Nobody Knows What Lies Beneath New York City
August 10, 2017 —
Greg Milner - BloombergBefore a single raindrop fell, Alan Leidner knew the waters could rise and throw the city into darkness. On this point, the maps were as clear as a crystal ball. All you had to do was look.
It was 2010, and Leidner was consulting for the government services company Booz Allen Hamilton Inc., contracted by the U.S. Department of Homeland Security to identify potential threats and vulnerabilities in the nation’s critical infrastructure. Leidner was examining a region that included New York and New Jersey. One day he was thinking about the area’s electrical power grid. He consulted some flood projection maps the Federal Emergency Management Agency had prepared. Then he stared at a map of the grid maintained by Consolidated Edison Inc., the region’s power supplier. And it just jumped out at him: The substation at East 13th Street, on the banks of the East River, was smack in the middle of a flood zone.
Leidner voiced his concerns with utilities, hospitals, and other major facilities. “The reaction was mostly, ‘Eh,’ ” he recalls, as we sit in the Tribeca offices of the Fund for the City of New York, where he directs the nonprofit organization’s Center for Geospatial Innovation.
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Greg Milner, Bloomberg
Construction Costs Must Be Reasonable
May 17, 2021 —
David Adelstein - Florida Construction Legal UpdatesWhen it comes to proving a construction cost, particularly a cost in dispute, the cost must be REASONABLE. Costs subject to claims must be reasonably incurred and the party incurring the costs must show the costs are reasonable.
An example of the burden falling on the contractor to prove the reasonableness of costs is found in government contracting.
“[T]here is no presumption that a [government] contractor is entitled to reimbursement ‘simply because it incurred…costs.’” Kellogg Brown & Root Services, Inc. v. Secretary of Army, 973 F.3d 1366, 1371 (Fed. Cir. 2020) (citation omitted). Stated differently, a federal contractor is not entitled to a presumption of reasonableness just because it incurs costs. Id.
In government contracting, the Federal Acquisition Regulations (known as “FAR”) puts the burden of reasonableness on the contractor that incurred the costs. Id.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Construction Litigation Roundup: “A Close Call?”
August 05, 2024 —
Daniel Lund III - LexologyNot really, said a Florida state appellate court when a public construction project owner sued a defaulted general contractor after recovering from the general contractor’s surety.
The general contractor, Close Construction, entered into a contract for a lift station rehabilitation construction project with the City of Riviera Beach in Florida. During the course of the work the public owner terminated the contract, whereupon the GC and the owner brought claims against each other in court. A jury ultimately held against the general contractor and in favor of the public owner in the amount of approximately $1.9 million. The general contractor appealed.
On appeal, the general contractor noted that the public works surety which it was required by the contract to obtain for the project had hired another company to complete the work when the general contractor was terminated and had otherwise “settled with the District under its bond for $1,000,000.” Based on that settlement, the general contractor had moved, unsuccessfully, in the trial court for a post-trial setoff because the “settlement covered the same damages that the jury assessed” against the GC, and because the surety was “jointly and severally liable” with the GC – pursuant to the terms of the bond – for those damages. In essence, the general contractor sought to avoid having the public owner “obtain a double recovery.”
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Daniel Lund III, PhelpsMr. Lund may be contacted at
daniel.lund@phelps.com
What is the Effect of an Untimely Challenge to the Timeliness of a Trustee’s Sale?
April 13, 2017 —
Ben Reeves - Snell & Wilmer Real Estate Litigation BlogEver wonder what happens if a person challenges the timeliness of a trustee’s sale after the sale already occurred? Waiver of the argument of course! And, in the case of Wells Fargo Bank, N.A. v. Waltner, the affirmance of an eviction judgment.
In the Waltner case, Wells Fargo Bank, N.A., as Trustee for WaMu Mortgage Pass-Through Certificates, Series 2005-PR4 Trust (the “Bank”), purchased a residential property at a trustee’s sale in September 2015. The Bank gave the occupant of the house, Sarah Waltner (“Waltner”), notice to vacate the property, but she did not do so. Accordingly, the Bank filed a summary action to evict Waltner, which the trial court ultimately granted.
After the trial court granted the Bank relief, Waltner filed a motion to dismiss and a motion to vacate the eviction judgment arguing, among other things, that the judgment was void because the Bank conducted the trustee’s sale after the statute of limitations expired. Both motions were denied, and Waltner appealed.
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Ben Reeves, Snell & WilmerMr. Reeves may be contacted at
breeves@swlaw.com
Sweet News for Yum Yum Donuts: Lost Goodwill is Not an All or Nothing Proposition
October 07, 2019 —
Josh Cohen - California Construction Law BlogLast month a California Court of Appeals clarified that a property owner facing eminent domain is only required to prove partial loss of goodwill, not total loss of goodwill, to be entitled to a trial on the amount of goodwill lost.
Yum Yum Donuts operated a shop in Los Angeles that was subject to eminent domain by the Los Angeles Metropolitan Transportation Authority (MTA) to make way for light railway track. At trial, Yum Yum sought loss of goodwill as part of its condemnation damages under Code of Civil Procedure section 1263.510.
At trial the MTA’s expert testified that Yum Yum could have reduced its goodwill loss if it relocated to one of three alternative locations rather than simply closing the shop. But the expert conceded that even if Yum Yum had relocated, it would have lost some goodwill. Yum Yum refused to relocate, arguing that its relocation costs would render the move unprofitable. The trial court found that Yum Yum’s failure to mitigate its damages barred Yum Yum from having a jury trial to recover any goodwill damages.
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Josh Cohen, Wendel, Rosen, Black & Dean LLPMr. Cohen may be contacted at
jcohen@wendel.com
Michigan Civil Engineers Give the State's Infrastructure a "C-" Grade, Improving from "D+" Grade in 2018
May 08, 2023 —
The American Society of Civil EngineersLANSING, MI. — The Michigan Section of the
American Society of Civil Engineers (ASCE) released the
2023 Report Card for Michigan's Infrastructure today, with 14 categories of infrastructure receiving an overall grade of 'C-', an improvement over the 'D+' grade issued in the state's 2018 report card. That means Michigan's infrastructure systems are improving but are still in average condition and require attention. Michigan's grade is on par with the national average of 'C-' given in the
2021 Report Card for America's Infrastructure. Civil engineers graded Michigan's aviation (C), bridges (D+), dams (C-), drinking water (D+), energy (D), inland waterways (C), public parks (C), rail (C), roads (D), schools (C-), solid waste (C+), stormwater (D), transit (C-), and wastewater (C). The report also included a chapter on the state's broadband infrastructure, which did not receive a grade due to insufficient available data.
Michigan policymakers have driven progress in the last five years to improve infrastructure assets by implementing short-term funding solutions to address decades of deferred maintenance, including surface transportation funding through the Rebuilding Michigan plan and improved water infrastructure systems through the MI Clean Water Plan. The state will also benefit from recent federal infrastructure investments included in the Bipartisan Infrastructure Law (BIL), Coronavirus Aid, Relief, and Economic Security (CARES) Act, and American Rescue Plan Act (ARPA). However, Michigan generally lacks sufficient long-term funding mechanisms to ensure all infrastructure sectors reach and sustain a state of good repair.
ABOUT THE AMERICAN SOCIETY OF CIVIL ENGINEERS
Founded in 1852, the American Society of Civil Engineers represents more than 150,000 civil engineers worldwide and is America's oldest national engineering society. ASCE works to raise awareness of the need to maintain and modernize the nation's infrastructure using sustainable and resilient practices, advocates for increasing and optimizing investment in infrastructure, and improve engineering knowledge and competency. For more information, visit www.asce.org or www.infrastructurereportcard.org and follow us on Twitter, @ASCETweets and @ASCEGovRel.
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Insurer Motion to Intervene in Underlying Case Denied
August 10, 2021 —
Tred R. Eyerly - Insurance Law HawaiiThe Colorado Supreme Court determined that the insurer defending under a reservation of rights could not intervene in the underlying case after the insured assigned its rights to any bad faith claim against the insurer. Auto-Owners Ins. Co. v. Bolt Factory Lofts Owners Ass'n, Inc., 2021 Colo. LEXIS 365 (Colo. May 24, 2021).
Bolt Factory initiated a construction defects lawsuit against various contractors. Several defendants filed third-party complaints against subcontractors, including Sierra Glass Company. Auto-Owners agreed to defend its insured, Sierra Glass, under a reservation of rights. Auto-Owners declined to settle with Bolt Factory for $1.9 million, within policy limits. Sierra Glass then retains independent counsel and entered into a settlement with Bolt Factory. The settlement allowed Sierra Glass to assign its bad faith claims to Bolt Factory in exchange for the right to pursue the insurer for payment of the excess judgment rather than Sierra Glass. Instead of entering into a stipulated judgment, Bolt Factory and Sierra Glass proceeded to an abbreviated trial.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
What to Know Before Building a Guesthouse
September 17, 2014 —
Cynthia Flash – BloombergThose tiny, often very cute homes that people are adding on their properties seem to be popping up everywhere these days. The tiny buildings can provide extra rental income, offer a less-expensive housing option or provide a home for a relative.
Accessory dwelling units, or ADUs, are second dwelling units created on a lot with an existing house or attached house. They’re often referred to as mother-in-law apartments, granny flats or studio apartments. As a homeowner, what are the legal issues to consider before building an ADU of your own?
Different cities, different rules
First off, different cities have different rules. Before plotting the space for your new tiny house, check with your city’s planning and zoning department to determine what those rules are. You can start online at accessorydwellings.org for a list of regulations by state and city.
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Cynthia Flash, Bloomberg