Fairfield Connecticut Building Expert Directory

One-Upmanship by Contractors In Prevailing Wage Decision Leads to a Bad Result for All . . . Perhaps

July 19, 2021 — Garret Murai - California Construction Law Blog
Fights between contractors can be a bit like Mad magazine’s “Spy vs. Spy” with each side trying to out outwit and one-up one another. The next case, Division of Labor Standards Enforcement v. Built Pacific, Inc., Case No. D076601 (March 15, 2021), is a case in point. The Built Pacific Case Built Pacific, Inc. was a subcontractor to Austin Sundt Joint Venture on a public works project known as the San Diego Regional Airport Authority Project. In 2015, following an investigation by the California Division of Labor Standards Enforcement (DLSE), the DLSE issued a Civil Wage Penalty Assessment of $119,319.76 based on Built Pacific’s failure to pay prevailing wages. The DLSE also named Austin Sundt in the Civil Wage Assessment pursuant to Labor Code 1743 which makes contractors and subcontractors jointly and severally liable for wage violations. As a result of the Civil Wage Assessment, Austin Sundt withheld approximately $70,000 in retention from Built Pacific. Read the court decision
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Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

Coronavirus and Contract Obligations

March 30, 2020 — David R. Cook - AHC Construction and Procurement Blog
The Coronavirus (COVID-19) pandemic has caused a global disruption to businesses, causing many to temporarily close and lay off employees. As businesses assess the short– and long–term economic impact of COVID-19, they should also evaluate what contractual obligations and remedies are available under various agreements (e.g., leases, vendor agreements, and supply agreements). When performance may be delayed or may not occur altogether, businesses should consider their force majeure clauses, if any, and the doctrines of impossibility, impracticability, and frustration of purpose. Force Majeure Generally, unless a contract provides that performance will be suspended or relieved when certain events occur (e.g., “acts of God,” government regulation, acts of war or terror, strikes), each party is obligated to perform. However, when there is an express force majeure provision, certain events or acts may excuse non-performance or delayed performance. But depending on the jurisdiction, courts may construe force majeure provisions narrowly and excuse performance only for those events expressly listed in the clause. Nonetheless, if the force majeure provision includes pandemic, epidemic, quarantine, government act, disease, or similar terms, then the COVID-19 pandemic may excuse performance or allow delayed performance. 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

Insurer Not Responsible for Insured's Assignment of Policy Benefits

February 21, 2022 — Tred R. Eyerly - Insurance Law Hawaii
The Florida Court of Appeals affirmed the lower court's granting summary judgment to the insurer after failing to abide by an assignment to which it was not a party. Expert Inspections, LLC v. United Property & Cas. Ins. Co., 2022 Fla. App. LEXIS 88 (Fla. Ct. App. Jan. 5, 2022). The insured's property sustained damage from Hurricane Irma resulting in a covered loss. The insured retained Expert Inspections to perform mold-related services. As payment, the insured assigned her policy benefits pursuant to an assignment of benefits agreement. Under the agreement, the insured agreed to cooperate with the assignee to ensure that payments were made by the insurer upon completion of work. The insured gave authority to the assignee to endorse any checks with her name listed on the check. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

City Sues over Leaking Sewer System

October 25, 2013 — CDJ STAFF
The city of Storm Lake, Iowa completed a $3.6 million sewer project only year ago, but the system is leaking untreated water into residents properties. The Pilot-Tribune reports that “not all the sewage lines broke,” but the city still needed to check the entire system for damage. The Southwest Shoreline Sanitary District has filed a lawsuit against Lessard Contracting, the firm that built the system. Bob Bergendoff, one of the sanitary district trustees said that “the main thing right now is whether the lines are properly installed.” Steve Anderson, another trustee, said that discussions with Lessard are getting “next to nowhere.” Read the court decision
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Reprinted courtesy of

Death, Taxes and Attorneys’ Fees in Construction Disputes

July 18, 2022 — Garret Murai - California Construction Law Blog
According to Benjamin Franklin there are two certainties in this world: Death and taxes. Let me humbly add a third if you’re ever involved in non-contingency civil litigation: Attorneys’ fees. As such, when it comes to legal disputes, sophisticated parties know that it’s not just about winning but the cost of winning. While winning is never certain – remember Poor Richard’s proverb above – what is certain is that it will most likely cost you to find out whether you’ve won or lost. That’s why the ability to recover (or at least threaten the recovery of attorneys’ fees – that’s a separate discussion altogether) in litigation and arbitration is so important. A few facts:

According to the National Center for State Courts (NCSC) in their 2013 report, Measuring the Cost of Civil Litigation: Findings From a Survey of Trial Lawyers, the median cost of litigation (i.e., attorneys’ fees) for contract disputes, of which most construction disputes would fall under, was $90,575 from case initiation through post-trial disposition.

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Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

Patti Santelle Honored by Rutgers School of Law with Arthur E. Armitage Sr. Distinguished Alumni Award

March 01, 2021 — Patricia Santelle - White and Williams
White and Williams is proud to announce that Patti Santelle, Chair Emeritus, will be honored by the Rutgers School of Law-Camden Alumni Association with the 2020 Arthur E. Armitage Sr. Distinguished Alumni Award. The Armitage Award was established in 1983 in memory of Armitage, who, with a group of interested citizens, founded both the South Jersey Law School in 1926 and its companion College of South Jersey in 1927. Past recipients include governors, member of Congress, state and federal judges, and industry leaders. Patti, a 1985 graduate, is a Co-Chair of the Executive Committee of the newly established Rutgers Law Alumnae Network and a Past Chancellor and long-time member of the Board of the Rutgers-Camden Law Alumni Association. While in law school, she was President of the Student Bar Association, winner of the Hunter Advanced Moot Court Competition and a member of the National Moot Court Team. In 2010, Patti received the Scarlet Oak Meritorious Service Award from Rutgers University for her contributions as an alumni leader and student mentor at the law school. For the past seven years, she served as the Managing Partner and Chair of the Executive Committee at White and Williams, the first woman in the firm’s history and in the City of Philadelphia to serve in that role in a major law firm. Read the court decision
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Reprinted courtesy of Patricia Santelle, White and Williams
Ms. Santelle may be contacted at santellep@whiteandwilliams.com

More Reminders that the Specific Contract Terms Matter

January 24, 2022 — Christopher G. Hill - Construction Law Musings
If there is a theme I have pounded upon here at Construction Law Musings in the over 13 years of posting, it is that the specific terms of your construction contracts will make a huge difference. While there have been reminders galore, a case from the Eastern District of Virginia presented another wrinkle on this theme. The wrinkle? A factoring company. In CJM Financial, Inc. v. Leebcor Services, LLC et. al., the Court examined this scenario (though it went into more detail than I will here): Leebcorp hired a subcontractor, Maston Creek Services to provide certain construction services under two separate contracts. Maston then hired CJM, a factoring company, and assigned CJM its receivables and the right to collect those receivables. We wouldn’t be discussing this case if all had worked out as planned, so you likely anticipate at least some of what came next. The short story is that Matson failed to pay some of its suppliers and Leebcorp exercised its termination rights under those contracts when Matson refused to cure. In the interim, CJM had paid part of certain payment applications to Matson in compliance with the factoring agreement. When Leebcorp failed to pay CJM for Matson’s work, CJM exercised its assigned rights to collect the receivables and sued Leebcorp for breach of contract. In response, Leebcorp counterclaimed for, among other counts including civil conspiracy, breach of contract based on Matson’s failure to perform. CJM moved to dismiss the counterclaims. Read the court decision
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

Following My Own Advice

October 21, 2015 — Craig Martin – Construction Contractor Advisor
I often advise clients on the use of E-Verify and the importance of getting policies and in place to ensure compliance. This is particularly true for clients that do federal and state work. Now it’s my turn to follow my own advice. I was recently appointed to represent the Nebraska Board of Engineers and Architects. As such, I am a contractor for the State of Nebraska. That means I have to use E-Verify. Here is a refresher of “our” E-Verify obligations as a contractor for the State. Nebraska adopted an E-Verify law in 2009. Nebraska statute section 4-114 requires all contractors that are awarded a contract by a state agency or political subdivision to register with ta federal immigration verification system. Although not explicit in the statute, the Department of Labor has indicated that the obligation to E-Verify applies only to new employees that will be working on the project. Read the court decision
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Reprinted courtesy of Craig Martin, Lamson, Dugan and Murray, LLP
Mr. Martin may be contacted at cmartin@ldmlaw.com

FAIRFIELD CONNECTICUT BUILDING EXPERT DIRECTORY AND CAPABILITIES