Risky Business: Contractual Protections in the 'New Normal'
January 04, 2023 —
Daniel Lund III - Construction ExecutiveThe point of contracts is to create certainty to avoid litigated or arbitrated disputes. Still, the various parties in the construction process may have different risk tolerances. For example, general contractors are often characterized as “risk-tolerant.” That risk, though, is usually calculated by the contractor internally, outside the terms of the written contract, based on an assumption that the contractor can get the work done more cheaply and more quickly than the owner anticipated. Project owners typically want and expect close-to-absolute certitude—absolutely as to cost—in their construction contracts. The standard fixed-price or lump-sum construction contract is geared toward protecting that interest.
Post-COVID-19, however, the discussion in the industry suggests that all bets are off when pricing and agreeing to construction work. Labor and materials shortages have sent owners and their design consultants backpedaling when general contractors pursuing a fixed-price contract seek contractual concessions that “un-fix” the price.
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Daniel Lund III , Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Helsinki Stream City: A Re-imagining Outside the System
August 13, 2019 —
Jenni Ripatti - AEC BusinessModern man lives under the illusion of being the most intelligent being out there. This is the paradox of human nature; we all want to make the best decisions with the knowledge we have at any given time, but on the other hand, our thinking is largely based on how our ancestors organized the world in their time.
Possibly the most tangible example of this in our everyday lives is infrastructure. While there seems to be plenty of candidates offering new solutions to the already existing urban environment, there are not that many looking to challenge the current urban order. Cities are full of talk—but who walks the walk?
Re-imagining Urban Environments
Olli Hakanen, a long-term specialist in re-imagining workspaces and urban environments, has an extensive background in both architecture and consultancy. His latest venture, Respace, aims to address how urban environments are being developed to better suit the needs of their residents as well as the environment. According to the ideology behind Respace, instead of always building something new, often all that is needed is a re-thinking.
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Jenni Ripatti, AEC BusinessAEC Business may be contacted at
info@aec-business.com
Dynamics of Managing Professional Liability Claims for Design Builders
February 21, 2022 —
Eric M. Clarkson - Saxe Doernberger & Vita, P.C.Nearly half of America’s construction projects are now design-build in a continuing shift. As a result, contractors are taking on more professional liability (“PL”) risk than ever before, and the risk management landscape is changing. There are unique challenges to managing PL risks and claims. Specifically, PL coverage requires proactive claim management and project coordination. As a result, design-build projects should involve significant collaboration amongst all of the parties involved in the project.
Claims Made Coverage Considerations
PL policies typically provide three types of coverage:
- Professional Liability covers defense and indemnity against claims arising out of acts or omissions of the insured in rendering a defined set of professional services –including construction management, project management, and design work in the design build context.
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Eric M. Clarkson, Saxe Doernberger & Vita, P.C.Mr. Clarkson may be contacted at
EClarkson@sdvlaw.com
7 Areas where Technology is Shifting the Construction Business
November 21, 2018 —
Eric Weisbrot – JW Surety BondsThe digital transformation of the last two decades has taken hold of the business environment in a powerful way. Companies in nearly all sectors are experiencing a significant shift in the way business is done, with a heavy focus on improved productivity, increase profitability, and enhanced product and service offerings. The construction industry has been historically slow to update its processes and business models in-line with other industries, but technology is currently making its long-awaited appearance in the sector. Construction professionals can embrace these new solutions to run more efficient businesses and keep a closer eye on profitability by reducing
common costs over time.
These are the seven major areas where technology is changing construction.
1 - Business Management
One of the most apparent shifts taking place in the construction industry thanks to technology is the advancement of business processes and systems behind the scenes. Construction managers and job site owners have countless
digital tools at their fingertips to help with managing all aspects of the business. This includes more efficient ways to manage material use and equipment inventory, logging subcontractor hours and pay, and maintaining reporting requirements from regulatory perspectives. Many software solutions integrate with older, legacy systems, making this change an easy one for construction businesses across the board.
2 – Jobsite Productivity
Another area of transformation in construction is productivity on each job site. Technology has offered job owners and general contractors more efficient methods to keep track of project timelines as well as subcontractor progress from start to finish. The technology advancements in this arena come in the form of wearable devices that track work performed, as well as mobile devices that help keep the often mundane tasks necessary for a project’s success up to date and completed on time.
3 – Worker Safety
Although wearables are being utilized in several different ways in the construction business, these devices are making a significant difference in the safety of workers. From smart helmets to digitally enhanced eyewear, workers are alerted to potential hazards on the job that they otherwise could not identify. Similarly, augmented and virtual reality solutions are being used to train workers before they arrive at a job, preparing them for safety concerns well in advance. Even though most licensed and
bonded construction workers have appropriate training throughout their careers, the addition of these resources has the ability to further reduce the risks often associated with construction work.
4 – Surveying and Monitoring
Unmanned aerial vehicles, also known as
drones, are being used throughout construction. These digital tools are equipped with cameras to offer a bird’s eye view of a construction site to help with surveying and identifying potential hazards for workers. Drones also help with inspections throughout a project’s progression, offering some reduction in cost and improving efficiencies.
5 – Improved Materials
Technology is also playing a role in the materials used on job sites. The addition of 3D printing has proven beneficial for construction companies, as concrete composites, plastics, and other materials are being printed and used to create structures on-site. This offers a more cost-effective and accurate way to complete a project.
6 – Self-operating Equipment
Some technology firms are making waves in the construction industry because they are currently developing and implementing
autonomous equipment solutions. Heavy machinery, like excavators, bricklayers, and bulldozers, are already being used on construction sites to help ease the burden of the labor shortage in the industry. While these machines are not yet mainstream, the benefits they offer mean they are likely to become a staple in construction in the years to come.
7 – Big Data
Finally, technology is shifting the construction business by way of big data analytics. With the detailed information from new software solutions, wearable tech, and drones, construction site managers have more data than they have ever had. This influx of information offers a way to analyze job site progress, budgets, timelines, and efficiency for companies large and small.
Author:
Eric Weisbrot is the Chief Marketing Officer of
JW Surety Bonds. With years of experience in the surety industry under several different roles within the company, he is also a contributing author to the surety bond blog.
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Rachel Reynolds Selected as Prime Member of ADTA
April 05, 2021 —
Rachel Tallon Reynolds - Lewis BrisboisSeattle Partner Rachel Tallon Reynolds was recently selected as a prime member of the Association of Defense Trial Attorneys (ADTA), an exclusive designation bestowed upon only one lawyer per one million population for each city, town, or municipality.
The ADTA is a select group of diverse and experienced civil defense trial attorneys whose mission is to improve their practices through collegial relationships, educational programs, and business referral opportunities, while maintaining the highest standards of professionalism and ethics. ADTA members possess the highest skill level of civil defense trial attorneys.
Moreover, because ADTA invites only one defense trial attorney to be its prime member per one million in population for each city, town, or municipality across the United States, the District of Columbia, Puerto Rico, Canada, France and The United Kingdom of Great Britain, as well as Northern Ireland and the Republic of Ireland, a prime membership represents the high regard in which that defense trial attorney is held by his or her peers in the defense trial bar of their city and state or province.
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Rachel Tallon Reynolds, Lewis BrisboisMs. Reynolds may be contacted at
Rachel.Reynolds@lewisbrisbois.com
Homeowner Protection Act of 2007 Not Just for Individual Homeowners Anymore?
March 22, 2017 —
Maggie Stewart - Colorado Construction Litigation On March 9, 2017, the Colorado Court of Appeals announced its decision in Broomfield Senior Living Owner, LLC v. R.G. Brinkmann Company, No. 16CA0101, 2017 COA 31 (Colo. App. Mar. 9, 2017). As a matter of first impression, the Court evaluated whether a senior living facility constitutes “residential property” protected by the Homeowner Protection Act of 2007 ("HPA") provision of the Construction Defect Reform Act (CDARA).
In 2007, Plaintiff Broomfield entered into a contract with Defendant Brinkmann for construction of a senior assisted and independent living facility. The contract contained warranty provisions related to the quality of construction and cautioned that Plaintiff’s failure to provide Defendant with prompt notice of any defects would result in waiver of any claim for breach. The contract also limited Defendant Brinkmann’s liability by identifying three separate accrual provisions that would determine the time period in which Plaintiff could bring a claim. The project was completed in 2009.
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Maggie Stewart, Higgins, Hopkins, McLain & Roswell, LLCMs. Stewart may be contacted at
stewart@hhmrlaw.com
Toll Brothers Honored at the Shore Builders Association of Central New Jersey Awards
May 13, 2024 —
Toll BrothersFREEHOLD, N.J., May 07, 2024 (GLOBE NEWSWIRE) --
Toll Brothers, Inc. (NYSE:TOL), the nation's leading builder of luxury homes, today announced that the Company's New Jersey Division was honored with six awards at the 2024 Fabulous Achievements in Marketing Excellence (FAME) Awards held at South Gate Manor in Freehold, New Jersey.
Presented by the Shore Builders Association of Central New Jersey, the FAME Awards honor home builders of the New Jersey Builders Associations who have made major contributions to the home building industry. The awards span categories from product and design to advertising, marketing, and professional achievements. Toll Brothers was selected as the winner in the following categories:
For more information on Toll Brothers communities in New Jersey, visit
TollBrothers.com/NewJersey.
About Toll Brothers
Toll Brothers, Inc., a Fortune 500 Company, is¬ the nation's leading builder of luxury homes. The Company was founded 57 years ago in 1967 and became a public company in 1986. Its common stock is listed on the New York Stock Exchange under the symbol "TOL." The Company serves first-time, move-up, empty-nester, active-adult, and second-home buyers, as well as urban and suburban renters. Toll Brothers builds in over 60 markets in 24 states: Arizona, California, Colorado, Connecticut, Delaware, Florida, Georgia, Idaho, Illinois, Maryland, Massachusetts, Michigan, Nevada, New Jersey, New York, North Carolina, Oregon, Pennsylvania, South Carolina, Tennessee, Texas, Utah, Virginia, and Washington, as well as in the District of Columbia. The Company operates its own architectural, engineering, mortgage, title, land development, smart home technology, and landscape subsidiaries. The Company also develops master-planned and golf course communities as well as operates its own lumber distribution, house component assembly, and manufacturing operations.
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Hunton Insurance Lawyer, Jae Lynn Huckaba, Awarded Miami-Dade Bar Association Young Lawyer Section’s Rookie of the Year Award
June 17, 2024 —
Hunton Insurance Recovery BlogCongratulations to Jae Lynn Huckaba on winning the Miami-Dade Bar Association Young Lawyer Section’s inaugural Rookie of the Year Award. This year, the MDB YLS Officers created the Rookie of the Year Award to recognize one new MDB Board of Director who consistently moves the YLS forward. President of the YLS, Beau Blumberg, stated, “Jae Lynn jumped right into the YLS, helping wherever it was needed, from the Breakfast with the Judiciary event to Miami Nights to multiple service projects and social events. After one year, we know Jae Lynn is destined for great things in the YLS.”
Jae Lynn is a member of Hunton Andrews Kurth’s national Insurance Recovery practice and is based in the Firm’s Miami, Florida office. Jae Lynn serves as a director for the MDB YLS, which consists of MDB members aged 36 or under. The YLS has over 1,300 members.
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