Fairfield Connecticut Building Expert Directory

Real Estate & Construction News Round-Up 04/20/22

May 02, 2022 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
Construction defects emerge in pandemic-era buildings, investor confidence is improving in China’s real estate market, the proptech field continues to show significant signs of growth, and more.

Investor confidence in China’s real estate market is improving, with bond trading volumes and prices rising over the last few weeks, but the market is not projected to resume its high growth rate of the past. (Weizhen Tan & Evelyn Cheng, CNBC)
The economic shock caused by soaring mortgage rates over the past few weeks has dramatically increased mortgage payments for new homebuyers. (Lance Lambert, Fortune)
With the metaverse economy projected to be worth between $8 and $13 trillion by 2030, blockchain technology serves as a key driver for virtual real estate sales, allowing for “true” ownership of a property. (Robert Koonin, Dan Jasnow, & Kinnon McDonald, TFL)

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Reprinted courtesy of Pillsbury's Construction & Real Estate Law Team

Las Vegas Sphere Lawsuits Roll On in Nevada Courtrooms

October 02, 2023 — Richard Korman - Engineering News-Record
Big concerts have yet to start at Las Vegas’ distinctive new ball-shaped entertainment venue, but the legal noise over its construction has been heard in Clark County courtrooms for more than two years. Reprinted courtesy of Richard Korman, Engineering News-Record Mr. Korman may be contacted at kormanr@enr.com Read the full story... Read the court decision
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California Supreme Court Allows Claim Under Unfair Competition Statute To Proceed

October 16, 2013 — Tred Eyerly — Insurance Law Hawaii
The California Supreme Court determined that insurance practices violating the state's Unfair Insurance Practices Act (UIPA) could support a claim under the state's unfair competition law (UCL). Zhang v. Superior Court, 57 Cal. 4th 353 (2013). Zhang purchased a CGL policy from California Capital Insurance Company. She sued California Capital in a dispute over coverage for fire damage to her commercial property. The complaint included causes of action for breach of contract, breach of the implied covenant of good faith and fair dealing, and violation of the UCL. In her UCL claim, Zhang alleged that California Capital had "engaged in unfair, deceptive, untrue, and/or misleading advertising" by promising to provide timely coverage in the event of a compensable loss, when it had no intention of paying the true value of the insureds' covered claims. Zhang specifically alleged unreasonable delays causing deterioration of her property; withholding of policy benefits; refusal to consider cost estimates; misinforming her as to the right to an appraisal; and falsely telling her mortgage holder that she did not intend to repair the property, resulting in foreclosure proceedings. Read the court decision
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Reprinted courtesy of Tred Eyerly
Tred Eyerly can be contacted at te@hawaiilawyer.com

Serving Notice of Nonpayment Under Miller Act

January 20, 2020 — David Adelstein - Florida Construction Legal Updates
Under the federal Miller Act, if a claimant is NOT in privity with the prime contractor, it needs to serve a “notice of nonpayment” within 90 days of its final furnishing. In this manner, 40 U.S.C. 3133 (b)(2) states: A person having a direct contractual relationship with a subcontractor but no contractual relationship, express or implied, with the contractor furnishing the payment bond may bring a civil action on the payment bond on giving written notice to the contractor within 90 days from the date on which the person did or performed the last of the labor or furnished or supplied the last of the material for which the claim is made. The action must state with substantial accuracy the amount claimed and the name of the party to whom the material was furnished or supplied or for whom the labor was done or performed. The notice shall be served–

(A) by any means that provides written, third-party verification of delivery to the contractor at any place the contractor maintains an office or conducts business or at the contractor’s residence; or (B) in any manner in which the United States marshal of the district in which the public improvement is situated by law may serve summons.

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

Storm Breaches California River's Levee, Thousands Evacuate

March 20, 2023 — Associated Press - Engineering News-Record
WATSONVILLE, Calif. (AP) — A Northern California agricultural community famous for its strawberry crop was forced to evacuate early Saturday after the Pajaro River’s levee was breached by flooding from a new atmospheric river that pummeled the state. Across the Central Coast's Monterey County , more than 8,500 people were under evacuation orders and warnings Saturday, including roughly 1,700 residents — many of them Latino farmworkers — from the unincorporated community of Pajaro. Reprinted courtesy of Engineering News-Record ENR may be contacted at enr@enr.com Read the full story... Read the court decision
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Contractor Jailed for Home Repair Fraud

November 27, 2013 — CDJ STAFF
An Illinois man has received his third prison sentence for construction fraud, this time for five and a half years. Perry Porter was arrested in October and plead guilty to aggravated home repair fraud. Mr. Porter had charged a homeowner $1,000 per hour for a home repair that should have cost a total of $500. Mr. Porter has also been ordered to pay $6,700 in restitution to the victim. Read the court decision
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A Court-Side Seat: An End-of-Year Environmental Update

January 09, 2023 — Anthony B. Cavender - Gravel2Gavel
As 2022 draws to a close, here is a brief description of recent environmental and regulatory law rulings, as well as new federal rulemaking proceedings. United States Tax Court

Green Valley Investors, LLC et al, v. Commissioner of Internal Revenue On November 9, 2022, the Tax Court agreed with the taxpayers that the IRS’s use of administrative Notice 2017-10 to impose substantial tax liabilities violated the Administrative Procedure Act (APA). The notice was the agency’s response to a provision in the American Jobs Creation Act of 2004 which increased the penalties for engaging in a reportable transaction understatement. Here, at issue was the value of charitable deductions generated by the creation of environmental easements made in connection with land transactions. These claimed deductions amounted to more than $60 million. The petitioners argued that IRS Notice 2017-10, which authorized such large penalties, was in fact a “legislative rule” whose promulgation should have complied with the notice and comment requirements of the APA. The agency contended that the Congress, by implication, absolved the IRS from the notice and comment requirements. The court agreed with the petitioners and set aside Notice 2017-10 and the imposition of penalties under Section 6662A of the Jobs Creation Act. On December 8, 2022, the IRS published a notice of proposed rulemaking that would correct the APA deficiencies noted by the courts. (See 87 FR 75185.)

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Reprinted courtesy of Anthony B. Cavender, Pillsbury
Mr. Cavender may be contacted at anthony.cavender@pillsburylaw.com

Business Interruption Claim Upheld

April 01, 2015 — Tred R. Eyerly – Insurance Law Hawaii
A business interruption claim survived an appeal after it was determined the claim was satisfactorily presented to the trial court. Citadel Broadcasting Corp. v. Axis U.S. Ins. Co., 2015 La. App. LEXIS 274 (La. Ct. App. Feb. 11, 2015). When Hurricane Katrina hit on August 29, 2005, the insured owned three radio stations that broadcast in and around New Orleans. All three stations suffered property damage and were off the air for varying periods of time. The insured's policy with Axis covered both physical damage and business interruption (BI) losses. The policy also insured contingent business interruption income (CBI). Both ordinary BI and CBI losses were covered under a 365 day extended period of indemnity (EPI). 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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