Update to Washington State Covid-19 Guidance
November 23, 2020 —
Brett M. Hill - Ahlers Cressman & Sleight PLLCYesterday, November 15, 2020, Governor Inslee announced modifications to the current COVID-19 restrictions in response to the current rise in cases across Washington State.
There are no additional restrictions on construction at this time. However, during the Governor’s press conference yesterday, he did indicate that positive cases were increasing on construction sites, and that they would be tracking the statistics over the next 2 – 3 weeks – to see if additional restrictions would be necessary for construction sites in the future. Additionally, the construction industry group is meeting with the Governor’s office today, November 16, 2020, and we will keep you informed of any changes as a result of that meeting.
Unless otherwise specifically noted, the modifications take effect at 12:01 a.m., Tuesday, November 17, 2020. All modifications to existing prohibitions set forth herein shall expire at 11:59 p.m., Monday, December 14, 2020, unless otherwise extended. If an activity is not listed below, currently existing guidance shall continue to apply. If current guidance is more restrictive than the below listed restrictions, the most restrictive guidance shall apply. These below modifications do not apply to education (including but not limited to K-12, higher education, trade and vocational schools), childcare, health care, and courts and judicial branch-related proceedings, all of which are exempt from the modifications and shall continue to follow current guidance. Terms used in this proclamation have the same definitions used in the Safe Start Washington Phased Reopening County-by-County Plan.
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Brett M. Hill, Ahlers Cressman Sleight PLLCMr. Hill may be contacted at
brett.hill@acslawyers.com
California Construction Bill Dies in Committee
July 21, 2011 —
CDJ STAFFAB 20, which its sponsor, Linda Halderman (R-Fresno), stated would discourage class action lawsuits against builders and protect jobs in the construction industry, has died in committee. Although the Business Journal reported in June that Haldeman was promoting the bill during a talk in her district and the bill is still on her web site, the California Assembly reports that the bill failed in committee on March 15, 2011. It is possible that the bill could be reconsidered, but the Assembly Committee on Judiciary sees the bill as responding to issues quieted by SB 800 which gives builders the right to repair alleged defects before any suit can be filed.
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Opoplan Introduces Generative AI Tools for Home-Building
February 06, 2023 —
Aarni Heiskanen - AEC BusinessOpoplan introduces its suite of generative AI architectural tools for builders and real estate brokers. The initiative intends to bridge the technological gap in custom home planning and building.
The tools introduced by the company also aim to reduce the overdependence on manual efforts and limited design options when it comes to lot analysis, design briefing, design planning, and many other pre-build tasks.
Through its AI-powered tools, Opoplan assists builders and home designers in saving time, money, and energy and more successfully close contracts, managing plans, and delivering single-family homes.
A series of tools for the home-building industry
Opoplan is headquartered in Dublin, Ireland, with a new US office in Raleigh, North Carolina, and was established in 2019. They provide pre-build house planning and design tools for custom builders, real estate brokers, and house designers.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
Can a Receiver Prime and Strip Liens Against Real Property?
September 20, 2021 —
Ben Reeves - Snell & Wilmer Real Estate Litigation BlogCourts overseeing receivers generally enjoy broad discretion in directing and approving a receiver’s proposed actions. But does that authority extend to a receiver not only granting a super-priority lien ahead of existing liens, but also selling the real property free and clear of all liens? In County of Sonoma v. Quail, 56 Cal.App.5th 657 (Ct. App. 2020), the California Court of Appeals answered that question in the affirmative.
Quail involved a 47,480 square-foot lot with two houses, a few garages, several outbuildings, and numerous trailers surrounded by a veritable junk yard. Despite many of these structures being uninhabitable, unsanitary, and dangerous, multiple families resided on the lot. Although Sonoma County (the “County”) ordered the owner to remediate the property several times, he failed and refused to do so. After several years of these violations going unabated, the County ultimately sought and obtained the appointment of a receiver over the real property.
To obtain funds necessary to repair the property, the receiver asked the court for permission to borrow money through the issuance of a receivership certificate to be secured by a super-priority lien—i.e., a lien ahead of all other liens—against the real property. Although the trial court initially declined to prime existing liens, when the receiver could find no one to lend money (since the land lacked equity), the trial court relented and approved a super-priority lien despite the senior secured lender’s objection (the “lender”).
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Ben Reeves, Snell & WilmerMr. Reeves may be contacted at
breeves@swlaw.com
Lennar Profit Tops Estimates as Home Prices Increase
March 26, 2014 —
John Gittelsohn – BloombergLennar Corp. (LEN), the biggest U.S. homebuilder by market value, reported a fiscal first-quarter profit that beat analysts’ estimates as the company sold more homes at increased prices.
Net income climbed to $78.1 million, or 35 cents a share, in the three months through February, from $57.5 million, or 26 cents, a year earlier, the Miami-based company said in a statement today. Analysts expected earnings of 28 cents a share, the average of 17 estimates compiled by Bloomberg.
Publicly traded builders have been increasing prices to take advantage of a tight supply of new and existing homes while using their economies of scale to reduce costs and widen profit margins. Lennar’s profit, deliveries and orders grew even as inclement weather threatened home sales in much of the U.S. during the quarter, according to Drew Reading, a Bloomberg Industries analyst.
“Lennar followed KB Home (KBH) in reporting order trends indicating a strong start to the spring selling season,” Reading said in a note after the earnings were released.
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John Gittelsohn, BloombergMr. Gittelson may be contacted at
johngitt@bloomberg.net
Hawaii Appellate Court Finds Appraisers Limited to Determining Amount of Loss
April 25, 2023 —
Tred R. Eyerly - Insurance Law HawaiiThe Hawaii Intermediate Court of Appeals determined that appraisers cannot decide what amount is owed by the insurer after loss, but are limited to finding the amount of the loss. Krafchon v. Dongbu Ins. Co., Ltd., 2023 Haw. App. LEXIS 43 (Haw. Ct. App. Feb. 17, 2023).
The insureds owned three structures on the property on Maui: the Villa; the Cottage; and the Garage. The three structures were insured under homeowners and dwelling fire policies issued by Dongbu. When the structures were damaged by wildfire, Dongbu tendered over $300,000 under a reservation of rights, pending preparation of a final settlement. There was disagreement over the total amount of the loss.
The insureds invoked the appraisal provision of the policies. When Dongbu failed to appoint an appraiser, the insureds sued. The trial court granted the insureds' motion to compel appraisal.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
El Paso Increases Surety Bond Requirement on Contractors
April 25, 2011 —
Beverley BevenFlorez CDJ STAFFThe city of El Paso has recently increased surety bonds required of contractors from $10,000 to $50,000, according to the El Paso Times. Proponents of the increase believe it was necessary to protect homeowners from fly-by-night builders, while opponents argue that the increase will have an adverse effect on an industry in that is already suffering due to the economic slowdown.
Arguments for and against the increase have been flooding the blogosphere with their views. Christian Dorobantescu on the Small Business Entrepreneur Blog claims that “only about 15% of the city’s 2,500 contractors had been able to secure a higher bond to remain eligible for work after the new requirements were announced.” However, insurance companies have a different take. “From a surety broker standpoint, most contractors will be able qualify for the bond; some will just have to pay higher premium rates to obtain it,” a recent post on the Surety1 blog argues.
While the increased bond may help homeowners deal with construction defect claims, it is not clear what effect it will have on builders in El Paso.
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Sweet News for Yum Yum Donuts: Lost Goodwill is Not an All or Nothing Proposition
October 07, 2019 —
Josh Cohen - California Construction Law BlogLast month a California Court of Appeals clarified that a property owner facing eminent domain is only required to prove partial loss of goodwill, not total loss of goodwill, to be entitled to a trial on the amount of goodwill lost.
Yum Yum Donuts operated a shop in Los Angeles that was subject to eminent domain by the Los Angeles Metropolitan Transportation Authority (MTA) to make way for light railway track. At trial, Yum Yum sought loss of goodwill as part of its condemnation damages under Code of Civil Procedure section 1263.510.
At trial the MTA’s expert testified that Yum Yum could have reduced its goodwill loss if it relocated to one of three alternative locations rather than simply closing the shop. But the expert conceded that even if Yum Yum had relocated, it would have lost some goodwill. Yum Yum refused to relocate, arguing that its relocation costs would render the move unprofitable. The trial court found that Yum Yum’s failure to mitigate its damages barred Yum Yum from having a jury trial to recover any goodwill damages.
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Josh Cohen, Wendel, Rosen, Black & Dean LLPMr. Cohen may be contacted at
jcohen@wendel.com