Regional US Airports Are Back After Years of Decay
September 23, 2024 —
Lebawit Lily Girma - BloombergThe ski resorts near Gunnison and Crested Butte, Colorado, are so close to Aspen, you’d think the area wouldn’t need its own airport. Their glitzier neighbor is just 48 miles north as the crow flies, though that’s roughly 150 miles by road.
But people flocking to Crested Butte’s laid back town, extreme ski slopes and epic mountain biking have a new reason to bypass farther-away Aspen: the destination’s gleaming new airport, which debuted in January 2023.
Not only is the Gunnison-Crested Butte Regional Airport terminal easy to get across quickly, at just 40,000 square feet, it's also heated and cooled with geothermal energy and uses triple glazed windows to keep travelers warm in a town known to be one of the coldest places in the US.
And Crested Butte isn’t the only small town airport receiving an upgrade.
All across the US, at least a dozen small and medium-size facilities are being renovated and, in some cases, entirely rebuilt—typically on budgets that stretch eight and nine figures. That contradicts a long-held belief among aviation industry pros that these regional facilities were destined to gather dust and die out.
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Lebawit Lily Girma, Bloomberg
Ninth Circuit Rules Supreme Court’s Two-Part Test of Implied Certification under the False Claims Act Mandatory
May 13, 2019 —
Meredith Thielbahr - Gordon & Rees Construction Law BlogFor those contractors in the government arena, read on.
The False Claims Act (“FCA”) was enacted to deter knowingly fraudulent actions by contractors which resulted in a loss of property to the Government. Intent to defraud with resulting financial hardship was required. Contrary to popular misconception, the statute was not designed to punish all false submissions to the Government simply because those submissions, or claims, are later found to be false. The statute’s inclusion of the requisite element of knowledge is consistent with this notion:
- A defendant must submit a claim for payment to the Government;
- the claim must be false or fraudulent;
- the defendant must have known the claim was fraudulent when it was submitted (also known as scienter); and
- the claim must have caused the Government to pay out money.
See 31 U.S.C. § 3729(a).
Despite these explicit elements (in addition to common law elements of fraud), over the last two decades, contractors have seen ever-expanding theories of FCA recovery presented by qui tam plaintiffs and the Government. For example, under the FCA, the false “claim” evolved over time: the claim no longer needs to be an express false claim (i.e. the truthfulness of the claim is a direct condition of payment); the claim can be “implied” misrepresentation or “half-truth”.
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Meredith Thielbahr, Gordon & Rees Scully MansukhaniMs. Thielbahr may be contacted at
mthielbahr@grsm.com
Reminder: Just Being Incorporated Isn’t Enough
June 29, 2020 —
Christopher G. Hill - Construction Law MusingsI have discussed why contractors need to incorporate previously here at Construction Law Musings. Among the many reasons to incorporate are possible tax benefits and the protection of personal assets (like your house and your dog) from judgement and collection actions. This latter reason is key in the construction world in which Murphy can look like an optimist and projects have so many moving parts that something is likely to go wrong.
The reason incorporation works as at least a partial shield is that the company and the owners are separate “people” or entities from a legal perspective and a contract with one “person” cannot be enforced against another. This same logic applies in the context of corporate versus individual actions, i. e. the actions of one person cannot be legally attributed to another person. By extension the assets of an individual cannot be collected to satisfy a purely corporate debt or judgment.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Incorporate Sustainability in Building Design to Meet Green Construction Goals
September 25, 2018 —
Norma Lehman - Construction ExecutiveA few miles outside the city limits of Austin, Texas, construction work is expected to soon begin on the Austin Ridge Bible Church’s tri-level, 80,000-square-foot building. The building will house a 2,500-seat sanctuary, classrooms and other spaces where congregants can gather for prayer and fellowship.
When the project is completed, scheduled for the end of 2019, it will produce a worship place that will significantly reduce the building’s energy costs in the years ahead.
Reprinted courtesy of
Norma Lehman, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Does Your U.S. Company Pull Data From European Citizens? Fall In Line With GDPR by May 2018 or Suffer Substantial Fines
November 15, 2017 —
Jeff Dennis & Ivo Daniele – Newmeyer & Dillion, LLPThe European Union (“EU”) has enacted a strict, comprehensive framework of security regulations aimed to protect its citizens. These regulations, known as the General Data Protection Regulation (“GDPR”), provide a blueprint for a combination of required legal, technological and work habits within an organization. Although this is an EU regulation, the new laws will apply to any organization within or outside the EU that collects or processes data of EU citizens. Therefore, U.S. companies must analyze their data and processes to determine whether compliance with the GDPR is necessary. A quickly-approaching deadline of May 25, 2018 must be met to avoid massive fines.
What is the GDPR?
In order to address the creation of social networking sites, cloud computing, and location-based services, the EU set in motion a process to implement a vigorous set of rules to ensure the right to personal data protection for all European citizens. In April 2016 the European Parliament, the Council, and the Commission adopted a new GDPR, which will take affect on May 25, 2018.
This GDPR will streamline cooperation between the data protection authorities on personal data issues allowing companies to deal with one authority - not each of the 28 EU member states. This will allow for quicker decisions by the data protection authorities and greatly reduce the red tape in both compliance and enforcement under the GDPR. This will also create a level playing field by forcing non-EU companies to comply with the same strict regulations - regardless of whether or not the company is established in the EU.
Territorial scope of the GDPR
The GDPR applies directly to the processing of personal data in the context of the activities of an establishment of a controller or a processor in the EU - regardless of whether the processing takes place in the EU. Additionally, there are specific provisions under the GDPR that apply to non-EU companies if their processing activities relate to (a) the offering of goods or services (irrespective of whether a payment of the data subject is required) or (b) monitoring the behavior of individuals within the EU. Therefore, all companies must determine whether they process or monitor information of EU citizens. If a company falls within one of these categories, compliance with the GDPR is mandatory.
What happens if a company fails to comply with the GDPR?
Failure to comply with the GDPR could subject a company to crushing administrative fines.
The supervisory authority has the power to impose administrative fines under the GDPR. The following violations and breaches would subject a company to administrative fines:
- Not adhering to the core principles of processing personal data,
- Breach of notification to EU citizens by controllers and processors,
- Wrongful transfer of personal data to non-EU countries,
- Breach of obligations regarding certification,
- Ignoring the mandates asserted by the supervisory authority,
- Breach by those responsible for impact assessment, and
- Wrongful processing of employee data.
The extent of the violation and type of personal data involved will dictate the severity of the administrative fines imposed on a company. For example, under the GDPR, a company could be subject to administrative fines up to 20,000,000 EUR, or up to 4% of the total worldwide annual revenue of the preceding financial year. Obviously, these fines would be financially crippling to any company.
Preparing for May 25, 2018
The May 25, 2018 deadline is fast approaching and preparing for full compliance with the GDPR is paramount. Simple steps should be taken to ensure compliance including to:
(1) Review and analyze data repositories for sensitive data,
(2) Perform an analysis/accounting of procedure for data collection, and
(3) Create an oversite committee dedicated to data activities and compliance.
Most importantly, however, is to determine whether compliance with the GDPR is necessary, and strictly follow the requirements of the GDPR to protect from potentially massive fines.
Jeffrey M. Dennis currently serves as Newmeyer & Dillion’s Managing Partner and as a business leader, advises his clients on cybersecurity related issues, introducing contractual and insurance opportunities to lessen their risk. You can reach Jeff at jeff.dennis@ndlf.com.
Ivo Daniele is a seasoned associate in Newmeyer & Dillion’s Walnut Creek office. His practice includes representing private and public companies with both their transactional and litigation needs. You can reach Ivo at ivo.daniele@ndlf.com.
About Newmeyer & Dillion
For more than 30 years, Newmeyer & Dillion has delivered creative and outstanding legal solutions and trial results for a wide array of clients. With over 70 attorneys practicing in all aspects of business, employment, real estate, construction and insurance law, Newmeyer & Dillion delivers legal services tailored to meet each client’s needs. Headquartered in Newport Beach, California, with offices in Walnut Creek, California and Las Vegas, Nevada, Newmeyer & Dillion attorneys are recognized by The Best Lawyers in America©, and Super Lawyers as top tier and some of the best lawyers in California, and have been given Martindale-Hubbell Peer Review's AV Preeminent® highest rating. For additional information, call 949-854-7000 or visit www.ndlf.com.
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Does Your U.S. Company Pull Data From European Citizens? Fall In Line With GDPR by May 2018 or Suffer Substantial Fines
Global Insurer Agrees to Pay COVID-19 Business Interruption Claims
July 06, 2020 —
Sergio F. Oehninger & Daniel Hentschel - Hunton Insurance Recovery BlogAXA, one of the biggest insurance companies in the world, has agreed to pay COVID-related business interruption claims by a group of restaurants in Paris after a court ruled that the restaurants’ revenue losses resulting from COVID-19 and related government orders were covered under AXA’s policies.
AXA initially took the position that its insurance policies did not cover business interruption caused by COVID-19. The restaurant then sued AXA in a French court, seeking coverage for operating losses resulting from a government order issued in March mandating the closure of restaurants and bars in response to the COVID-19 pandemic. The court concluded that the government orders, which prohibited restaurants from receiving the public and offering traditional sit-down dining services, triggered the policy’s coverage for business interruption coverage. The court rejected AXA’s argument that the pandemic was uninsurable, and made clear that if AXA intended to exclude such a risk it should have done so expressly in its policy. The court also rejected AXA’s argument that there must be a prerequisite of an insured event for the application of the “administrative closure” provision, noting that no prerequisite was required by the policy. AXA’s argument that the government orders did not require the restaurant to be closed because the restaurant was authorized to maintain take-away services was also rejected. As a result, the court ruled in favor of the policyholders, holding that the business interruption loss resulting from the government orders qualified for insurance coverage.
Reprinted courtesy of
Sergio F. Oehninger, Hunton Andrews Kurth and
Daniel Hentschel, Hunton Andrews Kurth
Mr. Oehninger may be contacted at soehninger@HuntonAK.com
Mr. Hentschel may be contacted at dhentschel@HuntonAK.com
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Language California Construction Direct Contractors Must Add to Subcontracts Beginning on January 1, 2022, Per Senate Bill 727
December 20, 2021 —
William L. Porter - Porter Law GroupSenate Bill No. 727, Imposing Liability on Contractors for Wage Claims of Subcontractor Employees:
California Senate Bill 727 was approved by the Governor on September 27, 2021. The new Act amended Labor Code Section 218.7 and added a new section 218.8 to the Labor Code. Both Labor Code sections impose on “direct contractors” in the construction industry (defined by Civil Code 8018 as “a contractor that has a direct contractual relationship with an owner”) liability for the wage violations of their subcontractors and sub-subcontractors at any tier when working on California private construction projects.
Specifically, new Section 218.8 expands the liability of direct contractors for wage claims of the employees of subordinate subcontractors on projects for contracts executed beginning on January 1, 2022. The liability of the direct contractor under Labor Code 218.8 will include “any debt owed to a wage claimant or third party on the wage claimant’s behalf, incurred by a subcontractor at any tier acting under, by, or for the direct contractor.” Specifically included as listed liabilities of the direct contractor are: “any unpaid wage, fringe or other benefit payment or contribution, penalties or liquidated damages, and interest owed by the subcontractor on account of the performance of the labor.”
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William L. Porter, Porter Law GroupMr. Porter may be contacted at
bporter@porterlaw.com
Preliminary Notice Is More Important Than Ever During COVID-19
June 01, 2020 —
Christopher G. Hill - Construction Law MusingsFor this week’s Guest Post Friday here at Construction Law Musings, we welcome Justin Gitelman. Justin is the Content Coordinator at Levelset, where over 500,000 contractors and suppliers connect on a cloud-based platform to make payment processes stress-free. Levelset helps contractors and suppliers get payment under control, and sees a world where no one loses a night’s sleep over payment.
As the construction industry continues to adjust to the coronavirus and an uncertain future, contractors are struggling to get paid. During the COVID-19 pandemic, construction businesses across Virginia need to do everything they can to protect their payments, and get paid faster. One simple action that can help fight payment delays: sending preliminary notice on every job.
Subcontractors and suppliers should send preliminary notices out to the GC, project owner, and/or lender at the start of every single project. These tools allow contractors to make themselves visible on crowded job sites, helping contractors get paid more quickly, and, in some cases, securing their right to file a mechanics lien or bond claim.
Preliminary Notices in Construction
The purpose of a preliminary notice is to allow each member of a construction project to know who you are and what work you’ll be performing. With coronavirus in mind, contractors can use preliminary notices to remind the hiring party of their payment expectations. When you submit a preliminary notice on every project, you’ll have legal protection in your corner while also giving yourself a greater opportunity to get paid.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrissghill@constructionlawva.com
