Cambridge Massachusetts Building Expert Directory

When Cyber Crooks Steal Payments, Think Insurance Makes Up The Loss? Think Again.

November 18, 2024 — Richard Korman - Engineering News-Record
In Summer 2023, the payment system for a small office and warehouse project that Beck Properties was developing for itself in South St. Paul, Minn., seemed to be running smoothly. Emails were criss-crossing back and forth and paper checks were landing in mailboxes. Reprinted courtesy of Richard Korman, Engineering News-Record Mr. Korman may be contacted at kormanr@enr.com Read the full story... Read the court decision
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Another Reason to Always Respond (or Hensel Phelps Wins One!)

September 16, 2019 — Christopher G. Hill - Construction Law Musings
Here at Construction Law Musings, Hensel Phelps Construction Co. is best known as the company that got whipsawed between indemnity rules and the lack of a statute of limitations for state agencies. However a recent case out of the Federal District Court for the Eastern District of Virginia gave them a win and illustrates, once again, that failing to appear or respond is never a good option. In Hensel Phelps Construction Co. v. Perdomo Industrial LLC, the Alexandria, VA federal court looked at an arbitration award entered for Hensel Phelps and against Perdomo under the Federal Arbitration Act. The facts of the case showed that Perdomo “double dipped” into the deep end of refusal or failure to respond. First of all, the contract required arbitration and any award was enforceable in any state or federal court having jurisdiction. Based upon this language, Hensel Phelps filed a demand for arbitration with the American Arbitration Association against Perdomo and its surety, AAA sent notice to both Perdomo and Surety, and. . . neither responded or appeared at what was ultimately 8 days of hearings. After hearing Hensel Phelp’s evidence and the total lack of defenses from Perdomo and Surety, the panel issued an award in favor of Hensel Phelps, finding Perdomo LLC in default and holding Perdomo LLC and Allied World jointly and severally liable in the amount of $2,958,209.71 and Perdomo LLC individually liable in the amount of $7,917,666.30 plus interest. 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

Builders FirstSource to Buy ProBuild for $1.63 Billion

April 15, 2015 — Prashant Gopal – Bloomberg
Builders FirstSource Inc., a Dallas-based maker of materials for new homes, rose the most on record after saying it agreed to buy competitor ProBuild Holdings LLC for $1.63 billion. ProBuild, based in Denver, operates about 400 lumber and building product distribution, manufacturing and assembly centers serving 40 U.S. states, according to a statement Monday. The companies had 2014 combined revenue of $6.1 billion. Builders FirstSource surged 68 percent to $11.57. It was the biggest one-day gain ever for the shares, which began trading in June 2005. Read the court decision
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Reprinted courtesy of Prashant Gopal, Bloomberg

Suppliers of Inherently Dangerous Raw Materials Remain Excluded from the Protections of the Component Parts Doctrine

December 02, 2015 — Leah B. Mason & Michael J. Worth – Haight Brown & Bonesteel, LLP
In Brady v. Calsol, Inc. 2015 No. B262028, the California Court of Appeal, Second District, reversed summary judgment for a raw materials supplier where there was a triable issue of fact as to whether the benzene levels contained in the supplier’s mineral spirits could have caused plaintiffs’ leukemia. Plaintiffs were mechanics Ernest Brady and David Gibbs, who used Safety-Kleen solvent to degrease automotive parts. Brady and Gibbs were diagnosed with leukemia allegedly caused by exposure to Safety-Kleen solvent during the course of their employment. In 2008, Plaintiffs sued Calsol, Inc., a distributor of mineral spirits for the ultimate manufacturer, Safety-Kleen Systems, Inc. Plaintiffs asserted negligence and strict products liability claims. Specifically, plaintiffs alleged that benzene, a carcinogen found in mineral spirits, caused their leukemia. Benzene is only carcinogenic to humans at certain levels. The parties dispute the levels of benzene found in the mineral spirits supplied to Safety-Kleen. Calsol contended the benzene levels were present only in low concentrations. Plaintiffs alleged the benzene levels were capable of causing injury. Reprinted courtesy of Leah B. Mason, Haight Brown & Bonesteel LLP and Michael J. Worth, Haight Brown & Bonesteel LLP Ms. Mason may be contacted at lmason@hbblaw.com Mr. Worth may be contacted at mworth@hbblaw.com Read the court decision
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Update Relating to SB891 and Bond Claim Waivers

June 10, 2015 — Christopher G. Hill – Construction Law Musings
Several bills were passed and will go into effect on July 1, 2015 that affect the construction industry here in Virginia. The most interesting of these was an amendment to the mechanic’s lien statutes relating to waivers of lien rights. As I posted in March, SB891 amended the mechanic’s lien statute, Va. Code Section 43-3, to remove proactive waivers of lien and bond rights. This bill has been signed into law with a minor modification. Read the court decision
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Reprinted courtesy of Christopher G. Hill, Law Office of Christopher G. Hill, PC
Mr. Hill may be contacted at chrisghill@constructionlawva.com

Concerns Over Unstable Tappan Zee Bridge Push Back Opening of New NY Bridge's Second Span

October 02, 2018 — The New York Daily News - Engineering News-Record
Sept. 08 --Big bridge, big scissors, big problems. A day after an elaborate ribbon-cutting ceremony, the grand opening of the second span of the new Gov. Mario M. Cuomo bridge was postponed over concerns that the remains of the "destabilized" and "dangerous" Tappan Zee Bridge could collapse. Read the court decision
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Reprinted courtesy of Engineering News-Record
ENR may be contacted at ENR.com@bnpmedia.com

Back to Basics: What is a Changes Clause?

July 18, 2018 — J. Cole Phillips – Smith Currie
The Changes Clause is one of the most important, perhaps the most important, provision in any construction contract. Project designs are rarely perfect. A Changes Clause provides a mechanism for dealing with such imperfections as well as allowing project owners the flexibility to update a project’s design as the project progresses. A good Changes Clause specifies when an owner can change the original scope of the contract, how the parties should resolve the value of the changed scope and when payment should be made to the contractor or a credit given to the owner. A good Changes Clause will also provide a mechanism for the contractor to notify the owner when it believes a change order is due and specify the time within which such notice must be given. For the contractor, failure to pay attention to the requirements of the Changes Clause can lead to forfeiture of the right to seek an adjustment to the contract value or contract completion date. For an Owner, failure to pay attention to and enforce the requirements of the Changes Clause can result in unnecessary payments to the Contractor. Read the court decision
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Reprinted courtesy of J. Cole Phillips, Smith Currie
Mr. Phillips may be contacted at jcphillips@smithcurrie.com

Genuine Dispute Summary Judgment Reversed for Abuse of Discretion and Trial of Fact Questions About Expert Opinions

July 27, 2020 — Christopher Kendrick & Valerie A. Moore – Haight Brown & Bonesteel LLP
In Fadeeff v. State Farm General Ins. Co. (No. A155691, filed 5/22/20 ord. pub. 6/8/20), a California appeals court held that triable issues of fact and the trial court’s failure to address a request for a continuance precluded summary judgment for an insurer under the genuine dispute doctrine. In Fadeeff, the policyholders made a claim to State Farm for smoke damage to their home from the 2015 Valley Fire in Hidden Valley Lake, California. With State Farm’s approval, the insureds retained the restoration company, ServPro, to assist with smoke and soot mitigation. State Farm documented smoke and soot on the interior walls, ceilings and carpeting, and on all exterior elevations, including on the deck and handrail. State Farm made a series of payments on the claim totaling about $50,000. The insureds then hired a public adjuster and submitted supplemental claims for further dwelling repairs and additional contents replacement, totaling approximately $75,000. State Farm responded by using its own independent adjuster to investigate, who was neither licensed as an adjuster, nor as a contractor. State Farm also retained forensic consultants for the structure and the HVAC system, but neither the independent adjuster nor the consultants were aware that State Farm had an internal operation guide for the use of third-party experts in handling first party claims, which guidelines were therefore not followed. In addition, the consultants made allegedly superficial inspections, with one attributing smoke and soot damage to other sources of combustion, including the insureds’ exterior propane barbecue, an internal wood fireplace and wood stove and candles that had been burned in the living room. None of the consultants asked the insureds when they had last used any of the sources of combustion. 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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