Seattle Washington Building Expert Directory

Sureties and Bond Producers May Be Liable For a Contractor’s False Claims Action Violation

October 26, 2017 — Michael C. Zisa & Susan Elliot – Peckar & Abramson, P.C.
Two recent decisions from the United States District Court for the District of Columbia and the United States Court of Federal Claims highlight that sureties and bond producers are not immune to the potentially severe consequences of the False Claims Act (“FCA”) and related federal fraud statutes. In each case, the Court determined that sureties and bond producers can face potential liability under these fraud statutes for direct and indirect submission of false claims to the federal government Reprinted courtesy of Michael C. Zisa, Peckar & Abramson, P.C. and Susan Elliott, Peckar & Abramson, P.C. Mr. Zisa may be contacted at mzisa@pecklaw.com Ms. Elliott may be contacted at selliott@pecklaw.com Read the court decision
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The Double-Breasted Dilemma

July 18, 2022 — Lauren E. Rankins & Saloni Shah - ConsensusDocs
What Is A Double-Breasted Operation? A double-breasted operation is when a firm has two entities, and one entity performs work under collective bargaining agreements and the other does not. While this type of operation is not outright prohibited, it is often subject to a variety of challenges and scrutiny. To legally run a double-breasted operation, the two companies must remain separate and distinct. If the companies are not sufficiently separate and distinct from one another, the National Labor Relations Board (“NLRB”) or a court may find that the two companies are operating as a single entity or that the non-union company, or also known as the open shop, is merely an alter ego of the union company and, therefore, bound by the terms of the collective bargaining agreement. In order to determine whether the companies are sufficiently separate and distinct, the two entities must pass either the single employer test or the alter ego test depending on the nature of the double-breasted operation. Typically, the single employer test is used when the two entities run parallel operations, and the alter ego test is used when the open shop replaces the union company. Under the single employer test, the NLRB or courts will generally consider four factors: (1) the interrelation of operations; (2) common management; (3) common control of labor relations; and (4) common ownership. The alter ego test does not require a finding that the companies are a single bargaining unit, but analyzes to what extent the two entities have substantially identical management, business operation and purpose, business equipment, customers, and ownership. While common ownership is a factor considered under both the single employer and alter ego tests, common ownership alone is not dispositive of whether the companies are sufficiently separate and distinct. In other words, the NLRB and courts do not simply look for common ownership to determine whether the double-breasted operation is lawful. It is merely one of many factors to consider. Read the court decision
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Reprinted courtesy of Lauren E. Rankins, Watt, Tieder, Hoffar & Fitzgerald, LLP (ConsensusDocs)
Ms. Rankins may be contacted at lrankins@watttieder.com

Amos Rex – A Museum for the Digital Age

September 10, 2018 — Aarni Heiskanen - AEC Business
In the very heart of Helsinki, a new museum is set to open its doors to showcase the art of the future. Amos Rex is an architectural and artistic gem that seeks to make modern art more accessible for people to experience and enjoy. The construction work for the museum was almost completed when I visited the site in early August. I met with Kai Kartio, an art historian with years of experience as a museum director. Kartio has been involved in the construction of Amos Rex from the beginning. The forerunner of Amos Rex was the Amos Anderson Art Museum, which was run by the Konstsamfundet foundation for 50 years in its founder’s own building nearby. Anderson was a Finnish newspaper tycoon and patron of arts who bequeathed his estate to the foundation. Read the court decision
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Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

U.S. Stocks Fall as Small Shares Tumble Amid Home Sales

September 24, 2014 — Joseph Ciolli and Callie Bost – Bloomberg
U.S. stocks fell, led by a plunge among small companies, as sales of existing homes unexpectedly dropped and China’s finance minister damped stimulus hopes. The Russell 2000 Index of small-cap stocks sank 1.6 percent, the most since July. Yahoo! Inc. (YHOO) dropped 2.3 percent to lead the Dow Jones Internet Composite Index to a one-month low. Alibaba Group Holding Ltd. slid 2.1 percent after surging in its trading debut Sept. 19. The Standard & Poor’s 500 Index dropped 0.7 percent to 1,997.37 at 11:24 a.m. in New York, after closing at a record Sept. 18. The benchmark gauge hasn’t had a four-day slide this year and hasn’t fallen 10 percent in three years. The Dow Jones Industrial Average slid 58.40 points, or 0.3 percent, to 17,221.34. Mr. Ciolli may be contacted at jciolli@bloomberg.net; Ms. Bost may be contacted at cbost2@bloomberg.net Read the court decision
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Reprinted courtesy of Joseph Ciolli and Callie Bost, Bloomberg

Make Sure to Properly Perfect and Preserve Construction Lien Rights

December 07, 2020 — David Adelstein - Florida Construction Legal Updates
If you recording a construction lien (referred to as a claim of lien) and looking to perfect your construction lien foreclosure rights, it is imperative that you work with counsel to ensure your rights are properly preserved. This is good practice! A claim of lien must be served on an owner within 15 days after recording. Florida Statute s. 713.08(4)(c) says: “The claim of lien shall be served on the owner. Failure to serve any claim of lien in the manner provided in s. 713.18 before recording or within 15 days after recording shall render the claim of lien voidable to the extent that the failure or delay is shown to have been prejudicial to any person entitled to rely on the service.” Florida Statute s. 713.18, hyperlinked for your review, includes the statutory ways to serve “notices, claims of lien, affidavits, assignments, and other instruments permitted or required under [Florida Statutes Chapter 713].” 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

An Occurrence Under Builder’s Risk Insurance Policy Is Based on the Language in the Policy

April 03, 2023 — David Adelstein - Florida Construction Legal Updates
Builder’s risk insurance coverage is a vital property insurance coverage during the course of construction. Builder’s risk insurance is not a one-size-fits-all product so please make sure you are working with your insurance broker to procure this product that factors in and covers risk associated with the project. Builder’s risk insurance is typically an occurrence-based policy. No different than other occurrence-based policies (such as commercial general liability), a dispute may arise as to the occurrence. This could be due to the triggering of the actual policy during the coverage period or it could be due deductible obligations, as in the case discussed below. When dealing with a builder’s risk insurance policy–again, no different than any policy–the language in the policy matters. Definitions used in the policy to define specific terms matter and, in numerous cases, the ordinary dictionary meanings of terms matter. But it all starts with the policy language. In KT State & Lemon, LLP v. Westchester Fire Insurance Co., 2023 WL 2456499 (M.D.Fla. 2023), a builder’s risk policy provided coverage from April 2018 through the end of November 2019. There was a $50,000 per occurrence deductible for loss caused by or from water damage. An extension to the builder’s risk policy was negotiated through the end of January 2020 that increased this water damage deductible to $250,000 per occurrence. During construction and the testing of the fire suppression (sprinkler) system, leaks started to occur resulting in water damage. Two leaks occurred in September 2019, one leak in October 2019, one leak in November 2019, and two leaks in December 2019 (during the extension and higher water damage deductible period). 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

Did Deutsche Make a Deal with the Wrong Homeowner?

September 03, 2014 — Beverley BevenFlorez-CDJ STAFF
Deutsche Bank wants “to void a loan modification it claims resulted in a $125,000 discount on the wrong homeowners' outstanding mortgage,” according to the New Jersey Law Journal. Furthermore, even though the Deutsche Bank “obtained a default judgment a year ago… a New Jersey federal judge is currently considering the homeowners' motion to vacate it, most recently ordering a hearing to determine whether the couple was properly served.” According to the complaint, the Deutsche Bank claims that “its mortgage servicer, Ocwen Loan Servicing, mistakenly offered the modification to Lorraine and Raymond Lindsey of Franklinville, N.J., though the terms of the deal were intended for other homeowners in connection with a loan held by a different bank.” Read the court decision
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New Nafta Could Settle Canada-U.S. Lumber War, Resolute CEO Says

February 02, 2017 — Jen Skerritt - Bloomberg
A renegotiation of Nafta could be used to settle a lumber dispute that’s been simmering between Canada and the U.S. for decades and threatens to make housing unaffordable for thousands of Americans, according to the world’s largest newsprint maker. Read the court decision
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Reprinted courtesy of Jen Skerritt, Bloomberg
Ms. Skerritt may be followed on Twitter @jenskerritt

SEATTLE WASHINGTON BUILDING EXPERT DIRECTORY AND CAPABILITIES