2017 California Construction Law Update
December 15, 2016 —
Garret Murai – California Construction Law BlogTo say it’s been an exciting year in politics would be an understatement.
While most of the nation’s attention was focused on the presidential election, state legislatures, including California’s, were busy at work. The California State Legislature introduced 3099 bills during the second session of the 2015-2016 session of which 808 bills were signed into law. 2016 saw the enactment of several bills of interest to the construction industry including bills related to alternative project delivery methods, prevailing wages, and licensing. Each of the bills discussed below takes effect on January 1, 2017.
Project Delivery
AB 2126 – Amends Public Contract Code section 6701 to increase the number of projects the Department of Transportation may use the construction manager/general contractor method of project delivery from no more than 6 projects, to 12 projects, of which 8 of the 12 projects would be required to use Department employees or consultants under contract with the Department to perform all project design and engineering services.
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Garret Murai, Wendel Rosen Black & Dean LLPMr. Murai may be contacted at
gmurai@wendel.com
Low Interest Rates Encourages Homeowners to become Landlords
June 18, 2014 —
Beverley BevenFlorez-CDJ STAFFCNN Money reported that more homeowners are deciding to keep their homes rather than sell, and become landlords instead. "Clients tell us all the time, 'We're never going to sell our home, even after we buy a new one,'" Glenn Kelman, CEO of the brokerage, Redfin, told CNN Money.
“The math works in most landlords' favor these days,” according to CNN Money. “Rents have risen by about 20% nationwide since mid-2006, the housing bubble peak, while home prices are still about 21% below what they were at that time.”
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Los Angeles Considering Census of Seismically Unstable Buildings
August 27, 2013 —
CDJ STAFFIn 1994, after the Northridge earthquake lead to the deaths of 57 people and $2 billion in damage, the Los Angeles City Council considered making a list of buildings that were vulnerable to failure in earthquakes and mandating that they be made seismically sound. The measure did not come to pass.
Tom LaBonge, a member of the council, is seeking to finally get that inventory done. According to the Los Angeles Times, thousands of buildings in Los Angeles were constructed with a ground floor level that is insufficient to support the rest of the building in the event of an earthquake. These “soft-story” buildings can be reinforced to better resist earthquakes, but first they need to be identified.
Owners of apartment buildings worry about the cost of the retrofits, suggesting that if the city is going to come up with mandatory retrofits, they should also “help property owners pay for it,” as Beverly Kenworthy, the executive director of the Los Angeles division of the California Apartment Association told the Times.
San Francisco recently did require retrofits, finding about 3,000 apartment buildings that were at seismic risk. Still, San Francisco doesn’t seem to have moved any faster than Los Angeles, as they were responding to the Loma Prieta earthquake of 1989, seven years before the Northridge quake.
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Plehat Brings Natural Environments into Design Tools
May 01, 2019 —
Aarni Heiskanen - AEC BusinessNatural elements are an essential part of the built environment. However, BIM tools offer almost no support to landscape architecture. Plehat is introducing a new solution that helps architects and decision-makers to understand the dynamics of nature and make smart design choices.
Plehat used photogrammetric 3D models of Uunisaari islands, to the south of Helsinki. The experimenters modeled the buildings and the plants on the island and used game engine software to create a virtual reality (VR) experience. They called the app the “Landscape Time Machine”. The technology solution they developed paved the way for new software that the company will launch later this year.
In 2018, Plehat, a landscape design startup, received funding from the Finnish national KIRA-digi digitalization project to carry out a test. The experimentation demonstrated how seasonal changes and weather conditions affect plants, and how the environment can be visualized and analyzed virtually.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
Brown and Caldwell Appoints Stigers as Design Chief Engineer
December 13, 2022 —
Brown and CaldwellWALNUT CREEK, Calif., Dec. 06, 2022 — Brown and Caldwell today announces Vice President Tracy Stigers has been appointed as design chief engineer in recognition of four decades of exceptional technical leadership and client service. She is the first woman in the firm's 75-year history to hold the esteemed title.
Stigers will lead all design from a technical and delivery expertise perspective across all of Brown and Caldwell's design initiatives, implementing innovation, quality control, and project delivery throughout North America and the Pacific.
Since joining the leading environmental engineering and construction services firm in 1980, Stigers has progressed from junior engineer to one of its top technical and delivery experts. She has vast experience in the design and construction of large-scale wastewater conveyance, treatment, and reuse facilities, including serving as project manager on the San Francisco Public Utilities Commission's $2.3 billion Biosolids Digester Facilities Project, the largest value design job in Brown and Caldwell's history.
Early in her career, Stigers worked alongside and was mentored by company co-founder Dave Caldwell, helping shape its tradition of solving the most challenging water and environmental challenges. Her dedication to upholding Brown and Caldwell's reputation for project excellence and innovation was commended by CEO Rich D'Amato:
"Tracy is the epitome of quality, commitment, and technical prowess," he said. "Her leadership, knowledge, and legacy of delivering solutions to clients perfectly embody our heritage and is a shining example for tomorrow's aspiring engineering leaders."
Throughout her career, Stigers has held numerous leadership roles at industry organizations, including sitting on the board of trustees for the Water Environment Federation and the California Water Environment Association. She is a current member of the Clarkson University Engineering Advisory Council.
About Brown and Caldwell
Headquartered in Walnut Creek, California, Brown and Caldwell is a full-service environmental engineering and construction services firm with 52 offices and 1,800 professionals across North America and the Pacific. For 75 years, our creative solutions have helped municipalities, private industry, and government agencies successfully overcome their most challenging water and environmental obstacles. As an employee-owned company, Brown and Caldwell is passionate about exceeding our clients' expectations and making a difference for our employees, our communities, and our environment. For more information, visit www.brownandcaldwell.com
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Will Claims By Contractors on Big Design-Build Projects Ever End?
February 27, 2023 —
Richard Korman - Engineering News-RecordIn the annals of construction disputes, it is a blip, not a blast.
After a Flatiron Construction-Zachry Group joint venture struck out on most of its arbitrated claims against engineering firm partners on the I-85/385 design-build interchange project in Greenville, S.C., and had others dismissed in court, the contractors had one more source from which to try to cover unexpected project costs: a contractor protective professional policy. Flatiron-Zachry filed a lawsuit last October in San Antonio federal court to try to force payment from Steadfast, a subsidiary of Zurich American Insurance Co.
Reprinted courtesy of
Richard Korman, Engineering News-Record
Mr. Korman may be contacted at kormanr@enr.com
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New Law Impacting Florida’s Statute of Repose
June 29, 2017 —
Meredith N. Reynolds & K. Stefan Chin – Peckar & Abramson, P.C.On June 14, 2017, Governor Scott signed House Bill 377 into law, clarifying that Florida’s ten-year
Statute of Repose commences either when the work is completed or when final payment becomes
due, whichever is latest. The new law resolves a problem for contractors created by a recent Florida
court ruling that held the Statute of Repose to commence as late as when the owner made final
payment. The applicable amendments to Florida Statute Section 95.11 take effect on July 1, 2017
and apply to all causes of action that accrue on or after that date.
Perhaps the most critical component of a construction professional’s risk management program is
the length of time that it is liable for the work performed on a project. While contractual warranty
periods typically run one or two years from substantial completion, the true length of a contractor’s
post-completion obligation is measured by the “Statute of Repose,” which establishes the period of
time following the completion of construction that a lawsuit can be filed for construction defects.
Reprinted courtesy of
Meredith N. Reynolds, Peckar & Abramson, P.C. and
K. Stefan Chin, Peckar & Abramson, P.C.
Ms. Reynolds may be contacted at mreynolds@pecklaw.com
Mr. Chin may be contacted at kschin@pecklaw.com
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Judgment Stemming from a Section 998 Offer Without a Written Acceptance Provision Is Void
March 22, 2021 —
Arezoo Jamshidi, Stevie B. Newton & Lawrence S. Zucker II - Haight Brown & Bonesteel LLPIn Mostafavi Law Group, APC v. Larry Rabineau, APC (B302344, Mar. 3, 2021), the California Court of Appeal, Second Appellate District (Los Angeles), addressed an issue of first impression: whether the purported acceptance of a Code of Civil Procedure section 998 (“section 998”) offer lacking an acceptance provision gives rise to a valid judgment. The appellate court held that a section 998 offer to compromise (“998 Offer”) without an acceptance provision is invalid and any judgment stemming from it is void.
In Mostafavi Law Group, plaintiffs sued defendants for defamation per se, among other claims, which was litigated at-length over several years. Defendants served plaintiffs with a written 998 Offer, offering to settle the action for the sum of $25,000.01. The 998 Offer did not specify the manner in which plaintiffs were to accept the offer.
Within the statutory time period for acceptance, plaintiffs’ counsel hand-wrote the following onto the 998 Offer: “Plaintiff Mostafavi Law Group, APC accepts the offer.” That day, plaintiffs also filed a notice of acceptance of the 998 Offer, along with proof thereof, and sent a copy to defendants. The next day, having received the notice of acceptance, defendants advised plaintiffs that they would “draft and send . . . a settlement agreement for . . . signature” before paying the settlement funds.
Reprinted courtesy of
Arezoo Jamshidi, Haight Brown & Bonesteel LLP,
Stevie B. Newton, Haight Brown & Bonesteel LLP and
Lawrence S. Zucker II, Haight Brown & Bonesteel LLP
Ms. Jamshidi may be contacted at ajamshidi@hbblaw.com
Mr. Newton may be contacted at snewton@hbblaw.com
Mr. Zucker may be contacted at lzucker@hbblaw.com
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