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Real Estate & Construction News Round-Up 04/20/22

May 02, 2022 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
Construction defects emerge in pandemic-era buildings, investor confidence is improving in China’s real estate market, the proptech field continues to show significant signs of growth, and more.

Investor confidence in China’s real estate market is improving, with bond trading volumes and prices rising over the last few weeks, but the market is not projected to resume its high growth rate of the past. (Weizhen Tan & Evelyn Cheng, CNBC)
The economic shock caused by soaring mortgage rates over the past few weeks has dramatically increased mortgage payments for new homebuyers. (Lance Lambert, Fortune)
With the metaverse economy projected to be worth between $8 and $13 trillion by 2030, blockchain technology serves as a key driver for virtual real estate sales, allowing for “true” ownership of a property. (Robert Koonin, Dan Jasnow, & Kinnon McDonald, TFL)

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

Florida trigger

August 04, 2011 — CDCoverage.com

In Mid-Continent Casualty Co. v. Siena Home Corp., No. 5:08-CV-385-Oc-10GJK (M.D. Fla. July 8, 2011), insured residential real estate developer Siena was sued by homeowners seeking damages for moisture penetration property damage resulting from exterior wall construction defects. Siena’s CGL insurer Mid-Continent filed suit seeking a declaratory judgment of no duty to defend or indemnify in part on the basis that the alleged “property damage” did not manifest during the Mid-Continent policy period.

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Coverage Found for Faulty Workmanship Damaging Other Property

January 06, 2016 — Tred R. Eyerly – Insurance Law Hawaii
The district court found that under Illinois law, the damage caused by the insured's faulty workmanship to portions of building beyond the scope of its own work was covered under a CGL policy. Westfield Ins. Co. v. Nat'l Decorating Serv., 2015 U.S. Dist. LEXS 159140 (N.D. Ill. Nov. 25, 2015). 200 North Jefferson, LLC was the owner and developer of a 24- story condominium building. 200 North Jefferson retained as the general contractor McHugh Construction Co. McHugh Construction retained National Decorating Service, Inc. as the subcontractor to perform all painting work on the project. The Condominium Association sued 200 North Jefferson, McHugh Construction, MCZ/Jameson Development Group, LLC, National Decorating for faulty workmanship. The alleged damages included:(1) cracking of the exterior concrete walls, interior walls and ceilings; (2) significant leakage through the exterior concrete walls, balconies, and windows; (3) defects to the common elements of the building; and (4) damage to the interior ceilings, floors, interior painting, drywall and furniture in the units. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

White and Williams Lawyers Recognized by Best Lawyers

August 26, 2015 — White and Williams LLP
Twelve White and Williams lawyers have been listed in The Best Lawyers in America 2016. Inclusion in Best Lawyers is based entirely on peer-review. The methodology is designed to capture the consensus opinion of leading lawyers about the professional abilities of their colleagues within the same geographical area and legal practice area. Best Lawyers employs a sophisticated, conscientious, rational, and transparent survey process designed to elicit meaningful and substantive evaluations of the quality of legal services. 2016 Best Lawyers Attorney / Practice Area Frank Bruno / Patent Law James Coffey / Mergers and Acquisitions Law Timothy Davis / Real Estate Law Joseph Foster / Personal Injury Litigation - Defendants William Hussey / Tax Law; Trusts and Estates Michael Kraemer / Employment Law - Management; Labor Law; Management; Litigation - Labor and Employment Randy Maniloff / Insurance Law John Orlando / Personal Injury Litigation - Defendants Thomas Rogers / Real Estate Law Joan Rosoff / Real Estate Law Craig Stewart / Insurance Law; Product Liability - Defendants William Taylor / Construction Law Read the court decision
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You may contact White and Williams LLP attorneys at www.whiteandwilliams.com

California’s Skilled and Trained Workforce Requirements: Public Works and AB 3018, What You Need to Know

December 09, 2019 — Brenda Radmacher & Nicholas Krebs - Gordon & Rees Construction Law Blog
Do you have the proper skilled and trained workforce for your construction projects? If you take on public works projects in California, you may not be in compliance with the new changes in the law. To avoid civil penalties or nonpayment and potentially being precluded from future bids on public works contracts, you must critically review your team and proposal prior to accepting an award. Once awarded a public contact requiring a skilled and trained workforce, diligent reporting practices and oversight are required to maintain compliance. Compliance with California’s skilled and trained workforce requirements for contractors, engineers, architects, design professionals, and suppliers competing for public works construction projects in California is mandated through enforcement with the enactment of AB 3018. Signed by Governor Brown in his last legislative session, AB 3018 dramatically increased the penalties for non-compliance with the existing skilled and trained workforce requirements in California. The new penalties include civil fines by the Labor Commissioner up to $10,000 per month per non-compliant contractor, disqualification from bidding on future public works contract, and withholding of payment for delinquent contractors. This update provides information on California’s skilled and trained workforce requirements, identifies key issues on compliance to avoid penalties, and discusses the impact of enforcement on construction professionals’ business practices. Reprinted courtesy of Brenda Radmacher, Gordon & Rees Scully Mansukhani and Nicholas Krebs, Gordon & Rees Scully Mansukhani Ms. Radmacher may be contacted at bradmacher@grsm.com Mr. Krebs may be contacted at nkrebs@grsm.com Read the court decision
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Texas Plans a Texas-Sized Response to Rising Seas

June 27, 2022 — Francis Wilkinson - Bloomberg
In coastal Texas and many other places, walled cities are making a comeback. It’s quite a turnabout, as the efficacy of defensive walls had declined precipitously since the age of the long bow. Barbarians still menace, of course. But the rekindled enthusiasm for defensive walls is a response to a different kind of threat. San Francisco is contemplating a huge tidal wall across its bay to fend off sea rise and the attendant dousing of some of the world’s most expensive real estate. Miami is weighing the damage a sea wall would do to tourist vistas against the damage a rising sea might do absent a wall. New Orleans, after $14 billion in levee construction, is an armored metropolis. Norfolk, Virginia, another low-lying city exposed to a surging sea, is spending a few hundred million federal dollars on a downtown sea wall. New York City, which has flooded in two devastating storms so far this century, is building a $1.45 billion series of walls, floodgates and underground drainage, a modest down payment on the city’s defense against rising tides and storm surge. Read the court decision
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Reprinted courtesy of Francis Wilkinson, Bloomberg

Biden Administration Focus on Environmental Justice Raises Questions for Industry

March 22, 2021 — Karen C. Bennett, Jane C. Luxton, Rose Quam-Wickham & William J. Walsh - Lewis Brisbois
The Biden Administration has left no doubt that it intends to prioritize environmental justice (EJ) in implementing energy and environmental policy. While EJ is not new – in fact, President Clinton signed the first EJ Executive Order (EO 12898) in 1994 – the new Administration’s plan to expand the concept to include “climate justice” and “health equity” is both novel and undefined. Similar to actions taken on climate change (see our previous alert from January 28), President Biden has announced plans for elevating EJ by designating new Cabinet level offices, intensifying enforcement, and advocating for Congressional action. Given the likelihood of serious impacts from these sweeping changes, industry will need to step up engagement as these concepts are integrated into regulatory decisions and U.S. positions globally. Authority for addressing injustice caused by environmental pollution that disproportionately affects certain communities is found in Title VI of the Civil Rights Act of 1964. The Act imposed a responsibility on the Environmental Protection Agency (EPA or Agency) to ensure that its funds are not being used to subsidize discrimination, based on race, color, or national origin, making EPA’s Office of Civil Rights responsible for the investigation and enforcement of Title VI within the Agency. President Clinton relied on this authority in signing EO 12898, which directed federal agencies to identify and address disproportionately high adverse human health and environmental effects of their programs, policies, and activities on minority and, going beyond the protections covered by Title VI, low-income populations. Reprinted courtesy of Karen C. Bennett, Lewis Brisbois, Jane C. Luxton, Lewis Brisbois, Rose Quam-Wickham, Lewis Brisbois and William J. Walsh, Lewis Brisbois Ms. Bennett may be contacted at Karen.Bennett@lewisbrisbois.com Ms. Luxton may be contacted at Jane.Luxton@lewisbrisbois.com Ms. Quam-Wickham may be contacted at Rose.QuamWickham@lewisbrisbois.com Mr. Walsh may be contacted at William.Walsh@lewisbrisbois.com Read the court decision
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Don MacGregor To Speak at 2011 West Coast Casualty Construction Defect Seminar

January 01, 2011 — CDJ STAFF

“Challenges for Experts in Construction Defect Claims and Litigation” will be held Thursday May 13, 2011 between 1:30 and 3:00 PM at this year’s West Coast Casualty Construction Defect Seminar. Among the various topics covered will be of Right to Repair/Opportunity to Repair statutes, improper testing methodologies, new challenges where a case involves a Wrap Policy, OCIPS, CCIPS, and other owner controlled insurance programs, as well as the need for realistic testing protocols for the party the expert is retained to represent.

During the presentation Mr. MacGregor will be working in connection with a group of construction and design experts each of which have extensive experience with construction defect and claims related litigation. This particular session is expected to attract a standing-room only crowd, drawing in excess of 1700 attendees.

The West Coast Casualty Construction Defect Seminar is the largest seminar of its type. This year’s event is scheduled for will take place on May 12 and 13, 2011, at The Disneyland Hotel and Resort. For more information regarding the years event please visit http://www.westcoastcasualty.com/dyncat.cfm?catid=3322

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