Seattle Washington Building Expert Directory

Lumber Drops to Nine-Month Low, Extending Retreat From Record

August 30, 2021 — Marcy Nicholson - Bloomberg
Lumber futures slid to the lowest in more than nine months after sawmills ramped up production and demand from builders stabilized. September futures in Chicago fell as much as 4.4% to $482.90 per thousand board feet, the lowest for a most-active contract since Oct. 30. Prices have dropped more than 70% from the record high reached just three months ago. The tumble marks a stark turnaround for the common building material after strong U.S. construction demand during the pandemic spurred a surge in orders for lumber, causing prices to more than quadruple to their May peak and fueling inflation concerns. Sawmills have since increased output, and a shortage of other building supplies such as siding and windows has slowed the pace of construction, said Brian Leonard, an analyst with RCM Alternatives. Read the court decision
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Reprinted courtesy of Marcy Nicholson, Bloomberg

Catch 22: “If You’re Moving Dirt, You Need to Control Your Dust” (But Don’t Use Potable Water!)

February 18, 2015 — Stephen McKae – California Construction Law Blog
Returning from an Oregon vacation this past Summer along I-5, I found frequent reminders of the extraordinary drought conditions prevailing across California. A grey smoky gloom blanketed the California-Oregon border from Ashland to Weed from at least five wildfires. The prediction of rains in the north state was more curse than blessing as lightning threatened to touch off tender-dry fuel in the forests and start more fires. Farmers tilling fields produced massive dust clouds. And under the I-5 bridge along the Sacramento River arm of Lake Shasta, the lake had receded to the original streambed. On NOAA’s Palmer Drought Severity Index, nearly all of California is listed as in a condition of extreme or severe drought, and the Governor has issued a Proclamation of Continued State of Emergency requiring water conservation measures affecting all California residents. Indeed, early August news reports indicate that hopes of relief from an El Nĩno year are waning. The State Water Resources Control Board’s Emergency Regulation No. 2014 issued July 15 mandates action to reduce water use and require larger water suppliers to activate their Water Shortage Contingency Plan. The emergency regulation will remain in effect until April 25, 2015 unless extended due to ongoing drought conditions. Read the court decision
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Reprinted courtesy of Stephen McKae, Wendel Rosen Black & Dean LLP
Mr. McKae may be contacted at smckae@wendel.com

Home Prices in 20 U.S. Cities Increased 5% in Year to June

August 26, 2015 — Michelle Jamrisko – Bloomberg
Home prices in 20 U.S. cities climbed 5 percent in June from the same month a year earlier, a sign of more progress in the housing market. The increase in the S&P/Case-Shiller index of property values matched the year-over-year gains in the prior three months, the group said Tuesday in New York. The median estimate of economists surveyed by Bloomberg called for a 5.1 percent year-over-year advance. Nationally, prices rose 4.5 percent. Read the court decision
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Reprinted courtesy of Michelle Jamrisko, Bloomberg

California Insurance Commissioner Lacks Authority to Regulate Formula for Estimating Replacement Cost Value

April 15, 2015 — Valerie A. Moore and Christopher Kendrick – Haight Brown & Bonesteel LLP
In Assn. of Cal. Insurance Companies v. Jones ( No. B248622, filed 4/8/15), a California appeals court held that California’s Insurance Commissioner Dave Jones lacked the authority to promulgate California Code of Regulations, title 10, section 2695.183, which set out specific requirements for estimating replacement cost as part of any application or renewal for homeowners insurance. The regulation was promulgated in 2010 in response to complaints from homeowners who lost their homes in the wildfires in Southern California in 2003, 2007, and 2008, and who discovered that they did not have enough insurance to cover the full cost of repairing or rebuilding their homes because the insurers’ estimates of replacement value were too low when they purchased the insurance. Reprinted courtesy of Valerie A. Moore, Haight Brown & Bonesteel LLP and Christopher Kendrick, Haight Brown & Bonesteel LLP Ms. Moore may be contacted at vmoore@hbblaw.com Mr. Kendrick may be contacted at ckendrick@hbblaw.com Read the court decision
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Contract Construction Smarts: Helpful Provisions for Dispute Resolution

June 03, 2019 — Christopher G. Hill - Construction Law Musings
For this week’s Guest Post Friday, Musings welcomes back Doug Reiser (@douglasreiser), though from new digs. Doug is a construction attorney, LEED AP and the principal at Reiser Legal LLC in Seattle, WA. His office provides effective construction counsel for businesses in the construction industry. He also runs the Builders Counsel Blog, a blog focused on progressive issues in Washington construction law. Doug is a former partner/member at Wolfe Law Group LLC and former owner and director of Express Lien Inc. There are many types of attorneys out there, but there are certainly two styles: ones looking for the fight and ones trying to prevent the fight. I take the preventative approach. Client funds do not grow on trees. That old saying “an ounce of prevention is worth a pound of cure” should say a “ton of cure.” It’s that valuable. Sometimes the problem for prevention attorneys is trying to relay that message to a construction business. The cost of smart prevention is mainly thought of as just that – a cost. But when it buys you a cure for pennies on the dollar, it’s worth it. You will know it’s worth it when you finally become engaged in a costly three year long legal proceeding over a construction dispute. 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

"Is the Defective Work Covered by Insurance?"

January 04, 2018 — David Adelstein – Florida Construction Legal Updates
Originally Published by CDJ on March 16, 2017 I have been asked this question quite a bit from owners, in particular: “The contractor committed defective work, but it has insurance. Doesn’t the insurance cover this defective work?” Ugh, NO! There is this misconception that liability insurance, specifically, is the be-all-and-end-all when it comes to defective work. This could not be further from the truth. Don’t get me wrong – liability insurance is important; it is very, very important. However, liability insurance does not cover the risk of an insured’s defective work. Rather, liability insurance is designed to cover the risk of resulting damage: damage resulting from defective work. This is a significant distinction and one that is often overlooked. This is also why anyone encountering defective work should be working with an attorney to maximize insurance coverage or realize that the issue is not covered by insurance. Reprinted courtesy of David Adelstein, Florida Construction Legal Updates Read the court decision
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Reprinted courtesy of David Adelstein, Florida Construction Legal Updates
Mr. Adelstein may be contacted at dadelstein@gmail.com

Construction Contract Terms Matter. Be Careful When You Draft Them.

February 01, 2022 — Christopher G. Hill - Construction Law Musings
In a prior post, I discussed the case of Fluor Fed. Sols., LLC v. Bae Sys. Ordinance Sys in the context of the interplay between fraud, contract, and statutes of limitation. Some cases just keep on giving. This time the case illustrates the need for careful drafting of those pesky, and highly important, clauses in your construction documents. In the current iteration of this ongoing saga, the Court considered the contractual aspects of the matter. As a reminder, the facts are as follows: In May 2011, the United States Army (“Army) awarded BAE Systems Ordnance Systems, Inc. (“BAE”) a contract to design and construct a natural gas-fired combined heating and power plant for the Radford Army Ammunition Plant (“RAAP”). On October 7, 2015, BAE issued a request for a proposal from Fluor Federal Solutions, LLC (“Fluor”) to design and build a temporary boiler facility at a specific location on the RAAP property. On October 13, 2015, the Army modified the prime contract to change the location of the boiler facility. On December 10, 2015, the Army modified the prime contract to require BAE to design and construct a permanent boiler facility. On December 30, 2015, Fluor and BAE executed a fixed-price subcontract for Fluor to design and construct the temporary boiler. Throughout 2016, BAE issued several modifications to Fluor’s subcontract to reflect the modifications BAE received from the Army on the prime contract. On March 23, 2016, BAE directed Fluor to build a permanent – rather than temporary – boiler facility. On March 28, 2016, Fluor began construction of the permanent facility and began negotiations with BAE about the cost of the permanent facility. On September 1, 2016, the parties reached an agreement on the cost for the design of the permanent facility, but not on the cost to construct the permanent facility. On November 29, 2016, the parties executed a modification to the subcontract, officially replacing the requirement to construct a temporary facility with a requirement to construct a permanent facility and agreeing to “negotiate and definitize the price to construct by December 15, 2016.” The parties were unable to reach an agreement on the construction price. 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

Mechanic’s Liens and Leases Don’t Often Mix Well

May 03, 2021 — Christopher G. Hill - Construction Law Musings
As those who read my “musings” here at this construction law blog are well aware, the topic of Virginia mechanic’s liens is one that is much discussed. From the basic statutory requirements to the more technical aspects of these tricky beasts. One aspect of mechanic’s liens that I have yet to discuss in detail it how these liens attach in the situation where the contractor does work for a lessee and not for the owner of the underlying fee interest in the property. A recent case out of the Western District of Virginia federal court, McCarthy Building Companies Inc. v. TPE Virginia Land Holdings LLC, discusses the interaction of Va. Code 43-20, work on a leasehold, and parties necessary to any litigation relating to a lien for the work on that leasehold. The basic facts, outlined more thoroughly in the linked opinion, are these. MBC provided certain work to TPE Kentuck Solar, LLC on property leased from TPE Virginia Land Holdings, LLC. The lease was for a fixed term and for a fixed amount regardless of the work performed at the property. MBC was unpaid by the Kentuck entity and then recorded a lien on the property and then sued to enforce that lien and for unjust enrichment against TPE Land Holdings. TPE Land Holding filed a motion to dismiss the mechanic’s lien and unjust enrichment counts. 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

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