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DIRECTORY AND CAPABILITIES

Engineering, Architecture, and Modern Technology – An Interview with Dr. Jakob Strømann-Andersen

September 14, 2020 — Aarni Heiskanen - AEC Business
We sat down with Dr. Jakob Strømann-Andersen of Henning Larsen’s Sustainability Engineering Department. Our talk covered the need for interdisciplinary research, sustainable practice, and how technology will lead change in the years ahead. Can you tell us a bit about your professional background and what you’re currently working on? I’m a partner with Henning Larsen and work with around 300 architects globally. We’re based in Copenhagen where we’re 200 people strong, with branches throughout the world. I’m a trained engineer with a civil engineering background – making me the first partner that’s not an architect. I’ve been with the company for 15 years and joined as an industrial research Ph.D. in Denmark. For my first three years here, I was employed as a researcher doing research and energy-efficient building design. And that’s where we started with our approach to sustainability. Read the court decision
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Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

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Contractor Definition Central to Coverage Dispute

July 22, 2024 — Stacy R. Goldscher & Tracy M. Lewis - Wood Smith Henning & Berman
How do you define the term "contractor?" In the case of California Specialty Insulation Inc. v. Allied World Surplus Lines Insurance Company, No. B324805 (2024), the court ultimately honored the reasonable expectations of the insured and ordered that the insurer defend and indemnify in an underlying suit stemming from the policy. This case involves a commercial general liability insurance policy issued by Allied World Surplus Lines Insurance Company (Allied) to California Specialty Insulation, Inc. (CSI). The central issue is whether Allied World is obligated to defend and indemnify CSI against a negligence claim stemming from a construction site accident. The dispute hinges on the interpretation of a policy exclusion for bodily injury to employees of any "contractor," a term not defined in the policy. Factual Background In 2017 Air Control Systems. Inc. (Air Control) was contracted to perform improvement work at a Los Angeles building and subsequently hired CSI to install duct insulation. In 2019, Jason Standiford, and Air Control employee, filed a negligence lawsuit against CSI, alleging injuries from a 2017 incident where a CSI employee allegedly drove a scissor lift into a ladder Standiford was on, causing him to fall. CSI requested Allied World to defend it in the Standiford lawsuit. Initially, Allied World accepted the defense, but later withdrew, citing the Contractor Exclusion in the policy. CSI filed for declaratory relief, leading to cross-motions for summary judgment. The trial court ruled in favor of CSI, finding the term contractor ambiguous and construing it in CSI's favor. Allied World appealed the decision. Reprinted courtesy of Stacy R. Goldscher, Wood Smith Henning & Berman and Tracy M. Lewis, Wood Smith Henning & Berman Ms. Goldscher may be contacted at sgoldscher@wshblaw.com Ms. Lewis may be contacted at tlewis@wshblaw.com Read the court decision
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Real Estate & Construction News Roundup (07/05/23) – A Hospitality Strike in Southern California, Agencies Step in With Lenders and the Social in ESG

August 14, 2023 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
In our latest roundup, we see promising developments for climate change action in commercial real estate, how homeowners are reacting to new energy concerns, the fallout of the U.S. debt ceiling fight on global M&A deals, and more!

• There are new ways the commercial real estate sector can grow its commitment to climate goals and contributions to reducing its carbon footprint. (Mahesh Ramanujam, Forbes)
• Thousands of hospitality workers in Southern California went on strike to demand higher wages, access to affordable family health care benefits and stronger workplace protections. (Julianne McShane, NBC)

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Reprinted courtesy of Pillsbury's Construction & Real Estate Law Team

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New York Building Boom Spurs Corruption Probe After Death

August 19, 2015 — Chris Dolmetsch & David M. Levitt – Bloomberg
New York’s building boom has spurred the formation of a task force to probe corruption in the construction industry. The group of prosecutors and inspectors plan to go after companies that ignore or hide safety violations or commit other crimes including bid rigging and extortion. The formation of the task force was announced the same day two men and their companies were indicted for causing a worker’s death in April by failing to address repeated warnings about safety at a construction site in Manhattan’s Meatpacking District. Reprinted courtesy of Chris Dolmetsch, Bloomberg and David M. Levitt, Bloomberg Read the court decision
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Manufacturer of Asbestos-Free Product May Still Be Liable for Asbestos Related Injuries

July 30, 2015 — Kristian B. Moriarty, R. Bryan Martin and Lee Marshall – Haight Brown & Bonesteel LLP
In Sherman v. Hennessy Industries, Inc. (No. B252566, filed June 18, 2015), the Court of Appeal, Second District, reversed a trial court’s grant of summary judgment in favor of a manufacturer of a brake grinding machine. The Court cited an exception to the general rule that manufacturers may not be held liable, under a strict products liability theory, where the plaintiff’s injuries arise from other products that are used in conjunction with the defendant’s product. Plaintiff and appellant, Michael Sherman, was an automobile mechanic from 1962 to 1977. Mr. Sherman alleged that during this period he used an arcing machine, which abraded brake linings by means of sand paper moving at high speeds. Sherman alleged the machine released asbestos dust, which he then brought home, exposing his wife Debra Sherman to asbestos. Ms. Sherman developed mesothelioma and passed away from exposure to the asbestos dust carried home by her husband. Reprinted courtesy of Kristian B. Moriarty, R. Bryan Martin and Lee Marshall of Haight Brown & Bonesteel LLP Mr. Moriarty may be contacted at kmoriarty@hbblaw.com Mr. Martin may be contacted at bmartin@hbblaw.com Mr. Marshall may be contacted at lmarshall@hbblaw.com Read the court decision
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Drop in Civil Trials May Cause Problems for Construction Defect Cases

August 27, 2013 — CDJ STAFF
Over the last fifty years, the number of lawsuits that have been settled by trial have dropped sharply, according to Kenneth Childs, writing in the Idaho Business Review. Childs notes that in 1962, 11.5% of federal civil cases were resolved at trial, but in 2002, only 1.8 % percent went to trial. He makes the supposition that, due to their complexity, construction defect trials are even less likely to be resolved at trial. Instead, they are being resolved in mandatory arbitration. Views on arbitration have changed over the years and the courts have gone from what he describes as “somewhat hostile to it” to embracing, encouraging, and even mandating it. Childs notes there are some problems to this climate of arbitration. He notes that arbitrators can “operate by their own rules and according to their own standards.” The decisions made by arbitrators “are not subject to appellate review,” which allows arbitrators “to ignore the law entirely.” Read the court decision
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Three Reasons Late Payments Persist in the Construction Industry

December 22, 2019 — Patrick Hogan - Construction Executive
Construction professionals are all too familiar with the payment issues that plague the construction industry. Contractors, subcontractors and material suppliers often have to deal with payment delays and even nonpayment—affecting cash flow and their ability to meet expenses. According to an Atradius study, a quarter of all B2B invoices issued in North America are overdue. The construction industry accounted for one-third of those past-due invoices, and many contractors and construction business owners do not have a positive outlook on the industry's payment issues. The same survey found 55% of U.S. firms think there will be no change in the industry’s payment practices over the coming months—one-third even expects an increase in late payments. These findings show that managing cash flow is a significant challenge in the construction industry. Having a negative cash flow will push the company toward financial trouble, which may ultimately lead to its demise. Understanding the reasons why payment issues persist in construction will help contractors protect their business, prevent these issues from happening or at least minimize their effect on the current operations. Reprinted courtesy of Patrick Hogan, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Agreement Authorizing Party’s Own Engineer to Determine Substantial Compliance Found Binding on Adverse Party

August 30, 2021 — Garret Murai - California Construction Law Blog
When it comes to resolving construction disputes it’s a bit like the “31 Flavors” of Baskin Robins. There’s a flavor for nearly everyone. From mediation, to arbitration, to litigation, to dispute resolution boards (DRBs), to the architect as the “initial decision maker” under AIA contracts, parties and their counsel have developed numerous ways to resolve disputes on construction projects, including by expert review. But if you’re going to agree to a dispute resolution procedure, make sure it’s one you can live with, because if you don’t, it’s often going to be too late to go back to the proverbial drawing board as the parties in the next case discovered. The Coral Farms Case In December 2010, a mudslide impacted three properties in San Juan Capistrano, California. One of the properties was owned by Coral Farms, L.P., another by Paul and Susan Mikos, and the third by Thomas and Sonya Mahony. Read the court decision
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Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

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