Wow! A Mechanic’s Lien Bill That Helps Subcontractors and Suppliers
March 05, 2015 —
Christopher G. Hill – Construction Law MusingsYou know how I’ve stated on many occasions that the contract is king here in Virginia? You know how that included contractual provisions waiving mechanic’s lien rights for subcontractors and suppliers? You know how I thought that the General Assembly would not do anything to make mechanic’s liens in Virginia easier to prosecute?
Well, it seems, at least for waivers of mechanic’s lien rights by subcontractors and suppliers (more about general contractors later) I was wrong. This General Assembly session, the Senate introduced a bill, that has now passed both houses as of February 25, 2015, that adds language to Virginia Code Section 43-3 that effectively nullifies any contractual waiver of lien rights prior to any work having been performed by any tier of construction company aside from general contractors.
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Christopher G. Hill, Law Office of Christopher G. Hill, PCMr. Hill may be contacted at
chrisghill@constructionlawva.com
Lewis Brisbois Ranks 11th in Law360’s Glass Ceiling Report on Gender Parity in Law Firms
October 11, 2021 —
Lewis BrisboisLewis Brisbois has ranked 11th in Law360’s 2021 Glass Ceiling report, moving up from 37th place in 2020. The report measures female presence and gender parity in law firms, this year evaluating 269 organizations.
As described in the Law360 Pulse article titled "Glass Ceiling Report: How Does Your Firm Stack Up?," the publication redesigned its report this year to evaluate female attorneys’ industry standing from a new angle by showing how the percentage of women across three levels within law firms compared with the potential marketplace of hires. This evaluation resulted in the firms’ "pipeline scores," which measure a firm’s percentage points above or below a set of benchmarks assembled with data from the American Bar Association and previous Law360 submissions.
Lewis Brisbois’ Los Angeles Co-Managing Partner Jana Lubert and Chief Strategy Officer Janet Eskow, the co-chairs of Lewis Brisbois' Women's Initiative, each expressed excitement about the report, along with resolve to further promote gender diversity. "We are proud that Lewis Brisbois has moved up in these rankings because we have focused diligently on hiring and retaining the best legal talent from a diverse pool of candidates nationwide," Ms. Lubert said. "At the same time, we recognize that there is more to be done to further improve gender equity and inclusion. We remain committed to this important goal, both as it pertains to Lewis Brisbois and to the entire legal industry," she added.
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Lewis Brisbois
Alleged Serious Defects at Hanford Nuclear Waste Treatment Plant
August 26, 2015 —
Beverley BevenFlorez-CDJ STAFFAccording to the Los Angeles Times, “A team of nuclear waste experts has found hundreds of serious defects at an Energy Department plant designed to turn millions of gallons of highly radioactive sludge into more stable solid glass at the former weapons facility in Hanford, Wash.” The report from 2014 was leaked, and stated that the “partially built facility is riddled with 362 ‘significant design vulnerabilities’ that could affect safety and future operations.” Thirty-seven experts led by two senior managers created the report.
The Los Angeles Times reported that the report findings “are significant because the plant is part of the Energy Department’s 2013 initiative to fix earlier problems that stalled construction of other parts of the treatment system at Hanford, the site of the nation’s worst radioactive contamination.”
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Summary Judgment in Construction Defect Case Cannot Be Overturned While Facts Are Still in Contention in Related Cases
September 09, 2011 —
CDJ STAFFThe Alabama Court of Civil Appeals has dismissed an appeal of a summary judgment in the case Bella Investments, Inc. v. Multi Family Services, Inc. MFS was hired by Bella to be the general contractor for a hotel in Gardendale, Alabama. MFS hired various subcontractors, including the architect for the project. After completion of the hotel in April, 2006, Bella made requests for MFS to repair cracked floor tiles.
In August, 2008, Bella sued MFS, the architect, and various fictitiously named defendants. Subsequently, Bella amended its complaint, naming some of the fictitiously named defendants.
MFS in turn claimed that Bella’s claims were void under the statute of limitations and that Bella was in beach of contact by failing to pay MFS the full amount owed. MFS moved for summary judgment under the statute of limitations, which was granted by the court.
Bella requested that the court “alter, amend, or vacate its summary judgment order.” When this was denied, Bella appealed to the Alabama Supreme Court, which transferred the appeal to the Court of Civil Appeals. The Court of Appeals refused to vacate the summary judgment as claims that form part of the case against MFS are also part of Bella’s claims against the other defendants. For this reason, the court upheld the summary judgment.
Read the court’s decision…
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Coverage Issues: When You Need Your Own Lawyer in a Construction Defect Suit
October 16, 2013 —
CDJ STAFFWhen an insurer hires an attorney on behalf of a client in a construction defect suit, that attorney is the client’s lawyer, but as Mike Curry writes on the website of Pendleton Wilson Hennessey & Crow, PC, a point may come when you need to hire your own additional attorney. Even though an insurance company client may refer to the lawyer as “the insurance carrier’s attorney,” Mr. Curry cites the words of the Colorado Bar Association’s ethics committee, “the insured is the client to whom the lawyer’s duty of loyalty is owed, regardless of any retention agreement the lawyer may have with the carrier.”
Mr. Curry then offers the example of what happens when the insurance company advises its client that it may not cover. “You presumably call your attorney and ask him to explain what’s going on, what the letter means, and what to do next.” All the attorney can say is “I cannot offer legal advice on coverage issues.”
This is the limitation of what Mr. Curry refers to as “the tripartite relationship.” The attorney has been retained for issues related to the construction defect dispute between the insured and the plaintiff. Not between the insurer and its insured. The attorney has, as he points out, a fiduciary obligation to the insurance company.
When coverage issues arise, “an independent attorney — one you hire — can help you with the coverage issues that your insurance-assigned attorney simply cannot address.” He further notes that “personal counsel owes no fiduciary obligation to the insurance company,” and can be “utilized to persuade the carrier to provide coverage or settle the case.”
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Property Insurance Exclusion for Constant or Repeated Leakage of Water
March 14, 2018 —
David Adelstein – Florida Construction Legal UpdatesA
property insurance policy, no different than any insurance policy, contains
exclusions for events that are NOT covered under the terms of the policy. One such common exclusion in a property insurance policy is an exclusion for damages caused by "
constant or repeated seepage or leakage of water…over a period of 14 or more days."
The application of this exclusion was discussed in the recent opinion of
Hicks v. American Integrity Ins. Co. of Florida, 43 Fla. L. Weekly D446a (Fla. 5th DCA 2018). In this case, while the insured was out of town, the water line to his refrigerator started to leak. When the insured return home over a month later, the supply line was discharging almost a thousand gallons of water per day. The insured submitted a property insurance claim. The property insurer engaged a consultant that opined (likely, correctly) that the water line had been leaking for at least five weeks. Based on the above-mentioned exclusion,
i.e., that water had been constantly leaking for over a period of 14 days, the insurer
denied coverage. This denial led to the inevitable coverage dispute.
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David Adelstein, Florida Construction Legal UpdatesMr. Adelstein may be contacted at
dadelstein@gmail.com
Daniel Ferhat Receives Two Awards for Service to the Legal Community
July 19, 2021 —
Daniel Ferhat - White and Williams LLPPartner Daniel Ferhat was recently recognized by The Philadelphia Association of Defense Counsel (PADC) with the President’s Award at PADC’s Annual Meeting. This award was given in recognition of Dan’s leadership as President of PADC over the past year. Recognized as the oldest continuously operating local defense organization in the United States, PADC is comprised of over 300 attorneys and acts as a voice for its members and the clients they serve on emerging issues of interest.
Dan also received the Exceptional Performance Award from the Defense Research Institute (DRI), which is the largest international membership organization of attorneys defending the interests of businesses and individuals in civil litigation. DRI’s Exceptional Performance Award is given annually to an individual who has supported and improved the standards and education of the defense bar, and for having contributed to the improvement of the administration of justice in the public interest.
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Daniel Ferhat, White and Williams LLPMr. Ferhat may be contacted at
ferhatd@whiteandwilliams.com
Paycheck Protection Flexibility Act Of 2020: What You Need to Know
July 20, 2020 —
Amy R. Patton & Rana Ayazi - Payne & FearsOn June 5, 2020, President Trump signed into legislation the bipartisan bill titled the Paycheck Protection Program Flexibility Act of 2020 (PPPFA). The PPPFA modifies the Paycheck Protection Program, which was first introduced under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). The modifications provide borrowers more control over the use of funds and make it easier to obtain forgiveness. The following is a summary of the key changes.
1. Extended Maturity Date From 2 Years to 5 Years
Under the CARES Act, the minimum maturity date for loan amounts after the forgiveness period was not defined. The Small Business Administration (SBA) then released an Interim Final Rule clarifying that the minimum maturity date was two years. The PPPFA has extended the term to five years: “The covered loan shall have a minimum maturity of 5 years and a maximum maturity of 10 years from the date on which the borrower applies for loan forgiveness under that section.”
2. Extension of Covered Period From Eight Weeks to a Maximum of 24 Weeks
Under the CARES Act, the covered period of the loan (i.e., the time period in which you may spend the loan funds) was February 15, 2020 to June 30, 2020, an eight-week period. The PPPFA extended the covered period to 24 weeks from the origination date of the loan, or December 31, 2020, whichever is earlier.
Reprinted courtesy of
Amy R. Patton, Payne & Fears and
Rana Ayazi, Payne & Fears
Ms. Patton may be contacted at arp@paynefears.com
Ms. Ayazi may be contacted at ra@paynefears.com
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