Fairfield Connecticut Building Expert Directory

Competitive Bidding Statute: When it Applies and When it Does Not

April 15, 2024 — Mason Fletcher - Ahlers Cressman & Sleight PLLC
The University of Washington (UW), a public university, aimed to secure a real estate developer for a new building on its campus. The proposal involved an 80-year ground lease (the “Lease”), and developers submitted bids. The selected developer would demolish an existing building, construct a new one, own it during the Lease at its own cost, and UW would lease back a portion, with ownership reverting to UW at the Lease’s end. Alexandria Real Equities, Inc. (ARE) was a finalist but ultimately was not selected, and the Lease was awarded to Wexford Science and Technology, LLC (Wexford). As a result, ARE filed suit against UW asserting three claims: 1) UW lacked authority to execute the Lease, 2) UW didn’t follow required competitive bidding procedures, and 3) UW’s developer selection process was arbitrary and capricious. None of these claims were successful and ARE appealed. Division II of the Washington Court of Appeals affirmed in Alexandria Real Estate Equities Inc. v. Univ. of Wash., __ Wn. App. __, 539 P.3d 54 (2023), a published decision. The Court concluded, based on the facts in that case, that because construction was not publicly funded, UW did not have to follow competitive bidding requirements that were laid out in a statute relevant to state universities. Still, the Court applied the “bright-line cutoff point” that prohibits disappointed bidders from challenging an award once a contract has been executed. See Dick Enterprises, Inc. v. Metro. King County, 83 Wn. App. 566, 572, 922 P.2d 184 (1996). Read the court decision
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Reprinted courtesy of Mason Fletcher, Ahlers Cressman & Sleight PLLC
Mr. Fletcher may be contacted at mason.fletcher@acslawyers.com

Construction Industry Survey Says Optimism Hits All-Time High

March 26, 2014 — Beverley BevenFlorez-CDJ STAFF
The Nashville Business Journal reported that “construction optimism has been growing exponentially since it hit an all-time low in 2009.” Furthermore, “Wells Fargo's 2014 Construction Industry Forecast saw the Optimism Quotient rise to an all-time high of 124 after a survey that was performed in January.” Reasons for the rise, according to Wells Fargo National Sales Manager John Crum, include “more capital available from banks, more public jobs and state and local governments being able to shore up their money supplies,” as quoted by the Nashville Business Journal. Read the court decision
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Termination for Convenience Clauses: Maybe More Than Just Convenience

June 06, 2022 — Robert C. Shaia - ConsensusDocs
A contractor begins work on a project and everything is going well, until one day the owner informs the contractor that it is being terminated for convenience. Possibly, there is no discussion about alleged defects, reasons for the termination, or any damages the owner might seek against the contractor. In that moment, the contractor may be unaware of any perceived wrongdoing or problems with its work. The industry has typically accepted that, in this scenario, the owner implicitly waives the right to any remedies against the contractor, except those expressly set forth in the contract. Reasonable minds might assume that, if the owner believed it needed to seek further remedies, it would terminate the contractor for cause instead of convenience. And often overlooked during contract negotiations are the benefits of including an express “waiver of remedies” in the termination for convenience section. Read the court decision
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Reprinted courtesy of Robert C. Shaia, Watt, Tieder, Hoffar, & Fitzgerald, LLP (ConsensusDocs)
Mr. Shaia may be contacted at rshaia@watttieder.com

Receiving a $0 Verdict and Still Being Deemed the Prevailing Party for Purposes of Attorney’s Fees

May 24, 2018 — David Adelstein - Florida Construction Legal Updates
Low and behold, a party can be the prevailing party for purposes of attorney’s fees even if that party is awarded $0. That’s right, even if the party is awarded a big fat zero, they can still be the prevailing party for purposes of being entitled to attorney’s fees. This is because a party is the prevailing party if they prevail on the significant issues in the case. A party can prevail on the significant issues even if that party is awarded $0. Whoa! For example, in Coconut Key Homeowner’s Association, Inc. v. Gonzalez, 43 Fla.L.Weekly D1045a (Fla. 4th DCA 2018), a homeowner sued her homeowner’s association claiming the association breached its governing documents. There was a basis for fees under Florida’s homeowner’s association law (and there likely was a basis under the governing documents). At trial, the jury held that the association breached its governing documents, but awarded the homeowner nothing ($0). The trial court also issued injunctive relief in favor of the homeowner. The homeowner claimed she should be deemed the prevailing party for purposes of attorney’s fees; however, this was denied by the trial court based on the $0 verdict and no fees were awarded to the homeowner. 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

Appraisers’ Failure to Perform Assessment of Property’s Existence or Damage is Reversible Error

July 30, 2015 — Christopher Kendrick and Valerie A. Moore – Haight Brown & Bonesteel LLP
In Lee v. California Capital Insurance Co. (No. A136280; filed 6/18/15), a California Court of Appeal held that it was error for an appraisal panel to assign loss values to items simply because they were listed in the insured’s scope of loss, and regardless of whether inspection revealed they were undamaged or never existed. California Capital insured a twelve unit apartment building owned by Ms. Lee in Oakland, California. When a fire damaged one unit, the insurer prepared an estimate of $69,255 and paid an undisputed amount of $46,755, which was the amount of the estimate less depreciation and the deductible. But Ms. Lee claimed that six of the units had been damaged, and she retained a public adjuster who submitted a claim exceeding $800,000. This included cleaning, asbestos abatement, reconstruction of the affected apartments, and loss of rent. She claimed burn damage to one unit and smoke damage requiring complete replacement of all the interior rooms of five apartments, along with removal of a portion of the stucco exterior and iron balcony railings and repainting of the entire building. Reprinted courtesy of Christopher Kendrick, Haight Brown & Bonesteel LLP and Valerie A. Moore, Haight Brown & Bonesteel LLP Mr. Kendrick may be contacted at ckendrick@hbblaw.com; Ms. Moore may be contacted at vmoore@hbblaw.com Read the court decision
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Insured's Motion for Reconsideration on Protecting the Integrity of Referral Sources under Florida Statute s. 542.335

September 28, 2017 — David Adelstein - Florida Construction Legal Updates
Referral sources are generally important for all businesses. Due to their importance, certain businesses require employees to execute non-solicitation or even non-compete agreements to protect the integrity of their referral sources. Now, whether referral sources for a particular business constitutes a legitimate business interest (very important words) is a question where the context must be examined. Nonetheless, in a case that is certainly important for businesses, the Florida Supreme Court held that referral sources can serve as a legitimate business interest. While this case dealt with home health care companies, the rationale would be the same no matter the business, provided that referral sources are contextually a legitimate business interest for that business. 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

"Multiple Claims" Provisions on Contractor's Professional Liability Policy Creates a Trap for Policyholders

May 24, 2021 — Michael V. Pepe - Saxe Doernberger & Vita
In Berkley Assurance Company v. Hunt Construction Group, Inc., 465 F.Supp.3d 370 (S.D.N.Y., 2020), professional liability insurer Berkley sued its insured, Hunt, a construction management firm, seeking a declaration that it did not owe Hunt a duty to defend and indemnify against breach of contract claims. The United States District Court for the Southern District of New York granted Berkley’s motion for summary judgment and denied Hunt’s motion for partial summary judgment. Among other things, the court held that the policy’s automatic extended reporting period did not apply to Hunt’s first claim. The multiple claims provision barred Hunt’s second claim because the claims were related. The court’s holding creates a potential trap for policyholders who wait to see how a claim develops before reporting it to their insurance carrier. This case demonstrates that waiting to see how a claim develops can result in a loss of coverage. Policyholders need to be aware of this trap and report all claims and circumstances immediately. Read the court decision
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Reprinted courtesy of Michael V. Pepe, Saxe Doernberger & Vita
Mr. Pepe may be contacted at MPepe@sdvlaw.com

Balancing Cybersecurity Threats in Smart Cities: Is the Potential Convenience of “Smart” Intersections Worth the Risk?

September 02, 2024 — James P. Bobotek & Brian E. Finch - Gravel2Gavel Construction & Real Estate Law Blog
The term “smart cities” has become popular parlance for municipalities’ attempts to enhance delivery of urban services and infrastructure through information and communications technology. While they may conjure images of neon-lit high rises or streetscapes populated by sleek, hovering vehicles, a bit like the 1960s-era The Jetsons cartoon envisioned our high-tech future, the reality of smart cities has begun to emerge in more subtle, less glamourous forms. Cities tend to focus on wastewater monitoring, traffic control and energy distribution technologies in their efforts to become incrementally “smarter.” Smart cities lean heavily on automation, internet connectivity and the Internet of Things (IoT)—including smartphones, connected cars and a host of web-based appliances and utilities—to boost the delivery and quality of essential urban services and infrastructure like transit, sanitation, water, energy, emergency response and more. Successful smart cities need infrastructure that supports such connectivity, and they pull data from hundreds, or even thousands, of sensors that can be used to analyze and shepherd the direction of resources. Reprinted courtesy of James P. Bobotek, Pillsbury and Brian E. Finch, Pillsbury Mr. Bobotek may be contacted at james.bobotek@pillsburylaw.com Mr. Finch may be contacted at brian.finch@pillsburylaw.com Read the court decision
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FAIRFIELD CONNECTICUT BUILDING EXPERT DIRECTORY AND CAPABILITIES