FAIRFIELD CONNECTICUT BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Blog: Congress Strikes a Blow to President Obama’s “Fair Pay and Safe Workplaces” Executive Order 13673

March 22, 2017 — John P. Ahlers - Ahlers & Cressman PLLC
On October 25, 2016, the Federal Acquisition Regulatory Council (FAR Council) and the U.S. Department of Labor implemented former President Obama’s Executive Order 13673: “Fair Pay and Safe Workplaces” rules. The rules became effective on October 25, 2016 and fundamentally altered the way federal contractors and subcontractors will need to handle and resolve employment and labor claims, as well as compliance issues involving their entire workforce. The final rules can also result in otherwise-capable companies being “blacklisted” and effectively barred from federal contracts and subcontracts based on labor and employment law violations related or unrelated to prior or current federal contract performance. The centerpiece of the new regulatory scheme was the new disclosure and responsibility requirements. Contractors and subcontractors needed to disclose all “labor law decisions” that they had during the three years (prior to bid submission) as part of the process of applying for a new federal contract or subcontract. If a contractor or subcontractor has too many “labor law decisions” to report or the few it has are too severe, pervasive, repeated, or willful in the eyes of the government “experts,” the company could be deemed “non-responsible” and denied a contract. Read the court decision
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Reprinted courtesy of John P. Ahlers, Ahlers & Cressman PLLC
Mr. Ahlers may be contacted at jahlers@ac-lawyers.com

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Hundreds of Snakes Discovered in Santa Ana Home

February 04, 2014 — Beverley BevenFlorez-CDJ STAFF
404 Snakes—more than half dead—were discovered after a “nearly daylong search” in a home in Santa Ana, California, reported the Los Angeles Times. “Over the past few months, neighbors called authorities about the foul odor,” claimed the Orange County Register. “They thought it was trash. Then Jehovah’s Witnesses knocked on the door.” Concerned that someone might have died, they called the police. William Buchman, the homeowner, “identified as a snake breeder, was arrested on suspicion of animal cruelty, a felony,” according to the Los Angeles Times. Police wore gas masks and “clutched Tasers” as they entered the home. “Rats scampered over furniture and scores of clear plastic boxes holding the snakes lined the walls.” The Orange County Register claimed that up until recently Bachman was a “regular joe.” A neighbor said, “Let me tell you, Bill was a nice guy, outspoken, knowledgeable. He talked to my grandkids about school.” According to the Los Angeles Times, Buchman’s mother died in 2011, which appeared to “have affected him profoundly.” Read the full story at The Los Angeles Times... Read the full story at The Orange County Register... Read the court decision
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Florida Appeals Court Rules in Favor of Homeowners Unaware of Construction Defects and Lack of Permits

December 09, 2011 — CDJ STAFF

The Florida Court of Appeals has ruled that a homeowner is not liable for defects in unpermitted alterations, reversing a lower court’s decision in Jensen v. Bailey. The Jensens sold their house to the Baileys. During the sale, the Jensens filled out a property disclosure statement, checking “no” to a question about “any improvement or additions to the property, whether by your or by others that have been constructed in violation of building codes or without necessary permits.”

After moving in, the Baileys discovered several problems with the home. One involved a defective sewer connection leading to repeated backups. The Baileys also found problems with remodeling the Jensens had done in the kitchen, master bath, and bedroom. The remodeling work was not done with required permits nor was it up to code.

The court noted that an earlier case, Johnson v. Davis, established four criteria: “the seller of a home must have knowledge of a defect in the property; the defect must materially affect the value of the property; the defect must not be readily observable and must be unknown to the buyer; and the buyer must establish that the seller failed to disclose the defect to the buyer.” The court found that the first of these criteria was crucial to determining the case.

In the Johnson ruling, the then Chief Justice dissented, fearing that the courts “would ultimately construe Johnson’s requirement of actual knowledge to permit a finding of liability based on constructive knowledge,” quoting Justice Boyd, “a rule of constructive knowledge will develop based on the reasoning that if the seller did not know of the defect, he should have known about it before attempting to sell the property.” The Appeals Court concluded that the lower court hit this point in ruling on Jensen v. Bailey.

Citing other Florida cases, the court noted that the Johnson rule does require “proof of the seller’s actual knowledge of the defect.” The court cited a case in which it was concluded that the seller “should have known” that there was circumstantial evidence was that the seller did know about the defects, as the seller had been involved in the construction of the home.

In the case of the Jensens, the lower court concluded that they did not know that the work was defective, nor did they know that they were obligated to obtain permits for it. The Appeals Court found this one fact sufficient to reverse the decision and remand the case to the lower court for a final judgment in favor of the Jensens.

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Yet Another Reminder that Tort and Contract Don’t Mix

January 25, 2021 — Christopher G. Hill - Construction Law Musings
I have stated on numerous occasions here at Musings that in Virginia, contract claims and tort claims (read fraud) don’t mix. A recent case from the Federal District Court for the Eastern District of Virginia presents another example of this principle. In Itility LLC v. The Staffing Resource Group, Judge Ellis of the Alexandria Division, considered ITility’s claims of fraud and breach of contract against SRG and one of its officers based upon SRG’s alleged violation of its duties under a teaming agreement. The claim by ITility was that TSRG provided false and misleading resumes and thus damaged ITility. SRG filed a Motion to Dismiss and the Court was therefore required to resolve the following issues: (1) whether plaintiff’s fraud claim is barred by Virginia’s “source of duty” rule; (2) whether plaintiff’s claim for tortious interference with a business expectancy is barred by SRG’s participation in the business expectancy, and (3) whether the teaming agreement between the parties bars plaintiff’s claims for consequential and punitive damages. Reprinted courtesy of The Law Office of Christopher G. Hill Mr. Hill may be contacted at chrisghill@constructionlawva.com Read the full story... Read the court decision
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Don’t Miss the 2015 West Coast Casualty Construction Defect Seminar

April 01, 2015 — Beverley BevenFlorez-CDJ STAFF
The 22nd West Coast Casualty (WCC) Construction Defect Seminar returning to the Disneyland Hotel in Anaheim, California is just six weeks away. The annual event begins on Thursday, May 14th, with breakfast and registration starting at 7:30am. Panel discussions on various construction defect related topics begin at 8:30am and continue through the morning and afternoon, followed by a cocktail reception in the early evening. The following day includes break-out sessions with the event concluding in the afternoon. Attendees can enhance their seminar experience with the WCC Construction Defect Seminar Mobile App. The event schedule, speaker information, product information, sponsor details, and interactive floorplan can all be accessed through the app. Furthermore, registered attendees will have access to session presentations. The discounted, early registration ends April 15th, 2015. Download an Invitation and Register for the Event... Read the court decision
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New York Appellate Court Restores Insurer’s Right to Seek Pro Rata Allocation of Settlements Between Insured and Uninsured Periods

March 28, 2022 — Patricia B. Santelle & Frank J. Perch, III - White and Williams LLP
In Liberty Mut. Ins. Co. v. Jenkins Bros., 2022 N.Y. App. Div. LEXIS 1846 (App.Div. 1st Dept. March 22, 2022), the New York Supreme Court, Appellate Division, First Department, issued a ruling reversing the trial court and holding that an insurer was entitled to allocate a portion of asbestos claim settlements it negotiated to time periods when its dissolved insured was without coverage. The decision overturns a trial court ruling that the insurer was barred from denying liability for the full amount of the settlements because the insurer had become the “real party in interest” as a result of a prior court order directing it to accept service of process on behalf of a dissolved insured. The trial court held that the insurer stood in the shoes of the insured for all purposes by accepting service and negotiating settlements, and was therefore estopped from denying liability for the full amount of the settlements. Reprinted courtesy of Patricia B. Santelle, White and Williams LLP and Frank J. Perch, III, White and Williams LLP Ms. Santelle may be contacted at santellep@whiteandwilliams.com Mr. Perch may be contacted at perchf@whiteandwilliams.com Read the court decision
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COVID-19 Likely No Longer Covered Under Force Majeure

February 01, 2023 — Rachel E. Pelovitz - Construction Executive
A recent decision by the U.S. Government Accountability Office (GAO) has shaken up construction contracts. While companies could claim “force majeure” to exempt themselves from contractual obligations during much of the pandemic, this decision challenges ongoing validity of those claims. The decision was based on the Army Corps of Engineers deeming a bid from Boulder, Colorado–based American Mine Services (AMS) as nonresponsive because it included a COVID-19 force majeure clause. In reviewing the Corps’ decision, GAO—referencing the Federal Acquisition Regulation—found that “epidemics” and “quarantine restrictions” were already included in the contract between the Corps and AMS. Although AMS claimed that “COVID-19 is considered a force majeure event along with any other similar disease, epidemic or pandemic event,” the GAO concluded that this interpretation limited the rights of the government too much. Reprinted courtesy of Rachel E. Pelovitz, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Ms. Pelovitz may be contacted at pelovitz@abc.org

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Insurer Wrongfully Denies Coverage When Household Member Fails to Submit to EUO

May 06, 2024 — Tred R. Eyerly - Insurance Law Hawaii
The court determined that coverage for a loss by fire could not be denied when the insured's son failed to appear for a examination under oath (EUO). Adekola v. Allstate Vehicle & Prop. Ins. Co., 2024 U.S. Dist. LEXIS 27125 (E.D. Pa. Feb. 16, 2024). Plaintiff had a homeowners policy with Allstate. Plaintiff - Michele Adekola - was the named insured under the policy. After the fire, Allstate provided payments for temporary housing. Allstate requested examinations under oath of Plaintiff and her son, Nico. Plaintiff and her son were examined by Zoom. Allstate then sought to examine Plaintiff's other son, Lemmeco, but these efforts were unsuccessful. Allstate then stopped paying for Plaintiff's temporary housing and informed Plaintiff that Lemmeco's failure to participate in an EUO was a material breach of duties under the policy and the breach was prejudicial to Allstate. Allstate further contended that Lemmeco had a duty to submit to an EUO. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

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