Fairfield Connecticut Building Expert Directory

Contractual “Pay if Paid” and “Pay when Paid” Clauses? What is a California Construction Subcontractor to Do?

November 29, 2021 — William L. Porter - Porter Law Group
The Situation California Construction Subcontractors Face in Obtaining Payment: California construction subcontractors find themselves faced with a significant payment issue every time they are asked to sign a subcontract on a major project. Invariably, the subcontract the prime contractor presents to the subcontractor for signature will contain a clause by which the prime contractor imposes a condition on payment from the prime contractor to the subcontractor. The condition will be either one or the other of two general types. Either the prime contractor will specify that it never has to pay the subcontractor if the prime contractor itself is not paid by the owner (a “pay-if-paid” clause), or the prime contractor will pay the subcontractor only after the prime contractor has first exhausted all its efforts to obtain payment from the owner through litigation, arbitration or otherwise, possibly delaying payment to subcontractors by months or even years (a “pay-when-paid” clause). Goal of the Article: The goal of this article is to draw a distinction between the pay-if-paid and pay-when-paid clauses, discuss the legality of these clauses in California, the problems these clauses create for subcontractors, advise the reader of helpful recent legal developments in this area of law, address the possibility of a further legislative remedy to address the issue, and discuss what the subcontractor might do to protect itself while awaiting a legislative remedy that may or may not ever arrive. Read the court decision
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Reprinted courtesy of William L. Porter, Porter Law Group
Mr. Porter may be contacted at bporter@porterlaw.com

Real Estate & Construction News Roundup (9/4/24) – DOJ Sues RealPage, Housing Sales Increase and U.S. Can’t Build Homes Fast Enough

October 07, 2024 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
In our latest roundup, environmental regulations tighten for commercial properties, Wells Fargo sells most of its commercial mortgage services business, first-time home buyers struggle with housing affordability, and more!

The U.S. Department of Justice announced that it is suing the real estate company RealPage, saying it engaged in a price-fixing scheme to drive up rents. (Jennifer Ludden, NPR)
As environmental regulations for commercial buildings and properties tighten across the U.S., green leases and technologies offer owners and operators opportunities to reduce their portfolios’ carbon footprints, generate cost savings and further align with ESG goals. (Nish Amarnath, Construction Dive)
Wells Fargo & Co. agreed to sell most of its commercial mortgage servicing business to Trimont LLC, ceding the title of biggest US commercial and multifamily mortgage servicer to the Atlanta-based firm. (Hannah Levitt and Scott Carpenter, Yahoo)

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Reprinted courtesy of Pillsbury's Construction & Real Estate Law Team

Courts Are Ordering Remote Depositions as the COVID-19 Pandemic Continues

August 10, 2020 — Victor J. Zarrilli, Robert G. Devine & Douglas M. Weck - White and Williams
The COVID-19 pandemic has generally put a stop to in-person depositions nationwide. Many litigants and their attorneys have also resisted attempts to proceed with remote video depositions, some holding out for the pandemic to subside and for the return of in-person business as usual while others are resistant to using new or unfamiliar virtual video technology. However, with COVID-19 cases still increasing nationwide, courts are beginning to mandate that depositions proceed remotely regardless of these apprehensions. It looks like remote video depositions may become part of a new set of best practices and perhaps mandatory in some circumstances for the foreseeable future. The Supreme Court of New Jersey, for example, has ordered that “[t]o the extent practicable . . . depositions should continue to be conducted remotely using necessary and available video technology.” The court has not explicitly mandated remote depositions, but has certainly encouraged trial courts to do so, indicating in orders litigants are “strongly encouraged” to depose witnesses remotely. Other jurisdictions, such as Philadelphia’s First Judicial District, have given trial court’s similar authority and flexibility. Recently, a trial court in Middlesex County, New Jersey granted a motion to compel a defense deposition of the plaintiff to proceed remotely, if not in person, over the objection of plaintiff’s counsel in a slip-and-fall case. This is one of the first such rulings in this area. The plaintiff’s counsel objected to the remote deposition on the grounds that his client was elderly with a heavy accent, had no technology knowledge, and had no internet access. That would seem to be a pretty good argument that a remote deposition would be impracticable. However, the defendant bolstered their case with an offer to cover the cost of renting and delivering a remote deposition technology package to the plaintiff, complete with a tablet, phone, speaker, internet hotspot and remote training beforehand. Although the trial court acknowledged the plaintiff’s “significant hardship,” the court ordered that the deposition proceed remotely if not in person. Reprinted courtesy of White and Williams attorneys Robert Devine, Douglas Weck and Victor Zarrilli Mr. Devine may be contacted at deviner@whiteandwilliams.com Mr. Weck may be contacted at weckd@whiteandwilliams.com Mr. Zarrilli may be contacted at zarrilliv@whiteandwilliams.com Read the court decision
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OSHA: What to Expect in 2022

December 20, 2021 — Stephen E. Irving - Construction Executive
COVID-19 created great upheaval throughout the economy and the legal compliance world as well. The pandemic has been a great disruptor and has brought rules, regulations and related agency guidance that have served to overwhelm even the most conscientious and attentive employer. The welcomed arrival of COVID-19 vaccines, and now the perhaps less welcome OSHA vaccine mandate, simply add to an employer’s compliance burden. While OSHA is busy attempting to implement its vaccine/testing mandate, it also has numerous other significant matters in the works of which employers in the construction industry should be aware. These include new rule drafting and several national and regional emphasis programs, which illustrate OSHA’s current priorities. 1. The Vaccine Mandate Pursuant to a directive from President Biden, in October 2021, OSHA issued an emergency temporary standard implementing a mandate for all employers with more than 100 employees. This mandate requires that employees of such employers be vaccinated for COVID-19 or submit to regular testing. OSHA has also expressed interest in issuing a permanent standard and potentially expanding to include smaller employers. Reprinted courtesy of Stephen E. Irving, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Home insurance perks for green-friendly design (guest post)

February 04, 2014 — Melissa Dewey Brumback – Construction Law in North Carolina
Wondering how to get your residential clients to pony up more money for green design? Check out today’s guest post by Carrie Van Brunt-Wiley and Katherine Wood. They are writers for the Homeowners’ Insurance Blog, which serves as a resource center for insurance consumers and homebuyers across the country. The U.S. Green Building Council’s new LEEDv4 standards present challenges for contractors, engineers, and architects – the restrictions in many cases are more stringent. There is, however an added bonus to remaining on the sustainable-building track: it’s more marketable than you think. That’s because green homes don’t just appeal to buyers with environmental concerns any more. Now smart budgeters seek them out as well. Why? While it’s true that sustainable construction can cost about 2% more than conventional methods, McGraw-Hill’s Smart Market Report says it typically increases a building’s overall value by an average of 7.5% and improves the return on investment by 6.6%. Read the court decision
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Reprinted courtesy of Melissa Dewey Brumback, Construction Law in North Carolina
Ms. Brumback can be contacted at mbrumback@rl-law.com

Meet the Forum's In-House Counsel: RACHEL CLANCY

November 16, 2023 — Jessica Knox - The Dispute Resolver
Company: Lobar, Inc. Email: rachel.clancy@lobar.com Website: www.lobar.com College: York College of Pennsylvania (Bachelor of Science in Marketing, 2001) Graduate School: Florida Institute of Technology (MBA in Acquisition and Contract Management, 2004) Law School: Penn State University, Dickinson School of Law (JD 2007) States Where Company Operates/Does Business: Headquarters are in Dillsburg, PA; construction projects located in Pennsylvania, Maryland, New York, and West Virginia Q: Describe your background and the path you took to becoming in-house counsel. A: Before law school, I spent three years as a Contract Specialist writing construction contracts for the Department of Defense, Naval Facilities Command in New Jersey. I had no idea I'd eventually find my way back to construction. After law school, I spent five years in the business department of a local law firm handling corporate formations, a variety of commercial contracts, and learning some real estate law. After another four years in-house with a data and marketing company in Harrisburg, I accepted my current position with Lobar, where I've been for the last seven years. Read the court decision
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Reprinted courtesy of Jessica Knox, Stinson LLP
Ms. Knox may be contacted at jessica.knox@stinson.com

Federal Judge Refuses to Limit Coverage and Moves Forward with Policyholder’s Claims Against Insurer and Broker

December 07, 2020 — Michael S. Levine & Casey L. Coffey - Hunton Insurance Recovery Blog
On November 10, 2020, a New York federal judge dismissed an insurer’s counterclaims seeking to cap its exposure under a $15 million sublimit and an order estopping the policyholder from pursuing any additional amounts. In February 2017, Plaintiff Pilkington North America, Inc. (Pilkington), suffered between $60 and $100 million in damage from a tornado that struck its glass manufacturing factory in Illinois. Pilkington sought coverage for its loss under a commercial property and business interruption policy issued by Defendant Mitsui Sumitomo Insurance Company (MSI). Pilkington also claimed its insurance broker, Aon Risk Services Central, Inc. (Aon), is liable for faulty advice provided while brokering the policy. Aon’s negligence allegedly gave way to MSI’s fraudulent revision of the insurance policy, which caused the losses from the tornado to not be fully compensable. Pilkington’s fraud and faulty brokering claims stem from MSI’s revision of an endorsement contained in the policy. The revision changed the wording of a windstorm sublimit. Allegedly, Aon was informed by MSI of the changes and failed to inform Pilkington that the revision would substantially reduce coverage for windstorms, including tornados. Read the court decision
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Reprinted courtesy of Michael S. Levine, Hunton Andrews Kurth
Mr. Levine may be contacted at mlevine@HuntonAK.com

Damp Weather Not Good for Wood

May 10, 2013 — CDJ STAFF
Cold and wet weather was not bad news for the lumber industry. The weather in the first quarter set or tied records for both precipitation and low temperatures. Not good weather for building. Construction was delayed as a result, leading to less call for lumber. In response, there was a 15 percent drop in lumber futures, continuing a decline. Read the court decision
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FAIRFIELD CONNECTICUT BUILDING EXPERT DIRECTORY AND CAPABILITIES