SEATTLE WASHINGTON BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Will the AI Frenzy Continue in 2025?

January 14, 2025 — Aarni Heiskanen - AEC Business
In AEC technology, 2024 was undoubtedly the year of AI. Every company seemed to announce its pledge to embrace artificial intelligence in the coming years, not to mention the numerous startups that peppered their pitch decks with promises of bleeding-edge innovation. Tech developers who had been using machine learning before the generative AI boom were delighted. They no longer needed to invest significant resources in convincing the industry of AI’s potential. The mainstream success of generative AI in 2024 created a ripple effect, making AEC firms eager to explore and adopt AI solutions. Many all-digital startups also got a boost from the AI frenzy, even though many significant innovations happened in hardware and material technology that did not rely on AI. 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

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When Every Drop Matters, Cities Turn to Watertech

November 25, 2024 — James B. Bobotek - Gravel2Gavel Construction & Real Estate Law Blog
We all need water to survive—but access to the liquid lifeline isn’t always a given. With a shifting climate and ever-increasing agricultural and industrial demands on this limited commodity, UNICEF predicts that by 2025, half of the world’s population could be living in areas facing water scarcity. On top of the obvious resource drains, many countries are losing surprising amounts of potable water to leaks. For example, in the United States alone, an estimated 6 billion gallons of treated drinking water seep out of its supply every day due to aging pipelines and undetected leaks. “Smart” water innovations may offer conservation solutions, though. As part of an overall smart city scheme, where internet of things (IoT) devices work hand-in-hand with AI to improve daily life, many municipalities are giving their water systems a makeover. From new meters to irrigation and pipeline maintenance, we look at some of the key intelligent technologies that endeavor to improve how we harness our water supply. Read the court decision
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Reprinted courtesy of James B. Bobotek, Pillsbury
Mr. Bobotek may be contacted at james.bobotek@pillsburylaw.com

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Insured Cannot Sue to Challenge Binding Appraisal Decision

December 16, 2023 — Tred R. Eyerly - Insurance Law Hawaii
The court dismissed the insured condominium association's challenge to an appraisal award. The Courtyards at Prairie Fields Condominium Association v. West Band Mut. Ins. Co., 2023 U.S. Dist. LEXIS 169458 (N. D. Ill. Sept. 22, 2023). In July 2020, the insured filed a claim with West Bend for damage to the property's roof and other building components as a result of wind and hail. West Bend inspected and estimated the replacement cost for the damage was $60,989.54. This amount was paid to the insured minus the $10,000 deductible. The insured believed the damage was so severe that the roofs need to be replaced, which the insured estimated would cost $1,389,600. The insured demanded an appraisal. 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

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Changes in the Law on Lien Waivers

November 16, 2020 — Alan Paulk - Autry, Hall & Cook, LLP
Among many things to look forward to in 2021, we can add a new lien law to the list. Effective January 1, 2021, Georgia’s Lien Statute will be modified so that lien waivers and releases are limited to “waivers and releases of lien and labor or material bond rights and shall not be deemed to affect any other rights or remedies of the claimant.” O.C.G.A. 44-14-366(a). This would mean that lien waivers only waive lien or bond rights and do not waive contractual rights to collect payment. The new law is in reaction to a decision from the Georgia Court of Appeals in ALA Constr. Servs., LLC v. Controlled Access, Inc., 351 Ga. App. 841 (2019). In that case, a contractor signed an interim lien waiver at the time it submitted an invoice. The contractor did not receive payment, and it failed to timely record an affidavit of non-payment or a claim of lien. Subsequently, the contractor filed suit for breach of contract. The Georgia Court of Appeals held that the statutory form lien waiver was binding against the parties “for all purposes” and not just the purpose of preserving the right to file a lien. By such sweeping logic, the contractor’s breach of contract claim was denied. Read the court decision
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Reprinted courtesy of Alan Paulk, Autry, Hall & Cook, LLP
Mr. Paulk may be contacted at paulk@ahclaw.com

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Association Insurance Company v. Carbondale Glen Lot E-8, LLC: Federal Court Reaffirms That There Is No Duty to Defend or Indemnify A Builder For Defective Construction Work

December 20, 2017 — David M McLain - Colorado Construction Litigation Blog
In a case that squarely confronts the juxtaposition of an insurer’s duty to defend or indemnify its insured for construction related defects, the United States District Court for the District of Colorado recently granted an insurer’s motion for summary judgment on both matters against a construction subrogee, in Ass’n Ins. Co. v. Carbondale Glen Lot E-8, LLC, No. 15-cv-02025-RPM, 2016 WL 9735743, at *1 (D. Colo. Oct. 10. 2017). Mountainview Construction Services, LLC (“MCS”) served as the general contractor for the construction of a residence on a lot owned by Glen Lot E-8, LLC (“E-8”). MCS took out a Commercial General Liability Policy (“Policy”) with Association Insurance Company (“AIC”) that provided coverage to MCS for the relevant time period for the construction of the residence. E-8 then asserted a series of claims against MCS, based on the allegation that MCS and its subcontractors defectively constructed the home by, among other things, building the residence two feet too high in violation of applicable codes. E-8 also argued that MCS and its subcontractors made significant alterations and/or deviations from the original project specifications without obtaining E-8’s consent or approval from relevant authorities. MCS tendered the claim to AIC for defense and indemnity. In turn, AIC declined coverage on the argument that the Policy precluded any coverage for defective work MCS may have performed on the project, absent damage to person or other property. Read the court decision
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Reprinted courtesy of David M McLain, Higgins, Hopkins, McLain & Roswell, LLC
Mr. McLain may be contacted at mclain@hhmrlaw.com

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Environmental and Regulatory Law Update: New Federal and State Rulings

April 19, 2022 — Anthony B. Cavender - Gravel2Gavel
The first quarter of 2022 has yielded a number of decisions, reversals and agency adjustments worth note. FEDERAL CIRCUIT U.S. Court of Appeals for the D.C. Circuit – Food & Water Watch v. Federal Energy Regulatory Commission On March 11, 2022, the court decided the FERC case. On December 19, 2019, the Commission issued a Certificate to Tennessee Gas Pipeline and determined that a “modest expansion” and upgrade of the existing 11,000-mile natural gas pipeline would have no significant environmental impact. However, one of the Commissioners filed a partial dissent, arguing that the Commission’s treatment of the climate change impacts was inadequate. A petition for review was filed, and now the court has decided that the Commission erred in not accounting for the indirect effects of the expansion, namely the downstream emissions of greenhouse gas generated by the pipeline’s delivery of the gas to its customers. Consequently, NEPA’s requirement that a rigorous environmental assessment be made before the authorization was granted was violated. However, the court decided against vacating the Commission’s orders, which would have had a “disruptive effect” on the project which is, or soon will be, operational. Read the court decision
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Reprinted courtesy of Anthony B. Cavender, Pillsbury
Mr. Cavender may be contacted at anthony.cavender@pillsburylaw.com

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Real Estate & Construction News Roundup (7/31/24) – International Homebuying Shrinks Commercial Real Estate Focus on Sustainability, and U.S. Banks Boost Provisions for Credit Losses

September 09, 2024 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
In our latest roundup, mortgage rates drop to lowest levels since March, hotel construction activity highest since February 2023, Biden administration calls for legislation regarding property owners, and more!

• International buyers bought 54,300 existing homes from April 2023 to March 2024 – a 36% drop from the year before. (Diana Olick, CNBC)
• The Biden administration called on Congress to pass legislation penalizing property owners for rent increases above a certain level as part of its plan to lower housing costs through a series of administrative actions. (Mary Salmonsen, Multifamily Dive)
• U.S. banks have boosted their provisions for credit losses as deteriorating commercial real estate (CRE) loans and high interest rates fuel fears of defaults. (Manya Saini, Niket Nishant and Matt Tracy, Reuters)

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Reprinted courtesy of Pillsbury's Construction & Real Estate Law Team

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Fannie-Freddie Elimination Model in Apartments: Mortgages

April 08, 2014 — Sarah Mulholland – Bloomberg
The apartment-lending units of Fannie Mae (FNMA) and Freddie Mac were among their few money makers after the U.S. housing collapse. Now they should help transform the U.S. mortgage industry. Lawmakers seeking to eliminate the two government lenders, which were seized by regulators during the 2008 credit crisis, see an antidote to the reckless lending that blew up the U.S. housing market in the structure of the firms’ multifamily operations, which share risks with lenders. Senate Banking Committee Chairman Tim Johnson and Republican Mike Crapo are proposing legislation to create a new government-backed reinsurer of mortgage bonds that would require private investors to bear losses on the first 10 percent of capital. The model for the provision mirrors Fannie Mae and Freddie Mac (FMCC)’s multifamily lending operations, requiring lenders to shoulder some of the risk on loans they originate. Read the court decision
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Reprinted courtesy of Sarah Mulholland, Bloomberg
Ms. Mulholland may be contacted at smulholland3@bloomberg.net

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