Seattle Washington Building Expert Directory

Balfour in Talks With Carillion About $5 Billion Merger

July 30, 2014 — Simon Thiel and Alex Webb – Bloomberg
Balfour Beatty Plc (BBY), the U.K. construction company whose chief quit in May after predicting a profit drop, is in merger talks with rival Carillion Plc (CLLN) to form the country’s biggest builder with a market valuation of about 3 billion pounds ($5 billion). A deal would create a market-leading service and construction business able to serve more clients and cut costs, the builders said in a statement yesterday, adding that they’re trying to develop a strategy and business plan. Balfour and Carillion surged as much as 13 percent and 14 percent respectively in London trading today. Balfour, based in London, has struggled since the global recession, with a lack of building work in the U.K. and the cancellation of projects across Australia, where the company cut hundreds of jobs last year. A merged company would benefit from Carillion’s booming services business as the Wolverhampton, England-based builder expands its maintenance offerings for the rail, oil and telecommunication industries. Mr. Thiel may be contacted at sthiel1@bloomberg.net; Mr. Webb may be contacted at awebb25@bloomberg.net Read the court decision
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Reprinted courtesy of Simon Thiel and Alex Webb, Bloomberg

Duty to Defend Requires Payments Under Policy's Supplemental Payments Provision

February 16, 2017 — Tred R. Eyerly – Insurance Law Hawaii
The California Court of Appeal determined there was no duty to indemnify and the insured had to reimburse the insurer's contribution to a settlement. Nevertheless, there was a duty to defend, meaning the insured did not have to reimburse amounts it was entitled to under the supplemental payments provision. Navigators Specialty Ins. Co. v. Moorefield Constr., 2016 Cal. App. LEXIS 1132 (Cal. Ct. App. Dec. 27, 2016). Moorefield was the general contractor for a shopping center project to be developed by DBO Development No. 28 (DBO). The project included the construction of a 30,055-square-foot building to by used as a Best Buy store. In January 2002, DBO entered a 15-year lease with Best Buy. 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

EEOC Focuses on Eliminating Harassment, Recruitment and Hiring Barriers in the Construction Industry

September 09, 2024 — Aaron C. Schlesinger & Stephen E. Irving - Peckar & Abramson, P.C.
The Equal Employment Opportunity Commission (EEOC), whose mission is to enforce the nation’s anti-discrimination laws, released new guidelines on June 18, 2024, entitled Promising Practices for Preventing Harassment in the Construction Industry. The guidelines are in support of its Strategic Enforcement Plan for the fiscal years 2024-2028 for combatting systemic harassment and eliminating barriers in recruitment and hiring in the construction industry. With these guidelines, the EEOC has identified harassment as an ongoing issue in the construction industry, and that immediate attention and resolution is required. The EEOC specifically recommends that the following five core principles that it has found effective in preventing and addressing harassment be implemented by construction industry employers:

Committed and engaged leadership;
Consistent and demonstrated accountability;
Strong and comprehensive harassment policies;
Trusted and accessible complaint procedures; and
Regular, interactive training tailored to the audience and the organization.

Reprinted courtesy of Aaron C. Schlesinger, Peckar & Abramson, P.C. and Stephen E. Irving, Peckar & Abramson, P.C. Mr. Schlesinger may be contacted at aschlesinger@pecklaw.com Mr. Irving may be contacted at sirving@pecklaw.com Read the court decision
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'Perfect Storm' Caused Fractures at San Francisco Transit Hub

January 08, 2019 — Nadine M. Post - Engineering News-Record
The underlying causes of the trouble at San Francisco’s 4.5-block-long Salesforce Transit Center are coming into focus. A combination of low fracture toughness deep inside thick steel plates, cracks present as a consequence of normal steel fabrication and stress levels from loads, which are a function of design, apparently caused brittle fractures in the bottom flanges of the center's twin built-up plate girders that span 80 ft across Fremont Street. Read the court decision
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Reprinted courtesy of Nadine M. Post, ENR
Ms. Post may be contacted at postn@enr.com

AB 1701 – General Contractor Liability for Subcontractors’ Unpaid Wages

November 08, 2017 — Alex Baghdassarian, Eric M. Gruzen, and Kerri Sakaue - Peckar & Abramson, P.C.
Contractors will soon find themselves on the frontline of wage disputes on projects if laborers working on behalf of their subcontractors or vendors are unpaid. On October 14, 2017, Governor Jerry Brown signed into law AB 1701, which will allow laborers to seek direct compensation from the general contractors on private projects, if their wages remain unpaid. The legislative mandate requires direct contractors—defined as contractors who have a direct contractual relationship with an owner—to assume liability for any debt incurred by a subcontractor, at any tier, for a wage claimant’s performance of labor included in the subject of the original contract between the general contractor and the owner. The California bill will apply to all private construction contracts entered into on or after January 1, 2018. Previously, all laborers could maintain a mechanic’s lien claim against private property, without needing to serve a 20-day preliminary notice, but there was no statutory obligation on the “direct contractors” to reimburse the laborers their unpaid wages. Reprinted courtesy of Peckar & Abramson, P.C. attorneys Alex Baghdassarian, Eric M. Gruzen and Kerri Sakaue Mr. Baghdassarian may be contacted at abaghdassarian@pecklaw.com Mr. Gruzen may be contacted at egruzen@pecklaw.com Ms. Sakaue may be contacted at ksakaue@pecklaw.com Read the court decision
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Bar Against Forum Selection Clauses in Construction Contracts Extended to Design Professionals

October 28, 2015 — Garret Murai – California Construction Law Blog
It’s a tactic as old as war itself. You can often gain a strategic advantage by selecting the location of battle. The same is true in litigation. But as the next case illustrates, when it comes to disputes between contractors (and design professionals), it isn’t always the combatants who dictate where the battle will be fought. Vita Planning and Landscape Architecture, Inc. v. HKS Architects, Inc. In Vita Planning and Landscape Architecture, Inc. v. HKS Architects, Inc., Case No. A141010, California Court of Appeals for the First District (September 25, 2015), Texas architecture firm HKS Architects, Inc. (“HKS”) was hired to provide architectural services. HKS’ design service agreement included a Texas forum selection clause which provided:
As a condition precedent to the institution of any action [or] lawsuit all disputes shall be submitted to mediation” and “[a]ll claim , disputes, and other matters in question between the parties arising out of or related to the Agreement . . . be resolved by the . . . courts in . . . Texas.”
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Reprinted courtesy of Garret Murai, Wendel Rosen Black & Dean LLP
Mr. Murai may be contacted at gmurai@wendel.com
Substantial Completion Explained: What Contractors & Owners Should Know
January 17, 2022 — Travis Colburn - Ahlers Cressman & Sleight
A project’s Substantial Completion date is a critical construction milestone for contractors and owners. Depending on the contract, the date of Substantial Completion has project-specific contractual and statutory consequences. Substantial Completion is an “event” – there is no universal definition of the term. It is generally understood to be (1) a point in time (2) when work performed by the contractor is sufficiently complete (3) where it can be used or occupied for the owner’s intended purpose. The date of Substantial Completion is generally established at the time of contract formation (either as a negotiated or a contract set date), and that date may be adjusted over the course of a project to account for excusable delays. As a construction professional, your attorney should review and tailor any written agreement to your project-specific needs and risk tolerances prior to execution. Savvy construction professionals often start with standard form agreements promulgated by the American Institute of Architects (“AIA”), the Design-Build Institute of America (“DBIA”), or the Engineers Joint Contract Document Committee (“EJCDC”) as the basis for their construction contracts. The AIA, DBIA, and EJCDC standard forms each contains contract provisions relating to when and what happens once Substantial Completion has occurred, subject to any agreed-to, project-specific deviations. Read the court decision
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Reprinted courtesy of Travis Colburn, Ahlers Cressman & Sleight
Mr. Colburn may be contacted at travis.colburn@acslawyers.com
New York Court Permits Asbestos Claimants to Proceed Against Insurers with Buyout Agreements
December 06, 2021 — Patricia B. Santelle & Frank J. Perch, III - White and Williams LLP
A recent New York federal district court decision addresses a number of issues in the context of asbestos coverage involving an insolvent insured, holding that policy buyout agreements between the insured and its insurers did not bar actions by certain tort judgment creditors against some of the settling insurers, and further finding that such agreements can constitute fraudulent conveyances, especially where the proceeds of the settlement are not reserved for payment of insured claims. In the litigation pending in the Western District of New York (Mineweaser v. One Beacon Insurance Company, et al., No. 14-CV-0585A), certain asbestos plaintiffs sought recovery from excess insurers for judgments obtained against an insolvent asbestos supplier (Hedman Resources, formerly known as Hedman Mines), which ceased operations in 2007 due to insolvency. Hedman had at one time been a subsidiary of Gulf & Western. As of 2009-2011, the excess insurers of Gulf & Western were advised of exhaustion of primary insurance as well as Hedman’s insolvency. Reprinted courtesy of Patricia B. Santelle, White and Williams LLP and Frank J. Perch, III, White and Williams LLP Ms. Santelle may be contacted at santellep@whiteandwilliams.com Mr. Perch may be contacted at perchf@whiteandwilliams.com Read the court decision
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