Fairfield Connecticut Building Expert Directory

De-escalating The Impact of Price Escalation

August 10, 2021 — Brian C. Padove - ConsensusDocs
What happens when construction material prices abruptly rise by 15%, 35%, 50%? Moreover, what happens to a construction project when such volatility occurs? While there is no definite answer, delays in procuring such materials and associated cost overruns will likely impact the construction project. The last 15 months contractors have had to work through extraordinary construction material price increases, such as a 90% price increase for lumber from April 2020 to April 2021. While there is no statistic quantifying the impact these increases have had on the construction industry, the increases surely have had an influence, whether it has been through lost profits, delays, or damage to contractors’ otherwise strong reputation for timely performance. Considerations Prior To Contract Execution The first way to mitigate price escalation is identifying materials most susceptible to price volatility during the bidding process and then having an open discussion with upstream parties regarding the potential price volatility. Additionally, the bid may also include either (1) an allowance for the materials providing additional funds, if necessary, should the material price increase, or (2) a shortened timeframe in which the bid is open, which would lessen the time in which a price shift may occur. Read the court decision
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Reprinted courtesy of Brian C. Padove, Watt, Tieder, Hoffar & Fitzgerald, LLP
Mr. Padove may be contacted at bpadove@watttieder.com

Appropriation Bill Cuts Military Construction Spending

June 15, 2011 — CDJ STAFF

The Hill reports that HR 2055, the Military Construction, Veterans Affairs (VA) and Related Agencies bill, has passed with only five votes in opposition. The bill cuts the budget for military construction spending by $2.6 billion due to anticipated base closures.

The bill includes $186 million for family housing construction by the Army, $100 million for family housing construction by the Navy and Marines, and $84 million for family construction by the Air Force, with an additional $50 million allocated for the DOD outside the military branches. By the act, these funds will remain available until September 30, 2016.

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Another Smart Home Innovation: Remote HVAC Diagnostics

June 17, 2015 — Beverley BevenFlorez-CDJ STAFF
Builder magazine reported that “smart home technology manufacturer Nexia Home Intelligence now offers monitoring of a home’s HVAC system even when owners are away. If an issue arises, it can be fixed quickly, sometimes without a service call, the company says.” The service is available “with Trane and American Standard Wi-Fi-enabled thermostats” and requires a free Nexia account. System alerts are automatically transmitted to the dealer. Read the court decision
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Federal Court Predicts Coverage In Nevada for Damage Caused by Faulty Workmanship

April 03, 2013 — Tred Eyerly - Insurance Law Hawaii
Methodically analyzing the damage claims, the federal district court largely denied the insurers' motions for summary judgment for coverage of construction defect claims. Big-D Constr. Corp. v. Take It for Granite Too, 2013 U.S.Dist. LEXIS 8377 (D. Nev. Jan. 22, 2013). Big-D was the general contractor for a remodeling project of International Gaming Technologies' (IGT) building. Big-D subcontracted with Take it for Granite Too (TIFGT) to install various tiling and stonework on the interior and exterior of the building. After TIFGT began its stonework, a stone tile fill from an exterior wall. Over the next several months and after completion of TIFGT's work, two additional stones fell from exterior walls. IGT directed Big-D to replace TIFGT's stonework on the walls. Big-D notified TIFGT and requested that it make immediate repairs. TIFGT did not respond and eventually went out of business. Experts opined that the cause of the stones falling was efflorescence between the tile and the wall. Efflorescence occurred when the stone started to deteriorate, spall, and become soft. It was caused by water entering through an open joint and getting behind the stone tile. Read the court decision
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Reprinted courtesy of Tred Eyerly
Tred Eyerly can be contacted at te@hawaiilawyer.com

Another Reminder that Your Construction Contract is Only as Good as Those Signing It

December 17, 2024 — Christopher G. Hill - Construction Law Musings
Here at Construction Law Musings, we beat the constant drum that “the contract is king” and “draft a good and well-worded construction contract” consistently. As a Virginia construction attorney, I stand by these statements and fully endorse a well-written construction contract. Such a contract will set expectations and provide the rules for your deal (particularly in the commercial context). Without this solid foundation (yes, I see the potential construction pun), when there are issues on the job site, there will be no baseline for how to resolve those issues. That said, I am also reminded on an almost daily basis that humans interact with these contracts. People negotiate the contracts and are the main forces that drive the success (or failure) of the construction project. Money is involved (often a lot of it) and there can at times be temptations to try and squeeze one last dollar out of the job despite what the contract says. Even the strongest contract cannot act as real-time protection against one party that refuses to comply with the contract and its performance or payment terms. Read the court decision
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

Playing Hot Potato: Indemnity Strikes Again

September 17, 2015 — Garret Murai – California Construction Law Blog
Indemnity can be like playing hot potato (for those of you closer to the Minecraft generation, in the game of hot potato, a metaphoric “hot potato” is tossed between (ahem amongst) players while music is playing, and when the music stops, the player holding the hot potato is out. It’s a barrel of monkeys, trust me.). Anyway, like hot potato, with indemnity an owner typically requires its general contractor to indemnify the owner (sometimes the property owner in TI projects and occasionally design professionals) from and against any and all claims arising out of, related to . . . blah, blah, blah . . . the general contractor’s scope of work . A general contractor in turn will usually require indemnity from its subcontractors. And subcontractors will require indemnity from their sub-subcontractors. And down the line it goes with each party pointing their finger at the next party down the proverbial “food chain.” But it doesn’t always happen that way as the next case, American Title Insurance Company v. Spanish Inn, Case No D067137, California Court of Appeals for the Fourth District (August 14, 2015), illustrates. Read the court decision
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Reprinted courtesy of Garret Murai, Wendel Rosen Black & Dean LLP
Mr. Murai may be contacted at gmurai@wendel.com

The Legal Landscape

June 17, 2024 — David McMillin - Construction Executive
The construction industry continues to change as new technologies reshape jobsites and new generations of leaders rethink the way companies should operate. But one piece of the puzzle remains very much the same: Everyone needs a good lawyer. According to the most recent edition of the Arcadis Construction Disputes Report, the average value of a dispute in the industry has soared to $42.8 million—a 42% year-over-year increase between 2021 and 2022. And based on how busy the attorneys at Construction Executive’s 2024 Top 50 Construction Law Firmshave been this year, there is no sign of legal issues becoming less important to builders and contractors. Every construction leader wants to spend more time and energy doing what they do best—building projects safely, efficiently and profitably—and less time thinking about the things that might land them in court. How can you best avoid big disputes bound for mediation, arbitration or litigation? What emerging rules and regulations should be on your radar as you develop strategies for success? While legal issues will never disappear, listening to what some of the best construction lawyers in the country—all members of 2024 Top 50 Construction Law Firms—are thinking about offers a helpful perspective on future-proofing your business against risk, liability and worse. Reprinted courtesy of David McMillin, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Commonwealth Court Strikes Blow to Philly Window and Door Ordinance

January 05, 2017 — Wally Zimolong – Supplemental Conditions
On December 22, 2016, the Pennsylvania Commonwealth Court issued an important opinion that has flown under the radar somewhat. The case Rufo v. Board of Licenses and Inspection Review, invalidates a major portion of Philadelphia’s so called windows and doors ordinance, which requires owners of vacant properties to install glass windows and doors with frames on vacant properties. A copy of the opinion can be found here. (I only learned about the case because of a tweet by a litigator with the pro-freedom group the Institute for Justice.) The Windows and Doors Ordinance The case concerns Section 306.2 of the Property Maintenance Code which requires “the owner of a vacant building that is a blighting influence, as defined in this subcode, [to] secure all spaces designed as windows with windows that have frames and glazing and all entryways with doors.” Property owners found in violation of the ordinance can face stiff fines. Property owners are subject to a daily fine for each door and window in violation of the Ordinance. The fine is $300 per window or door. However, because most vacant properties have multiple windows and doors the fines can add up exponentially. Read the court decision
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Reprinted courtesy of Wally Zimolong, Zimolong LLC
Mr. Zimolong may be contacted at wally@zimolonglaw.com

FAIRFIELD CONNECTICUT BUILDING EXPERT DIRECTORY AND CAPABILITIES