Fairfield Connecticut Building Expert Directory

CAPSA Changes Now in Effect

November 14, 2018 — Wally Zimolong - Supplemental Conditions
Back in June, I posted about changes coming to the Pennsylvania Contractor and Subcontractor Payment Act (CAPSA), 73 P.S. Section 501, et. seq. The Act applies to virtually all private construction projects in Pennsylvania. As of last week (Oct. 10), those changes are effective. While there is some argument to the contrary, these changes are NOT retroactive and apply to all projects going forward from that date. To recap, here are some of the important changes you need to be aware of:

Contractual waivers. Parties cannot waive the applicability of the act through contract. Therefore, any clause in a contract purporting to waive the Payment Act’s applicability is void.
Suspension of work. Unpaid contractors and subcontractors have always enjoyed a common law right to suspend performance until payment was made. Now, they also have a statutory right to do so. Section 5 of the Payment Act ads a subpart (e) which states that an unpaid contractor or subcontractor can suspend performance without penalty if it is not paid.

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Reprinted courtesy of Wally Zimolong, Zimolong LLC
Mr. Zimolong may be contacted at wally@zimolonglaw.com

NYPD Investigating Two White Flags on Brooklyn Bridge

July 23, 2014 — Chris Dolmetsch – Bloomberg
The New York City Police Department is trying to figure out who replaced the American flags that fly atop the Brooklyn Bridge with white banners. The replacement flags were discovered this morning on the towers at opposite ends of the bridge, where the Stars and Stripes are normally displayed, and were removed, police said. The NYPD’s Counterterrorism Bureau and Emergency Service Unit are probing the incident and reviewing surveillance video to determine who replaced the flags and when the act took place, police said. Read the court decision
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Reprinted courtesy of Chris Dolmetsch, Bloomberg
Mr. Dolmetsch may be contacted at cdolmetsch@bloomberg.net

Indemnity Payment to Insured Satisfies SIR

March 11, 2014 — Tred Eyerly – Insurance Law Hawaii
In response to certified questions from the Eleventh Circuit, the Florida Supreme Court found that a contractual indemnity payment to the insured satisfied the policy's SIR requirement. Intervest Constr. of Jax v. Gen. Fid. Ins. Co., 2014 Fl. LEXIS 568 (Fla. Feb. 6, 2014). ICI Homes, Inc. a general contractor, hired Custom Cutting, Inc. to provide trim work, including installation of attic stairs in a residence ICI was building. Under the contract, Custom Cutting agreed to indemnify ICI for any damages resulting from Custom Cutting's negligence. The owner of the residence fell while using the attic stairs installed by Custom Cutting, injurying herself. The owner sued ICI, who sought indemnification from Custom Cutting. ICI's policy with General Fidelity had a $1 million SIR. The policy also had a transfer of rights clause granting the insurer some subrogation rights. The case was mediated. The parties agreed to a settlement of $1.6 million. Custom Cutting's insurer proposed paying $1 million to ICI to settle the indemnification claim. ICI, in turn, would pay that $1 million to the residence owner. A dispute arose over wither ICI or General Fidelity was responsible for paying the remaining $600,000. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Parties Can Agree to Anything In A Settlement Agreement………Or Can They?

October 17, 2023 — Alexa Stephenson & Ivette Kincaid - Kahana Feld
A settlement agreement is a contract. When parties to pending litigation enter into a settlement, they enter into a contract. Such a contract is subject to the general law governing all contracts. (T. M. Cobb Co. v. Superior Court (1984) 36 Cal.3d 273, 280 [204 Cal. Rptr. 143, 682 P.2d 338] [offers by a party to compromise under Code Civ. Proc., § 998].) Courts seek to interpret contracts in a manner that will render them “lawful, operative, definite, reasonable, and capable of being carried into effect’” without violating the intent of the parties. (Robbins v. Pacific Eastern Corp. (1937) 8 Cal.2d 241, 272–273; Kaufman v. Goldman, (2011) 195 Cal. App. 4th 734, 745. A settlement agreement like a contract is a document that is typically negotiated between the parties to the agreement and it is up to the parties to determine its terms. Settlements take time and sometimes negotiating the settlement terms takes longer. This is especially true in complex litigation and multiparty matters where negotiating the settlement terms is just as contentious as litigating the matter. Just like contracts, in a settlement agreement the parties cannot agree to terms that violate public policy. A contract is thought to be against public policy if it results in a breach of law, harms citizens, or causes injury to the state. Contracts that are voided on public policy grounds carry no legal obligations. For example, an employer cannot force an employee to sign a contract that forbids the worker from joining a union. Reprinted courtesy of Alexa Stephenson, Kahana Feld and Ivette Kincaid, Kahana Feld Ms. Stephenson may be contacted at astephenson@kahanafeld.com Ms. Kincaid may be contacted at ikincaid@kahanafeld.com Read the court decision
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Beware of Design Pitfalls In Unfamiliar Territory

September 05, 2022 — Brad Shefrin - Engineering News-Record
$250,000. $1.5 million. $12 million. These are the litigation damage estimates that plaintiffs sought to recover against design professionals who failed to familiarize themselves with local site conditions. Reprinted courtesy of Brad Shefrin, Engineering News-Record ENR may be contacted at enr@enr.com Read the full story... Read the court decision
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The Activist Group Suing the Suburbs for Bigger Buildings

December 10, 2015 — Patrick Clark – Bloomberg
In a speech last month, Council of Economic Advisers Chairman Jason Furman blamed zoning restrictions—local land-use rules governing things like how tall buildings can grow—for the lack of affordable housing, lost economic productivity, and rising inequality across the U.S. On Tuesday, a San Francisco activist named Sonja Trauss took Furman's argument to the streets, filing a lawsuit in Contra Costa County (Calif.) to fight what she sees as a lost opportunity to build more housing. Trauss's organization, the San Francisco Bay Area Renters Federation (yes, SFBARF), is suing the City of Lafayette, a Bay Area suburb of about 25,000, to block plans to build 44 single-family homes on a plot of land once slated for a 315-unit apartment complex. Her argument relies on a three-decade-old California law intended to check local governments’ ability to reduce the density of certain construction projects. Called the Housing Accountability Act, the law has been used successfully by developers of affordable housing who have had their projects blocked, Trauss said, but never by an advocacy group advocating for greater density as a public good. Read the court decision
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Reprinted courtesy of Patrick Clark, Bloomberg

Major Change to Residential Landlord Tenant Law

July 15, 2019 — Lawrence S. Glosser - Ahlers Cressman & Sleight PLLC
Governor Inslee has just signed SB 5600 which results in major changes to the Residential Landlord-Tenant Act (RCW 59.18) regarding the eviction process of residential tenants. The changes do not apply to non-residential tenancies which are still governed by RCW 59.12. The new law includes additional protections for tenants and limits the ability of landlords to evict tenants or recover costs for legal proceedings. It also grants judges substantial discretion in eviction hearings whereas judges were previously bound by the express terms of the statute. The major changes to the law are listed below:

A landlord must provide a tenant 14 days’ notice instead of three days’ notice in order to cure default in the payment of overdue rent. The Attorney General’s Office will create a uniform 14-day notice to pay and vacate default form.
Landlords must first apply any payment by a tenant to the rent amount before applying it towards other charges, including fees or other costs.

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Reprinted courtesy of Lawrence S. Glosser, Ahlers Cressman & Sleight PLLC
Mr. Glosser may be contacted at larry.glosser@acslawyers.com

Denial of Claim for Concealment or Fraud Reversed by Sixth Circuit

October 01, 2014 — Tred R. Eyerly – Insurance Law Hawaii
The Sixth Circuit reversed the district court's order granting summary judgment to State Farm based upon the insured's alleged concealment of the truth when questioned about a fire that destroyed his home. Rose v. State Farm Fire & Cas. Co., 2014 U.S. App. LEXIS 17312 (6th Cir. Sept. 8, 2014). A fire destroyed the insured's home. He reported the loss to State Farm, who assigned Rob Raker to investigate the claim. Coverage was denied because State Farm contended that the "Intentional Acts" and "Concealment or Fraud" conditions of the homeowner's policy were violated. The insured sued State Farm. The district granted summary judgment to State Farm after finding that some of the answers the insured gave to Raker were misleading and material. The court determined that the insured failed to identify multiple tax liens and judgments when questioned about his financial status. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

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