Superintendent’s On-Site Supervision Compensable as Labor Under Miller Act
March 13, 2023 —
David Adelstein - Florida Construction Legal UpdatesA recent Miller Act payment bond decision out of the District of Columbia Circuit Court of Appeals, U.S. f/u/b/o Civil Construction, LLC v. Hirani Engineering & Land Surveying, PC, 58 F.4th 1250 (D.C. Circ. 2023), dealt with the issue of whether a subcontractor’s superintendent constitutes recoverable “labor” within the meaning of the Miller Act and compensable as a cost under the Miller Act that typically views labor as on-site physical labor.
The issue is that the Miller Act covers “[e]very person that has furnished labor or material in carrying out work provided for in a contract.” Civil Construction, supra, at 1253 quoting 40 U.S.C. s. 3133(b)(1). The Miller Act does not define labor. The subcontractor claimed labor includes actual superintending at the job site. The surety disagreed that a superintendent’s presence on a job site constitutes labor as the superintendent has to actually perform physical labor on the job site to constitute compensable labor under the Miller Act.
The subcontractor argued its subcontract and the government’s quality control standards required detailed daily reports that verified manpower, equipment, and work performed at the job site. It further claimed its superintendent had to continuously supervise and inspect construction activities on-site: “[the] superintendent had to be on-site to account for, among other things, hours worked by crew members, usage and standby hours for each piece of equipment, materials delivered, weather throughout the day, and all work performed. These on-site responsibilities reflected the government’s quality control standards, under which the superintendent as ‘the most senior site manager at the project, is responsible for the overall construction activities at the site…includ[ing] all quality, workmanship, and production of crews and equipment.” Civil Construction, supra, at 1253-54.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Supreme Court Holds That Prevailing Wage Statute is Constitutional
November 28, 2022 —
Cassidy Ingram - Ahlers Cressman & SleightThe Supreme Court recently held
[1] that Senate Bill 5493 (“SSB 5493”), which alters the method for how the Washington State Department of Labor and Industries’ industrial statistician sets the prevailing wages for employees on public works projects, is constitutional. Prior to the enactment of SSB 5493, the industrial statistician set prevailing wages for each trade on a county-by-county basis based on either the majority or average wage rate in that specific county. Following SSB 5493’s enactment, the industrial statistician would be required to adopt the prevailing wage rate for a county solely based on collective bargaining agreements (CBAs) for that trade. If a trade has more than one CBA in a county, the highest wage rate will prevail.
SSB 5493 has negative impacts on employers because it creates the potential for wage rates to be set based on CBAs that represent the minority of hours worked in a county. The International Union of Operating Engineers, Local 302, provides an example of this. AGC began negotiations with an operators’ union for a master labor agreement, which would cover almost all operating engineers in 16 Washington State counties. When they could not reach an agreement, Local 302 called a strike against the employers. After one week of the strike, Local 302 approached small employers and negotiated a side agreement. Some of these employers were also card-carrying members of Local 302. A few weeks later, AGC ratified a new agreement with Local 302 that included lower wages than the side agreements. Because the rates in the side agreement were higher, those wage rates became the prevailing wage in 16 counties even though they represented a minority of the hours worked.
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Cassidy Ingram, Ahlers Cressman & SleightMs. Ingram may be contacted at
cassidy.ingram@acslawyers.com
Ten ACS Lawyers Recognized as Super Lawyers or Rising Stars
August 30, 2021 —
Cameron Sheldon - Ahlers Cressman & Sleight PLLCACS is very honored and pleased to announce ten members of our firm were awarded the distinction of top attorneys in Washington. Our blog articles usually cover Construction Legal News, but we feel this is a newsworthy accolade to be shared with friends and clients.
To become candidates to receiving the Super Lawyer nomination, lawyers are nominated by a peer or identified by research. After completing this first step in the process, Super Lawyer’s research department analyzes 12 indicators, such as experience, honors/awards, verdicts/settlements, and others. As for the third step, there is a peer evaluation by practice area. Finally, for step four, candidates are grouped into four firm-size categories. In other words, solo and small firm lawyers are compared only with other solo and small firm lawyers, and large firm lawyers are compared with other large firm lawyers. The process is very selective and only 5 percent of the total lawyers in Washington are nominated as Super Lawyers.
John P. Ahlers, one of the firm’s founding partners, was recognized as
the third Top Lawyer out of all Washington lawyers in the State.
Named partner Scott R. Sleight and partner Brett M. Hill were both recognized as one of the 100-Best Lawyers in the State.
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Cameron Sheldon, Ahlers Cressman & Sleight PLLCMs. Sheldon may be contacted at
cameron.sheldon@acslawyers.com
EEOC Suit Alleges Site Managers Bullied Black Workers on NY Project
June 15, 2020 —
Emell D. Adolphus - Engineering News-RecordBullying, threats and racial slurs detail alleged “hostile” working conditions for black employees at a now complete cement plant modernization project near Albany, N.Y., in a lawsuit filed June 2 by the U.S. Equal Employment Opportunity Commission against CCC Group Inc., a San Antonio, Texas-based general contractor.
Emell D. Adolphus, Engineering News-Record
ENR may be contacted at ENR.com@bnpmedia.com
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Guessing as to your Construction Damages is Not the Best Approach
November 18, 2019 —
David Adelstein - Florida Construction Legal UpdatesArbitrarily guessing as to your construction damages is NOT the best approach. Sure, experts can be costly. No doubt about it. Having an expert versus guessing as to your construction damages caused by another party’s breach of contract is a no brainer. Engage an expert or, at a minimum, be in a position to competently testify as to your damages caused by another party’s breach of contract. Otherwise, the guessing is not going to get you very far as a concrete subcontractor found out in Patrick Concrete Constructors, Inc. v. Layne Christensen Co., 2018 WL 6528485 (W.D. New York 2018) where the subcontractor could not competently support its delay-related damages or change orders and, equally important, could not support that the damages were proximately caused by the general contractor’s breach of the subcontract.
In this case, the concrete subcontractor entered into a subcontract to perform concrete work for a public project. The project was delayed and the general contractor was required to pay liquidated damages to the owner. Not surprisingly, the subcontractor disputed liability for delays and sued the general contractor for all of its delay-related damages “in the form of labor and materials escalation, loss of productivity, procurement and impact costs, field and home office overhead, idle equipment, inability to take on other work, lost profits, and interest.” Patrick Concrete Constructors, 2018 WL at *1.
The general contractor moved for summary judgment as to the plaintiff’s delay-related damages – the subcontractor’s damages were nothing but guesses and the subcontractor could not prove the general contractor was the cause of the subcontractor’s damages.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Eleventh Circuit Upholds Coverage for Environmental Damage from Sewage, Concluding It is Not a “Pollutant”
May 24, 2018 —
Lorelie S. Masters & Alexander D. Russo - Hunton Insurance Recovery BlogOn April 20, 2018, the Eleventh Circuit affirmed an Alabama district court decision finding that an “absolute pollution exclusion” did not bar coverage for environmental property damage and injuries from a sewage leak. Evanston Ins. Co. v. J&J Cable Constr., LLC, No. 17-11188, 2018 WL 1887459, (11th Cir. Apr. 20, 2018).
J&J Cable was hired to install underground electrical conduit in a subdivision when it struck and broke the sewer pipe to two homes. As a result, sewage backed up into the homes causing property damage and personal injuries. The commercial general liability policy at issue contained an “absolute pollution exclusion,” which sought to bar coverage for “bodily injury” and “property damage” arising out of the actual, alleged, or threatened discharge, dispersal, seepage, migration, release or escape of “any solid, liquid, gaseous or thermal irritant or contaminant, including smoke, vapor, soot, fumes, acids, alkalis, chemicals and waste.” The insurer relied on an earlier Alabama federal district court decision, which precluded coverage for liability from lead paint exposure, concluding that lead was a pollutant under a similar exclusion. The Eleventh Circuit disagreed, recognizing that insurance is a state law issue and opting instead to rely on binding state court precedent. The Eleventh Circuit, therefore, found that the decision in U.S. Fid. & Guar. Co. v. Armstrong, 479 So. 2d 1164 (Ala. 1985), by the state’s highest court, the Alabama Supreme Court, governed. That case made a distinction between industrial waste and residential sewage. Accordingly, the Eleventh Circuit found that the “absolute pollution exclusion” did not preclude coverage for liability for injuries caused by sewage.
Reprinted courtesy of
Lorelie S. Masters , Hunton Andrews Kurth and
Alexander D. Russo , Hunton Andrews Kurth
Ms. Masters may be contacted at lmasters@HuntonAK.com
Mr. Russo may be contacted at arusso@huntonak.com
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BWB&O Attorneys are Selected to 2024 Southern California Super Lawyers Rising Stars
July 22, 2024 —
Bremer Whyte Brown & O'Meara LLPBWB&O is proud to announce Senior Family Law Associate Pamchal Deylami, Newport Beach Partner Kyle Riddles, Newport Beach Partner Courtney Serrato, Newport Beach Associate Kevin Moore, Woodland Hills Associate Brian Taylor have been selected to the 2024 Southern California Super Lawyers list as Rising Stars for their work in Family Law, Civil Litigation, Business Litigation, and Personal Injury.
SELECTED AS RISING STARS
Pamchal Deylami: 2020-2024
Kyle Riddles: 2024
Courtney Serrato: 2023-2024
Kevin Moore: 2021-2024
Brian Taylor: 2023-2024
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Bremer Whyte Brown & O'Meara LLP
Los Angeles Team Secures Summary Judgment for Hotel Owner & Manager in Tenant’s Lawsuit
July 08, 2024 —
Lewis Brisbois NewsroomLos Angeles, Calif. (June 11, 2024) - Los Angeles Partners David Samuels and Meegan Moloney recently obtained summary judgment for the owner and manager of a Southern California hotel in a lawsuit brought by a tenant who alleged that she suffered injuries due to the presence of mold in her leased space.
The plaintiff had entered into a commercial lease for space within the Crowne Plaza Hotel in Redondo Beach, California, for use for her spa and massage business. The lease contained "exculpatory provisions" absolving Lewis Brisbois' clients "from any and all liability and responsibility for any loss, injury or damage incurred or claimed by reason of damage to property located on the leased premises."
Shortly after taking possession of the space in September 2019, the plaintiff claimed she became ill and subsequently discovered the presence of mold in the heating, ventilation, and air conditioning ducts. In October 2022, she sued the hotel's owner and manager, asserting a host of claims including negligence, fraud - negligent and intentional misrepresentation, negligent infliction of emotional distress, breach of contract, breach of covenant of quiet enjoyment, private nuisance, and unfair business practices.
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Lewis Brisbois
