SEATTLE WASHINGTON BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Colorado Court of Appeals Enforces Limitations of Liability In Pre-Homeowner Protection Act Contracts

February 14, 2013 — Heidi Gassman — Higgins, Hopkins, McLain & Roswell, LLC
Keirns Construction Co. (“Keirns”) hired Landmark Engineering, Ltd. (“Landmark”) to provide a geotechnical investigation and foundation designs for two duplexes Keirns built in Larimer County. Keirns and Landmark signed one contract in 2001 for the geotechnical work and two separate contracts in 2005 for the foundation design of the two duplexes. Each contract contained an identical “risk allocation clause,” which had language specifically limiting Landmark’s liability to Keirns. The risk allocation clause also had language specifically prohibiting claims against individuals and only allowing claims against a corporation. After the two duplexes were built, foundation problems developed, and Keirns filed suit against Landmark for breach of contract and negligence. Keirns also filed suit against two individual employees of Landmark, Wayne Thompson and Larry Miller, for negligence. Messrs. Thompson and Miller performed the geotechnical and design services pursuant to the contracts. Landmark and Messrs. Thompson and Miller filed a motion seeking to enforce the risk of allocation clauses in the contracts, thereby limiting Landmark’s liability. Messrs. Thompson and Miller also filed a summary judgment motion seeking their dismissal from the case based on the prohibition in the risk allocation clause against asserting claims against individuals. Read the court decision
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Reprinted courtesy of Heidi Gassman
Ms. Gassman can be contacted at gassman@hhmrlaw.com

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Revisiting Termination For Convenience Clauses In Uncertain And Ever-Changing Economic Times

February 27, 2023 — Adam M. Tuckman & Brittney M. Wiesner - ConsensusDocs
In these times of persistent inflationary forces and efforts to tame the consequences through rising interest rates, economic uncertainty abounds in the United States and around the world. As an approximately $1 trillion contributor to the economy in the United States (4.2% of GDP in 2021) alone according to the Associated General Contractors of America, the health and the growth of the construction industry is certainly susceptible to these rapidly changing macroeconomic conditions. Presently, an unanswered question is how project developers will react to unpredictable fluctuations in project costs and interest rates. Although it seems unlikely to be a prevalent response, it is possible that substantial increases in borrowing, labor, or material costs would cause owners to pull the plug on projects that are in the advanced stages of construction. For projects in the nascent stages of development or construction, however, the calculous for owners becomes more tenuous. Both public and private owners may find it more prudent to indefinitely suspend or cancel pending or ongoing projects due to any, or a combination of, forecasted increases in project costs, shrinking funding, higher borrowing costs, or macro-economic uncertainty. Facing this quandary, how would an owner already under contract with a constructor and design team suspend or cancel its project? One potential approach is to invoke a termination for convenience clause found in the parties’ contract. Reprinted courtesy of Adam M. Tuckman, Watt, Tieder, Hoffar, & Fitzgerald, LLP (ConsensusDocs) and Brittney M. Wiesner, Watt, Tieder, Hoffar, & Fitzgerald, LLP (ConsensusDocs) Mr. Tuckman may be contacted at atuckman@watttieder.com Read the court decision
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Texas Considers a Quartet of Construction Bills

April 03, 2013 — CDJ STAFF
Among the issues the Texas legislature is taking up is a measure that would require builders to buy back homes if they could not fix defects after three tries, but the law would only apply if the homeowner was a veteran. Some supporters of the bill, however, think it should be applied to all homeowners. Additionally, the state is also considering a measure that would adopt a new definition of “construction defect” and require contractors who bought homes back to disclose all construction defects and how they were remediated. Another measure would require builders to provide construction documents, including blueprints, to buyers of new homes. A final measure would create a standardized contract for the sale of new homes. Read the court decision
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Women in Construction Aren’t Silent Anymore. They Are Using TikTok to Battle Discrimination

March 06, 2022 — Workwear Guru
How does it feel to be a woman working in a male-dominated industry? It means an everyday fight on gender bias, discrimination, pay inequality, and a bunch of mansplaining. Though the construction industry progressed– over 1.2 million women work in construction, up from 619,000 in 1985–women continue to be a minority. Among the women working in the industry, almost 9 out of 10 women have an office role, while only 2.5% are tradespeople. The situation looks grimmer for women in higher positions as only 16% hold executive roles, and only 2% are CEOs. The issue becomes troublesome considering that 45% of women indicated that the lack of women role models working in senior positions halted advancement in their careers. Gender discrimination was always prevalent in the construction industry, though it shows higher in today’s statistics. In 2020, the annual study of women in construction showed 72% of women in construction face discrimination, up from 66% in 2005. The increase doesn’t mean there is an increase in workplace discrimination; instead, it shows women are raising their voices for the issue. Today, women are using social media to show the prejudice they confront every day, inspire each other to speak up, and showcase their competencies within the industry. Read the court decision
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Reprinted courtesy of Workwear Guru

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Litigation Roundup: “You Can’t Make Me Pay!”

August 19, 2024 — Daniel Lund III - Lexology
The foregoing is an accurate statement, generally speaking, for Louisiana public entities. Statutory and constitutional provisions in Louisiana protect public entities from being forced to pay monies – including satisfying court judgments – when the monies have not been specifically allocated for the purpose. Correspondingly, there is ordinarily no means to seize public assets to satisfy judgments. On the other hand, writs of mandamus in Louisiana – actions designed to compel a public official to undertake a ministerial duty over which the public official has no discretion – can be aimed at forcing a public official (on behalf of the public entity) to pay money. In an inverse condemnation case, plaintiffs prevailed on the theory that a Louisiana public entity had “damaged and interfered with their use and enjoyment of their private homes and church” during a New Orleans drainage project. The plaintiffs pursued a writ of mandamus to compel payment their approximately $1.5 million judgment for damages and fees as a “ministerial duty” of the public entity. To be sure, in connection with the judgment, the public entity had not at any time specifically allocated funds for the payment. Read the court decision
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Reprinted courtesy of Daniel Lund III, Phelps
Mr. Lund may be contacted at daniel.lund@phelps.com

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Serial ADA Lawsuits Targeting Small Business Owners

February 04, 2014 — Beverley BevenFlorez-CDJ STAFF
Jennifer Wadsworth reports in the San Jose Inside that small business owners in the South Bay area of California have been targeted for ADA Compliance lawsuits. Specifically, John Ho, “a wheelchair-bound paraplegic from the Southern California town of Rosemead” has hit close to “80 businesses in San Jose and more throughout South Bay” with ADA complaints. Another resident, Cecil Shaw has also “filed hundreds of lawsuits in federal court through a San Jose-based law firm alleging similar violations.” According to Wadsworth, these lawsuits have “become a multimillion-dollar industry.” Communities are often hit with “a hundred or more” lawsuits at a time: “Law firms team up with disabled clients to inspect businesses for compliance issues, and then sue in droves, expecting half or more defendants to settle out of court.” Niccandro Barrita, owner of one of four La Victoria Mexican Restaurants in South Bay, lost an ADA lawsuit. “I thought because when the building was remodeled in 1996 and the city waived the lift requirement that I was in the clear. But that wasn’t the case,” he told San Jose Inside. Barrita claims to have paid $900,000 in attorney fees. His advice to other owners is to be proactive: “Don’t rely on someone to point out a deficiency to you. Find out for yourself if you’re compliant.” Read the court decision
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Serving Notice of Nonpayment Under Miller Act

January 20, 2020 — David Adelstein - Florida Construction Legal Updates
Under the federal Miller Act, if a claimant is NOT in privity with the prime contractor, it needs to serve a “notice of nonpayment” within 90 days of its final furnishing. In this manner, 40 U.S.C. 3133 (b)(2) states: A person having a direct contractual relationship with a subcontractor but no contractual relationship, express or implied, with the contractor furnishing the payment bond may bring a civil action on the payment bond on giving written notice to the contractor within 90 days from the date on which the person did or performed the last of the labor or furnished or supplied the last of the material for which the claim is made. The action must state with substantial accuracy the amount claimed and the name of the party to whom the material was furnished or supplied or for whom the labor was done or performed. The notice shall be served–

(A) by any means that provides written, third-party verification of delivery to the contractor at any place the contractor maintains an office or conducts business or at the contractor’s residence; or (B) in any manner in which the United States marshal of the district in which the public improvement is situated by law may serve summons.

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Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

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Conn. Appellate Court Overturns Jury Verdict, Holding Plaintiff’s Sole Remedy for Injuries Arising From Open Manhole Was State’s Highway Defect Statute

June 14, 2021 — Christy Jachimowski - Lewis Brisbois
Section 13a-149 of the Connecticut General Statutes, commonly known as Connecticut’s highway defect statute, provides that claims arising from injuries or damages to people or property resulting from a defective road or bridge can be asserted against a party responsible for maintaining that road or bridge. Conn. Gen. Stat. §13a-149. The statute also extends to sidewalks and further provides that written notice of an alleged injury must be given to a defendant municipality within ninety days of the injury. Recently, in Dobie v. City of New Haven, 2021 Conn. App. LEXIS 162 (App. Ct. May 1, 2021), the Connecticut Appellate Court overturned the trial court’s denial of a municipal defendant’s post-trial motion to dismiss. The court held that even though the plaintiff attempted to assert allegations of negligence against the defendant municipality, Connecticut’s highway defect statute was the plaintiff’s exclusive remedy. Since the plaintiff failed to meet the requisite notice requirements, pursuant to the statute, the Appellate Court held that the trial court erred in denying the municipality’s motion to dismiss for lack of subject matter jurisdiction. The Underlying Case In February of 2013, Plaintiff William Dobie filed suit against the City of New Haven alleging injuries and damages as a result of the negligence of a City of New Haven snowplow operator. Dobie’s claims arose from an incident that occurred on January 21, 2011, in which he was driving behind the City snowplow driver, who was in the process of plowing snow from a municipal street located in New Haven, Connecticut. As the defendant employee was operating his snowplow, he knocked off a manhole cover, causing Dobie’s vehicle to drive over the open manhole. Dobie claimed personal injuries as a result of his vehicle dropping into the open manhole, including injuries to his jaw. Read the court decision
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Reprinted courtesy of Christy Jachimowski, Lewis Brisbois
Ms. Jachimowski may be contacted at Christy.Jachimowski@lewisbrisbois.com

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