Rhode Island Closes One Bridge and May Have Burned Others with Ensuing Lawsuit
October 07, 2024 —
Bill Wilson - Construction Law ZoneThe state of Rhode Island recently filed a lawsuit against 13 companies that provided design, construction, and inspection services over the past ten years (the extent allowed by the applicable statute of limitations) to the Washington Bridge, which carries I-195 between East Providence and Providence. The bridge was abruptly closed in December 2023 following the discovery of alleged fractured steel tie-downs critical to the bridge’s stability and additional deterioration in cantilever beams throughout the bridge. Before the closure, approximately 90,000 vehicles per day traveled over the bridge.
The complaint alleges that the defendants, the majority of which are experienced, industry-leading firms in their respective fields, were negligent and breached their respective contracts with the State. The State contends that every company that worked on the bridge over the past ten years missed the serious structural conditions alleged. The lawsuit also claims that the State has suffered millions of dollars of damages since the bridge was closed and seeks indemnity and contribution from all defendants to the extent that the State may be liable to third parties in the future.
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Bill Wilson, Robinson & Cole LLP
Eleventh Circuit Set to Hear Challenge to Florida Law Barring Foreign Citizens From Buying Real Property
April 22, 2024 —
Michael Gnesin - Lewis BrisboisFort Lauderdale, Fla. (April 2, 2024) - This month, the U.S. Court of Appeals for the Eleventh Circuit will hear a challenge to a recently-enacted Florida law, Senate Bill 264, which restricts foreign ownership or investment in Florida real property from specific countries and imposes a near ban on property purchases by Chinese, Russian and other foreign nationals.
On July 1, 2023,
Senate Bill 264 [codified under Fla. Stat. Ann. §§ 692.201 to 692.205] took effect. The bill, titled “Interests of Foreign Countries,” prohibits Chinese nationals and nationals from other countries, including Russia, from buying real property unless they are American citizens or permanent residents.
Prior to the new law's effective date, on May 22, 2023, four Chinese citizens who hold nonimmigrant visas and reside in Florida, along with a Florida-based real estate firm,
sued the state of Florida in federal district court, alleging that the new law is unconstitutional and discriminatory, and that it violates the Fair Housing Act [Shen v. Simpson, Case No. 4:23-cv-208].
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Michael Gnesin, Lewis BrisboisMr. Gnesin may be contacted at
Michael.Gnesin@lewisbrisbois.com
LAX Runway Lawsuit a Year Too Late?
January 17, 2014 —
Beverley BevenFlorez-CDJ STAFFThe City of Los Angeles filed a lawsuit against Tutor-Saliba Corp. and O&G Industries Inc., which had created a joint venture to rebuild Runway 25L at Los Angeles International Airport (LAX), according to Brian Sumers writing for the Daily Breeze. However, lawyers for the construction companies are alleging that the lawsuit was filed a year too late: “…the complaint’s first four causes of action against Joint Venture are indisputably barred under California Law,” lawyers from Castle & Associates claimed.
This news came soon after a plane blew a tire on the same runway involved in the lawsuit, as reported by the Los Angeles Times. The blown out tire may not be related to the alleged construction defects: “The runway is usable,” Nancy Castles, spokeswoman for Los Angeles World airports told the Los Angeles Times. Castles explained that “the lawsuit is about ‘deterioration’ and that at some point the runway will need to be rebuilt, but that time is not now.”
Read the full story at the Daily Breeze...
Read the full story at the Los Angeles Times...
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Arizona Purchaser Dwelling Actions Are Subject to a New Construction
September 04, 2019 —
William L. Doerler - The Subrogation StrategistArizona recently amended its Purchaser Dwelling Action statute to, among other things, involve all contractors in the process, establish the parties’ burdens of proof, add an attorney fees provision, establish procedural requirements and limit a subcontractor’s indemnity exposure. The governor signed the bill—2019 Ariz. SB 1271—on April 10, 2019, and the changes go into effect and apply, retroactively “to from and after June 30, 2019.” The following discussion details some of the changes to the law.
Notice to Contractors and Proportional Liability
Under the revised law, a “Seller” who receives notice of a Purchaser Dwelling Action (PDA) from a residential dwelling purchaser pursuant to A.R.S. § 12-1363* has to promptly forward the notice to all construction professionals—i.e. architects, contractors, subcontractors, etc., as defined in A.R.S. § 12-1361(5)—that the Seller reasonably believes are responsible for an alleged construction defect. A.R.S. § 12-1363(A). Sellers can deliver the notice by electronic means. Once construction professionals are placed on notice, they have the same right to inspect, test and repair the property as the Seller originally placed on notice. A.R.S. § 12-1362(B), (C).
To the extent that the matter ultimately goes to suit, A.R.S. § 12-1632(D) dictates that, subject to Arizona Rules of Court, construction professionals “shall be joined as third-party defendants.” To establish liability, the purchaser has the burden of proving the existence of a construction defect and the amount of damages. Thereafter, the trier of fact determines each defendant’s or third-party defendant’s relative degree of fault and allocates the pro rata share of liability to each based on their relative degree of fault. However, the seller, not the purchaser, has the burden of proving the pro rata share of liability for any third-party defendant. A.R.S. § 12-1632(D).
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William L. Doerler, White and Williams LLPMr. Doerler may be contacted at
doerlerw@whiteandwilliams.com
Persimmon Offers to Fix Risky Homes as Cladding Crisis Grows
February 22, 2021 —
Olivia Konotey-Ahulu - BloombergPersimmon Plc, the U.K.’s biggest homebuilder, has offered to pay for work on potentially unsafe buildings in the wake of the cladding scandal that arose from London’s Grenfell Tower fire.
The firm has made a provision of 75 million pounds ($104 million) in its 2020 results for any necessary repair work on 26 buildings it developed that may be affected by the issue, it said in a statement Wednesday. It no longer owns the properties and said it would provide support where owners failed to accept their legal responsibilities.
“The concern around now banned cladding is affecting many thousands of homeowners who live in high-rise buildings right across the country,” Chairman Roger Devlin said in the statement. “We believe we have a clear duty to act to address this issue.”
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Olivia Konotey-Ahulu, Bloomberg
Definitions Matter in Illinois: Tenant Held Liable Only for Damage to Apartment Unit
September 09, 2024 —
Gus Sara - The Subrogation StrategistIn Phila. Indem. Ins. Co. v. Gonzalez, No. 1-23-0833, 2024 Ill. App. Unpub. LEXIS 1372, the Appellate Court of Illinois considered whether the terms of a lease agreement limited a tenant’s liability for fire damages, a fire caused by her negligence, to her apartment unit only. The plaintiff insured the subject apartment building, which incurred damage to several units as result of a fire in the tenant’s unit. The lease defined “Premises” as the specific apartment unit occupied by the tenant and held the tenant responsible for damage caused to the Premises. While the court found that the lease permitted the plaintiff to subrogate against the tenant, it held that the lease terms limited the damages to the tenant’s apartment unit only.
In Gonzalez, the plaintiff’s insured owned a multi-unit apartment building in Chicago. In September 2019, the building owner entered into a lease agreement with the defendant for apartment Unit 601. The lease stated that Unit 601 was the “Leased Address (Premises).” Another provision stated that building owner “hereby leases to Tenant(s) and Tenant(s) hereby leases from Landlord(s) for use as a private dwelling only, the Premises, together with the fixtures and appliances (if any) in the premises…” The lease also stated that “Tenant shall be liable for any damage done to the premises as a result of Tenant’s or Tenant’s invitees, guests or others authorized to reside in the Premises [sic] direct action, negligence, or failure to inform Landlord of repairs necessary to prevent damage to the Premises.”
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Gus Sara, White and WilliamsMr. Sara may be contacted at
sarag@whiteandwilliams.com
Notes from the Nordic Smart Building Convention
June 29, 2017 —
Aarni Heiskanen - AEC BusinessThe first Nordic Smart Building Convention took place in Helsinki on June 14 and 15, 2017. It was an inspiring event with great keynotes, tech talks, and an exhibition of smart building products and services.
The event was organized by HUB13, a leading co-working space provider in Finland. I had met with the producer of the convention, Sjoerd Postema, when he was planning the event. He asked for my ideas on possible topics and presenters. Later, he invited me to host a workshop and a roundtable at the convention.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
info@aepartners.fi
Remodel Leads to Construction Defect Lawsuit
October 16, 2013 —
CDJ STAFFThe Sacramento, California law firm Anderson Shoech has announced that it will be filing a construction defect lawsuit concerning a single-family home in Sonora, California. The remodel is alleged to have lead to roof leaks and mold growth. Anderson Schoech will have the home inspected by a general contractor who will be retained as an expert witness.
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