Cambridge Massachusetts Building Expert Directory

Can a Non-Union Company Be Compelled to Arbitrate?

August 02, 2017 — Wally Zimolong - Supplemental Conditions
Some of the most viewed topics on this blog are those concerning double breasted company. That is a two separate firms, commonly owned, one that is a signatory to a union and the other that is merit shop. An issue frequently encountered with double breasted construction companies is an union arbitrator’s jurisdiction over the non-signatory firm. The issue usually goes something like this. A signatory employer’s collective bargaining agreement contains language prohibiting double breasting (which could be invalid). The collective bargaining agreement also contains an arbitration provision requiring all disputes concerning a breach of the agreement (a grievance) be decided by an arbitrator in private arbitration. The union files a demand for arbitration claiming that the union signatory has breached the collective bargaining agreement’s anti-dual shop provision. The union names the non-union firm as a party to the arbitration based on its status as an alleged “single employer.” Read the court decision
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Reprinted courtesy of Wally Zimolong, Zimolong LLC
Mr. Zimolong may be contacted at wally@zimolonglaw.com

Duty to Defend Construction Defect Case Triggered by Complaint's Allegations

August 20, 2014 — Tred R. Eyerly – Insurance Law Hawaii
The subcontractor's insurer could not escape contributing to defense costs of its insured when coverage was possible based upon the underlying complaint's allegations. Seneca Ins. Co. v. James River Ins. Co., 2014 U.S. Dist. LEXIS 97156 (D. Ore. July 17, 2014). The underlying action alleged construction defects in a 60-unit complex located in Seaside, Oregon. S.D. Deacon Corp. was the general contractor and contracted with the owners association to reconstruct portions of the building, including the curtain wall. Deacon subcontracted with Superwall Design, LLP for work on the curtain wall renovation. At some point not specified in the underlying complaint, the Association notified Deacon of construction defects in the curtain wall renovation. Deacon investigated and concluded that the alleged property damage was the result of inadequate usage of materials, violations of state and local building codes, and violations of relevant industry standards relating to the work performed by Superwall. Deacon contended that the problems were caused by Superwall's faulty workmanship. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Condos Down in Denver Due to Construction Defect Litigation

November 06, 2013 — CDJ STAFF
A new report suggests that fears of construction defect litigation may be the cause of the slump in condo building in the Denver area. The Denver Business Journal reports that the Denver Regional Council of Governments commissioned the study by Economic & Planning Systems. The conclusion of the report was that the only type of condominium likely to be built is high-cost units with high profit margins. This is not good news for the DRCOG, which is seeking to create more affordable housing. The report found that builders assess the likeliness of being sued “is nearly 100 percent,” that costs of addressing construction defects are 12% higher than at apartment complexes, and that preparing for litigation adds about $15,000 to the cost of a condo unit. One possible remedy is to reform Colorado’s construction defect laws. Bob Muphy, the mayor of Lakewook and an advocate of construction defect litigation reform, said that he sees “this as a verification of what I’ve been talking about.” Read the court decision
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Reprinted courtesy of

Gone Fishing: Tenant’s Insurer Casts A Line Seeking To Subrogate Against The Landlord

October 17, 2022 — William L. Doerler - The Subrogation Strategist
In J&J Fish on Ctr. Str., Inc. v. Crum & Forster Specialty Ins. Co., No. 20-cv-644-bhl, 2022 U.S. Dist. LEXIS 16361, the United States District Court for the Eastern District of Wisconsin (District Court) recognized that “[t]here will be no further fish fries on Center Street until someone pays to repair the collapsed floor at J&J Fish on Center Street, Inc. (J&J Fish).” The contenders were: 1) J&J Fish; 2) its’ insurer, Crum & Forster Specialty Insurance Company (Insurer); and 3) J&J Fish’s landlord, Vision Land, LLC (Vision). Recognizing Insurer’s right to subrogate against Vision based on the terms of the parties’ lease, the District Court held Insurer owed J&J Fish coverage for the losses it sustained, but that Insurer could subrogate against Vision for anything it had to pay J&J Fish. In J&J Fish, Vision and J&J Fish signed a lease (Lease) for a building (the Building) located in Milwaukee, Wisconsin. The Lease required Vision to “purchase and keep in full force and effect on the building(s) . . . insurance against fire and such other risks as may be included in all-risks policies . . .” Vision, however, never obtained any insurance on the Building. Pursuant to the Lease, Vision also agreed to “maintain and repair the structure including the slab floor and exterior walls of the Premises.” With respect to J&J Fish, the Lease required J&J Fish to maintain “Physical Damage insurance, including but not limited to fire . . . and all other risks of direct physical loss as insured . . . for the full replacement cost of all additions, improvements (including leasehold improvements) and alterations to the Premises.” J&J Fish purchased a commercial property and casualty insurance policy (the Policy) from Insurer. The Policy covered “additions, improvements . . . and alterations” as the Lease required. In addition, it insured the Building itself against “collapse,” subject to certain exceptions. Read the court decision
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Reprinted courtesy of William L. Doerler, White and Williams LLP
Mr. Doerler may be contacted at doerlerw@whiteandwilliams.com

OSHA/VOSH Roundup

August 31, 2020 — Christopher G. Hill - Construction Law Musings
In an unusual flurry of occupational safety related activity, the Virginia courts decided two cases in the last week relating to either the review of occupational safety regulations themselves or their enforcement. In Nat’l College of Business & Technology Inc. v. Davenport (.pdf), the Virginia Court of Appeals considered what constitutes a “serious” violation of the exposure to asbestos Virginia Occupational Safety & Health (VOSH) regulations. The facts found by the Salem, Virginia Circuit Court were that employees of the petitioner college were exposed to asbestos insulation when they were required to enter a boiler room to retrieve paper files. However, no evidence was presented regarding the length of time or level of exposure at the Circuit Court level. Despite the lack of evidence regarding the level or extent of exposure, the Circuit Court upheld the VOSH citation for exposure and the level of violation at a “serious” level with the attendant penalty. The Virginia Court of Appeals disagreed with the second finding. The appellate court determined that the lack of evidence regarding the level of exposure (whether length or extent) made the serious level violation an error. The Court stated that merely presenting evidence that asbestos is a carcinogen is not enough given the number of carcinogenic materials in existence and then remanded the case back to Circuit Court to reconsider the penalty level. 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

Why A.I. Isn’t Going to Replace Lawyers Anytime Soon

April 18, 2023 — Amir Kahana - Kahana Feld
In a recent article entitled, “A.I. Is Coming for Lawyers, Again” the New York Times explored the longstanding idea that the legal profession is most at risk of being disrupted by A.I. The article claimed that: “There are warnings that ChatGPT-style software, with its humanlike language fluency, could take over much of legal work.” And that: “Law is seen as the lucrative profession perhaps most at risk from the recent advance in A.I. because lawyers are essentially word merchants.” The problem with these predictions is that they are based on a fundamental misunderstanding of what lawyers do, which is primarily to provide sound advice and formulate sophisticated strategy. All the wordsmithing in the world won’t make a bad case good, or vice versa. Lawyers do not have a Jedi mind trick. We analyze the facts, we make the best arguments possible under the circumstances, we advise our clients on their prospects, and we come up with a strategy for an optimal outcome, which almost always includes a path towards settlement. We are strategists and trusted advisors. Not wordsmithers. This is not anything ChatGPT or current A.I. can do, or even come close to doing. And how do I know that? Because in a recent Wall Street Journal article, experts on self-driving cars explain that A.I. is nowhere close to being able to drive a car autonomously. In an article entitled “When Will Cars Be Fully Self-Driving?” the experts explain that the main impediment to fully autonomous vehicles is how dumb A.I. is. As one of the leading experts explains, fully autonomous cars “would require human-level artificial intelligence, and there is no commonly accepted theory on how to get there. As long as there is no human-level AI, autonomous mobility will be limited.” Read the court decision
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Reprinted courtesy of Amir Kahana, Kahana Feld
Mr. Kahana may be contacted at akahana@kahanafeld.com

There’s an Unusual Thing Happening in the Housing Market

October 03, 2022 — Tracy Alloway - Bloomberg
It’s no secret that the US housing market has been softening as interest rates rise at the fastest pace in decades. Higher mortgage rates mean the dramatic growth in home prices that we’ve seen over the past two years is beginning to slow. Sales of new homes recently came in at the weakest monthly level since 2018. Meanwhile, purchase applications are down 20% year-on-year, and so on. But the rapid pace of rate hikes has also resulted in an interesting statistical anomaly. Months of supply — or the number of months it would take for the existing inventory of homes on the market to sell at the current sales pace — has jumped to 4.1 from a record low of just 2.1 back in January of this year. And, as Morgan Stanley strategist James Egan notes, rarely have we seen an increase of this size. To some extent, the jump in inventory is to be expected. It’s maths. As sales volume falls while inventories rise, months of supply naturally increases. But such a jump is intuitively striking, and the key question for housing-watchers is whether the absolute level of inventory — which is still low by many measures, even as homebuilders have ramped up construction since last year — will turn out to be more important than its rate of change. A housing market that is structurally undersupplied is going to be a lot less vulnerable to fewer sales. Read the court decision
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Reprinted courtesy of Tracy Alloway, Bloomberg

Quick Note: Remember to Timely Foreclose Lien Against Lien Transfer Bond

July 09, 2019 — David Adelstein - Florida Construction Legal Updates
When a construction lien is transferred to a lien transfer bond pursuant to Florida Statute s. 713.24, instead of foreclosing the lien against the real property, you are foreclosing the lien against the lien transfer bond. This is not a bad deal and, oftentimes, is probably ideal. Remember, however, just because a construction lien was transferred to a lien transfer bond (pre-lawsuit) does not mean you get more time to file your lien foreclosure lawsuit. A lawsuit must still be filed within one year (short of that period being specifically shortened under operation of the law). Read the court decision
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Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

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