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DIRECTORY AND CAPABILITIES

With Vice President's Tie-Breaker, US Senate Approves Far-Reaching Climate Bill

August 29, 2022 — Pam McFarland & Debra K. Rubin - Engineering News-Record
With Vice President Kamala Harris casting the decisive vote, the U.S. Senate passed 51-50 an economic package on Aug. 7 that authorizes $369 billion to address climate change. The bill now moves to the U.S. House of Representatives, which is expected to pass the bill later this week, and then to the White House for President Joe Biden's signature. Reprinted courtesy of Pam McFarland, Engineering News-Record and Debra K. Rubin, Engineering News-Record Ms. McFarland may be contacted at mcfarlandp@enr.com Ms. Rubin may be contacted at rubind@enr.com Read the full story... Read the court decision
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The U.S. Tenth Circuit Court of Appeals Rules on Greystone

November 18, 2011 — Derek J. Lindenschmidt, Higgins, Hopkins, McLain & Roswell, LLC

On November 1, 2011, the Tenth Circuit Court of Appeals ruled on the certified question of whether property damage caused by a subcontractor’s faulty workmanship is an “occurrence” for purposes of a commercial general liability (CGL) insurance policy. In Greystone Const., Inc. v. National Fire & Marine Ins. Co., No. 09-1412 (10th Cir. Nov. 1, 2011), the Tenth Circuit determined that because damage to property caused by poor workmanship is generally neither expected nor intended, it may qualify under Colorado law as an occurrence and liability coverage should apply. Id. at 2.

The short history of the Greystone case is as follows. In Greystone Const., Inc. v. National Fire & Marine Ins. Co., 649 F. Supp. 2d 1213 (D. Colo. 2009), two contractors and one of their insurers brought an action against a second insurer after the second insurer refused to fund the contractors’ defense in construction defect actions brought by separate homeowners. Id. at 1215. The U.S. District Court for the District of Colorado, relying on General Sec. Indem. Co. of Arizona v. Mountain States Mut. Cas. Co., 205 P.3d 529 (Colo. App. 2009), granted summary judgment in favor of the second insurer on the basis that the homeowners’ complaints did not allege accidents that would trigger covered occurrences under the second insurer’s policies. Id. at 1220. Notably, the Greystone, General Security, and other similar decisions prompted the Colorado General Assembly to enact C.R.S. § 13-20-808, which was designed to provide guidance for courts interpreting perceived coverage conflicts between insurance policy provisions and exclusions. The statute requires courts to construe insurance policies to favor coverage if reasonably and objectively possible. C.R.S. § 13-20-808(5).

The Tenth Circuit began its analysis by determining whether C.R.S. § 13-20-808, which defines the term “accident” for purposes of Colorado insurance law, would have a retroactive effect, and thereby settle the question before the court. The Tenth Circuit gave consideration to several Colorado district court orders issued since the enactment of C.R.S. § 13-20-808 which have suggested that the statute does not apply retroactively, including Martinez v. Mike Wells Constr., No. 09cv227 (Colo. Dist. Ct., Mar. 1, 2011), and Colo. Pool. Sys., Inv. V. Scottsdale Ins. Co., No. 09cv836 (Colo. Dist. Ct., Oct. 4, 2010). The Tenth Circuit also attempted to ascertain the General Assembly’s intent behind the term “all insurance policies currently in existence...” Greystone, No. 09-1412, at 12. The Tenth Circuit determined that the General Assembly would have more clearly stated its intentions for the term if it was supposed to apply retroactively to expired policies, rather than those still running. Id. at 12-13. Ultimately, the Tenth Circuit decided that C.R.S. § 13-20-808 did not apply retroactively, but noted that “the retrospective application of the statute is not necessarily unconstitutional.” Id. at 9, 11-14. As such, the Tenth Circuit advised that it was required to decide the question presented in the appeal under the principles of Colorado insurance law. Id. at 15.

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Reprinted courtesy of Higgins, Hopkins, McLain & Roswell, LLC. Mr. Lindenschmidt can be contacted at lindenschmidt@hhmrlaw.com

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Defend Trade Secret Act of 2016–-Federalizing Trade Secret Law

October 07, 2016 — Erin M. Stines and Reed Cahill - Ahlers & Cressman PLLC
The Defend Trade Secret Act of 2016 (DTSA) was signed into law on May 11, 2016, and became effective immediately. The DTSA allows an owner of a trade secret to sue in federal court for trade secret misappropriation. Previously, only state law governed civil misappropriation of trade secrets. While the DTSA largely mirrors the current state of the law under the Uniform Trade Secrets Act (UTSA), adopted by 48 states, including Washington,[1] there are some additions found in the new law. The DTSA imposes the same three-year statute of limitations and authorizes remedies similar to those provided under the UTSA. The DTSA also offers new forms of relief, including a provision permitting ex parte seizure orders (that is, without a hearing or response from the opposing party) to prevent further misappropriation of the trade secret. The DTSA further provides for a new definition of trade secret. The UTSA's definition of a trade secret is a “formula, pattern, compilation, program, device, method, technique, or process.” Under the DTSA, the definition of a “trade secret” is broadened to include “all forms and types of financial, business, scientific, technical, economic, or engineering information...whether tangible or intangible...” [2] Read the court decision
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Reprinted courtesy of Erin M. Stines & Reed Cahill, Ahlers & Cressman PLLC
Ms. Stines may be contacted at erin.stines@ac-lawyers.com

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2023 West Coast Casualty Construction Defect Seminar

March 27, 2023 — Beverley BevenFlorez – CDJ Staff
The 29th annual West Coast Casualty Construction Defect Seminar will return to the Disneyland Hotel in May. The event covers topics of interest to those in the construction defect field including prosecution, defense, insurance coverage, and science and technology. The seminar will also have networking opportunities. Attendees every year include professionals “from the legal, insurance, builder, contractor, subcontractor and numerous other communities.” May 18th-19th, 2023 Disneyland Hotel 1150 Magic Way Anaheim, CA 92802 Read the court decision
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No Collapse Coverage Where Policy's Collapse Provisions Deleted

July 26, 2017 — Tred R. Eyerly - Insurance Law Hawaii
The federal district court found there was no coverage for the homeowners' collapse claim because the collapse provisions were deleted from the policy. Gueng-Ho Kim v. State Farm Fire & Cas. Co., 2017 U.S. Dist. LEXIS 97871 (D. Conn. June 26, 2017). The homeowners purchased their home in 2004. They also purchased a homeowners policy from State Farm. In the policy, State Farm deleted the additional coverage for collapse.Also deleted from the policy was language excluding coverage for "collapse, except as specifically provided in Section I - Additional Coverages, Collapse." The homeowners discovered a problem with the property's foundation when they attempted to sell the house in 2014. The homeowners hired an engineer who found that the interior and exterior foundation had numerous spider-web cracks and the foundation walls in several locations bowed inward by as much as one and a half inches. 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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Milhouse Engineering and Construction, Inc. Named 2022 A/E/C Building a Better World Award Winner

September 12, 2022 — Milhouse Engineering and Construction, Inc.
CHICAGO, IL, Sept. 07, 2022 (GLOBE NEWSWIRE) -- PSMJ has awarded Milhouse Engineering and Construction, Inc. (Milhouse) their 2022 Building a Better World award. This recognition is given to a firm in the Architecture, Engineering, and Construction industries that significantly and positively impacts the communities they serve. This highly regarded award is chosen by a panel of industry visionaries and leaders based on the impact and nature of the activities completed by the organization. "Firms nominated for an A/E/C Building a Better World Award come in all sizes, from less than 10 architects to over 10,000 civil engineers. What they share is a realization that giving time and resources to those less fortunate is the right thing to do. And more and more, the most sought-after candidates for open positions are judging firms on their level of corporate social responsibility," says Frank A. Stasiowski, FAIA, Founder and CEO of PSMJ Resources, Inc. In 2012, Milhouse established Milhouse Charities, the 501c3 non-profit arm of the Milhouse family of companies. Milhouse Charities supports the Milhouse vision "to be a positive impact" by supporting the education, exposure and advancement of underrepresented youth and minorities in science, technology, engineering and math (STEM). Since its founding in 2012, Milhouse Charities has invested over $1 Million and 7,000 hours of community service into STEM, resource, and mentorship programs. The organization has made a global impact having done service in Illinois, Indiana, Pennsylvania, New York, Atlanta, and throughout Africa. About Milhouse Engineering and Construction, Inc. Milhouse Engineering and Construction, Inc. is a full-service engineering firm offering expertise in civil, mechanical, electrical, structural and environmental engineering, as well as construction and program management. We deliver creative solutions to complex problems around the globe. Driven by our diverse perspectives, we challenge the status quo to pursue a brighter future for the communities we serve. Milhouse has been named a 'Best & Brightest Companies to Work For' for 17 years in a row and is ranked as an 'ENR Top 500 Design Firm'. Follow us on LinkedIn and Facebook. Read the court decision
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Five Construction Payment Issues—and Solutions

October 03, 2022 — Michael Bignold - Construction Executive
Sales are important for construction companies that want to succeed. However, while companies certainly need to spend time on sales and marketing, having a full order book is only part of the equation. They still need to do the work and, even more importantly, they need to be able to collect payment from customers. Here are common payment issues in the construction industry and what leaders can do to prevent or mitigate them. 1. Change Order Disputes If a project goes exactly as planned and quoted, billing the customer is a fairly simple matter. However, it’s very rare that any job goes exactly according to the quote in the construction business. Change orders, omissions and additions are typical on jobs of any size across the industry. If contractors are not handling those changes properly by getting everything in writing, they could be in trouble when the time comes to send invoices. Reprinted courtesy of Michael Bignold, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Boilerplate Contract Language on Permits could cause Problems for Contractors

March 19, 2014 — Beverley BevenFlorez-CDJ STAFF
Craig Martin on his blog Construction Contractor Advisor discusses the potential problems for a contractor that a “boilerplate contract” could cause: “A recent case revealed the problems a contractor had with permits when the contractor’s estimate contemplated an easy permitting process and compliance, but in actuality it was much, much more difficult.” Martin cites the case Bell/Heery v. United States, where a contractor discovered that the permit process would be much more time-consuming and expensive than originally planned. When Bell/Heery asked for additional funds to cover the additional costs, the “contracting officer rejected the request, finding that Bell/Heery had assumed the risk of the permitting process and it was liable for any costs associated with the permitting process and construction methods required by the permitting process.” “Bell/Heery appealed to the Court of Claims,” but lost the battle. The contractor had to absorb $7 million in costs to comply with the required permits. Read the court decision
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