NYC Supertall Tower Condo Board Sues Over Alleged Construction, Design 'Defects'
October 04, 2021 —
James Leggate - Engineering News-RecordThe condominium board at a 1,396-ft-tall residential tower on New York City’s Billionaires’ Row has sued the building’s developers, claiming to have identified more than 1,500 construction and design defects in common areas alone.
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James Leggate, Engineering News-Record
Mr. Leggate may be contacted at leggatej@enr.com
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Los Angeles Warehousing Mecca Halts Expansion Just as Needs Soar
September 05, 2022 —
Ngai Yeung & Augusta Saraiva - BloombergCommunities in the Inland Empire, the US’s logistics mecca east of Los Angeles, are suspending new warehousing projects to examine the impact from decades of pollution -- putting the industry under pressure when it’s needed most.
This week, the city council for Pomona is set to vote on extending a temporary halt on industrial developments to study the environmental impact, while the nearby city of Norco will decide whether to establish a 45-day moratorium. The actions follow similar freezes by a handful of Southern California cities like Riverside, Colton, Chino and Redlands over the past several years.
Meanwhile, a state-level bill -- which is a long-shot to pass in the legislature but gives a reading of the mood -- proposes banning large industrial construction within 1,000 feet of non-industrial areas such as schools, homes and playgrounds in Riverside and San Bernardino counties, an area that spans 27,000 square miles.
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Ngai Yeung, Bloomberg and
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Under the Hood of U.S. Construction Spending Is Revised Data
January 06, 2016 —
Vince Golle – BloombergHere’s one key takeaway from the Commerce Department’s report Monday on U.S. construction spending. The
0.4 percent decrease in November, which itself was weaker than the most pessimistic Bloomberg survey forecast, was accompanied by downward revisions to prior months. The combination suggests some economists may revise down their fourth-quarter GDP tracking forecasts.
* October construction spending rose 0.3 percent, compared with a prior estimate of 1 percent, while September outlays advanced 0.2 percent versus a previous estimate of a 0.6 percent gain
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Vince Golle, Bloomberg
“Source of Duty,” Tort, and Contract, Oh My!
September 06, 2023 —
Christopher G. Hill - Construction Law MusingsHere at Construction Law Musings, I have discussed the general rule in Virginia that
tort and contract do not mix. I have also discussed a
few narrow exceptions. A Virginia Supreme Court case from October of 2019 lays out both sides of this issue in one glorious opinion.
In
Tingler v. Graystone Homes, Inc., a summary of the facts and lawsuit(s) are as follows: Water leaks developed after the home was built. Graystone’s post-construction efforts to repair the leaks and remediate mold were unsuccessful. The Tinglers and their children abandoned the home after developing mold-related medical problems. The Tinglers and their children sued Graystone in tort for personal injury, property damage, and economic loss. In other litigation that will not be discussed in this post, but that is described in the opinion linked above, Belle Meade sued Graystone in contract for property damage and economic losses. George and Crystal Tingler filed a separate complaint alleging the same contract claims.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Be Careful with Good Faith Payments
February 24, 2020 —
Christopher G. Hill - Construction Law MusingsSometimes doing the expedient thing and what looks good at the time can come back to bite you. Just ask 3M Company.
In Faneuil, Inc. v. 3M Co., the Virginia Supreme Court considered a customer services subcontract between Faneuil and 3M relating to a toll collection contract 3M entered into with ERC. The subcontract had a “pay if paid” clause in it requiring payment to 3M from ERC before ERC was required to pay Faneuil, a written change order provision and a base monthly payment to Faneuil for the services that could be reduced in the event of less than expected toll collections. Further, the subcontract stated that if either party settled 3rd party claims, that settlement would not bind the other party to the subcontract absent consent or Court order.
Faneuil was then alleged to have been required to provide “Special Services” relating to manual identification of license plates and other information necessary for toll billing due to 3M’s alleged failure to provide adequate imaging services. Faneuil requested (without written change order) and 3M promised to pay extra for these services. When 3M was slow to pay for the special services, Faneuil did what you would expect and threatened to stop providing them. Instead of contesting the right to the work, 3m made sporadic “good faith” payments to induce continued Special Services from Faneuil. Eventually 3M’s issues caused ERC to stop payments and thus 3M stopped paying Faneuil. 3M then settled the payment claims with ERC and still failed to pay Faneuil.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Expired Contract Not Revived Due to Sovereign Immunity and the Ex Contractu Clause
September 15, 2016 —
David R. Cook Jr. – AHHC Construction Law BlogA few months ago, a decision by the Supreme Court of Georgia in Georgia Department of Labor v. RTT Associates, Inc. provided a strict rule for contractors who work with state agencies to determine whether a state agency has waived its sovereign immunity. The issue as framed by the Court was “whether an agency’s waiver of immunity from a breach of contract claim as a result of entering into a written contract remains intact in the event the contract is extended without a written document signed by both parties expressly amending the contract, as required by its terms.”
The case involved a contract executed on March 1, 2012, by a contractor, RTT Associates, Inc. (RTT), and the Georgia Department of Labor (DOL), whereby RTT was to develop certain computer software for the DOL by the completion date, June 30, 2012. The contract required that amendments be in writing and fully executed by both parties. Time was of the essence and RTT’s obligation under the contract survived the expiration or termination of the contract.
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David R. Cook Jr., Autry, Hanrahan, Hall & Cook, LLPMr. Cook may be contacted at
cook@ahclaw.com
Know and Meet Your Notice Requirements or Lose Your Payment Bond Claims
May 17, 2021 —
Chris Broughton, Jones Walker LLP - ConsensusDocsTime is of the essence in the construction industry, and failing to provide timely notice of your payment bond claim can end your chance of recovery. Payment bonds guarantee payment for the subcontractors and suppliers who provide labor or materials on covered construction projects. Federal and state statutes governing payment bonds on public projects and the specific terms of non-statutory, private payment bonds have strict notice and timing requirements. Claimants who fail to provide timely notice can forfeit their chance of recovery. This article provides a brief overview of the notice requirements for payment bond claims – who has to give notice, what notice is required, and when you have to give notice.
Payment bond protection is a frequent feature in construction. Payment bonds are required on most federal construction projects of over $100,000 under the federal Miller Act. Similar state statutes, typically referred to as “Little Miller Acts,” also require payment bonds on most state and local construction projects. Owners on private projects may require their general contractor to provide a payment bond to protect the property from liens. Finally, general contractors may also require subcontractors to provide payment bonds on public or private projects.
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Chris Broughton, Jones Walker LLPMr. Broughton may be contacted at
cbroughton@joneswalker.com
Changes to Arkansas Construction and Home Repair Laws
September 30, 2011 —
CDJ STAFFA new law, set to take effect in 2012, lowers the ceiling on when work must be done by a licensed contractor. Through the end of the year, projects costing $20,000 or more had to be done by an Arkansas licensed contractor. As of January 1, 2012, that new limit will be $2,000.
This will apply to all single-family residences and according to Lovely County Citizen, covers “construction, alteration, renovation, repair, modification, improvement, removal, demotion, or addition to a pre-existing structure.” Residential building contractors will be required to have workers compensation insurance, as will home improvement contactors if they take jobs worth more than $20,000.
Morris Dillow, a building inspector in Holiday Island, said, “It will get these scammers out of here who are ripping people off.” He cited the example of a contractor who after getting paid for roof repairs and painting, left the job unfinished.
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