Facing Manslaughter Charges In Worker's 2021 Trench Collapse Death, Colorado Contractor Who Willfully Ignored Federal Law Surrenders To Police
February 06, 2023 —
U.S. Department of LaborBRECKENRIDGE, CO – The owner of a Vail construction company facing felony manslaughter charges has surrendered to local law enforcement after the Summit County Sheriff's Office in Breckenridge, Colorado, issued an arrest warrant on Jan. 24, 2023, related to the findings of a federal safety investigation into a deadly trench collapse in November 2021.
In May 2022, the U.S. Department of Labor's Occupational Safety and Health Administration cited Peter Dillon, owner of the now-defunct A4S LLC, after a worker installing residential sewer pipes suffered fatal injuries when the trench around him caved in. The collapse resulted from deteriorating conditions at the project, which A4S LLC could have prevented by using legally required trench protection systems.
OSHA issued three willful citations to A4S LLC for not ensuring the excavation was inspected by a competent person, failing to instruct employees on the recognition and avoidance of unsafe conditions and not having a trench protective system in place. Investigators also issued an additional serious citation for not having a safe means of egress within 25 lateral feet of employees working in a trench.
The agency proposed penalties of $449,583 and placed the company in OSHA's Severe Violator Enforcement Program.
The department referred the case to the 5th Judicial District Attorney's office recommending criminal charges for A4S LLC's refusal to require safety protection, despite worsening trench conditions that included at least one trench collapse.
A4S LLC has since shuttered and Dillon agreed to forfeit any future ownership, leadership or management position that involves trenching or excavation, or the oversight of workplace safety and health.
Read the court decisionRead the full story...Reprinted courtesy of
A Court-Side Seat: Clean Air, Clean Water, Endangered Species and Deliberative Process Privilege
April 19, 2021 —
Anthony B. Cavender - Gravel2GavelThe federal courts have issued some significant environmental law rulings in the past few days.
THE U.S. SUPREME COURT
U.S. Fish and Wildlife Service v. Sierra Club, Inc.
On March 4, 2021, the court held that the deliberative process privilege of the Freedom of Information Act shields from disclosure in-house draft governmental biological opinions that are both “predecisional” and deliberative. According to the court, these opinions, opining on the Endangered Species Act (ESA) effects on aquatic species of a proposed federal rule affecting cooling water intake structures—which was promulgated in 2019—are exempt from disclosure because they do not reflect a “final” agency opinion. Indeed, these ESA-required opinions reflect a preliminary view, and the Services did not treat them as being the final or last word on the project’s desirability. The Sierra Club, invoking the FOIA, sought many records generated by the rulemaking proceeding, and received thousands of pages. However, the Service declined to release the draft biological opinions that were created in connection with the ESA consultative process.
Read the court decisionRead the full story...Reprinted courtesy of
Anthony B. Cavender, PillsburyMr. Cavender may be contacted at
anthony.cavender@pillsburylaw.com
Too Costly to Be Fair: Texas Appellate Court Finds the Arbitration Clause in a Residential Construction Contract Unenforceable
November 21, 2022 —
Gus Sara - The Subrogation StrategistIn Cont’l Homes of Tex., L.P. v. Perez, No. 04-21-00396-CV, 2022 Tex. App. LEXIS 7691, the Court of Appeals of Texas (Appellate Court) considered whether the lower court erred in refusing to enforce an arbitration clause in a construction contract between the parties. The Appellate Court considered the costs of the arbitration forum required by the contract in the context of the plaintiffs’ monthly household income. The court also compared the arbitration cost to the estimated cost of litigating the dispute. The court held that the arbitration clause was substantively unconscionable on the grounds that the arbitration costs were not affordable for the plaintiffs and not an “adequate and accessible substitute to litigation.” The Appellate Court affirmed the lower court’s decision denying the defendant’s motion to compel arbitration.
The plaintiffs, Giancarlo and Krystle Perez (collectively, the Perezes), hired the defendant, Continental Homes of Texas, LP d/b/a Express Home (Express Homes), to build a new home in San Antonio. Express Homes provided its standard contract, which included a binding arbitration clause. The clause stated that every potential dispute between the parties occurring before and after the closing of the purchase of the home was subject to binding arbitration, to be administered and conducted by the American Arbitration Association (AAA). The clause also stated that the costs of the arbitration were to be split by the parties.
Read the court decisionRead the full story...Reprinted courtesy of
Gus Sara, White and Williams LLPMr. Sara may be contacted at
sarag@whiteandwilliams.com
Wildfire Insurance Coverage Series, Part 4: Coverage for Supply Chain Related Losses
July 18, 2022 —
Scott P. DeVries & Yosef Itkin - Hunton Insurance Recovery BlogBusiness loss is not limited to fire or smoke damage to its own property – it often arises from damage to the supply chain. In this post in the Blog’s Wildfire Insurance Coverage Series, we look at what coverage may exist when wildfire damages an entity’s supply chain.
In many instances, while the insured property does not sustain fire or smoke damage, wildfires can wreak havoc on the business supply chain. For some, contingent business interruption coverage may be a solution. Contingent business interruption insurance extends coverage for the loss of prospective earnings because of an interruption in the insured’s supply chain that is caused by damage to property that the insured neither owns nor operates.[1] Typically, the property covered is of a supplier or customer. For example, in 2000, Ericsson Telecom A.B., a mobile phone manufacturer, presented a substantial contingent business interruption claim based on a fire that damaged a Royal Philips Electronics semiconductor plant. Royal Philips supplied critical components for Ericsson’s mobile phones. The fire caused Royal Philips to close its plant, halting Ericsson’s phone production for six weeks, resulting in substantial losses.
Reprinted courtesy of
Scott P. DeVries, Hunton Andrews Kurth and
Yosef Itkin, Hunton Andrews Kurth
Mr. DeVries may be contacted at sdevries@HuntonAK.com
Mr. Itkin may be contacted at yitkin@HuntonAK.com
Read the court decisionRead the full story...Reprinted courtesy of
Expert's Opinions On Causation Leads Way To Summary Judgment For Insurer
August 10, 2017 —
Tred R. Eyerly - Insurance Law HawaiiAlthough the insured claimed damages to her home was caused by vibrations from nearby construction, the court held she failed to overcome the insurer's expert's opinion that the damage resulted from excluded causes such as wear and tear, cracking and settling. King v. Am Family Ins., 2017 Ohio App. LEXIS 2565 (Ohio Ct. App. June 26, 2017).
The insured had a homeowners policy with American Family. The insured sued American Family, alleging that damage to her home was caused by vibrations caused by construction equipment at a nearby high school. The damage included cracks, leaks and mold.
American Family moved for summary judgment, attaching an affidavit from a structural engineering consulting firm. The report outlined alleged damages, including cracks throughout the house, and opined that the areas of concern had been present and progressing for years. Some damaged areas were discolored and patched. Accordingly, the report concluded that the damages were not caused by vibrations from construction.
Read the court decisionRead the full story...Reprinted courtesy of
Tred R. Eyerly - Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Buy American Under President Trump: What to Know and Where We’re Heading
August 20, 2019 —
Jamie Oberg - ConsensusDocsOn January 31, 2019, President Trump signed an Executive Order on Strengthening Buy-American Preferences for Infrastructure Projects, placing continued emphasis on the importance of “the use of goods, products, and materials produced in the United States.”
This order builds upon the President’s “Buy American, Hire American” Executive Order, which he issued in April of 2017. The 2017 Order increased enforcement of standing Buy American laws and called for federal agencies to explore new possibilities regarding domestic preferences. In part, the 2017 Order required every agency to “scrupulously monitor, enforce, and comply with Buy American laws,” and to minimize the use of waivers of these laws.
The 2019 Order instructs federal agencies to develop rules to encourage contractors to comply with these preferences to the maximum extent practicable in any infrastructure project that receives any indirect federal government assistance. This includes recipients of loans, loan guarantees, grants, insurance subsidies or other forms of financing.
Read the court decisionRead the full story...Reprinted courtesy of
Jamie Oberg, Peckar & Abramson, P.C.Ms. Oberg may be contacted at
joberg@pecklaw.com
PAGA Right of Action Not Applicable to Construction Workers Under Collective Bargaining Agreement
December 26, 2022 —
Garret Murai - California Construction Law BlogCalifornia is one of the most employee-friendly states in the country. From strict hiring laws (don’t think about asking about an applicant’s criminal, credit or even salary history), to generous benefits (minimum wage, overtime, meal and rest breaks, family medical leave, etc.) and strict anti-harassment laws (if you have to think about it, even for a second, don’t do it), to protections for terminated workers (whistle blower protections, WARN notices, non-compete restrictions), California workers enjoy protections that many others do not.
This includes PAGA, or the Private Attorneys General Act, which authorizes aggrieved employees to file lawsuits against their employers to recover civil penalties on behalf of themselves, other employees, and the State of California for Labor Code violations. In general, the right of an employee to file a PAGA action cannot be waived by contract. However, Labor Code section 2699.6 which was enacted in 2018 provides an exception for construction workers who perform work under certain collective bargaining agreements.
In the next case, Oswald v. Murray Plumbing and heating Corporation, 82 Cal.App.5th 938 (2022), the 2nd District Court of Appeal examined whether collective bargaining agreement with a retroactive date, signed after an employee was terminated, precluded an employee from bringing a PAGA action.
Read the court decisionRead the full story...Reprinted courtesy of
Garret Murai, Nomos LLPMr. Murai may be contacted at
gmurai@nomosllp.com
Lewis Brisbois Ranks Among Top 25 Firms on NLJ’s 2021 Women in Law Scorecard
July 25, 2021 —
Jana Lubert - Lewis BrisboisLewis Brisbois has been ranked among the top 25 law firms included in the National Law Journal's (NLJ) 2021 Women in Law Scorecard (Women’s Scorecard), moving up from 27th place to 23rd place this year. In addition, of the top 25 firms in the Women’s Scorecard, Lewis Brisbois had the highest number of female minority partners.
The Women’s Scorecard is produced as part of the annual NLJ 500 firm head count report, and only the largest 350 firms are eligible to be included on the scorecard. A firm’s score is determined by adding the percentage of female attorneys and percentage of female partners. Diversity staffing counts were based on a firm’s average full-time attorneys in 2020, excluding contract and temporary attorneys.
Read the court decisionRead the full story...Reprinted courtesy of
Jana Lubert, Lewis BrisboisMs. Lubert may be contacted at
Jana.Lubert@lewisbrisbois.com