Lumber Drops to Nine-Month Low, Extending Retreat From Record
August 30, 2021 —
Marcy Nicholson - BloombergLumber futures slid to the lowest in more than nine months after sawmills ramped up production and demand from builders stabilized.
September futures in Chicago fell as much as 4.4% to $482.90 per thousand board feet, the lowest for a most-active contract since Oct. 30. Prices have dropped more than 70% from the record high reached just three months ago.
The tumble marks a stark turnaround for the common building material after strong U.S. construction demand during the pandemic spurred a surge in orders for lumber, causing prices to more than quadruple to their May peak and fueling inflation concerns. Sawmills have since increased output, and a shortage of other building supplies such as siding and windows has slowed the pace of construction, said Brian Leonard, an analyst with RCM Alternatives.
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Marcy Nicholson, Bloomberg
California Plant Would Convert Wood Waste Into Hydrogen Fuel
January 10, 2022 —
James Leggate - Engineering News-RecordA climate-focused tech company announced plans to open a $100-million plant outside Bakersfield, Calif., to convert wood waste into hydrogen fuel to prevent the material from emitting greenhouse gases. There has been no construction contract award, to date.
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James Leggate, Engineering News-Record
Mr. Leggate may be contacted at leggatej@enr.com
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Indemnity Provision Provides Relief to Contractor; Additional Insured Provision Does Not
January 06, 2016 —
Tred R. Eyerly – Insurance Law HawaiiThe court found that the contractor was entitled to relief under the contractual indemnity provision, but not the policy's additional insured clause. Chatelain v. Fluor Daniel Constr. Co., 2015 La. App. LEXIS 2257 (Ct. App. La. Nov. 10, 2015).
Following Hurricanes Katrina and Rita, FEMA retained Fluor Enterprises, Inc. as a contractor to transport and install FEMA trailers. Fluor entered a Blanket Ordering Agreement (BOA) with Bobby Reavis Contracting, Inc. to transport and install the trailers. The BOA provided Reavis would defend and indemnify Fluor from all liability arising from the subcontractor's work. Reavis also agreed to name Fluor as an additional insured under its CGL policy.
Reavis installed a FEMA trailer for Connie Chatelain. Ms. Chatelain was injured when she fell exiting her FEMA trailer. She sued Fluor and Reavis. Fluor tendered the suit to Reavis and Reavis' insurer, Guilford Insurance Company. The tender was rejected and Fluor filed a third-party action demanding indemnification, reimbursement of all legal expenses and damages for insurer misconduct.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
California Court of Appeal Holds That the Right to Repair Act Prohibits Class Actions Against Manufacturers of Products Completely Manufactured Offsite
February 06, 2019 —
Gus Sara - The Subrogation StrategistIn Kohler Co. v. Superior Court, 29 Cal. App. 5th 55 (2018), the Second District of the Court of Appeal of California considered whether the lower court properly allowed homeowners to bring class action claims under the Right to Repair Act (the Act) against a manufacturer of a plumbing fixture for alleged defects in the product. After an extensive analysis of the language of the Act, the court found that class action claims under the Act are not allowed if the product was completely manufactured offsite. Since the subject fixture was completely manufactured offsite, the Court of Appeal reversed the lower court’s decision. The court’s holding establishes that rights and remedies set forth in the Right to Repair Act are not available for class action claims alleging defects in products completely manufactured offsite.
In Kohler Co., homeowners instituted a class action against Kohler, the manufacturer of water pressure and temperature regulating valves that were installed into their homes during original construction. The class action was filed on behalf of all owners of residential dwellings in California in which these Kohler valves were installed as part of original construction. The complaint asserted, among other claims, a cause of action under the Act. Kohler filed a motion for anti-class certification on the ground that causes of actions under the Act cannot be certified as a class action. The trial court denied the motion with respect to the Act but certified its ruling for appellate review. Kohler filed a petition with the Court of Appeals, arguing that certain sections of the Act explicitly exclude class action claims under the Act.
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Gus Sara, White and Williams LLPMr. Sara may be contacted at
sarag@whiteandwilliams.com
Three Kahana Feld Attorneys Recognized in The Best Lawyers in America® 2025
September 23, 2024 —
Linda Carter - Kahana FeldNEW YORK – Sep. 4, 2025 – Kahana Feld is pleased to announce that Eric Bernhardt and Kraig Kilger were included in the 2025 edition of The Best Lawyers in America® and Alice A. Trueman was included in Best Lawyers: Ones to Watch® in America.
Eric Bernhardt was awarded for his work in Litigation – Insurance. Bernhardt is a partner in the firm’s Buffalo, NY office, admitted in New York and California, and a member of Kahana Feld’s national appellate practice group. His practice encompasses multiple types of litigation including the defense of New York Labor Law, construction, product liability, trucking, professional and medical malpractice, automobile accident, and general negligence cases.
Kraig Kilger was recognized in the areas of Bankruptcy and Creditor Debtor Rights/Insolvency and Reorganization Law, Litigation – Real Estate, and Real Estate Law. Kilger is a partner in Kahana Feld’s Irvine, CA office. His experience spans all phases of residential and commercial real estate development, including acquisitions, financing, planning, entitlement, development, construction, leasing, and sales.
Alice Trueman was recognized by Best Lawyers: Ones to Watch in the field of Personal Injury Litigation – Defendants. She is a litigation attorney in the firm’s Buffalo, NY office who focuses her practice on general liability defense and insurance defense. Ones to Watch recipients typically have been in practice for 5-9 years and are selected for their outstanding professional excellence in private practice.
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Linda Carter, Kahana FeldMs. Carter may be contacted at
lcarter@kahanafeld.com
Contractors: Revisit your Force Majeure Provisions to Account for Hurricanes
September 14, 2017 —
David Adelstein - Florida Construction Legal UpdatesWe now know and can appreciate the threat of hurricanes. Not that we did not appreciate the reality of hurricanes–of course we did–but Hurricane Harvey and Hurricane Irma created the type of actual devastation we fear because they hit close to home. The fear came to life, creating panic, anxiety, and uncertainty. It is hard to plan for a force majeure event such as a hurricane because of the capriciousness of Mother Nature. But, we need to do so from this point forward. No exception! And, I mean no exception!!
A force majeure event is an uncontrollable event that cannot be anticipated with any degree of definitiveness. The force majeure event will excusably delay or hinder performance obligations under a contract. One type of force majeure event is a hurricane—an uncontrollable and unforeseen act of Mother Nature.
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David Adelstein, Florida Construction Legal UpdatesMr. Adelstein may be contacted at
Dadelstein@gmail.com
CDJ’s Year-End Review: The Top 12 CD Topics of 2015
December 30, 2015 —
Beverley BevenFlorez-CDJ STAFFAs a new year begins, Construction Defect Journal has put together the most important issues and topics relating to the construction defect industry in 2015. New cases have arisen to challenge Right to Repair laws and other construction-related claim procedures, some states have made legislative or code changes, as well as other intriguing topics have been discussed in board rooms and over conference calls. We hope you enjoy the look-back at 2015, and we wish you and yours a prosperous 2016.
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Five-Year Statute of Limitations on Performance-Type Surety Bonds
December 01, 2017 —
David Adelstein - Florida Construction Legal UpdatesThe statute of limitations on a claim against a performance-type bond is 5 years from the breach of the bond, i.e., the bond-principal’s default (based on the same statute of limitations that governs written contracts / obligations). See Fla. Stat. s. 95.11(2)(b). This 5-year statute of limitations is NOT extended and does NOT commence when the surety denies the claim. It commences upon the default of the bond-principal, which would be the act constituting the breach of the bond. This does not mean that the statute of limitations starts when a latent defect is discovered. This is not the case. In dealing with a completed project, the five-year statute of limitations would run when the obligee (beneficiary of the bond) accepted the work. See Federal Insurance Co. v. Southwest Florida Retirement Center, Inc., 707 So.2d 1119, 1121-22 (Fla. 1998).
This 5-year statute of limitations on performance-type surety bonds has recently been explained by the Second District in Lexicon Ins. Co. v. City of Cape Coral, Florida, 42 Fla. L. Weekly D2521a (Fla. 2d DCA 2017), a case where a developer planned on developing a single-family subdivision.
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David Adelstein, Florida Construction Legal UpdatesMr. Adelstein may be contacted at
dadelstein@gmail.com