Cambridge Massachusetts Building Expert Directory

Licensing Mistakes That Can Continue to Haunt You

November 28, 2022 — Alexa Stephenson & Rick Seely - Kahana Feld
Today there are nearly 290,000 contractors licensed in California. This number continues to grow as California law requires businesses or individuals who alter any road or structure to be licensed contractors if the total cost of the project is $500 or more (including labor and materials). Complaints about improper and defective work performed by contractors are constantly filed with the California Contractors State License Board (“CSLB”) and any violations by those contractors could result in a license suspension. A contractor whose license is suspended by the CSLB or otherwise becomes unlicensed jeopardizes a contractor’s livelihood, compromises current insurance policies, and curtails an ability to obtain future insurance coverage. Moreover, being unlicensed could force a contractor to disgorge all money received on a project per California Business & Professions Code § 7031. What can contractors do to stay vigilant and avoid these scary outcomes? Stay tuned for a few suggestions. 1. Stay Qualified Contractors must make sure the correct person and/or entity is holding the contractor’s license. Contractors can obtain licenses as a sole owner, partnership, corporation, joint venture, or limited liability company. For any form of the business entity, one individual must act as qualifier to meet the CLSB license requirements. This qualifying individual must have the knowledge, experience, and skills to manage the daily activities of a construction business (including field supervision) or be represented by someone else with at least four years of experience within the past ten years as an unsupervised journeyperson, foreperson, supervising employee, or contractor in the trade being applied for. Reprinted courtesy of Alexa Stephenson, Kahana Feld and Rick Seely, Kahana Feld Ms. Stephenson may be contacted at astephenson@kahanafeld.com Mr. Seely may be contacted at rseely@kahanafeld.com Read the court decision
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Hundreds of Coronavirus Coverage Cases Await Determination on Consolidation

September 21, 2020 — Tred R. Eyerly - Insurance Law Hawaii
On July 30, 2020, the Judicial Panel on Multi-District Litigation (JPML) heard oral argument on the potential consolidation of all federal cases involving business interruption coverage relating to coronavirus and shut-down orders. A decision will be rendered in the near future. Meanwhile, many cases are on hold, waiting for a determination on consolidation. One such case is Pigment Inc. v. Hartford Fin. Servs. Group, 2020 U.S. Dist. LEXIS 133230 (S.D. Cal. July 27, 2020), where the court granted a stay pending a decision by the JPML. The case is a class action based on denial of coverage under business interruption insurance. Plaintiff's case alleged a bad faith denial that risked the permanent closure of its business due to unexpected temporary shutdowns from the COVID-19 pandemic. Plaintiff sought a stay pending the decision of the JPML. The court considered the possible damage which could result from granting a stay, the hardship which a party could suffer in being required to go forward, and the orderly course of justice measured by the simplifying or complicating of issues, proof, and questions of law which could be expected to result from a stay. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Lien Attaches To Landlord’s Interest When Landlord Is Party To Tenant Improvement Construction Contract

January 03, 2022 — David Adelstein - Florida Construction Legal Updates
If you are a landlord / lessor, then you want to maximize the protections afforded to you under Florida’s Lien Law in Florida Statute s. 713.10. These protections are designed to protect your property from liens for improvements performed by your tenant / lessee. The intent is that if you comply with s. 713.10, then a tenant improvement contractor’s recourse is against the leasehold interest, and NOT against the interest of the real property (or your interest as the landlord / lessor). Needless to say, it is imperative that a landlord / lessor make efforts to comply with this section when a tenant is performing tenant improvements, even when the landlord is contributing money to those improvements. Section 713.10 provides in material part:

(1) Except as provided in s. 713.12, a lien under this part shall extend to, and only to, the right, title, and interest of the person who contracts for the improvement as such right, title, and interest exists at the commencement of the improvement or is thereafter acquired in the real property. When an improvement is made by a lessee in accordance with an agreement between such lessee and her or his lessor, the lien shall extend also to the interest of such lessor.

(2)(a) When the lease expressly provides that the interest of the lessor shall not be subject to liens for improvements made by the lessee, the lessee shall notify the contractor making any such improvements of such provision or provisions in the lease, and the knowing or willful failure of the lessee to provide such notice to the contractor shall render the contract between the lessee and the contractor voidable at the option of the contractor.

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

Are Construction Contract Limitation of Liability Clauses on the Way Out in Virginia?

March 11, 2024 — Christopher G. Hill - Construction Law Musings
Remember BAE Systems and Fluor? This post is the third here at Construction Law Musings relating to this case which is a seemingly never-ending source for content. In the prior post discussing this case, the Court found that Va. Code 1-4.1:1 which bars waiver of a right to payment before work is performed did not apply because Fluor had provided work before execution of the contract or any change orders. In the most recent opinion in this long-running litigation, and after a motion to reconsider by Fluor that was granted, the Court re-examined this finding along with the contractual language found in the Limitation of Damages (LOD) clause and came to the opposite conclusion regarding certain change orders that remained unpaid by BAE. The Court first looked to the language of the contract itself and specifically the language in the LOD provision that states “Except as otherwise provided in this Subcontract.” The Court then looked at the change order provision and its typical equitable adjustment language and the mandatory nature of the equitable adjustment language. The Court found that the LOD provisions did not apply to change orders both because price increases due to change orders are not “damages” and because of the exception language in the LOD provision itself. Read the court decision
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

What to do about California’s Defect-Ridden Board of Equalization Building

October 01, 2014 — Beverley BevenFlorez-CDJ STAFF
Jerry Brown recently signed into law a bill requiring the state of California “to assess its properties in the Sacramento area and develop long-term plans for renovating, replacing or selling the most troublesome buildings,” according to SF Gate. Some say the Board of Equalization building, which was built for $80 million and then repaired for $60 million has construction defects, is “jeopardizing the health and safety of public employees.” Current problems include “[f]looding, mold, falling windows and free-falling elevators,” reported SF Gate. Furthermore, recently, “three employees filed a $75 million lawsuit against the state, alleging toxic mold in the building is causing extreme fatigue, skin rashes, persistent flu-like symptoms, respiratory illnesses, frequent headaches, memory lapses and fears of cancer.” “This is a disaster,” Assemblyman Roger Dickinson, D-Sacramento, who authored the bill regarding assessing state capitol buildings, told SF Gate. “It endangers the health and safety of employees and the public alike. And it is costing state taxpayers tens of millions of dollars.” 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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Allegations That COVID-19 Was Physically Present and Altered Property are Sufficient to Sustain COVID-19 Business Interruption Suit

May 24, 2021 — Michael S. Levine & Joseph T. Niczky - Hunton Insurance Recovery Blog
On Wednesday, a federal judge in Texas denied Factory Mutual’s Rule 12(c) motion for judgment on the pleadings, finding that the plaintiffs adequately alleged that the presence of COVID-19 on their property caused covered physical loss or damage in the case of Cinemark Holdings, Inc. v. Factory Mutual Insurance Co., No. 4:21-CV-00011 (E.D. Tex. May 5, 2021). This is the third COVID-19-related business interruption decision from Judge Amos Mazzant since March, but the first in favor of a policyholder. Taken together, the three decisions have two key takeaways and provide a roadmap for policyholders in all jurisdictions. First, the Cinemark decision recognizes that the alleged presence of COVID-19 viral particles that physically altered the policyholder’s property is sufficient under federal pleading standards and controlling state law. In its motion, FM relied on Judge Mazzant’s recent decision in Selery Fulfillment, Inc. v. Colony Insurance Co., No. 4:20-CV-853, 2021 WL 963742 (E.D. Tex. Mar. 15, 2021), which dismissed a lawsuit alleging that the policyholder’s losses were caused by government orders that closed its business, rather than from the actual presence of the virus on its property. The Court held that government orders alone do not constitute physical loss or damage, and declined to rule on whether the physical presence of the virus does. Judge Mazzant reached the same conclusion weeks later in Aggie Investments, L.L.C. v. Continental Casualty Co., No. 4:21-CV-0013, 2021 WL 1550479 (E.D. Tex. Apr. 20, 2021). Reprinted courtesy of Michael S. Levine, Hunton Andrews Kurth and Joseph T. Niczky, Hunton Andrews Kurth Mr. Levine may be contacted at mlevine@HuntonAK.com Mr. Niczky may be contacted at jniczky@HuntonAK.com Read the court decision
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Congratulations to Walnut Creek Partner Bryan Stofferahn and Associate Jeffrey Schilling for Winning a Motion for Summary Judgment on Behalf of Their Client, a Regional Grocery Store!

July 05, 2023 — Bremer Whyte Brown & O'Meara LLP
Bremer Whyte Brown & O’Meara, LLP is excited to share that Partner Bryan Stofferahn and Associate Jeffrey Schilling recently won their Motion for Summary Judgment in favor of a prominent Bay Area Grocery Store, and long-time client of the firm. BWB&O’s Client is a regional Grocery Store with locations throughout California and Nevada. The Client was sued in an action pertaining to a claimed dangerous condition of public property, resulting in a vehicle versus pedestrian collision in an intersection, adjacent to a Northern California store of BWB&O’s Client. The Plaintiff asserted our Client allowed the use of the store’s parking lot as a pickup and drop-off location by agricultural laborers, resulting in increased pedestrian and vehicle traffic, which the surrounding streets were not capable of accommodating thereby creating an allegedly dangerous condition. Read the court decision
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Reprinted courtesy of Bremer Whyte Brown & O'Meara LLP

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