FAIRFIELD CONNECTICUT BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Claim Preclusion: The Doctrine Everyone Thinks They Know But No One Really Knows What it Means in Practice

April 25, 2023 — Garret Murai - California Construction Law Blog
Generally, I think restraint in litigation is a good thing. Don’t go crazy on your claims, don’t go nut-so in your discovery, and don’t present your case at trial in a way that causes the judge and/or jury to raise their eyebrows or shake their heads in disbelief. But, as with nearly everything, there’s always an exception. One of which is: don’t hold back on a claim because you “think” you might be able to bring it later, because you might not be able to as the next case, 5th and LA v. Western Waterproofing Company, Inc., 87 Cal.App.5th 781 (2023), demonstrates. The 5th and LA Case At the outset, let me first say how much I enjoyed reading this case based on the writing alone. The case, as the 2nd District Court of Appeals states, involves “a second lawsuit about an increasingly leaky roof.” In 2012, property owner 5th and LA hired roofing contractor Western Waterproofing Company, Inc. to remove and recoat a parking lot that served also served as the roof over retail and office space below. Western completed its work in July 2012 and almost immediately 5th and LA noticed water that the coating was failing causing water leaks to the interior of the building. Read the court decision
Read the full story...
Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

---

Lawsuit Gives Teeth to Massachusetts Pay Law

September 16, 2024 — Joseph Barra - Robinson+Cole
“The Massachusetts Legislature passed the state’s Prompt Pay Act 14 years ago to improve the downstream flow of money on most large-scale private construction projects. While the act established detailed protocols for administering applications for payment and other important construction phase processes, several questions about its interpretation and impact remained unanswered. Over the years, I watched as a significant portion of the Massachusetts design and construction community either ignored the law’s exacting requirements or were unaware of their applicability. The first indication of how the act would be interpreted came in 2022, when the state appeals court decided Tocci Building Corp. v. IRIV Partners LLC. In that case, the court strictly construed the act. It held that an owner (and its agent) who failed to promptly advise the project’s general contractor of specific factual and legal reasons why it was withholding payment, coupled with a failure to certify that funds were being withheld in good faith, violated the law—making the contractor liable for the unpaid funds. Read the court decision
Read the full story...
Reprinted courtesy of Joseph Barra, Robinson+Cole
Mr. Barra may be contacted at jbarra@rc.com

---

Factual Issues Prevent Summary Judgment Determination on Coverage for Additional Insured

May 01, 2014 — Tred R. Eyerly – Insurance Law Hawaii
Numerous factual issues prevented the court from deciding at the summary judgment stage whether the additional insured was covered for a personal injury claim that happened on a construction site. Paynes Cranes v. Am States Ins. Co., 2014 U.S. Dist. LEXIS 40485 (E.D. N.Y. March 26, 2014). Intermetal Fabricators, Inc. hired Paynes to provide a crane and driver for the construction of a store. A construction worker was injured while working with the crane. The injured worker sued several defendants, including Paynes. Intermetal had coverage for the project that included additional insureds. The policy provided, “Any person or organization . . . for whom you [Intermetal] are required by written contract, agreement or permit to provide insurance is an insured, subject to the following additional provisions: a. The contract, agreement or permit must be in effect during the policy period . . . and must have been executed prior to the ‘bodily injury,’ ‘property damage,’ 'person and advertising injury.’” Read the court decision
Read the full story...
Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

---

U.S. Supreme Court Weighs in on Construction Case

January 13, 2014 — Beverley BevenFlorez-CDJ STAFF
The U.S. Supreme Court weighed in on a construction case (Atlantic Marine Construction Co. v United States District Court for the Western District of Texas)—an occurrence newsworthy of itself, according to The California Construction Law Blog. Large general contractors may benefit by the court’s decision regarding “the enforceability of forum selection clauses.” According to the blog, the U. S. Supreme Court set three standards, “which, together, strongly support the enforceability of forum selection clauses: (1) The party defying a forum selection clause bears the burden of proof…. (2) The inconvenience to the party defying a forum selection clause bears no weight…. [and] (3) The law of the selected forum applies when determining whether to transfer a case.” Read the court decision
Read the full story...
Reprinted courtesy of

---

Construction Jobs Expected to Rise in Post-Hurricane Rebuilding

November 07, 2012 — CDJ STAFF
Businessweek reports that construction jobs and materials will see increased demand as property owners in New York and New Jersey rebuild after hurricane Sandy. Tom Jeffery, of Irvine, California-based CoreLogic, a real estate information service, noted that “a high percent of damaged properties are going to be repaired.” Experts estimate property damage to total anywhere from $7 billion to $40 billion. It is also estimated that about 739,000 properties in the area are underwater in the way that has nothing to do with flooding, with negative equity of 25 percent or more. Many of these homeowners are likely to walk away from their mortgages. Ken Simonson, chief economist of the Associated General Contractors of America, expects “localized spikes in construction employment throughout November and the winter.” Martin Connor, the chief financial officer of Toll Brothers, expects to see more a rise in labor costs than in materials. Read the court decision
Read the full story...
Reprinted courtesy of

---

NAHB Speaks Out Against the Clean Water Act Expansion

March 26, 2014 — Beverley BevenFlorez-CDJ STAFF
The National Association of Home Builders (NAHB) published a news release that declared that the Environmental Protection Agency’s (EPA) proposal to expand the Clean Water Act “goes too far.” The EPA’s proposed expansion of the act would “increase the cost of new homes without a corresponding benefit to America’s lakes, rivers and other water bodies,” NAHB alleged. Kevin Kelly, NAHB president and a home builder and developer from Wilmington, Del., stated that the “EPA has added just about everything into its jurisdiction by expanding the definition of a ‘tributary’ – even ditches and manmade canals, or any other feature that a regulator determines to have a bed, bank and high-water mark. It’s a waste of taxpayer resources to treat a rainwater ditch with the same scrutiny as we would the Delaware Bay.” Read the court decision
Read the full story...
Reprinted courtesy of

---

District Court denies Carpenters Union Motion to Dismiss RICO case- What it Means

March 16, 2017 — Wally Zimolong – Supplemental Conditions
In a case that has been widely discussed on this blog, a United States federal district court Judge denied the Philadelphia Carpenters’ Union’s motion to dismiss a federal RICO case filed against it by the Pennsylvania Convention Center. Judge Nitza I. Quiñones Alejandro issued the ruling on the Union’s motion. Unfortunately, Judge Quinoses Alejandro did not issue an opinion to go along with her order. This is a bit unusual. Federal Judges routinely issue opinions (if only in footnote form) even on motion dealing with procedural issues. like discovery disputes. The lack of an opinion prevents us from knowing the Judge’s rationale for denying the motion. Therefore, the order lack precedental value for subsequent cases. However, I do not believe the order is any less significant. Potential plaintiffs now know that a federal RICO case against a union can survive a motion to dismiss. Moreover, the attorneys for the Convention Center have provided potential plaintiffs a road map for doing so. As I have stated before, the fact pattern in the Convention case is hardly unique and the tactics the Carpenters used in that case are de ri·gueur. Read the court decision
Read the full story...
Reprinted courtesy of Wally Zimolong, Zimolong LLC
Mr. Zimolong may be contacted at wally@zimolonglaw.com

---

Three Recent Cases Strike Down Liquidated Damages Clauses In Settlement Agreements…A Trend Or An Aberration?

November 01, 2021 — Adam M. Tuckman - ConsensusDocs
Beginning more than one century ago, owners and contractors generally have adopted the convention of including liquidated damages in their contracts to fix potential liability for delay (and other losses) at the inception of the project. The proliferation of liquidated damages clauses in modern contracts can be attributed to economic and legal factors. From the owner’s standpoint, it may be exceedingly difficult to prove the actual cost impact of a delayed completion of the project. A properly calculated liquidated damages rate would save the owner the significant expense of quantifying its delay damages. On the contractor’s side, a reasonable amount of liquidated damages may be preferable to uncapped or unknown liability, allowing the contractor to more accurately price its bid and efficiently allocate risk. Coinciding with, or perhaps a leading cause of, the industry’s embrace of liquidated damages provisions, was the shift in courts throughout the country from disfavoring such clauses to accepting them (within limits) as an appropriate exercise of contract rights. While some variation exists among the states, courts have generally recognized that liquidated damages clauses are a viable alternative to proof of actual loss so long as (i) actual losses were difficult to quantify, and (ii) the stipulated sum bears a reasonable relationship to the anticipated loss at the time of contracting. See, e.g., Restatement (Second) of Contracts § 356. Conversely, a clause that penalizes the breaching party rather than serving as an estimate of probable loss is likely to be found unenforceable. Read the court decision
Read the full story...
Reprinted courtesy of Adam M. Tuckman, Watt, Tieder, Hoffar, & Fitzgerald, LLP
Mr. Tuckman may be contacted at atuckman@watttieder.com

---