Fairfield Connecticut Building Expert Directory

A Teaming Agreement is Still a Contract (or, Be Careful with Agreements to Agree)

November 18, 2019 — Christopher G. Hill - Construction Law Musings
I have discussed teaming agreements in this past here at Construction Law Musings. These agreements are most typically where one of two entities meets a contracting requirement but may not have the capacity to fulfill a contract on its own so brings in another entity to assist. However, these agreements are contracts and are treated as such here in Virginia with all of the law of contracts behind them. One illustrative case occurred here in Virginia and was decided by the Virginia Supreme Court. That case is CGI Fed. Inc. v. FCi Fed. Inc. While this is not strictly a “construction” case, it helps lay out some of the pitfalls of teaming agreements in general. In this case, the parties entered into a fairly typical small business (FCI) Big Business (CGI) teaming arrangement for the processing of visas for the State Department. The parties negotiated the workshare percentage (read payment percentage) should FCI get the work and the teaming agreement set out a framework for the negotiation of a subcontract between FCI, the proposed general contractor, and CGI, the proposed subcontractor. After a while working together, FCI submitted a proposal to the State Department and as part of the negotiations of this proposal, the work percentage for CGI was lowered in exchange for some management positions for CGI relative to the work by amendment to the original teaming agreement. However, one day later FCI submitted a proposal to the State Department that not only didn’t include the management positions, but further lowered CGI’s workshare. Read the court decision
Read the full story...
Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

Savannah Homeowners Win Sizable Judgment in Mold Case against HVAC Contractor

August 10, 2017 — David R. Cook Jr. - Autry, Hanrahan, Hall & Cook, LLP
Two Savannah homeowners filed a complaint against a local air conditioning contractor and its insurer, asserting claims of professional negligence and fraud. The couple alleged that in March 2009, the contractor replaced the duct system of their home’s air conditioning unit. The following June, the couple discovered mold growth on the vent covers. They hired an independent contractor who upon inspection concluded that the duct system, which contained holes, gaps, loose connections and insufficient mastic, had been defectively installed in violation of the applicable city ordinances, resulting in excessive moisture and mold contamination throughout the residence. The homeowners alleged that they grew ill with respiratory problems as a result and were subsequently forced to vacate the residence and abandon their personal belongings. Their complaint sought to recover repair costs, moving costs, expenses associated with rental property, costs of living, costs related to the replacement of personal property, medical expenses, punitive damages, attorney’s fees, and costs of litigation. Read the court decision
Read the full story...
Reprinted courtesy of David R. Cook, Autry, Hanrahan, Hall & Cook, LLP
Mr. Cook may be contacted at cook@ahclaw.com

Earth Movement Exclusion Bars Coverage

March 19, 2015 — Tred R. Eyerly – Insurance Law Hawaii
Damage to the YMCA recreation center was not covered due to application of the earth movement exclusion. YMCA of Pueblo v. Secura Ins. Co., 2015 U.S. Dist. Lexis 15249 (D. Colo. Feb. 6, 2015). On October 11, 2013, the insureds discovered a leaking water line in the men's shower, where one of the shower's on/off valves had detached from the water pipe behind the wall. The leak was repaired the same day. On October 13, 2013, the pool deck near the therapy pool and surrounding block walls shifted and collapsed. The insurer admitted there was damage to the property. Several leaks were discovered in the pipes under and near the therapy pool, and the pool lost several inches of water. Read the court decision
Read the full story...
Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Mortgage Bonds Stare Down End of Fed Easing as Gains Persist

October 29, 2014 — Jody Shenn – Bloomberg
The end of the Federal Reserve’s third round of bond purchases is proving to be a non-event for mortgage-backed debt. That’s partly because even though the U.S. central bank won’t be adding more home-loan securities to its balance sheet, policy makers will still be buying enough to prevent its holdings from shrinking. Those purchases are having a greater impact as the pace of net issuance slows to a quarter of the amount last year amid a weaker property market. The $5.4 trillion market for government-backed mortgage bonds is defying predictions for a slump tied to the wind-down of the Fed stimulus program, whose completion economists predict will be announced today. Yields on benchmark Fannie Mae (FNMA) notes have shrunk 0.14 percentage point this year relative to government debt, narrowing to within 1.09 percentage points of an average of five- and 10-year Treasury rates. Read the court decision
Read the full story...
Reprinted courtesy of Jody Shenn, Bloomberg
Ms. Shenn may be contacted at jshenn@bloomberg.net

#10 CDJ Topic: Carithers v. Mid-Continent Casualty Company

December 30, 2015 — Beverley BevenFlorez-CDJ STAFF
Craig Martin of Lamson Dugan and Murray, LLP on his Construction Contractor Advisor blog used the Carithers case to demonstrate how “[w]hen you are involved in construction litigation, you have battles on several fronts, including those against subcontractors, owners, insurers and the court. Shoring up your defenses on each of these fronts is imperative, or you may lose the battle or, worse yet, the war.” Martin discusses the various “battle fronts” including the “Claim Against Contractor,” “Where Are You Litigating,” “Claim Against Insurance Company,” and “Damages.” Read the full story... In the article, “Duty to Defend Construction Defect Case Affirmed, Duty to Indemnify Reversed In Part,” attorney Tred R. Eyerly also covered the Carithers case. Eyerly explained, “Determining whether there was coverage for the damages awarded required the court to decide which trigger applied. Examining the policy language, the court determined that property damage occurred when the damage happened, not when the damage was discovered or discoverable. Therefore, the district court did not err in applying the injury in fact trigger.” Read the full story... Read the court decision
Read the full story...
Reprinted courtesy of

Housing-Related Spending Made Up Significant Portion of GDP in Fourth Quarter 2013

March 31, 2014 — Beverley BevenFlorez-CDJ STAFF
On the Insights Blog of CoreLogic, Molly Boesel reported that “housing-related spending made up 17.4 percent of GDP in [the] fourth quarter [of] 2013,” according to the latest release by the Bureau of Economic Analysis. The numbers published by the Bureau of Economic Analysis demonstrated “upward revisions in overall GDP and housing-related expenditures from the second estimate released in February 2014.” Boesel explained how they determined the housing-related spending number: “To calculate the portion of domestic spending that is related to housing, we look at three expenditures from the release: residential investment (the construction of new single- and multi-family houses), spending on housing services (rent, owner’s equivalent rent and utilities) and spending on furnishings and durable goods. Together, these expenditures made up 17.4 percent of total real GDP in the fourth quarter of 2013, the same as this time a year ago and down from the high of 20.6 percent in the third quarter of 2005.” Read the court decision
Read the full story...
Reprinted courtesy of

Mechanic’s Liens- Big Exception

January 22, 2024 — Christopher G. Hill - Construction Law Musings
Musings has discussed mechanic’s liens on numerous occasions. As we discussed in earlier posts, the general rule is that a mechanic’s lien jumps to the head of the line of liens when filed. This is true in most instances. In the typical case, a contractor puts up a building and, when the owner refuses payment, it files a mechanic’s lien that takes priority over all other liens on that property, including the construction loan deed of trust (or mortgage, depending on your state’s property laws). Read the court decision
Read the full story...
Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

Microsoft Urges the Construction Industry to Deliver Lifecycle Value

June 25, 2019 — Aarni Heiskanen - AEC Business
Digitalization is changing the way that we operate and use buildings. Salla Palos is directing Microsoft towards a future that inspires innovative changes in both the mindset and the business models of AECO industry stakeholders. Salla Palos moved from Finland to the United States in July 2015 and settled down in Seattle, one of the fastest growing areas in the USA. She was versed in digitalization of construction industry in Finland as well as Europe and sought the opportunity to bring that knowledge into the US market. As the Director of Emerging Technology and Innovation for Sellen Construction, one of the largest general contractor companies in the Pacific Northwest United States, Salla started developing digital building lifecycle as a strategy to solve number of industry problems. “I zeroed in on developing digital construction strategy, re-engineering processes, and innovating how emerging technology supports digital construction. My approach was open innovation, pulling the industry along with our own digital transformation. I set up collaboration with both local and international partners to be successful in driving change and transforming AEC,” Salla recalls. Read the court decision
Read the full story...
Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

FAIRFIELD CONNECTICUT BUILDING EXPERT DIRECTORY AND CAPABILITIES