Fairfield Connecticut Building Expert Directory

Recovering Unabsorbed Home Office Overhead Due to Delay

May 30, 2022 — David Adelstein - Florida Construction Legal Updates
In the preceding article, I discussed the use of a retrospective as-built delay analysis in a case before the Civilian Board of Contract Appeals (CBCA). This case also discussed a damages component in certain delay claims known as unabsorbed home office overhead—a challenging damages component to recover because this deals with indirect costs as opposed to direct costs. Unabsorbed home office overhead is a damages component when the contractor is on standby, but this is NOT as easy as just claiming standby thereby you are automatically entitled to unabsorbed home office overhead. There are requirements that MUST be met.

To obtain an equitable adjustment for unabsorbed home office overhead as compensation for being on standby, [the contractor] must initially show “[1] a government-caused delay of uncertain duration,” that “[2] the delay extended the original time for performance” or precluded the contractor from finishing earlier than scheduled, and that “[3] the contractor [was] on standby and unable to take on other work during the delay period. CTA I, LLC v. Department of Veteran Affairs, CBCA 5826, 2022 WL 884710 (CBCA 2022) quoting Nicon, Inc. v. U.S., 331 F.3d 878, 883 (Fed. Cir. 2003).

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

Significant Ruling in PFAS Litigation Could Impact Insurance Coverage

October 10, 2022 — Sara C. Tilitz & Lynndon K. Groff - White and Williams LLP
Per- and poly-fluoroalkyl substances, commonly known as PFAS, have served as a key component in numerous industrial and consumer products for decades. These “forever chemicals,” which have been associated with environmental contamination and adverse health outcomes, have garnered steadily-growing attention from regulatory authorities, the plaintiffs’ bar, and, by extension, the insurance industry. The current “case to watch” regarding PFAS is the multidistrict litigation (“MDL”) in the United States District Court for the District of South Carolina, Judge Gergel presiding. The MDL is comprised of well over 2,000 cases brought by both individual plaintiffs and state and local governments arising out of the manufacturing and/or use of aqueous film forming foam, also known as AFFF. The use of AFFF, which was historically employed in firefighting operations, including those undertaken by the United States military, allegedly causes the release of two types of PFAS into the environment – PFOS and PFOA. On September 16, 2022, Judge Gergel denied a motion for partial summary judgment filed by defendant 3M Company and other AFFF defendant manufacturers on the government contractor immunity defense. Although not an insurance coverage decision, the ruling is significant in the context of PFAS litigation and could have insurance coverage implications. Reprinted courtesy of Sara C. Tilitz, White and Williams LLP and Lynndon K. Groff, White and Williams LLP Ms. Tilitz may be contacted at tilitzs@whiteandwilliams.com Mr. Groff may be contacted at groffl@whiteandwilliams.com Read the court decision
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Firm Announces Remediation of Defective Drywall

October 16, 2013 — CDJ STAFF
The residents of Villa Lago at Renaissance Commons will be relieved of their problems with defective Chinese drywall, according to an announcement from their legal counsel, Whitfield Bryson & Mason. Gary E. Mason, a founding member of the firm, announced to homeowners that remediation would begin on November 1. “The project will start with about 30 units on the top floor and will continue floor by floor for the next 12 months.” Residents will be moved out of their units for about three months while all drywall is removed and replaced. Read the court decision
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Balancing Cybersecurity Threats in Smart Cities: Is the Potential Convenience of “Smart” Intersections Worth the Risk?

September 02, 2024 — James P. Bobotek & Brian E. Finch - Gravel2Gavel Construction & Real Estate Law Blog
The term “smart cities” has become popular parlance for municipalities’ attempts to enhance delivery of urban services and infrastructure through information and communications technology. While they may conjure images of neon-lit high rises or streetscapes populated by sleek, hovering vehicles, a bit like the 1960s-era The Jetsons cartoon envisioned our high-tech future, the reality of smart cities has begun to emerge in more subtle, less glamourous forms. Cities tend to focus on wastewater monitoring, traffic control and energy distribution technologies in their efforts to become incrementally “smarter.” Smart cities lean heavily on automation, internet connectivity and the Internet of Things (IoT)—including smartphones, connected cars and a host of web-based appliances and utilities—to boost the delivery and quality of essential urban services and infrastructure like transit, sanitation, water, energy, emergency response and more. Successful smart cities need infrastructure that supports such connectivity, and they pull data from hundreds, or even thousands, of sensors that can be used to analyze and shepherd the direction of resources. Reprinted courtesy of James P. Bobotek, Pillsbury and Brian E. Finch, Pillsbury Mr. Bobotek may be contacted at james.bobotek@pillsburylaw.com Mr. Finch may be contacted at brian.finch@pillsburylaw.com Read the court decision
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New Joint Venture to Develop a New Community in Orange County, California

April 08, 2014 — Beverley BevenFlorez-CDJ STAFF
Taylor Morrison Home Corporation and two of its largest shareholders have created a joint venture “to acquire and develop the 195.5 acres of San Clemente coast known as Marblehead,” according to GlobeSt.com. The Scottsdale, Arizona-based developer is expected to begin construction on the 300 luxury home site in 2015. “Marblehead is a truly unique site and one of the last undeveloped tracts of coastal land in California,” said Sheryl Palmer, president and CEO of Taylor Morrison, as quoted by GlobeSt.com. “It presents a tremendous opportunity that will deepen our land inventory of exceptional sites and further our standard of building high-quality homes in premier locations across North America.” Read the court decision
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Is the Obsession With Recordable Injury Rates a Deadly Safety Distraction?

May 16, 2022 — Richard Korman - Engineering News-Record
On the first morning of 2021, laborer Mason Mack Harris, 25, reported for work that would have qualified for extra holiday pay. On that New Year’s Day, the onsite manager for his employer, Midwest Demolition Co., assigned Harris and a workmate to complete demolition of a 9-ft-high concrete balcony slab at a children’s home renovation project in Lincoln, Neb. According to U.S. Labor Dept. records, they used a concrete saw since neighbors had complained about jackhammer noise from earlier work. Reprinted courtesy of Richard Korman, Engineering News-Record Mr. Korman may be contacted at kormanr@enr.com Read the full story... Read the court decision
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Unravel the Facts Before Asserting FDUTPA and Tortious Interference Claims

September 05, 2022 — David Adelstein - Florida Construction Legal Updates
CMR Construction and Roofing, LLC v. UCMS, LLC, 2022 WL 3012298 (11th Cir. 2022) is an interesting opinion where a contractor asserted a Florida’s Deceptive and Unfair Trade Practices Act (known by its acronym “FDUTPA”) claim and tortious interference claims (with a contract and with an advantageous business relationship) against another contractor, i.e., a competitor, that were dismissed from the get-go. It is an opinion worthy of interest based on the claims asserted against a competitor. Throwing around FDUTPA and tortious interference may sound good from an intimidation standpoint, but pleading and then proving these claims are a lot different than loosely throwing around these claims. Before filing a lawsuit for FDUTPA and tortious interference, spend time unraveling the facts and the chronology. Do not rely on conclusory allegations simply to check the box regarding required elements to plead while ignoring the actual facts that support the allegations. These are fact-based claims and it is imperative the facts are fully known from on the onset so that they can be strategically pled and pursued. In this matter, a contractor, the plaintiff, was hired by a condominium association around April 2018 to repair damage caused by a hurricane which included roofing work. The association was going to have its insurer pay its contractor. In May 2020, the association hired a new contractor to perform the same work (the “new contractor”). The association then directed the plaintiff to cease work since it hired the new contractor. 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

Developer’s Failure to Plead Amount of Damages in Cross-Complaint Fatal to Direct Action Against Subcontractor’s Insurers Based on Default Judgment

January 21, 2019 — Christopher Kendrick & Valerie A. Moore - Haight Brown & Bonesteel LLP
In Yu v. Liberty Surplus Ins. Corp. (No. G054522, filed 12/11/18), a California appeals court held that a developer’s failure to allege the amounts of damages sought in its cross-complaint rendered default judgments against a subcontractor void and, therefore, unenforceable against the subcontractor’s insurers in a direct action under Insurance Code section 11580(b)(2). Yu, the owner, hired ATMI to develop a hotel. ATMI subcontracted with Fitch to perform stucco and paint work. Yu sued ATMI for construction defects and the developer cross-complained against its subcontractors, including Fitch, for breach of contract; warranty; indemnity, etc. Yu’s operative complaint prayed for damages “in an amount not less than $10,000,000, according to proof.” ATMI’s cross-complaint stated that it incorporated the allegations of Yu’s complaint “for identification and informational purposes only,” but “does not admit the truth of any allegations contained therein.” The cross-complaint also prayed for damages with respect to the various causes of action “in an amount according to proof.” Reprinted courtesy of Christopher Kendrick, Haight Brown & Bonesteel LLP and Valerie A. Moore, Haight Brown & Bonesteel LLP Mr. Kendrick may be contacted at ckendrick@hbblaw.com Ms. Moore may be contacted at vmoore@hbblaw.com Read the court decision
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