Legislative Update on Bills of Note (Updated Post-Adjournment)
March 27, 2019 —
Christopher G. Hill - Construction Law MusingsIn two prior posts, one specifically relating to a bill that was introduced to apply a statute of limitatons on state agencies for construction projects and one more general, I discussed some of the legislation pending in the Virginia General Assembly that could be of interest to construction professionals.
This post will update the status of these bills and add one that I neglected to highlight in the prior posts. I’ll begin with the oversight.
HB 2218 Makes the unlawful and unlicensed practice of contracting, real estate brokering, or real estate sales, in connection with a consumer transaction, unlawful under the Virginia Consumer Protection Act. In short, it makes explicit what was implicit, namely that contractors that perform work without a license are in violation of the VCPA. This bill has passed the house by unanimous vote and is in committee at the Senate.
UPDATE– As of February 20, 2019, this bill has passed both houses, all that is left is the paperwork. Post Adjournment Update: This bill passed and awaits Governor’s signature.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Colorado Legislative Update: HB 20-1155, HB 20-1290, and HB 20-1348
August 03, 2020 —
Jean Meyer - Colorado Construction LitigationThis year’s Colorado State Legislative session was cut short. However, in the period of time Colorado’s Legislature was in session, it passed and evaluated important legislation for Colorado homebuilders. This article highlights relevant legislation for Colorado homebuilders.
1. HB 20-1155
This Bill creates new requirements on new homebuilders to offer renewable energy systems to the buyer of a new home. Specifically, the Bill requires homebuilders to offer each of the following:
- A solar panel system, a solar thermal system, or both;
- Prewiring or pre-plumbing for the above solar systems; and,
- A chase or conduit for future installation of such systems.
The Bill further requires Colorado homebuilders to offer homebuyers one of the following:
- An electric vehicle charging system;
- Prewiring for the future installation for such a system; or,
- A plug-in receptacle in a place accessible to a vehicle parking area.
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Jean Meyer, Higgins, Hopkins, McLain & Roswell, LLCMr. Meyer may be contacted at
meyer@hhmrlaw.com
Know your Obligations: Colorado’s Statutory Expansions of the Implied Warranty of Habitability Are Now in Effect
November 04, 2019 —
Luke Mecklenburg - Snell & Wilmer Real Estate Litigation BlogThe Colorado legislature had a busy session this year. Among the several significant bills it enacted, HB1170 strengthens tenant protections under the implied warranty of habitability. It became effective on August 2, 2019, so landlords and tenants alike are now subject to its requirements.
The bill makes numerous changes to Colorado’s implied warranty of habitability, and interested parties should review the bill in detail. Landlords in particular may want to consider retaining legal counsel to make sure they have proper procedures in place to promptly deal with any habitability complaints within the new required timelines. This posting is not intended to provide a comprehensive guide to the changed law, but simply to highlight some of the most significant changes.
With that caveat, landlords and tenants should be aware that as of August 2, 2019:
- The following conditions are now deemed to make a residential residence uninhabitable for the purposes of the implied warranty of habitability:
- The presence of mold, which is defined as “microscopic organisms or fungi that can grow in damp conditions in the interior of a building.”
- A refrigerator, range stove, or oven (“Appliance”) included within a residential premises by a landlord for the use of the tenant that did not conform “to applicable law at the time of installation” or that is not “maintained in good working order.” Nothing in this statute requires a landlord to provide any appliances, but these requirements apply if the landlord either agreed to provide appliances in a written agreement or provided them at the inception of the tenant’s occupancy.
- Other conditions that “materially interfere with the tenant’s life, health or safety.”
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Reprinted courtesy of Luke Mcklenburg, Snell & Wilmer
Mr. Mecklenburg may be contacted at lmecklenburg@swlaw.com
Around the State
March 27, 2019 — Richard Glucksman & Chelsea Zwart – Construction Claims Magazine
In late 2018, Governor Jerry Brown signed two potentially impactful Senate bills relating to the construction of apartment buildings. These bills, discussed further below, were introduced, in part, in response to the Berkeley balcony collapse in June 2015, which was determined by the California Contractors State License Board to have been caused by the failure of severely rotted structural support joists—the repairs of which were deferred by the property manager despite indications of water damage.
In addition, 2018 saw the passage of California’s updated 2019 Building Energy Efficiency Standards. The new standards, which take effect in 2020, require, in part, the installation of solar systems on certain homes. The goal of the standards is to significantly decrease the energy usage in new homes while contributing to California’s greenhouse gas emissions reduction plans. Relatedly, new legislation, effective in 2019, aims to increase consumer protections for homeowners purchasing solar energy systems.
Reprinted courtesy of Richard H. Glucksman, Chapman, Glucksman, Dean, Roeb & Barger and Chelsea Zwart, Chapman, Glucksman, Dean, Roeb & Barger
Mr. Glucksman may be contacted at rglucksman@cgdrblaw.com
Ms. Zwart may be contacted at czwart@cgdrblaw.com
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Does a Contractor (or Subcontractor) Have to Complete its Work to File a Mechanics Lien
January 10, 2018 — Wally Zimolong - Zimolong LLC
Yes. There seems to be common misconception that a contractor, subcontractor, or supplier, has six months from its last day of work on the project to file a mechanics lien. I frequently see mechanics liens whereby the claimant states “Claimants last day of work on the project was X.” However, Section 1502 (49 P.S. Section 1502) of the Pennsylvania Mechanics Lien is clear that a lien must be filed within six month of “the completion of his work.” Under the Lien Law, “completion of the work” is a defined term and means “means performance of the last of the labor or delivery of the last of the materials required by the terms of the claimant’s contract or agreement, whichever last occurs.” Read the court decision
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Reprinted courtesy of Wally Zimolong, Zimolong LLC
Mr. Zimolong may be contacted at wally@zimolonglaw.com
The Requirement to Post Collateral Under General Agreement of Indemnity Is Real
May 16, 2022 — David Adelstein - Florida Construction Legal Updates
In prior postings, I have discussed the all-powerful General Agreement of Indemnity (click here and here). This is the document a bond-principal executes to obtain bonds (e.g., performance and payment bonds). Not only does the bond-principal execute this General Agreement of Indemnity, but typically, so do other indemnitors such as the company’s principals and their spouses, other related companies, etc. The objective is that the surety has financial comfort that if a claim is made against the bond, there are avenues where it will get reimbursed and indemnified for any cost it incurs, or payment it makes, relative to that claim against the bond. When a surety issues bonds, the objective is that all losses it incurs gets reimbursed because the bonds are NOT insurance policies.
One of the powerful tools the surety can exercise in the General Agreement of Indemnity is to demand the bond-principal and other indemnitors to post collateral in an amount the surety deems sufficient to cover any losses it may incur. This is a right in any General Agreement of Indemnity I have seen and is a right the surety can rightfully exercise.
A recent example is shown from the opinion in Philadelphia Indemnity Ins. Co. v. Quinco Electrical, Inc., 2022 WL 1230110 (M.D.Fla. 2022), which pertains to the surety’s motion for preliminary injunction. Read the court decision
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Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com
The Great Skyscraper Comeback Skips North America
February 05, 2015 — Patrick Clark – Bloomberg
Tall buildings are back. Developers around the globe completed a record 97 buildings of at least 200 meters (656 feet) in height in 2014, according to a new report from the Council on Tall Buildings and Urban Habitat, as size-obsessed builders got back on a growth track after a two-year skyscraper dip.
It’s not hard to explain the pattern. A typical skyscraper takes two to four years to finish, says report co-author Daniel Safarik. Work back from the year of completion, and the global financial crisis looks like an easy explanation for the drop-off in tall buildings. If you thought it was hard to get a home loan in 2009, imagine asking bankers to finance a gravity-and-wind-defying symbol of luxury, industry, and capitalist will. Especially, as Bloomberg Businessweek’s Bryant Urstadt pointed out, since supertall buildings are notorious for being hard to fill with tenants. (It’s worth noting that “tall” isn’t a technical term, though “supertall,” which is used to describe buildings more than 300 meters tall, is. And construction schedules vary. The Ryugyong Hotel in Pyongyang, North Korea, planned for 330 meters, has been under construction for 28 years, according to a CTBUH report last year.)
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Affordable Harlem Housing Allegedly Riddled with Construction Defects
July 09, 2014 — Beverley BevenFlorez-CDJ STAFF
A family in Harlem, New York has demanded that Abyssinian Development Corporation pay $250,000 to fix the construction defects in their newly-purchased townhouse, according to The Daily News.
Allegedly, “[i]nterior walls, bamboo-tiled floors and windowsills began to crack shortly after they moved in, and an improperly installed gas boiler system” stopped working, while “rain has caused cellar walls to deteriorate.”
The townhouse is part of the “Harlem Village Homes II initiative that offers affordable houses in Harlem to those making below $130,000.” Read the court decision
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