Fairfield Connecticut Building Expert Directory

Surety’s Several Liability Under Bonds

March 20, 2023 — David Adelstein - Florida Construction Legal Updates
When a payment or performance bond is issued on behalf of its bond-principal, the surety is jointly and severally liable with its bond-principal. This means the surety has several liability under the bond, i.e., you don’t need to pursue the principal of the bond to pursue liability under the bond, which is a separate written intrument. Thus, if you are claiming damages of $500,000, by way of example, you can sue both the principal and surety under the bond, you can ONLY sue the principal under the bond (which is rarely practical), or you can ONLY sue the surety under the bond (which, oftentimes, is very practical). In many instances where I am pursuing a bond claim on behalf of a client, particularly a payment bond claim, I only sue the surety and do not sue the bond-principal unless there are certain strategic reasons in doing so. This is because of the surety’s several liability under the bond and there may be solvency issues with the principal or contractual reasons that, strategically, make much more sense to exclude the principal from the action. In MJM Electric, Inc. v. National Union Fire Ins. Co. of Pittsburgh, PA, 2023 WL 2163087 (M.D.Fla. 2023), an electrical subcontractor was hired to perform electrical work by the prime contractor. The prime contractor had a payment bond. The project was delayed for two years. The electrical subcontractor claimed the prime contractor failed to compensate it for significant delays and out of scope work. 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

4 Breakthrough Panama Canal Engineering Innovations

October 11, 2017 — Hobbes S. Sujith - Construction Informer
Through the rainforest of Central America stretches one of the seven wonders of the modern world. It’s the mother of all shortcuts – the Panama Canal. Over 300 million tons of cargo pass through its gates every year. Stretching through the heart of the Americans, this canal has changed the face of global trade. Ships traveling between the Atlantic and Pacific used to sail thousands of kilometers around Cape Horn. So in 1879 engineers planned to cut a channel through the Isthmus of Panama. And that, was going to become the history of Panama Canal engineering. To understand how the Panama Canal can carry such a huge amount of cargo, we need to travel back in time to 17th century France. There, engineers building the Briare Canal (Canal de Briare) faced an big problem. How to make water flow up a hill? Read the court decision
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Reprinted courtesy of Hobbes S. Sujith, Construction Informer

A Duty to Design and Maintain Reasonably Safe Roadways Extends to All Persons. (WA)

February 25, 2014 — Natasha Khachatourians – Scheer & Zehnder LLP Liability Newsletter
Case: Lowman v. Wilbur, et al., 178 Wn.2d 165, 309 P.3d 3.87 (2013). Issue: If a passenger’s injuries are in fact caused by the placement of a utility pole too close to a roadway, can the injuries be deemed too remote for purposes of legal causation? NO. Facts: Plaintiff was a passenger in a vehicle that lost control and collided with a utility pole that was 4.47 feet from the edge of the roadway. The vehicle’s driver was under the influence of alcohol. Plaintiff sued the driver as well as the utility company and Skagit County for negligence. The trial court granted the utility company and Skagit County’s summary judgment motion, finding that the negligent placement of the utility pole was not a legal cause of plaintiff’s injuries. The issue before the Supreme Court was whether a negligently placed utility pole could be the legal cause of a resulting injury. Read the court decision
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Reprinted courtesy of Natasha Khachatourians, Scheer & Zehnder LLP
Ms. Khachatourians may be contacted at natashak@scheerlaw.com

Citigroup Pays Record $697 Million for Hong Kong Office Tower

June 18, 2014 — Michelle Yun – Bloomberg
Citigroup Inc. (C) paid a record HK$5.4 billion ($697 million) to a unit of Wheelock & Co. for a Hong Kong office tower that will bring most of its 5,000 employees under one roof. The price for the 512,000 square-foot property in Kowloon is the largest ever office transaction in Hong Kong, the New York-based bank said in a statement yesterday. The tower, scheduled for completion by the end of 2015, will be used to house staff currently spread out across offices in the city, said Weber Lo, the bank’s chief executive officer for Hong Kong and Macau. Citigroup joins banks and insurers in buying buildings in the city as falling vacancies pose a challenge for companies looking for large office spaces, realtor CBRE Group Inc., which advised the deal, said in a first-quarter review report. Read the court decision
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Reprinted courtesy of Michelle Yun, Bloomberg
Ms. Yun may be contacted at myun11@bloomberg.net

General Release of Contractor Upheld Despite Knowledge of Construction Defects

February 27, 2019 — Garret Murai - California Construction Law Blog
Ah, the elusive Lepus Cornutus, commonly known as the Jackalope. Rarely seen, we may have one in SI 59 LLC v. Variel Warner Ventures, LLC, Court of Appeals for the Second District, Case No. B285086 (November 15, 2018), an interesting case involving a developer, a contractor, a general release, and Civil Code section 1688. SI 59 LLC v. Variel Warner Ventures, LLC In 2005, Variel Warner Ventures, LLC (Variel Warner) entered into a construction contract with Verdugo Management & Investment, Inc. (Verdugo) to construct improvements at an 85 unit apartment complex. Under the terms of the contract, Verdugo agreed to construction the improvements in a good and workmanlike manner in strict compliance with all drawings and specifications and to comply with all laws. It didn’t. The work was defectively flashed, counterflashed, and waterproofed. Read the court decision
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Reprinted courtesy of Garret Murai, Wendel Rosen
Mr. Murai may be contacted at gmurai@wendel.com

Appellate Team Secures Victory in North Carolina Governmental Immunity Personal Injury Matter

January 23, 2023 — Sam Friedman & Christopher Meeks - Lewis Brisbois
Atlanta, Ga. (January 12, 2023) - Atlanta Appellate Partners Seth M. Friedman and Christopher Meeks obtained a significant appellate win on behalf of a city in North Carolina when the North Carolina Court of Appeals reversed the trial court’s denial of the city’s motion for summary judgment. In the underlying case, Lewis Brisbois’ client was sued for injuries that occurred during the construction of a dog park. The city moved for summary judgment on the grounds that it was immune from suit under the doctrine of governmental immunity. The trial court denied the motion and held that the city waived its governmental immunity through the purchase of a liability insurance policy. Lewis Brisbois was subsequently retained to handle the appeal. Before the North Carolina Court of Appeals, Lewis Brisbois argued, on behalf of its client, that well-established North Carolina law, along with a particular provision in the city’s insurance policy, rendered the city immune from the plaintiff’s claims. The appellate court agreed, holding that the city was immune from all liability and entitled to summary judgment on all of the plaintiff’s claims. The court's full opinion can be read here. Reprinted courtesy of Sam Friedman, Lewis Brisbois and Christopher Meeks, Lewis Brisbois Mr. Friedman may be contacted at Seth.Friedman@lewisbrisbois.com Mr. Meeks may be contacted at Christopher.Meeks@lewisbrisbois.com Read the court decision
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Malerie Anderson Named to D Magazine’s 2023 Best Lawyers Under 40

January 17, 2023 — Malerie Anderson - Lewis Brisbois Newsroom
Dallas, Texas (January 12, 2023) - Dallas Partner Malerie T. Anderson has been named to D Magazine’s 2023 Best Lawyers Under 40 list for Business/Commercial Litigation. This is her second year appearing on this list. According to D Magazine, the attorneys on its Best Lawyers Under 40 list are representative of up-and-coming attorneys in Dallas, who are nominated by their peers outside their own firm. The magazine asks nominating lawyers to think about “which lawyers under 40, of those whose work you have witnessed firsthand, would you rank among the current best?” Ms. Anderson regularly advises business entities, real estate brokers, and licensed real estate agents to prevent litigation and defends against claims of all kinds, including breach of fiduciary duty and breach of contract claims. Her experience handling various disputes has led her to work closely with clients to develop and implement procedures to avoid future litigation. Read the court decision
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Reprinted courtesy of Malerie Anderson, Lewis Brisbois
Ms. Anderson may be contacted at Malerie.Anderson@lewisbrisbois.com

U.S. Judge Says Wal-Mart Must Face Mexican-Bribe Claims

October 01, 2014 — Jef Feeley – Bloomberg
Wal-Mart Stores Inc. (WMT) was ordered by a federal judge in Arkansas to face a pension fund’s claims the retailer defrauded shareholders by concealing corruption tied to bribes allegedly paid by officials of its Mexican unit. U.S. District Judge Susan Hickey in Fayetteville rejected Wal-Mart’s bid to throw out the Michigan-based fund’s lawsuit accusing it of making misleading statements to regulators about claims it paid bribes to facilitate Mexican real-estate deals. The world’s largest retailer has said it’s spent $439 million since 2012 in connection with investigations into allegations that employees paid bribes in Mexico, China, India and Brazil. Both U.S. and Mexican prosecutors have said they are probing whether executives of Wal-Mart’s Mexican unit were paying off local officials to clear the way for construction of new stores and warehouses. Read the court decision
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Reprinted courtesy of Jef Feeley, Bloomberg
Mr. Feeley may be contacted at jfeeley@bloomberg.net

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