New Jersey’s Independent Contractor Rule
January 07, 2015 —
Christopher G. Hill – Construction Law MusingsFor this week’s Guest Post Friday here at Musings, we welcome back Bennet Susser. Bennet is a founding member and shareholder of the New Jersey law firm, Jardim, Meisner & Susser, P.C. He has over 25 years’ experience in representing clients in all types of complex (and not so complex) litigation, including those involving construction actions. His Construction Law Practice Group has deep experience in the representation of property owners, developers, homeowners, design professionals, materials manufacturers, contractors and subcontractors in connection with construction of high-rise and other residential developments, condominium conversions of older rental properties, commercial property, mixed-use projects, and governmental buildings. Issues handled include: construction defects and deficiencies related to residential and commercial construction, including roofing defects, water intrusion, and structural life safety; construction delays; liens; hurricane recovery and rebuilding; insurance coverage disputes, including negotiation and resolution of insurance claims related to rebuilding; mold and mildew claims; and construction contracts and related documents, including loan documentation.
Construction litigation often seeks to foist the culpable conduct of contractors and subcontractors upon an owner or developer of commercial or residential real property. Sometimes, such conduct is warranted, especially when the owner/developer has a significant role in the manner in which the construction project work is to be conducted. However, there are times when the general contractor is the party calling the shots. Why should an owner/developer be charged with the conduct of other independent contractors over whom no control was exercised? Under certain circumstances, such party may be insulated from liability based on the “independent contractor rule.” Put another way, general contractors’ and subcontractors’ status as independent contractors do not impute liability to an owner/developer for their alleged wrongful conduct under the principles of respondeat superior and vicarious liability.
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Christopher G. Hill, Law Office of Christopher G. Hill, PCMr. Hill may be contacted at
chrisghill@constructionlawva.com
Eleventh Circuit Finds No Coverage for Faulty Workmanship Claims
November 15, 2021 —
Tred R. Eyerly - Insurance Law HawaiiThe Eleventh Circuit affirmed the district court's grant of summary judgment to the insurer on the general contractor's claims for damages due to faulty workmanship. Tricon Dev. of Brevard v. Nautilus Ins. Co., 2021 U.S. App. LEXIS 27317 (11th Cir. Sept .10, 2021).
Tricon was the general contractor for a condominium project in Florida. Tricon hired a subcontractor to fabricate and install metal railings for the project. The subcontractor was insured by Nautilus under two CGL policies. The policies had endorsements to add Tricon as an additional insured.
The subcontractor fabricated some of the railings, but they had defects and damage. Further they were not installed properly and did not meet the project's specifications. Tricon found another manufacturer to fabricate new railings to satisfy the projects' requirements. Tricon agreed to pay the cost of removing the subcontractor's railings and fabricating and installing new ones. If submitted a claim to Nautilus to cover these costs.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Surviving a Tornado – How to Navigate Insurance Claims in the Wake of the Recent Connecticut Storm
May 24, 2018 —
Geoffrey Miller - Saxe Doernberger & Vita, P.C.Five minutes after I parked my car, a tree fell on it.
On Tuesday, May 15th I pulled into my driveway, in my small Connecticut neighborhood, under a grey sky. As soon as I walked in the house, the lights flickered. And then suddenly there was a loud “Crack!” and “Crash!” and the sound of breaking glass. I looked out the window and trees were bent 90 degrees, then snapping, and then flying up instead of falling down.
As quickly as it came, it passed. When I stepped outside, my first thought was that my car has seen better days.
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Geoffrey Miller, Saxe Doernberger & Vita, P.C.Mr. Miller may be contacted at
gjm@sdvlaw.com
The Best Lawyers in America© Peer Review Names Eight Newmeyer & Dillion Partners in Multiple Categories and Two Partners as Orange County’s Lawyers of the Year in Construction and Insurance Law
August 26, 2015 —
Press ReleaseNewmeyer & Dillion is pleased to announce that a number of its partners have again been recognized by
TheBest Lawyers in America© peer review as some of California’s Best Lawyers in multiple categories.
Our partners were recognized in the following practice areas in 2016 for Newport Beach, CA:
Michael S. Cucchissi / Real Estate Law
Jeffrey M. Dennis / Insurance Law
Gregory L. Dillion / Commercial Litigation, Construction Law, Insurance Law, Litigation - Construction, and Litigation - Real Estate
Joseph A. Ferrentino / Litigation – Construction and Litigation - Real Estate
Thomas F. Newmeyer / Commercial Litigation, Construction Law, and Litigation - Real Estate
John A. O'Hara / Litigation - Construction
Bonnie T. Roadarmel / Insurance Law
Carol Sherman Zaist/ Commercial Litigation
Beyond the above recognition, Greg Dillion and Tom Newmeyer were selected respectively as Orange County’s “Lawyers of the Year 2016” in Insurance Law and Construction Law. Greg Dillion and Joe Ferrentino previously have been honored as Orange County “Lawyers of the Year 2015” in Real Estate Litigation as well.
“We take pride in hiring great attorneys who will deliver the highest quality service and results for our clients. This recognition confirms that we are doing just that. It is a great honor and well deserved recognition for our partners to be selected by their peers as the Best Lawyers in their fields,” said Managing Partner, Jeff Dennis.
Because of the rigorous and transparent methodology used by Best Lawyers, and because lawyers are not required or allowed to pay a fee to be listed, inclusion in Best Lawyers is considered a prestigious honor. Inclusion in the Best Lawyers in America® 2016 is based on a rigorous national survey involving over 6.7 million detailed evaluations by other lawyers. For additional information, visit www.bestlawyers.com.
About Newmeyer & Dillion LLP
For more than 30 years, Newmeyer & Dillion has delivered creative and outstanding legal solutions and trial results for a wide array of clients. With more than 70 attorneys practicing in all aspects of business, employment, real estate, construction and insurance law, Newmeyer & Dillion delivers legal services tailored to meet each client’s needs. Headquartered in Newport Beach, California, with offices in Walnut Creek, California and Las Vegas, Nevada, Newmeyer & Dillion attorneys are recognized by The Best Lawyers in America©, and Super Lawyers as top tier and some of the best lawyers in California, and have been given Martindale-Hubbell Peer Review's AV Preeminent® highest rating. For additional information, call 949-854-7000 or visit www.ndlf.com.
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Sweat the Small Stuff – Don’t Overlook These Three (3) Clauses When Negotiating Your Construction Contract
April 08, 2024 —
Bill Shaughnessy - ConsensusDocsReviewing and understanding the terms of your construction contract before signing on the dotted line (ideally with counsel involved) is an obvious best practice – whether you are owner, general contractor, design-professional or down-tier subcontractor or supplier. Typically, during this review process, parties pay closest attention to terms relating to price, scope, schedule, insurance, indemnification, and damages. And rightfully so, as these are just some of the most fundamental and important clauses of any construction contract.
But during this review and understanding process, parties often overlook and fail to fully review and understand several notably important contract provisions (other than the examples above) which can have just as significant an impact on the project and even unintended consequences once construction starts. This article discusses three (3) of these often-overlooked provisions which should also be carefully reviewed to ensure the project runs smoothly and to avoid unintended consequences or even disputes (and litigation) during construction:
- Incorporation by reference clause;
- Order of precedence or higher standard clause; and
- Choice of law clause.
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Bill Shaughnessy, Jones Walker LLP (ConsensusDocs)Mr. Shaughnessy may be contacted at
bshaughnessy@joneswalker.com
When a Request for Equitable Adjustment Should Be Treated as a Claim Under the Contract Disputes Act
August 29, 2022 —
David Adelstein - Florida Construction Legal UpdatesIn federal contracting, contractors are sometimes torn about submitting a request for equitable adjustment (known as an “REA” under 48 C.F.R. 252.243-7002) or submitting a formal claim under the Contract Disputes Act (41 U.S.C. s. 7103), the latter requiring a final decision by the contracting officer and starts the clock with respect to interest and preserving rights. It is also sometimes not easy for the contracting officer receiving an REA to determine whether the REA is actually a claim under the Contract Disputes Act requiring more immediate action. This recent take by the United States Court of Appeals for the Federal Circuit hits the nail on the head:
We recognize that contracting officers will sometimes face the difficult challenge of determining whether a request for equitable adjustment is also a claim. Contractors must choose between submitting a claim—which starts the interest clock but requires the contracting officer to issue a final decision within 60 days—and submitting a mere request for equitable adjustment—which does not start the interest clock but gives the contractor more time to negotiate a settlement and possibly avoid hefty legal fees. The overlap between these two types of documents might create room for gamesmanship. For example, a contractor could submit a document that is a claim—starting the interest clock—but appears to be a mere request for equitable adjustment—causing the contracting officer to not issue a final decision within the 60-day deadline and allowing interest to accrue for months or years. But the government has tools to address this challenge: The contracting officer can communicate to the contractor that she is going to treat the document as a claim and issue a final decision within 60 days. Or the government can explicitly require the contractor to propose settlement terms and attempt to settle disputes before submitting a claim to the contracting officer for a final decision.
Zafer Construction Company v. U.S., 2022 WL 2793596, *5 (Fed.Cir. 2022).
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
New Nafta Could Settle Canada-U.S. Lumber War, Resolute CEO Says
February 02, 2017 —
Jen Skerritt - BloombergA renegotiation of Nafta could be used to settle a lumber dispute that’s been simmering between Canada and the U.S. for decades and threatens to make housing unaffordable for thousands of Americans, according to the world’s largest newsprint maker.
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Jen Skerritt, BloombergMs. Skerritt may be followed on Twitter @jenskerritt
Weed Property Owner Gets Smoked Under Insurance Policy
May 10, 2022 —
Garret Murai - California Construction Law BlogWhen’s the last time you read your homeowner’s insurance policy? Didn’t think so.
But you might consider doing so, particularly in light of all of the discussions surrounding climate change – a nearly 2 degree Fahrenheit increase in summer temperatures over the past 20 years – and studies finding that wildfires in California could increase by 20% or more by the 2040s, and that the total burned area could increase by 25% or more.
In the next case,
Vulk v. State Farm (2021) 69 Cal.App.5th 243, one homeowner found out too late (after his house burned to the ground) that his homeowner’s insurance policy didn’t provide the coverage that he thought it did.
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Garret Murai, Nomos LLPMr. Murai may be contacted at
gmurai@nomosllp.com