FAIRFIELD CONNECTICUT BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Release Language Extended To Successor Entity But Only Covered “Known” Claims

August 06, 2019 — David Adelstein - Florida Construction Legal Updates
A recent case contains valuable analysis that has impact on whether a “successor” entity will be bound by a settlement agreement it was not a direct party to. This case contains arguments for contractors that can be raised in a number of different contexts if it is sued by a successor or related entity. The same case discusses the difference between releasing a party for “known” claims without releasing the same party for “unknown” claims. This is an important distinction because unknown claims refer to latent defects so a release that only releases a party for known claims is not releasing that party for latent defects. In MBlock Investors, LLC v. Bovis Lend Lease, Inc., 44 Fla. L. Weekly D1432d (Fla. 3d DCA 2019), an owner hired a contractor to construct a project. At completion, the owner transferred the project to an affiliated entity (collectively, the “Owner”). The contractor sued the Owner for unpaid work, the Owner claimed construction defects with the work, and a settlement was entered into that released the contractor for KNOWN claims. Thereafter, the Owner defaulted on the construction loan and agreed to convey the property through a deed in lieu of foreclosure to an entity created by the lender (the “Lender Entity”). 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

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Limitations: There is a Point of No Return

September 06, 2023 — Amy Anderson - ConsensusDocs
After nearly any event that causes inefficiency, delay, or extra cost on a project, there are some things you should always do: review the contract and document the inefficiency, delay, or cost. However, how you document the particular issue likely changes depending on what is in your contract, your position on the project, and the outcome you hope to reach. In reviewing the inefficiency, delay, or cost, one thing to always consider is how long you have to actually recoup damages you may incur if they were caused by another party on the project. In every jurisdiction (state or federal), there is likely to be some outer limit to when you can bring litigation or arbitration against an opposing party to recover damages another party causes to you. This is generally called a statute of limitations or statute of repose, although it goes by other names depending on your state. The length of time will be specific to the locality. For example, in Texas, you have four years to bring a breach of contract claim but only two years to bring a negligence claim. Whether you fall under the two year or four year period may be highly fact intensive, depending on your claims. Do you have a contract directly with the party that is at fault? Is the claim based on your contract or some tort outside of the contract? Read the court decision
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Reprinted courtesy of Amy Anderson, Jones Walker LLP (ConsensusDocs)
Ms. Anderson may be contacted at aanderson@joneswalker.com

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What is the True Value of Rooftop Solar Panels?

April 15, 2014 — Beverley BevenFlorez-CDJ STAFF
In Colorado, regulators are questioning the true value of rooftop solar panels, reported the Denver Business Journal: “Minneapolis-based Xcel Energy Inc. (NYSE: XEL), the biggest utility in Colorado, has said it believes Colorado’s current ‘net metering’ policy means the utility is overpaying customers who have rooftop solar power systems.” Currently, “Xcel...credits customers at a rate of 10.5 cents per kilowatt hour of excess power produced.” However, the utility company believes that “the ‘true value’ of the rooftop solar electricity is about half what it’s paying—just 4.6 cents per kilowatt hour.” According to the Denver Business Journal, supporters argue that “Xcel has undervalued the electricity and hasn’t accounted for the systems’ environmental and economic attributes.” Read the court decision
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Insurer’s Optional Appeals Process Does Not Toll Statute of Limitations Following Unequivocal Written Denial

September 22, 2016 — Christopher Kendrick & Valerie A. Moore – Haight Brown & Bonesteel LLP
In Vishva Dev, M.D., Inc. v. Blue Shield of Cal. (No. B270094, filed 8/31/16), a California appeals court confirmed that the unequivocal denial of a claim, in whole or in part, commences the running of the statute of limitations for suit on the claim, notwithstanding the insurer’s offer to reconsider on new or additional evidence. Reprinted courtesy of Christopher Kendrick, Haight Brown & Bonesteel LLP and Valerie A. Moore, Haight Brown & Bonesteel LLP Mr. Kendrick may be contacted at ckendrick@hbblaw.com Ms. Moore may be contacted at vmoore@hbblaw.com Read the court decision
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Forget Palm Springs—Santa Fe Is the New Mecca for Modern Architecture

November 19, 2021 — James Tarmy - Bloomberg
The writer Helen Thompson had been a lifelong visitor to Santa Fe, but when she arrived at Georgia O’Keeffe’s home at Ghost Ranch 30 years ago, “I was shocked,” Thompson says. “Everything there was modern: Her furniture was modern; her light fixtures were modern; her art, of course, was modern. And in this rustic setting, the landscape is so powerful, it was all so elemental. That shock stayed with me.” It was an experience, Thompson says, that led her to the conclusion that Santa Fe, long understood as a city filled with vernacular, decorative architecture, was ripe for a rethinking. “I kept wondering, why does something like that look so right here?” she says. “The landscape is so distinctive, and so not-modern, and yet these very precise pieces of furniture looked so right.” Now, with her new book Santa Fe Modern: Contemporary Design in the High Desert (Monacelli, $50), Thompson has cracked the code. “Modern ideas are site-specific, and tied into what’s right for the landscape and the environment,” she says. Naturally, she continues, this conceptual framework works well in a place like New Mexico, where the dramatic horizon meets an even more dramatic sky. Read the court decision
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Reprinted courtesy of James Tarmy, Bloomberg

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The Road to Hell is Paved with Good Intentions: A.B. 1701’s Requirement that General Contractors Pay Subcontractor Employee Wages Will Do More Harm Than Good

November 02, 2017 — Steven M. Cvitanovic & Omar Parra - Haight Brown & Bonesteel LLP
Tales of subcontractors who close up shop before paying their employees are not all that uncommon, but they are certainly not common enough to require General Contractors to pay for that same labor twice. Last month, the California Legislature passed Assembly Bill No. 1701, which requires the General Contractor of a private construction project to pay all unpaid wages and fringe benefits owed to an employee of a subcontractor, irrespective of the tier, and even if the General Contractor made the payment. With the Governor’s recent signature, Assembly Bill No. 1701 is now the law of the land. Here is what you need to know:

• It applies to all private (but not public) construction contracts entered into on or after January 1, 2018;
• It gives a subcontractor’s employee a direct cause of action against the General Contractor for any unpaid wages and fringe benefits, even if the General Contractor has fully paid the subcontractor;
• It gives a third party owed fringe or other benefits a cause of action against the General Contractor;
• All actions by the employee or third party must be filed within one year of the earliest of the recordation of the notice of completion, the recordation of the notice of cessation of work, or the actual completion of the work;
• The General Contractor cannot contract to avoid the liability imposed by Assembly Bill No. 1701, but it can seek indemnity from the subcontractor; and
• At the General Contractor’s request, the subcontractor shall provide the General Contractor with its payroll records.

Reprinted courtesy of Steven Cvitanovic, Haight Brown & Bonesteel LLP and Omar Parra, Haight Brown & Bonesteel LLP Mr. Cvitanovic may be contacted at scvitanovic@hbblaw.com Mr. Parra may be contacted at oparra@hbblaw.com Read the court decision
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Design & Construction Case Expands Florida’s Slavin Doctrine

January 21, 2015 — Beverley BevenFlorez-CDJ STAFF
According to Amanda Baggett of Rogers Towers, Florida’s “Fourth District Court of Appeal appears to have expanded the Slavin doctrine in the context of design professional liability” in the case McIntosh v. Progressive Design and Engineering, Inc. (Jan. 7, 2015). McIntosh, a personal injury case, involved whether the design and construction of an intersection with multiple traffic signals in close proximity created confusion for drivers. Baggett stated that McIntosh expanded the Slavin doctrine in two ways: “first, the ruling eliminates the requirement that the ultimate owner of a project accept the project before the Slavin doctrine may be invoked. Second, the decision applies the Slavin doctrine to completed and accepted design plans without regard to the completion of the project for which they were prepared.” Read the court decision
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Part I: Key Provisions of School Facility Construction & Design Contracts

May 16, 2018 — David R. Cook Jr. - Autry, Hall & Cook, LLP
We all expect our school construction projects will go smoothly, on time and under budget. But despite our best efforts, some projects will encounter speed bumps, detours or outright roadblocks. While there are many precautions a school facility manager may take, one of the best precautions is to have solid construction and design contracts. A good contract will account for the known risks and specify an outcome in favor of the school authority. School construction risks can be categorized into a few categories: performance risk, time risk, cost risk and political risk. Some risks are typical to all construction projects, while others are peculiar to the unique needs of school authorities. Read the court decision
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Reprinted courtesy of David R. Cook Jr., Autry, Hall & Cook, LLP
Mr. Cook may be contacted at cook@ahclaw.com

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