Chimney Collapses at South African Utility’s Unfinished $13 Billion Power Plant
November 21, 2022 —
Paul Burkhardt - BloombergSouth Africa’s newest coal-fired power plant, which has been under construction since 2008 and will cost an estimated 232 billion rand ($12.7 billion), shut one of its six generating units after a duct collapsed.
The unit at the Kusile plant could remain offline “for a few months” although a clearer estimate will be known over coming weeks, state-owned utility Eskom Holdings SOC Ltd. said in a statement late Wednesday. The outage comes as the country endures record blackouts -- locally known as loadshedding.
The duct appeared to have sheared off from the unit’s main structure, a photo posted on Twitter by Anton Eberhard, a professor at the University of Cape Town’s Graduate School of Business, showed.
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Paul Burkhardt, Bloomberg
General Contractors: Consider Importance of "Primary Noncontributory" Language
February 16, 2017 —
David Adelstein – Florida Construction Legal UpdatesIn prior articles, I reinforced the importance of general contractors including “primary and noncontributory” language in subcontracts and requiring the subcontractor to provide an analogous “primary and noncontributory” endorsement. As a general contractor this is important, particularly since you are going to require the subcontractor to (i) indemnify you for claims relating to personal injury, property damage, or death, and (ii) identify you as an additional insured under its commercial general liability (CGL) policy for claims arising out of the subcontractor’s scope of work. The “primary and noncontributory” language in your subcontracts allows you to maximize the value of your additional insured status.
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David Adelstein, Florida Construction Legal UpdatesMr. Adelstein may be contacted at
dadelstein@gmail.com
Attorney’s Fees Entitlement And Application Under Subcontract Default Provision
May 06, 2019 —
David Adelstein - Florida Construction Legal UpdatesMany subcontracts contain a provision in the default section that reads something to the effect:
“Upon any default, Subcontractor shall pay to Contractor its attorney’s fees and court costs incurred in enforcing this Subcontract or seeking any remedies hereunder.”
Oftentimes, a party may wonder as to the enforceability of the provision and how it is applied in the context of a dispute between a contractor and its subcontractor where both parties have asserted claims against the other.
In an opinion out of the Middle District of Georgia, U.S. f/u/b/o Cleveland Construction, Inc. v. Stellar Group, Inc., 2019 WL 338887 (M.D.Ga. 2019), a subcontractor and prime contractor on a federal construction project each asserted claims against the other in the approximate amount of $4 Million, meaning there was a potential $8 Million swing in the dispute.
The subcontract contained a provision entitling the contractor to recover attorney’s fees incurred in enforcing the subcontract or seeking remedies under the subcontract upon any default, identical to the provision above.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Precedent-Setting ‘Green’ Apartments in Kansas City
September 17, 2015 —
Beverley BevenFlorez-CDJ STAFFAccording to the Kansas City Star, the Missouri riverfront apartment development, Second and Delaware, is being constructed with “greener-than-green technology” and features the following: “Sixteen-inch-thick concrete walls. Rooftop gardens. A 90 percent reduction in energy use compared to current building codes.”
The two buildings “will comprise the largest U.S. multifamily apartment project using Passive House Institute-certified construction, a system that’s more energy-efficient than the highest LEED (Leadership in Energy and Environmental Design) building standard.”
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District Court denies Carpenters Union Motion to Dismiss RICO case- What it Means
March 16, 2017 —
Wally Zimolong – Supplemental ConditionsIn a case that has been widely discussed on this blog, a United States federal district court Judge denied the Philadelphia Carpenters’ Union’s motion to dismiss a federal RICO case filed against it by the Pennsylvania Convention Center. Judge Nitza I. Quiñones Alejandro issued the ruling on the Union’s motion.
Unfortunately, Judge Quinoses Alejandro did not issue an opinion to go along with her order. This is a bit unusual. Federal Judges routinely issue opinions (if only in footnote form) even on motion dealing with procedural issues. like discovery disputes. The lack of an opinion prevents us from knowing the Judge’s rationale for denying the motion. Therefore, the order lack precedental value for subsequent cases. However, I do not believe the order is any less significant. Potential plaintiffs now know that a federal RICO case against a union can survive a motion to dismiss. Moreover, the attorneys for the Convention Center have provided potential plaintiffs a road map for doing so. As I have stated before, the fact pattern in the Convention case is hardly unique and the tactics the Carpenters used in that case are de ri·gueur.
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Wally Zimolong, Zimolong LLCMr. Zimolong may be contacted at
wally@zimolonglaw.com
Equitable Subrogation Part Deux: Mechanic’s Lien vs. Later Bank Deed of Trust
September 15, 2016 —
Kevin J. Parker – Snell & Wilmer Real Estate Litigation BlogThis post follows, almost two years to the day, Rick Erickson’s post of August 29, 2014. As noted by Rick Erickson in his August 29, 2014 post, the Arizona Supreme Court in the Weitz case (2014) had determined that equitable subrogation principles were applicable to enable an earlier-recorded mechanic’s lien to be trumped by a later-recorded bank deed of trust, if the loan secured by the later deed of trust paid off a lien that had been ahead of the mechanic’s lien. In a decision filed August 9, 2016, the Arizona Court of Appeals further clarified the scope of such equitable subrogation.
In Markham Contracting Co., Inc. v. FDIC, No. 1 CA-CV 14-0752 (August 9, 2016), the Arizona Court of Appeals addressed a situation where a first-recorded deed of trust was followed by a second-recorded mechanic’s lien; and then, after the mechanic’s lien was recorded, a new lender made a secured construction loan that was used, in part, to pay off the loan that was secured by the first-position deed of trust. The key being “in part.” The subsequent lender loaned $4.8 million, but only $2.9 million went to pay off the balance owing on the first-position deed of trust.
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Kevin J. Parker – Snell & WilmerMr. Parker may be contacted at
kparker@swlaw.com
Effective Strategies for Reinforcing Safety Into Evolving Design Standards
July 02, 2024 —
Ethan Harris - Construction ExecutiveFrom design/build condos to built-to-suit warehouses, one factor remains the highest priority regardless of the project type—the approach to upholding the highest level of safety. Safety exists as a core value across all areas of the construction industry, but the increased risk of serious injuries or fatalities persists. Ranked fourth on the United States Bureau of Labor Statistics’ list of occupations with the most fatality rates, construction workers put their lives in danger each time they step onto the jobsite.
Considering this risk, it’s important for every team member—from subcontractors to superintendents—to take responsibility for safety compliance, empowering their workforce to take ownership of their own actions and hold others accountable for theirs. To help enhance safety efforts from start to completion, safety leaders are focusing on ways to implement safety standards within each component of a building’s design. Although this approach requires more comprehensive planning and strategizing on the front end, it is intended to reduce and mitigate hazards before they become larger issues. Keeping this idea in mind, here are a few actionable methods for managing projects designed around safety compliance.
ASSESS FIRST
No two jobsites are the same. From crowded pedestrian walkways to dangerous existing infrastructure, each project requires specific layouts, materials and processes to be fully functional both during and after construction. Given the unique nature of each site, a detailed risk assessment must be conducted before any other design and/or building activities begin. During this initial assessment, careful consideration should be placed on the overall flow as it relates to the people, processes and equipment located on or near the construction site.
Reprinted courtesy of
Ethan Harris, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Risk Management and Contracting after Hurricane Irma: Suggestions to Avoid a Second Disaster
September 14, 2017 —
Stephen H. Reisman, Gary M. Stein & Adam P. Handfinger – Peckar & Abramson, P.C.Peckar & Abramson attorneys have assisted contractors in the immediate aftermath of several Hurricanes, including Andrew in 1992, Wilma in 2005, Ike in 2008, and Sandy in 2012. Based on this experience, we offer some post-storm strategies for contracting and risk management in three situations:
- Ongoing projects in the area directly impacted by the storm;
- Projects remote from the storm-impacted areas, but which may be affected by material or labor shortages; and
- Requests for assistance in recovery/clean-up/rebuild eff orts, which would be new projects.
Projects Directly Impacted By Hurricane Irma:
1. Immediately review each Owner contract to determine what notices are required for delays and/or extra costs arising from the storm. Contract notice requirements and time limits vary, whether for force majeure or other similar time and compensation rights. There is no effective one-size-fits-all solution. While the initial notice letters will likely look very similar, you should make sure that each is sent as required by the contract. Check each contract’s requirements for particulars regarding content, the form of delivery, and parties and individuals designated to receive the letters as well as carbon copy recipients like the architect. Follow-up notices and time periods differ from contract to contract and should be tracked so that if, for example, a follow-up notice is required in a week per the contract terms, it is tracked to ensure compliance.
Reprinted courtesy of Haight Brown & Bonesteel LLP attorneys
Stephen H. Reisman,
Gary M. Stein and
Adam P. Handfinger
Mr. Reisman may be contacted at sreisman@pecklaw.com
Mr. Stein may be contacted at gstein@pecklaw.com
Mr. Handfinger may be contacted at ahandfinger@pecklaw.com
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