Seattle Washington Building Expert Directory

“Pay When Paid” Provisions May Not Be Dead, at Least Not Yet

August 24, 2020 — Garret Murai - California Construction Law Blog
Sophisticated contractors know that in California contractual “pay when paid” provisions are enforceable but that “pay if paid” provisions are not. “Pay If Paid” v. “Pay When Paid” Provisions A “pay if paid” provision is one in which a higher tier party agrees to pay a lower tier party “if” it is paid in turn by a still higher party. Most commonly they are found in subcontracts between general contractors and subcontractors and provide that the general contractor will pay the subcontractor “if” the general contractor is paid by the project owner. However, they can also be found in subcontracts between higher and lower tiered subcontractors and between subcontractors and material suppliers and equipment lessors. In California, such provisions, which create a condition precedent to payment, namely, a condition that must precede payment to a lower tiered party, are void as a matter of law. Read the court decision
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Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

Is an Initial Decision Maker, Project Neutral, or Dispute Resolution Board Right for You?

July 14, 2016 — David Adelstein – Florida Construction Legal Updates
Recently, I participated in a roundtable hosted by JAMS with experienced South Florida construction lawyers and retired circuit court judges to discuss the pros and cons of utilizing an initial decision maker (“IDM” and also referred to as a project neutral) or a dispute resolution board (“DRB”) to resolve disputes on construction projects. The IDM and DRB are designed to resolve disputes, specifically claims (whether for time, money, or both), during construction to keep the project progressing forward without being bogged down by the inevitable claim. There are numerous avenues to resolve disputes without resorting to filing a lawsuit or a demand for arbitration. The thought is that dispute resolution will be facilitated by techniques designed to assist the parties with the resolution of claims during construction. While direct discussions between the parties, meetings with the executives for business decision purposes, mediations, etc., are certainly helpful, sometimes these avenues are simply not enough to truly resolve a complex claim on a construction project that occurs during construction. Read the court decision
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Reprinted courtesy of David M. Adelstein, Kirwin Norris
Mr. Adelstein may be contacted at dma@kirwinnorris.com

Eighth Circuit Affirms Judgment for Bad Faith after Insured's Home Destroyed by Fire

January 21, 2019 — Tred R. Eyerly - Insurance Law Hawaii
The Eighth Circuit affirmed the district court's judgment that the insurer acted in bad faith when it denied the insured's claim based upon misrepresentations in the application after destruction of his house by fire. Hayes v. Metropolitan Pro. and Cas. Ins. Co., 2018 U.S. App. LEXIS 31813 (8th Cir. Nov. 9, 2018). Hayes' home was insured by Met under a homeowner's policy. Hayes used the detached garage as part of a home base for his plumbing business. He also rented out the second and third levels of the residence to a tenant and her two children. When Hayes applied for the policy in 2007, Met argues he indicated on the application that the premises were not used to conduct business, and were not used as rental property. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Co-Housing Startups Fly in the Face of Old-School NYC Housing Law

December 18, 2022 — Amelia Pollard & Diego Lasarte - Bloomberg
A room in an eight-bedroom Bed-Stuy brownstone with “charming views.” A five-bedroom “modern Manhattan” home. In a housing market as hot as New York City’s, these units advertised on co-housing companies’ websites sound promising. According to the city’s housing regulations, however, neither is legal. That hasn’t stopped companies from offering the rooms, as renters clamor for affordable living space. With the average studio apartment in Manhattan going for nearly $3,100 a month, newcomers to the city often find living with multiple roommates to be their best affordable-housing option. It’s a trend that startups have jumped on, and one some experts endorse as a way to quickly scale up affordable housing — even though municipal housing laws aren’t on board yet. The reality is that in many cities, housing laws that limit the number of unrelated individuals in a dwelling are still in place. New York, for instance, doesn’t allow more than three unrelated people to live in the same unit. To be sure, New Yorkers often break that law, as expensive housing forces people to find roommates through friends or on sites like Craigslist. But multimillion-dollar companies breaking that law is new. Reprinted courtesy of Amelia Pollard, Bloomberg and Diego Lasarte, Bloomberg Read the court decision
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Eliminating Waste in Construction – An Interview with Turner Burton

June 29, 2020 — Aarni Heiskanen - AEC Business
I had the pleasure of interviewing Turner Burton, President of Hoar Construction. We discussed waste in construction and how his company is on a mission to eliminate it. Can you say a few words about yourself and your company? I grew up around construction and this company, hearing about the business from both my grandfather and my father. I started working on job sites in high school forming concrete, continued working on projects throughout college, and since graduating from college, I’ve taken on different roles in the company to ensure I understand all aspects of the business. Hoar Construction was founded 80 years ago, and throughout our history, we’ve been committed to learning from every project to improve our processes and deliver the best building experience possible for our clients and partners. But it’s the relentless pursuit of improvement that really sets us apart as builders – to always strive to be the best and do the right thing for our customers and partners. There’s something to be said for setting a goal that you’ll always be working toward. It fosters hard work, collaboration, and productive effort. If we’re always working to find a better way, then we will always be improving. That effort drives better results for our owners and everyone we work with. Essentially, we’re always working toward something. Always improving. Always in process. Read the court decision
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Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

NYC Hires Engineer LERA for Parking Garage Collapse Probe

January 29, 2024 — James Leggate - Engineering News-Record
The investigation into the collapse of a Lower Manhattan parking garage last April is still underway. A Jan. 2 notice published in The City Record identified LERA Consulting Structural Engineers RLLP as the engineering firm assisting with the probe. Reprinted courtesy of James Leggate, Engineering News-Record Mr. Leggate may be contacted at leggatej@enr.com Read the full story... Read the court decision
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No Coverage for Installation of Defective Steel Framing

June 26, 2014 — Tred R. Eyerly – Insurance Law Hawaii
The California Court of Appeal affirmed the trial court's holding that the insurer had no duty to defend claims arising out of the insureds' installation of defective steel framing in an apartment building. Regional Steel Corp. v. Liberty Surplus Ins. Corp., No. B245961(Cal. Ct. App. May 16, 2014) [decision here]. Regional Steel was a subcontractor for providing reinforced steel to the columns, walls, and floors of an apartment building under construction. Regional used 90 degree and 135 degree seismic hooks as approved by the general contractor, JSM Construction, Inc. The City building inspector issued a correction notice, however, requiring the exclusive use of the 135 degree hooks. Levels one through three had defective tie hooks and required repair. JSM refused to pay Regional's invoices and withheld $545,000. JSM had to make repairs that required opening up numerous locations in the concrete walls, welding reinforcements to the steel placed by Regional, and otherwise strengthening the inadequate installation. Regional sued JSM for the withheld payment. JSM cross-claimed, asserting breach of contract and breach of express and implied warranties. 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

Elevators Take Sustainable Smart Cities to the Next Level

May 26, 2019 — Chris Smith - Construction Executive
From electric cars to solar panels, technology has been at the forefront of innovation in sustainability efforts. As greenhouse gas emissions continue to be a critical global concern, developing smart cities and sustainable energy practices are more important than ever. In fact, Gartner predicts that by 2020, half of all smart city objectives will be centered around climate change, resilience and sustainability. To build truly intelligent cities, we need to optimize the sharing of information at a foundational level, starting with the structures on which these cities are built. Where do we begin? The United Nations estimates that almost 40 percent of today’s global greenhouse gas emissions come from buildings. To reduce these levels, the industry needs to begin creating smarter structures that use data insights to streamline functions in the building, and this starts with the infrastructural backbone: the elevator. Reprinted courtesy of Chris Smith, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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