2018 Legislative Changes Affecting the Construction Industry
June 06, 2018 —
Melinda S. Gentile - Peckar & AbramsonThe 2018 Florida Legislative Session recently concluded and a number of important construction-related House Bills (HB) and Senate Bills (SB) were presented during the Session. Florida Governor Rick Scott has 15 days to act on the legislation once each Bill has passed the House and Senate. Bills signed by the Governor go into effect on July 1, 2018, unless indicated otherwise. These Bills may impact General Contractors and Construction Managers in a number of ways, not the least of which is the period of time that a cause of action may be initiated for the design, planning or construction of an improvement.
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Melinda Gentile, Peckar & AbramsonMs. Gentile may be contacted at
mgentile@pecklaw.com
Another Colorado City Passes Construction Defects Ordinance
February 18, 2015 —
Beverley BevenFlorez-CDJ STAFFLone Tree, Colorado’s City Council passed an ordinance to distinguish its construction defect laws from the state’s, according to the Denver Business Journal. The city of Lakewood passed a similar ordinance last October.
The Denver Business Journal reported that the new “ordinance makes changes such as establishing time frames for notifying the builder of a construction defect, allowing the builder to inspect the property and allowing the builder to repair the problem, with the homeowners' agreement.”
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Measure of Damages for a Chattel Including Loss of Use
November 16, 2020 —
David Adelstein - Florida Construction Legal UpdatesIn a non-construction case, but an interesting case nonetheless, the Second District Court of Appeals talks about the measure of damages when dealing with chattel (property) including loss of use damages. Chattel, you say? While certainly not a word used in everyday language, a chattel is “an item of tangible movable or immovable property except real estate and things (such as buildings) connected with real property.” Equipment, machinery, personal items, furniture, etc. can be considered chattel.
With respect to the measure of damages for a chattel:
“Where a person is entitled to a judgment for harm to chattels not amounting to a total destruction in value,” the plaintiff may make an election out of two theories of recovery in addition to compensation for the loss of use. Badillo v. Hill, 570 So. 2d 1067, 1068 (Fla. 5th DCA 1990) (quoting Restatement of Torts § 928 (Am. Law Inst. 1939)). In addition to compensation for the loss of use, the plaintiff may elect either “the difference between the value of the chattel before the harm and the value after the harm” or “the reasonable cost of repairs or restoration where feasible, with due allowance for any difference between the original value and the value after repairs.” Id. (quoting Restatement of Torts § 928).
Sack v. WSW Rental of Sarasota, LLC, 45 Fla.L.Weekly D2306a (Fla. 2d DCA 2020).
Sack is a good example of a case dealing with the measure of damages with a chattel, here, an aircraft, including loss of use damages.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Common Construction Contract Provisions: No-Damages-for-Delay Clause
March 16, 2017 —
David Cook & Chadd Reynolds - Autry, Hanrahan, Hall & Cook, LLP BlogIn continuing our series on common contract provisions found in construction contracts, this post highlights no-damages-for-delay clauses.
Parties to a contract – particularly a construction contract – may agree that the performance of the contract must occur within a set amount of time. When a party is delayed in performing a contract, it may incur additional costs due to the delay. In most circumstances, unless the parties agree otherwise, the delayed party would be entitled to an extension of time to perform the contract. But it may also seek to recover the additional costs resulting from the delay.
A no-damages-for-delay clause attempts to prevent the delayed party from recovering those additional costs. In construction contracts, an upstream party, such as an owner or prime contractor, typically relies on a no-damages-for-delay clause when presented with a delay claim by a downstream party, such as a subcontractor.
Reprinted courtesy of
David Cook, Autry, Hanrahan, Hall & Cook, LLP and
Chadd Reynolds, Autry, Hanrahan, Hall & Cook, LLP
Mr. Cook may be contacted at cook@ahclaw.com
Mr. Reynolds may be contacted at reynolds@ahclaw.com
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Microwave Transmission of Space-Based Solar Power: The Focus of New Attention
July 24, 2023 —
Robert A. James & William E. Fork - Gravel2Gavel Construction & Real Estate Law BlogScientists have long proposed that solar electricity generation in space could be an integral component of the world’s carbon-free future. In the 1970s, a U.S. Navy experiment showed that it might be possible to capture solar power and wirelessly transmit it from outer space using microwave beams. Progress stalled after that early test—the models used were at such a massive scale that creating a real-world system felt like science fiction. Recently, amid growing concerns about power grid security and intensifying legislation around carbon emissions, renewed attention focused on a smaller, more lithe microwave transmission system. This time around, the military is not the only interested party. Scientists around the world are conducting similar research. As investors and governments stand at the edge of a fresh green power opportunity, we look at microwave power transmission and some of the projects in this emerging field.
The basic premise of space-based solar power technology is simple enough: photovoltaic panels on a satellite in space convert the sun’s energy to electromagnetic waves at microwave frequencies. The satellite then beams the microwave energy to a receiver on Earth that transforms it into direct current. Until recently, this technique had been performed on the ground over short distances, but nobody had attempted to launch a solar panel into space. The status quo has shifted over the past few years as researchers have begun to send prototypes into orbit. In early 2023, CalTech was the first to report a breakthrough. Its model successfully beamed power from space back to their receiver atop a building in California.
Reprinted courtesy of
Robert A. James, Pillsbury and
William E. Fork, Pillsbury
Mr. James may be contacted at rob.james@pillsburylaw.com
Mr. Fork may be contacted at william.fork@pillsburylaw.com
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Virginia Tech Has Its Own Construction Boom
May 10, 2013 —
CDJ STAFFThe last few years has been a tough time for the construction industry, unless you’re in the proximity to the campus of Virginia Tech. Since 1999, the school has seen more than $1 billion in construction projects. Charles Steger, the president of the university says that “we have no intention of slowing down.”
Steger views some of the construction as vital to the school’s mission, noting that at Davidson Hall, which contains chemistry laboratories, “the wiring and other facilities were almost a health hazard.” The building is undergoing a $31 million renovation.
In order to keep the campus walkable, parking lots are being replaced by parking garages. Four dormitory buildings will be demolished and replaced by new facilities. Funds for the development have come from a mix of student fees, donations, research revenues, bond issues, and taxpayer revenues.
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Breach Of Duty of Good Faith And Fair Dealing Packaged With Contract Disputes Act Claim
March 27, 2023 —
David Adelstein - Florida Construction Legal UpdatesAn interesting opinion on a motion to dismiss came out of the United States Court of Federal Claims dealing with the claim that the government breached its duty of good faith and fair dealing in administering the prime contract. The contractor’s argument was that the government breached its duty of good faith and fair dealing by denying the contractor’s claim under the Contract Disputes Act (CDA). This was a creative claim and argument that deserves consideration because it tied in the contracting officer’s denial of the CDA claim for additional money with a breach of the duty of good faith and fair dealing.
In this case, Aries Construction Corp. v. U.S., 2023 WL 2146598 (Fed. Cl. 2023), a prime contractor was hired for a water pipeline construction project. The contractor encountered unexpected difficult site conditions that required additional equipment and labor. The contractor informed the contracting officer and alleged it was instructed to proceed with the additional equipment and labor. The contractor submitted a claim under the CDA but the contracting officer denied the claim. The contractor pursued the claim in the United States Court of Federal Claims arguing the government breached the contract and, of interest, breached its duty of good faith and fair dealing.
The government moved to dismiss the breach of good faith and fair dealing claim arguing that besides failing to state a cause of action the Court of Federal Claims had no jurisdiction because the breach of the duty of good faith and fair dealing was not properly presented to the contracting officer under the CDA. The Court of Federal Claims denied the government’s motion.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Nebraska Joins the Ranks—No CGL Coverage for Faulty Work
September 17, 2014 —
Craig Martin – Construction Contractor AdvisorThe Nebraska Court of Appeals has ruled that a home builder that fails to adequately compact the soil does not have insurance coverage to repair damages to the home caused by the settling soil. In “insurance speak”, there was no occurrence to trigger coverage.
In this case, Cizek Homes, Inc. v Columbia National Insurance Company, a home builder contracted with a buyer to build a house. A lot was selected and the home was built. After the buyer moved in, the house started to settle, causing damage to the house. The buyer told the builder about these problems and the builder agreed to fix the problems. The builder also contacted its insurance company and requested coverage for the buyer’s claim. The insurer rejected the claim, determining that the buyer’s claim was not covered by the builder’s Commercial General Liability (CGL) insurance.
The insurer then filed suit asking the court to interpret the insurance policy and to determine whether the CGL insurance covered the claim. The court looked to the buyer’s allegations that the builder failed to construct the home in accordance with accepted construction and industry standards and that the builder was negligent in designing and constructing the home. The builder admitted that it was obligated to pay for the costs of repairs, but denied that it was negligent in constructing the home.
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Craig Martin, Lamson, Dugan and Murray, LLPMr. Martin may be contacted at
cmartin@ldmlaw.com