A Changing Climate for State Policy-Making Regarding Climate Change
February 18, 2020 —
Sheila McCafferty Harvey - Gravel2Gavel Construction & Real Estate Law BlogIssued by 13 federal agencies, the 2018 Fourth National Climate Assessment presented a stark warning on the consequences of climate change for the United States. The report predicts that if significant steps are not taken to rein in global warming, the damage will reduce the U.S. economy by as much as 10 percent by the end of the century. The report, which was mandated by Congress and made public by the White House, is notable not only for the precision of its calculations and bluntness of its conclusions—the 1,656-page assessment lays out the devastating effects of a changing climate on the economy—but also in how it conflicts with President Donald Trump’s environmental deregulation plan. U.S. policy efforts at the state and local levels are ramping up to address this complex topic. These include:
Targeting Net-Zero Emissions. Hailed as the most aggressive climate law in the nation, New York State’s Climate Leadership and Community Protection Act are targeting 100 percent carbon-free electricity by 2040 and economy-wide, net-zero carbon emissions by 2050. California set a statewide target to reach carbon neutrality by 2045.
Reducing and Renewing. New Mexico established a statewide goal of reducing greenhouse gas emissions by 45 percent below 2005 levels by 2030. Nevada passed a bill to increase the amount of electricity it gets from renewable resources to 50 percent by 2030.
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Sheila McCafferty Harvey, PillsburyMs. Harvey may be contacted at
sheila.harvey@pillsburylaw.com
Be Careful How You Terminate: Terminating for Convenience May Limit Your Future Rights
January 19, 2017 —
Brett M. Hill - Ahlers & Cressman, PLLC BlogMany construction contracts contain a termination clause that allows a contractor to be terminated either for convenience or for cause. Termination for convenience and termination for cause clauses have been discussed previously on the blog
here,
here and
here. The distinction between a termination for convenience or for cause is an important one.
If a contractor is terminated for convenience, the rights of the party who has terminated the contractor for convenience could be limited in the future. This is specifically true as to any defects in the terminated contractor’s work that are discovered after the termination for convenience.
This issue was addressed in an Oregon Court of Appeals case where a general contractor attempted to recover costs incurred in correcting a terminated subcontractor’s work after the subcontractor was terminated for convenience. Shelter Prods. v. Steel Wood Constr., Inc., 257 Or. App 382 (2013). In that case, the subcontractor sued the general contractor for its termination expenses. The general contractor asserted an offset/backcharge claim for damages incurred by the general contractor in correcting the subcontractor’s defective work. The general contractor had incurred the costs after it had terminated the subcontractor. The general contractor did not notify the subcontractor that its work was defective and did not give the subcontractor an opportunity to cure before the repairs were completed.
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Brett M. Hill, Ahlers & Cressman, PLLCMr. Hill may be contacted at
bhill@ac-lawyers.com
Contractors May be Entitled to Both Prompt Payment Act Relief and Prejudgment Interest for a Cumulative 24%!
August 22, 2022 —
Margarita Kutsin - Ahlers Cressman & SleightThe Washington Prompt Payment Act, in Ch. 39.76 RCW and in RCW 39.04.250, ensures that contractors and subcontractors are promptly paid for their performance on public works contracts. Where a government entity or a prime contractor wrongfully withholds undisputed amounts due, that government entity or prime contractor must pay interest at a rate of 12% per annum.
Separately, prejudgment interest is awarded “based on the principle that a defendant ‘who retains money which he ought to pay to another should be charged interest upon it.’” Hansen v. Rothaus, 107 Wn.2d 468, 472, 730 P.2d 662 (1986) (quoting Prier v. Refrigeration Eng’g Co., 74 Wn.2d 25, 34, 442 P.2d 621 (1968)). The purpose is to “compensate the plaintiff for the use value of the money representing liquidated or determinable damages.” Id.
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Margarita Kutsin, Ahlers Cressman & SleightMs. Kutsin may be contacted at
margarita.kutsin@acslawyers.com
Florida Continues Enacting Tort Reforms, This Time Shortening the Statute of Repose
May 01, 2023 —
William L. Doerler - The Subrogation StrategistOn April 13, 2023, Florida’s governor, Ron DeSantis, signed into law
SB 360 which, among other things, shortens the statute of repose period for improvements to real property. The law also revises the date on which the statute of limitations period runs for these types of damage claims. Florida’s revision of this law provides further evidence of the state’s tort reform efforts.
The new law went into effect upon signing and includes the following changes:
- Shortens the statute of repose period set forth in Fla. Stat. § 95.11(3)(c) for actions founded on the design, planning or construction of improvements to real estate from ten (10) to seven (7) years. The statute of repose period runs from the earliest (rather than the latest) of the date: a) the authority having jurisdiction issues a temporary certificate of occupancy; b) a certificate of occupancy; c) a certificate of completion; or d) of abandonment of construction if not completed. Of note, the revised repose period eliminates that date of actual possession by the owner as one of the accrual dates.
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William L. Doerler, White and Williams LLPMr. Doerler may be contacted at
doerlerw@whiteandwilliams.com
Meet BWB&O’s 2025 Best Lawyers in America!
September 09, 2024 —
Dolores Montoya - Bremer Whyte Brown & O'Meara LLPBremer Whyte Brown & O’Meara, LLP is proud to announce Partners
Nicole Whyte,
Keith Bremer,
Vik Nagpal,
John O’Meara,
Sheila Stiles,
Patrick Au, and
Nicole Schmidt have been selected by their peers for inclusion in the 31st edition of The Best Lawyers in America, and Partner
Devin Gifford, and Associates
Melissa Youngpeter,
Ryan Flanagan, and
Alexandria Zeis are included in the fifth edition of Best Lawyers: Ones to Watch in America. Each person is being recognized for their diligent work in the areas of Family Law, Construction, Commercial, Personal Injury, and Real Estate Litigation.
Reprinted courtesy of
Dolores Montoya, Bremer Whyte Brown & O'Meara LLP
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Ninth Circuit Construes Known Loss Provision
August 19, 2015 —
Tred R. Eyerly – Insurance Law HawaiiThe Ninth Circuit reversed the district court's award of summary judgment to the insurer after analyzing the known loss provision in the insured subcontractor's policy. Kaady v. Mid-Continent Cas. Co., 2015 U.S. App. LEXIS 10754 (9th Cir. June 25, 2015).
The insured was awarded a subcontract to install manufactured stone at the residential project. The stone was affixed to the wall sheathing. The insured also wrapped deck posts with manufactured stone and installed masonry caps on the toe of the stone that was wrapped around the deck posts.
After construction was completed, the insured was called back to the project to inspect cracks in the manufactured stone and masonry caps he installed. The insured told the general contractor that the cracks were likely due to settling. Three months after inspecting the cracks, the insured purchased a CGL policy from Mid-Continent.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Order for Appraisal Affirmed After Insureds Comply with Post-Loss Obligations
April 15, 2015 —
Tred R. Eyerly – Insurance Law HawaiiThe Florida Court of Appeal affirmed an order compelling an appraisal because the insureds complied with their post-loss obligations under the policy. State Farm Fla. Ins. Co. v. Cardelles, 2015 Fla. App. LEXIS 2559 (Fla. Ct. App. Feb. 25, 2015).
The insureds suffered damage to their home after Hurricane Katrina on August 25, 2005, and again after Hurricane Wilma on October 24, 2005. After each hurricane, State Farm was notified. With the assistance of their public adjuster, the insureds submitted sworn proofs of loss for damages caused by each hurricane. After the deductible, State Farm paid $19,000 for the Hurricane Katrina claim and $13,000 for the Hurricane Wilma claim. The insureds repaired their roof and made minor repairs to their home with the State Farm payment, but claimed the payment was insufficient to fully repair the damage from the two hurricanes.
Four years later, the insureds hired a second public adjuster, who submitted a supplemental claim to State Farm for $127,000 in damages. State Farm requested documents and an updated sworn proof of loss. The insureds did not submit any additional documents because they had not made any additional repairs without further payment from State Farm. The insureds did, however, allow State Farm to make a further inspection of the damages.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Peru’s Former President and His Wife to Stay in Jail After Losing Appeal
August 10, 2017 —
John Quigley - BloombergFormer President Ollanta Humala and his wife Nadine Heredia will remain in jail while they are investigated for campaign donations involving Brazilian construction companies and the Venezuelan government, a Peruvian court said Friday.
The couple, who were given pre-trial detention three weeks ago, had asked the appeal court judges to change the order for one requiring them not to leave the country and to appear regularly before the authorities.
The couple turned themselves in on July 13 after Judge Richard Concepcion ordered 18 months of preventive detention for suspected money laundering. Concepcion had said there was sufficient evidence of wrongdoing and grounds to believe Humala and his wife would seek to obstruct the ongoing investigation by the Attorney General’s office.
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John Quigley, Bloomberg