Homeowners Must Comply with Arbitration over Construction Defects
January 06, 2012 —
CDJ STAFFThe California Court of Appeals has upheld a decision by the Superior Court of Kern County that homeowners must comply with arbitration procedures in their construction defect claim. The California Court of Appeals ruled on December 14 in the case of Baeza v. Superior Court of Kern County, denying the plaintiff’s petition that the trial court vacate its order.
The plaintiffs in the case are homeowners in various developments built by Castle & Cook. The homes were sold with a contract that provided for “nonadversarial prelitigation procedures, including mediation, and judicial reference.” The homeowners made defect claims and argued that Castle & Cooke failed to comply with statutory disclosure requirements and that some of the contracts violate related statutes.
The appeals court found that there was no ground for appeal of the lower court’s order to continue with prelitigation procedures. The court noted that the plaintiffs could not seek a review of the mediation until a judgment was issued, but that then the issue would be moot. The court felt that there were issues presented that needed clarification, and so they reviewed this case. This was cleared for publication.
The court considered the intent of the legislature in passing the Right to Repair Act, noting that “under the statutory scheme, the builder has the option of contracting for an alternative nonadversarial prelitigation procedure,” as established in Chapter 4. The court noted that Chapter 4 “contains no specifics regarding what provisions the alternative nonadversarial contractual provisions may or must include.”
The plaintiffs contended that the builder was in violation of the standards set out in Section 912, however the court responded that these sections set out one set of procedures, but they concluded that “if the Legislature had intended the section 912 disclosure provisions…it could have made the requirements applicable to all builders by locating them in a section outside Chapter 4.”
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Updates to the CEQA Guidelines Have Been Finalized
February 06, 2019 —
Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law BlogThe California Natural Resources Agency (CNRA) recently posted final adopted text for amendments to the CEQA Guidelines. The result of over five years of development efforts by the Governor’s Office of Planning & Research and CNRA, the amendments are the most comprehensive update to the CEQA Guidelines since 1998. In “Natural Resources Agency Finalizes Updates to the CEQA Guidelines,” Pillsbury environmental attorneys Norman F. Carlin, Kevin Ashe and Eric Moorman explore the wide range of issues covered in the amendments, including the new Vehicle-Miles-Traveled (VMT) methodology for analyzing transportation impacts; use of regulatory standards as significance thresholds; environmental baselines; and numerous procedural and technical improvements.
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Pillsbury's Construction & Real Estate Law Team
BWB&O’s Los Angeles Partner Eileen Gaisford and Associate Kelsey Kohnen Win a Motion for Terminating Sanctions!
April 25, 2023 —
Dolores Montoya - Bremer Whyte Brown & O'Meara LLPCongratulations to Bremer Whyte Brown & O’Meara, LLP Partner Eileen Gaisford and Associate Kelsey Kohnen for successfully arguing and winning a Motion for Terminating Sanctions for BWB&O’s client, a hotel in Los Angeles County. The court granted BWB&O’s Motion for Terminating Sanctions and Plaintiff’s Complaint was dismissed with prejudice.
Plaintiff filed a complaint alleging she sustained multiple injuries after a slip and fall in a hotel. Plaintiff’s complaint alleged that BWB&O’s client was negligent, careless, and reckless in the ownership, care, control, and maintenance of the premises. BWB&O aggressively defended its client and filed several motions, arguing Plaintiff’s conduct abused the discovery process. The Court sided with BWB&O and granted its Motion for Terminating Sanctions, and the lawsuit was dismissed with prejudice.
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Dolores Montoya, Bremer Whyte Brown & O'Meara LLP
Common Law Indemnity Claim Affirmed on Justifiable Beliefs
June 30, 2016 —
Rick Erickson – Snell & Wilmer Real Estate Litigation BlogYesterday, the Arizona Court of Appeals issued an interesting opinion in Hatch Development v. Solomon. Hatch illustrated two key points in real estate and construction litigation: (1) a contractor’s indemnity does not always require an expressly written obligation; and (2) when facts are undisputed that a contractor is solely at fault for a construction defect, a property owner can be indemnified after paying a neighboring property owner for damages caused by the contractor’s defective work.
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Rick Erickson, Snell & WilmerMr. Erickson may be contacted at
rerickson@swlaw.com
Notice of Completion Determines Mechanics Lien Deadline
August 13, 2019 —
William L. Porter - Porter Law GroupThe California Mechanics Lien is one of the most valuable collection devices available to contractors, subcontractors and suppliers who are unpaid for work performed and materials supplied in relation to a California Private Works project. The mechanics lien allows the claimant to sell the property where the work was performed in order to obtain payment. The process starts with the recording of a mechanics lien in the office of the County Recorder where the property in question is located. As noted below, certain deadlines must be met.
Know Your Mechanics Lien Filing Deadlines Generally
Working within deadlines is absolutely crucial to preserving mechanics lien rights under California law. The deadlines differ, depending on whether you are a ”direct” contractor, also known as “original” or “prime” contractor (one who contracts directly with the property owner) or a subcontractor or material supplier. The primary differences are that, the direct contractor is only required to serve the “Preliminary Notice” on the Construction Lender (Civil Code section 8200-8216), whereas the subcontractor and material supplier must serve not only the Construction Lender, but also the Owner and Direct Contractor (see Civil Code section 8200(e)). Another difference is that a direct contractor has a longer period of time in which to record a mechanics lien after a valid “notice of completion” or a “notice of cessation” has been recorded (Civil Code sections 8180-8190), (60 days for original contractors as compared to 30 days for subcontractors and suppliers – See Civil Code sections 8412 and 8414). A further general description of the rules is as follows:
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William L. Porter, Porter Law GroupMr. Porter may be contacted at
bporter@porterlaw.com
French President Vows to Rebuild Fire-Collapsed Notre Dame Roof and Iconic Spire
June 03, 2019 —
Scott Blair & Peter Reina - Engineering News-RecordTwo British masonry experts familiar with centuries-old stone structures voiced concern that the catastrophic fire that collapsed the roof and spire of Notre Dame on April 15 could also have damaged stonework of the iconic Paris cathedral that may affect its stability.
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Scott Blair, ENR and
Peter Reina, ENR
Mr. Blair may be contacted at blairs@enr.com
Mr. Reina may be contacted at reina@btinternet.com
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Google, Environmentalists and University Push Methane-Leak Detection
December 21, 2016 —
Mary B. Powers – Engineering News-RecordNational Grid, which serves New York, Massachusetts and Rhode Island, is set to be the second U.S. natural-gas utility to use technology advanced by Google Earth, the Environmental Defense Fund (EDF) and Colorado State University to boost large-scale methane-leak detection. It is launching a $3-billion effort to replace gas pipelines in New York. The technology uses cutting-edge spatial analytics methods and methane sensors, specially fitted to Google Street View cars, to identify leaks and accurately measure the amount of methane escaping.
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Mary B. Powers, Engineering News-RecordENR may be contacted at
ENR.com@bnpmedia.com
Surety Trends to Keep an Eye on in the Construction Industry
March 25, 2024 —
Oliver Craig - Construction ExecutiveReflecting on the dynamics of the 2023 construction and surety industries, it is evident that opportunities and challenges have emerged for contractors that will shape the landscape for the year ahead. Contractors can not only capitalize on these trends but protect the successful companies they have already built.
PROJECT OPPORTUNITIES
There has been a notable increase in public works opportunities, driven by increased government spending and the aging infrastructure in the United States. This trend is expected to continue in 2024 and beyond, with a notable portion of work coming in transportation- and public-utility-related infrastructure.
Due to increased spending, many contractors are reporting historically high backlogs—and that often includes the largest project their company has contracted in their history. While increased spending presents more opportunity, it’s critical contractors be even more diligent about new opportunities, giving additional consideration to the following:
Job Selection: New geographies, scope, project owners and/or subcontractor relationships commonly come with a learning curve. With the current state of the market, it’s not the ideal time to be learning costly lessons. Contractors should focus on having a proactive go/no-go strategy when reviewing potential projects to identify risks early and plan accordingly.
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Oliver Craig, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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