards the total number of employees. (4) Employees who work from home do count towards the total number of employees. (5) Independent contractors do not count towards the total number of employee.
    Reprinted courtesy of Laura Fleming, Payne & Fears and Rana Ayazi, Payne & Fears Ms. Fleming may be contacted at lf@paynefears.com Ms. Ayazi may be contacted at ra@paynefears.com Read the court decision
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    Reprinted courtesy of

    What Lies Beneath

    April 10, 2023 —
    Industry experts call it the “Wild Wild West,” and it certainly could be considered a new frontier: private utility locating. While public utility locating is familiar territory, private utility locating is decidedly newer—and already changing rapidly. Public or private, utility location is imperative to safe and cost-effective construction. Hidden utilities can lead to damage, driving up costs and causing unexpected project delays. They can also be dangerous to both workers and the public, causing injuries and even deaths. The Common Ground Alliance’s 2021 DIRT Report—which compiles information from CGA’s Damage Information Reporting Tool program—found that natural gas and telecommunications were the leading utilities damaged. DIRT received more than 230,000 reports on damages and near-misses in 2021. Clearly, the industry can do better. CALL BEFORE YOU DIG Utility location mapping in the United States began in earnest in the mid-20th century, according to GPRS, a private utility-mapping company that was founded in 2001. As postwar development shifted into high gear, the utility industries realized that power, water, gas, phone and other utilities were now being installed in the ground—and there needed to be a better system to prevent service disruptions and accidents. Reprinted courtesy of Grace Austin, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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    'There Was No Fighting This Fire,' California Survivor Says

    September 14, 2020 —
    Berry Creek, Calif. (AP) -- John Sykes built his life around his cabin in the dense woods of Northern California. He raised his two children there, expanded it and improved it over time and made it resilient to all kinds of disaster except fire. So when the winds started howling Tuesday and the skies became so dark from smoke that he had to turn on his lights at midday, he didn’t hesitate to leave it all behind in an instant before any evacuation order. With the disaster two years ago in nearby Paradise, in which 85 people perished in the deadliest and most destructive fire in modern state history, still fresh on his mind, Sykes got his wife and a friend into his car and left with only a change of clothes each. “All I could do is look in the rear view mirror and see orange sky and a mushroom cloud and that told me it was hot and to keep going,” Sykes said Friday. “It was a terrifying feeling.” Read the court decision
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    Reprinted courtesy of Bloomberg

    County Elects Not to Sue Over Construction Defect Claims

    June 18, 2014 —
    Even though repairs are expected to cost four million, the New Hanover County Board of Commissioners announced that they will not be pursuing litigation against Clancy and Theys Construction Company for their alleged construction defects of their work on the W. Allen Cobb Judicial Annex in North Carolina, according to Star News Online. “The board stated that taxpayer money would be better spent on the repairs than on a lengthy court case,” reported Star News Online. “But as a result of the faulty work, the board removed the company from its list of prequalified bidders and stated that it would not be eligible to work on other county construction projects.” Read the court decision
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    SCOTUS to Weigh Landowners' Damage Claim Against Texas DOT

    November 13, 2023 —
    The U.S. Supreme Court has agreed to hear a case this term that could affect whether states must pay compensation to landowners whose property was damaged by public project execution. Payments also could extend to state owned utilities and others. Reprinted courtesy of Mary B. Powers, Engineering News-Record ENR may be contacted at enr@enr.com Read the full story... Read the court decision
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    If You Don’t Like the PPP Now, Wait a Few Minutes…Major Changes to PPP Loan Program as Congress Passes Payroll Protection Program Flexibility Act

    July 27, 2020 —
    On June 5, 2020, President Trump signed into law the Payroll Protection Program Flexibility Act of 2020 (the Flexibility Act). The Flexibility Act provides much-needed flexibility for the Paycheck Protection Program (PPP) and its millions of business participants. The PPP offers loans to small businesses that have been adversely impacted by the COVID-19 pandemic and the measures taken by various governmental authorities to stem the spread of the virus so that they could keep their employees on the payroll during an eight-week period after receiving the funds. The PPP was particularly alluring to borrowers because the loans could be forgiven. But as the duration of lockdown orders and the accompanying economic aftershocks have extended longer than initially anticipated, particularly in those sectors that depend on in-person business such as restaurants, hospitality and other “main street” retail establishments, many recipients of PPP loans have found it challenging to use the PPP funds for payroll and other authorized purposes within the eight-week period after they had received the PPP funds, as is necessary to preserve eligibility for forgiveness. The Flexibility Act makes several key changes to the PPP program in order to allow borrowers who need a longer re-opening runway to do so without jeopardizing their ability to qualify for loan forgiveness. This alert outlines the key changes to the PPP made by the Flexibility Act. Reprinted courtesy of Ryan J. Udell, White and Williams LLP and Adam J. Chelminiak, White and Williams LLP Mr. Udell may be contacted at udellr@whiteandwilliams.com Mr. Chelminiak may be contacted at chelminiaka@whiteandwilliams.com; Read the court decision
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