Fairfield Connecticut Building Expert Directory

Court of Appeals Issues Decision Regarding Second-Tier Subcontractors and Pre-Lien Notice

February 06, 2023 — Travis Colburn - Ahlers Cressman & Sleight
Velazquez Framing, LLC (“Velazquez”) v. Cascadia Homes, Inc. (“Cascadia”) is a Court of Appeals, Division 2 case where the primary issue on appeal was whether a second tier subcontractor was required to provide pre-lien notice under RCW 60.04 for its labor. The defendant, Cascadia, was the general contractor that planned to build a home on property it owned in Lakewood, Washington.[1] High End Construction, LLC (“High End”), submitted a bid to Cascadia for framing work on the home. High End began work on Cascadia’s home, but later subcontracted with Velazquez to complete the framing work.[2] Velazquez did not submit a prelien notice for its work on Cascadia’s home, and Cascadia claimed it was unaware that High End subcontracted with Velazquez for framing at the project. High End invoiced Cascadia and was paid for its work, but High End never paid Velazquez. Subsequently, Velazquez recorded a lien for both labor and materials, and later filed a complaint to foreclose its lien. Cascadia, due to the fact Velazquez did not provide it with prelien notice, moved for summary judgment, arguing prelien notice was required under RCW 60.04.031(1)[3] and the labor portion of a lien cannot be segregated where a subcontractor’s lien includes both labor and materials. Velazquez argued that no prelien notice was required under RCW 60.04.021[4] and RCW 60.04.031 and claimed that subcontractors can segregate the labor portion from the materials portion. The trial court granted Cascadia’s motion and ruled Velazquez did not fall within one of the exceptions for prelien notice in RCW 60.04.031(2), and therefore, could not enforce the lien. Velazquez appealed. Read the court decision
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Reprinted courtesy of Travis Colburn, Ahlers Cressman & Sleight
Mr. Colburn may be contacted at travis.colburn@acslawyers.com

Sales of U.S. Existing Homes Rise to One-Year High

October 22, 2014 — Michelle Jamrisko – Bloomberg
Sales of previously owned homes climbed in September to the highest level in a year, pointing to growing confidence in the U.S. economy as employment firms. Purchases advanced 2.4 percent to a 5.17 million annual rate, the National Association of Realtors reported today in Washington. Demand was up 1.9 percent compared with the same month last year before adjusting for seasonal patterns. Americans are returning to the real-estate market as employers have added 2 million workers to payrolls so far this year. Sales stand to get an additional boost in the final months of 2014 as the drop in mortgage rates caused by slowing growth in Europe and emerging nations makes properties more affordable for first-time buyers. Read the court decision
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Reprinted courtesy of Michelle Jamrisko, Bloomberg
Ms. Jamrisko may be contacted at mjamrisko@bloomberg.net

Is The Enforceability Of A No-Damage-For-Delay Provision Inappropriate For Summary Judgment

February 24, 2020 — David Adelstein - Florida Construction Legal Updates
Is the enforceability of a no-damage-for-delay provision inappropriate for resolution on a summary judgment? The recent decision in U.S. f/u/b/o Kingston Environmental Services, Inc. v. David Boland, Inc., 2019 WL 6178676 (D. Hawaii 2019), dealing with Florida law, suggests that it is inappropriate for a summary judgment resolution, particularly when there is a right to a jury trial. In this case, a prime contractor was hired on a federal construction project in Hawaii. The prime contractor hired a subcontractor and the subcontractor sued the prime contractor and its surety under the Miller Act. Of interest, the subcontractor was seeking to recover for the costs it incurred due to construction delays. The prime contractor moved for summary judgment as to the no-damage-for-delay provision in the subcontract. The no-damages-for-delay provision read as follows (and it is a well-written no-damage-for-delay provision): The Subcontractor expressly agrees that the Contractor shall not be liable to the Subcontractor for any damages or additional costs, whether foreseeable or unforeseeable, resulting in whole or in part from a delay, hindrance, suspension, or acceleration of the commencement or execution of the Work, caused in whole or in part by the acts or omissions, whether negligent or not, of the Contractor including other subcontractors or material suppliers to the Project, its agents, employees, or third parties acting on behalf of the Contractor. The Subcontractor’s sole remedy for any such delay, hindrance, suspension, or acceleration shall be a noncompensable time extension. 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

Leftover Equipment and Materials When a Contractor Is Abruptly Terminated

November 06, 2023 — Brian Perlberg - ConsensusDocs
Termination for cause is costly and adversarial and has been covered in this article. But can a terminating party use equipment and tools left behind on the worksite (i.e., a crane)? The answer depends on what is in your contract. Under ConsensusDocs, a constructor must give its permission to use any equipment or supplies left at the worksite, such as a crane.[i] Moreover, the owner must indemnify the constructor for using their equipment. This makes sense because even if a constructor were appropriately terminated for cause, using their equipment and materials they no longer possess or control unfairly creates additional liability exposure. At a minimum, the owner should take on the risk of using the equipment and materials since they benefit from such use. Read the court decision
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Reprinted courtesy of Brian Perlberg, ConsensusDocs Coalition
Mr. Perlberg may be contacted at bperlberg@ConsensusDocs.org

City in Ohio Sues Over Alleged Roof Defects

October 29, 2014 — Beverley BevenFlorez-CDJ STAFF
The city of Worthington “is suing the architect and general contractor responsible for constructing the addition to the Worthington Community Center in 2002,” according to ThisWeek Community News. The city is demanding $1.3 million “to replace the roof on the fitness center and pool addition, which is 12 years old.” Moody-Nolan, the architect, and Apex/M&P, the general contractor, have been named as defendants in the case. According to the complaint (as reported by ThisWeek), “experts retained by the city found that the roof has failed ‘due to unknown latent design defects and construction defects that have resulted in property damage.” Read the court decision
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Render Unto Caesar: Considerations for Returning Withheld Sums

January 18, 2021 — William E. Underwood Partner, Jones Walker LLP - ConsensusDocs
Withholding sums during a dispute can be an effective and perfectly legitimate means to protect against the harms caused by another party’s breach. However, withholding too much money during a dispute can turn a position of strength into one of weakness. “Why should I fund the other side’s litigation war chest?” and “Isn’t this just a display of weakness?” are common questions raised by contractors when this issue is discussed. Often, the contractor is well within its contractual or legal rights to withhold money from a breaching subcontractor (another topic for another day). But it may not always be in a contractor’s best interest to withhold every single penny available. This article addresses some of the long-term implications for failing to return withheld sums, including the potential to recover attorneys’ fees, possible bad faith, accruing interest, and overall litigation costs. Admittedly, it can be hard to give money back in the middle of a dispute. But sometimes it can positively impact the overall outcome of the case. Read the court decision
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Reprinted courtesy of William E. Underwood, Jones Walker LLP (ConsensusDocs)
Mr. Underwood may be contacted at wunderwood@joneswalker.com

Six-Month Prison Term for Role in HOA Scam

January 28, 2013 — CDJ STAFF
Ben Kim, the former police lieutenant whose wife is one of the figures in the scheme to take over Las Vegas homeowner associations in order to profit from construction defect settlements, might face a six-month sentence in a bank fraud scheme. Mr. Kim has plead guilty in the charges that he submitted false financial documents. Others who were involved in the homeowner scandal, including Mr. Kim's wife, were also involved in this case. Read the court decision
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Taking Service Network Planning to the Next Level

July 22, 2019 — Aarni Heiskanen - AEC Business
Cities and municipalities are basically systems for delivering services for the benefit of their citizens. An experimental project demonstrated how improving the flow of data between these services could save a lot of time and taxpayer money. Emilia Rönkkö is an architect who worked for the Finnish city of Kuopio. Besides that, she is a Docent of Urban Planning at the University of Oulu. “In Kuopio, my job included doing architectural programming for public investments and service network reviews. More specifically, surveys about Growth and Learning Services that were focused on daycares and schools,” Rönkkö explains. “Typically, a service network review with manual data collection procedures takes place every three to five years. I and other functionaries involved in the process wondered if there might be a better, more efficient way to do the reviews.” Read the court decision
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Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

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