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    SunCal Buys Oak Knoll Development for the Second Time

    May 19, 2014 —
    According to the San Francisco Business Times, “Irvine-based SunCal has now bought the same site twice: once in 2005 for $100.5 million and again last week from the Lehman Brothers estate.” Suncal’s original plan to develop the 167-acre Oakland Hills, California project “fell apart after Lehman declared bankruptcy in 2008.” The San Francisco Business Times reported that the “former naval hospital site” has “the potential for more than 900 homes.” The former design included “960 homes, 82,000 square feet of commercial and retail space, and 50 acres of parks and open space.” Read the court decision
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    Mechanic’s Liens and Leases Don’t Often Mix Well

    May 03, 2021 —
    As those who read my “musings” here at this construction law blog are well aware, the topic of Virginia mechanic’s liens is one that is much discussed. From the basic statutory requirements to the more technical aspects of these tricky beasts. One aspect of mechanic’s liens that I have yet to discuss in detail it how these liens attach in the situation where the contractor does work for a lessee and not for the owner of the underlying fee interest in the property. A recent case out of the Western District of Virginia federal court, McCarthy Building Companies Inc. v. TPE Virginia Land Holdings LLC, discusses the interaction of Va. Code 43-20, work on a leasehold, and parties necessary to any litigation relating to a lien for the work on that leasehold. The basic facts, outlined more thoroughly in the linked opinion, are these. MBC provided certain work to TPE Kentuck Solar, LLC on property leased from TPE Virginia Land Holdings, LLC. The lease was for a fixed term and for a fixed amount regardless of the work performed at the property. MBC was unpaid by the Kentuck entity and then recorded a lien on the property and then sued to enforce that lien and for unjust enrichment against TPE Land Holdings. TPE Land Holding filed a motion to dismiss the mechanic’s lien and unjust enrichment counts. 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

    The Power of Team Bonding: Transforming Workplaces for the Better

    June 10, 2024 —
    The number of civil Complaints filed in California has been steadily rising over the last few years. When employees struggle daily to make a dent in what seems as an insurmountable to-do list, taking time away from work to chat with coworkers about their weekends or the latest Netflix drop seems counterintuitive. Yet recent studies suggest that taking even 30 minutes away from your workday to engage in team bonding has lasting benefits. Investing in team bonding activities is not just about having fun; it is about creating a cohesive, motivated, and high-performing team that can drive organizational success. As the evidence suggests, the return on investment for team bonding activities is substantial, making it a vital component of any successful workplace strategy. Enhancing Communication and Collaboration One of the primary benefits of team bonding is improved communication among team members. Effective communication is the bedrock of any successful team, and activities designed to foster relationships can significantly enhance this aspect. A study conducted by MIT’s Human Dynamics Laboratory found that teams with higher levels of social interaction outside of formal meetings performed better than those with limited interaction. These teams were more cohesive, coordinated, and ultimately more productive. Bonding activities, as simple as group lunches or intensive as a weekend retreat, create opportunities for employees to interact in a relaxed setting. This helps break down barriers and encourages open communication, which translates into a more collaborative work environment. When employees feel comfortable sharing ideas and feedback, it leads to better problem-solving and innovation. Reprinted courtesy of Alexa Stephenson, Kahana Feld and Brittney Aquino, Kahana Feld Ms. Stephenson may be contacted at astephenson@kahanafeld.com Ms. Aquino may be contacted at baquino@kahanafeld.com Read the court decision
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    Norristown, PA to Stop Paying Repair Costs for Defect-Ridden Condo

    February 10, 2014 —
    The city of Norristown, Pennsylvania has already paid “$3.4 million for construction repairs and legal expenses” for the 26-unit condominium on 770 Sandy Street, according to The Times Herald. Therefore city officials recently declared that “they will no longer pay the $40,000 annual cost for maintenance, electricity and repairs” for the building. “At some point, the folks that own it have to step up and take responsibility for it,” Norristown Council President William Caldwell told The Times Herald. “No later than February 28, the municipality will cease to provide or pay for maintenance of 770 Sandy Street.” Previously, Norristown had received court orders to repair the building, after numerous construction defects turned up including “missing firestops in numerous walls, missing grout and steel rebar in block-wall, emergency stair towers, faulty electrical wiring and no provision for firestopping in the first-floor garage ceiling.” City officials “were faulted by Montgomery County Common Pleas Court judges for not properly inspecting the construction.” Charles Madracchia, past Customers Bank attorney and current Homeowner attorney, is “continuing active litigation in both federal and state court.” Read the court decision
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    Los Angeles Is Building a Future Where Water Won’t Run Out

    February 28, 2022 —
    A helicopter whisks off a rooftop in downtown Los Angeles, climbs above a thin layer of haze and soars over barren mountains past the city’s edge. Soon, scars of climatic stress are evident to L.A. Mayor Eric Garcetti and Martin Adams, general manager and chief engineer of the city’s water and power department, as they peer out the windows. Trees torched years ago by wildfire. Flats parched by sun and little precipitation. It’s another July scorcher, days after California Governor Gavin Newsom asked residents to conserve amid one of the worst droughts on record. The crisis spans across the southwestern U.S. Outside Las Vegas, the enormous Lake Mead reservoir that feeds the Golden State as well as Nevada and Arizona plunged in June to its lowest level since 1937. In August, federal officials ordered the first-ever water cuts on a Colorado River system that sustains about 40 million people. Even after pounding holiday storms, 64% of the land in Western states was still experiencing severe to exceptional drought in January, which is on track to be the driest on record in some parts. Reprinted courtesy of Brian Eckhouse, Bloomberg and Laura Bliss, Bloomberg Read the court decision
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    Client Alert: Michigan Insurance Company Not Subject to Personal Jurisdiction in California for Losses Suffered in Arkansas

    February 05, 2015 —
    In Greenwell v. Auto-Owners Ins. Co. (No. C074546, Filed 1/27/2015) (“Greenwell”), the California Court of Appeal, Third Appellate District, held a California resident could not establish specific personal jurisdiction over an insurance company, located in Michigan, which issued a policy of insurance to the California resident where the claimed loss occurred in Arkansas. Plaintiff purchased a policy of insurance from defendant, Auto-Owners Ins. Co. (“Auto”), a Michigan corporation. The policy provided commercial property coverage for an apartment building owned by Plaintiff, located in Arkansas. The policy also provided commercial general liability coverage for plaintiff’s property ownership business, which plaintiff operated from California. Both coverage provisions insured certain risks, losses, or damages that could have arisen in California. The dispute which arose between Plaintiff and Defendant, however, involved two fires that damaged the apartment building in Arkansas. As a result of coverage decisions that Auto made in the handling of the claim, plaintiff filed suit for breach of contract and bad faith. Reprinted courtesy of Haight Brown & Bonesteel LLP attorneys R. Bryan Martin, Lawrence S. Zucker II and Kristian B. Moriarty Mr. Martin may be contacted at bmartin@hbblaw.com; Mr. Zucker may be contacted at lzucker@hbblaw.com; and Mr. Moriarty may be contacted at kmoriarty@hbblaw.com Read the court decision
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    Wildfire Insurance Coverage Series, Part 2: Coverage for Smoke-Related Damages

    July 03, 2022 —
    For many policyholders, smoke emanating from wildfire causes as much if not more damage than the fire itself. In this post in the Blog’s Wildfire Insurance Coverage Series, we discuss damages caused by smoke emanating from wildfires. Some insurers argue that policies are limited to fire damage to the insured property and do not include smoke damage associated with nearby fires. A treatise frequently cited by insurers states otherwise: “The concept that fire insurance covers non-fire damage which is the proximate result of fire finds application also when the fire occurs on other property and causes harm to the insured property. In such case, the harm to the insured property, even though it is a non-fire harm, has long been recognized to be the result of fire, and, therefore, within the policy coverage.”[1] 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 decision
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    Brookfield Wins Disputed Bid to Manage Manhattan Marina

    January 28, 2015 —
    (Bloomberg) -- Brookfield Property Partners won a bid to run a marina in New York’s Battery Park City neighborhood over the objections of residents backing a local businessman who operated the facility and a popular sailing club and school. The state’s Battery Park City Authority voted Thursday to approve a 10-year agreement with Brookfield, which owns an adjacent 8 million-square-foot office and retail complex. Brookfield is bringing in billionaire real estate investor Andrew Farkas’s Island Global Yachting to manage the North Cove Marina. Read the court decision
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    Reprinted courtesy of Martin Z Braun, Bloomberg
    Mr. Braun may be contacted at mbraun6@bloomberg.net