Seattle Washington Building Expert Directory

Last, but NOT Least: Why You Should Take a Closer Look at Your Next Indemnification Clause

March 09, 2020 — Aimee Cook Oleson - Construction & Infrastructure Law Blog
Indemnification clauses appear in nearly every agreement, but they are often overlooked as mere boilerplate provisions after the parties have painstakingly negotiated all of the other terms. It is not uncommon for parties to simply re-use the indemnity language from a prior agreement without considering whether it is a good fit for their current project. This can be a big mistake that may lead to ambiguities and uncertainties if a dispute arises down the road. A standard or canned indemnification clause might work to undo all of the effort that has gone into properly allocating risk. These clauses often contain language such as “notwithstanding anything to the contrary herein,” or the like, which can alter and override other provisions in the agreement. Indemnification clauses are arguably the most important part of an agreement when an accident or dispute arises on a project. Therefore, they deserve an extra look before finalizing an agreement. Here are a few issues to keep in mind when reviewing your next indemnification clause:

Have you included all necessary parties?

Any party who could face potential liability should be included as an indemnified party. This often includes entities and persons related to the contracting parties, not just the parties themselves.
A well drafted indemnity clause will ensure that all parties are liable for the result of their own work and negligence and that of any party that they have hired to work on a project. This includes employees, agents, subcontractors, or any other similar party.

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Reprinted courtesy of Aimee Cook Oleson, Sheppard Mullin
Ms. Oleson may be contacted at AOleson@sheppardmullin.com

Office REITs in U.S. Plan the Most Construction in Decade

July 09, 2014 — Brian Louis – Bloomberg
Office buildings in top U.S. markets are getting so expensive that landlords are choosing to build rather than buy, spurring the most development by real estate investment trusts in at least a decade. Office REITs, led by Boston Properties Inc. (BXP), Vornado Realty Trust (VNO) and Kilroy Realty Corp. (KRC), are planning to plow almost $11 billion into new projects, triple the amount just two years ago and the most in data going back to 2004, according to research firm Green Street Advisors Inc. Much of that is focused on the coasts, including San Francisco and New York, the areas with the most demand from both tenants and investors. Prices for office buildings in major markets have surged past peak levels, lifted in part by sovereign-wealth funds and pensions willing to accept lower yields than other investors because they are seeking safe investments. For REITs, which have to answer to shareholders seeking higher returns, building is often a better option than competing with institutional buyers. Read the court decision
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Reprinted courtesy of Brian Louis, Bloomberg
Mr. Louis may be contacted at blouis1@bloomberg.net

Wall Street’s Favorite Suburban Housing Bet Is Getting Crowded

February 15, 2021 — Patrick Clark - Bloomberg
Wall Street’s zest for a corner of suburban real estate long left to small landlords is reaching new heights, attracting institutional investors, homebuilders and apartment managers during a pandemic that has ignited demand for larger homes. The pension manager for the Canadian Mounties is the latest investor in single-family rentals, joining JPMorgan Chase & Co.’s asset-management arm and Nuveen Real Estate in a bet that there are lots of Americans who want spare bedrooms and backyards, but don’t have cash for down payments. “It’s really an inflection point in SFR,” said Michael Carey, a senior director for Altus Group, an advisory firm. “It used to be an alternative asset class. Now people look at it as a solution.” Read the court decision
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Reprinted courtesy of Patrick Clark, Bloomberg

ACS Obtains Overwhelming Jury Trial Victory for General Contractor Client

March 28, 2022 — Scott R. Sleight - Ahlers Cressman & Sleight PLLC
ACS is pleased to share news of our recent $19.2 million victory for a general contractor client after a lengthy virtual jury trial involving the Nexus condominium project in downtown Seattle. On Tuesday March 22, 2022, ACS obtained a jury verdict awarding significant damages to our general contractor client and denying nearly all damages claimed against our client by the project owner. The 28-day jury trial commenced via Zoom on January 24 and involved testimony from more than two dozen witnesses on more than 185 discrete change issues and subcontractor pass-through claims as well as counterclaims from the owner for liquidated damages and other damages. Amazingly, after only two days of deliberating the jury reached a verdict resolving all claims overwhelmingly in favor of our general contractor client. Our client was awarded $19.5 million on its claims totaling $20.6 million and largely defeated the owner’s counterclaims of $4.3 million, with the jury awarding only $318,000 to the owner. This results in a net judgment of $19.2 million in favor of our client. The ACS team, along with the client, worked incredibly hard on this case. The team includes lawyers Scott Sleight, Saki Yamada, Kristina Southwell, Cam Sheldon and paralegals Christina Granquist, Cydney Fermstad, Auzree Hightower, Amy Capell, Samina Helsley and Bernadette Bresee. Read the court decision
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Reprinted courtesy of Scott R. Sleight, Ahlers Cressman & Sleight PLLC
Mr. Sleight may be contacted at scott.sleight@acslawyers.com

Timber Prices Likely to Keep Rising

October 30, 2013 — CDJ STAFF
Lumber prices are expected to keep rising, and according to Terry Shumacher, who does business acquisition for private equity firms, that’s a sign to invest in lumber stocks. Writing at Seeking Alpha, he looks at one such company, Tembec, the eleventh largest lumber producer in North America. Tembec is headquartered in Canada, but its stock trades on both the Canadian and American markets. Mr. Schumacher points out that one of the advantages of Tembec as an investment is that its stock is currently trading at about $2.59 a share, so a $50 per million board feet increase in the cost of lumber would make a large percentage change to its earnings to price ratio. (As comparison, Mr. Schumacher offers West Fraser, which is trading at about $89.59. There, the increase in lumber prices would have a much smaller effect on the stock price.) There’s going to be a greater demand for lumber, not only due to increased housing starts but that North American firms have started exporting lumber to China. Add to that the loss of trees in some areas due to beetle infestations. The death of standing timber has lead to some sawmills shutting down for lack of logs. All of which points to increased timber prices. Read the court decision
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Reprinted courtesy of

California’s Prompt Payment Laws: Just Because an Owner Has Changed Course Doesn’t Mean It’s Changed Course on Previous Payments

April 20, 2016 — Garret Murai – California Construction Law Blog
We’ve written before about California’s prompt payment laws which are designed to help contractors get paid in a timely and orderly fashion, which is always nice, right? California’s prompt payment laws require that project owners pay their direct contractors, who are in turn required to pay their subcontractors who are in turn required to pay their sub-subcontractors and so on within certain statutorily set deadlines, or be subject to prompt payment penalties nearly as high as the interest you pay on your credit cards. Read the court decision
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Reprinted courtesy of Garret Murai, Wendel Rosen Black & Dean LLP
Mr. Murai may be contacted at gmurai@wendel.com

Court Dismisses Cross Claims Against Utility Based on Construction Anti-Indemnity Statute

August 14, 2018 — David R. Cook - Autry, Hall & Cook, LLP
When a plane crashed and several passengers and crew died or were injured, their representatives sued several defendants, including a nearby plant owner, Milliken & Company (“Plant Owner”), based on claims that transmission lines on Plant Owner’s property were too close to the runways, were too high, and encroached on the airport easements. Plant Owner cross claimed against utility owner, Georgia Power Company (“Utility”). Plant Owner’s claim was based on an easement it granted to Utility, which required Utility to indemnify it for any claims arising out of Utility’s construction or maintenance of the transmission lines. In defense, Utility argued that the easement’s indemnity provision violated Georgia’s construction anti-indemnity statute. Read the court decision
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Reprinted courtesy of David R. Cook, Autry, Hall & Cook, LLP
Mr. Cook may be contacted at cook@ahclaw.com

If You Can’t Dazzle Em’ With Brilliance, Baffle Em’ With BS: Apprentices on Public Works Projects

October 24, 2023 — Garret Murai - California Construction Law Blog
The “Big Four” when it comes to public works contracting on state and local projects in California are:

Registration with the California Department of Industrial Relations (“DIR”);
Payment of prevailing of wages and maintenance and submission of certified payroll;
Compliance with the “skilled and trained workforce” requirements on certain projects; and
Hiring apprentices on state and local public works projects with a value of $30,000 or more.

The next case, GRFCO, Inc. v. Superior Court, 89 Cal.App.5th 1295 (2023), discusses the last of these requirements. The case also reminded me of W.C. Field’s old saying – “If you can’t dazzle em’ with brilliance, baffle em’ with bullshit” – and which ended with expected results. Read the court decision
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Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

SEATTLE WASHINGTON BUILDING EXPERT DIRECTORY AND CAPABILITIES