Ambush Elections are Here—Are You Ready?
May 07, 2015 —
Craig Martin – Construction Contractor AdvisorOn April 14, 2015, the National Labor Relations Board’s new election rule went into effect. The new rule, which shortens the time frame for union elections, will make it easier for unions to organize. Employers must get prepared now, not when they hear about an election. As the NLRB Members who dissented from the final rule noted:
"The Final Rule has become the Mount Everest of regulations: Massive in scale and unforgiving in its effect. Very few people will have the endurance to read the Final Rule in its entirety."
Here are some highlights of the new rule:
- Within 2 business days after service of the Notice of the Pre-Election Hearing, the employer must post a Notice of Petition for Election. The employer must also distribute the notice via e-mail if the employer customarily communicates with employees via e-mail.
- A Pre-Election hearing will be scheduled within 8 days from the Notice.
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Craig Martin, Lamson, Dugan and Murray, LLPMr. Martin may be contacted at
cmartin@ldmlaw.com
OSHA Set to Tag More Firms as Severe Violators Under New Criteria
November 01, 2022 —
Richard Korman & Stephanie Loder - Engineering News-RecordIn announcing last month broadened criteria for classifying employers as severe safety violators, U.S. Occupational Safety and Health Administration official Douglas Parker singled out a steel fabricator near El Paso, Texas. The U.S. Labor Dept. assistant secretary for occupational safety and health, he posted a blog stating that OSHA had placed Kyoei Steel Ltd. in its severe violators program, which subjects the firm to numerous re-inspections until it is allowed to exit.
Reprinted courtesy of
Richard Korman, Engineering News-Record and
Stephanie Loder, Engineering News-Record
Mr. Korman may be contacted at kormanr@enr.com
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A “Flood” of Uncertainty; Massachusetts SJC Finds Policy Term Ambiguous
August 26, 2024 —
Michael S. Levine & Torrye Zullo - Hunton Insurance Recovery BlogThe highest court in Massachusetts recently held that term “Flood” and the associated phrase “surface waters,” as used in two all-risk insurance policies, is ambiguous in the context of water that accumulated on a parapet roof and rooftop courtyard, thereby negating the insurers’ attempt to limit coverage to a sublimited coverage for “Flood.”
Background
In June 2020, a severe storm caused damage to Norwood Hospital, owned by Medical Properties Trust, Inc. (“MPT”) and leased to Steward Health Care System (“Steward”), the policyholders. The relevant portion of the damage included damage from rain that accumulated on the rooftop courtyard and seeped into the interior of the building causing damage to the building and its contents.
Reprinted courtesy of
Michael S. Levine, Hunton Andrews Kurth and
Torrye Zullo, Hunton Andrews Kurth
Mr. Levine may be contacted at mlevine@HuntonAK.com
Ms. Zullo may be contacted at tzullo@HuntonAK.com
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Landmark Contractor Licensing Case Limits Disgorgement Remedy in California
November 09, 2020 —
Candace Matson - Construction & Infrastructure Law BlogContractors performing work in California are required to be licensed by the California State License Board (“CSLB”). Cal. Bus. & Prof. Code §7065. Except for sole proprietors, contractors are typically licensed through “qualifiers,” i.e., officers or employees who take a licensing exam and meet other requirements to become licensed on behalf of the contractor’s company. Contractors who perform work in California without being properly licensed are subject to a world of hurt, including civil and criminal penalties (see, e.g., Cal. Bus. & Prof. Code §§ 7028, 7028.6, 7028.7, 7117, and Cal. Labor Code §§ 1020-1022), and the inability to maintain a lawsuit to recover compensation for their work. Cal. Bus & Prof. Code § 7031(a); Hydra Tech Systems Ltd. v. Oasis Water Park, 52 Cal.3rd 988 (1991).
But arguably the worst ramification of not being property licensed is that established in Business & Professions Code Section 7031(b), which provides that any person who uses the services of an unlicensed contractor may bring an action for the return of all compensation paid for the performance of the work, commonly known as “disgorgement.” This remedy is particularly harsh (often described as “draconian”) because it makes no allowance for the fact that an unlicensed contractor will likely have already paid out the bulk of its compensation to its subcontractors, suppliers and vendors, but nevertheless can be ordered to disgorge all compensation.
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Candace Matson, Sheppard MullinMs. Matson may be contacted at
cmatson@sheppardmullin.com
Court Grants Insurer's Motion for Summary Judgment After Insured Fails to Provide Evidence of Systemic Collapse
April 15, 2024 —
Tred R. Eyerly - Insurance Law HawaiiWith the insurer conceding that there was evidence of potential collapse at portions of eight specific building locations, the court granted the insurer's motion for partial summary judgment in determining no additional buildings suffered from collapse. Exec. 1801 LLC v. Eagle W. Ins. Co., 2024 U.S. Dist. LEZXIS 5923 (D. Or. Jan. 11, 2024).
Executive 1801 owned a group of six buildings with eighty-six residential units. The court previously granted partial summary judgment on Executive 1801's rain damage claim, leaving only claims regarding collapse. Eagle insured "the property for direct physical los or damage to Covered Property . . . caused by or resulting from any Covered Cause of loss." The policy further provided, "We will pay for direct physical loss or damage to Covered Property, caused by collapse of a building or any part of a building insured under this policy, if the collapse is caused by . . . hidden decay."
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Condo Buyers Seek to Void Sale over Construction Defect Lawsuit
November 07, 2012 —
CDJ STAFFA Michigan couple seeks to void their purchase of a condo in Texas after discovering that the complex was undergoing a construction defect lawsuit. ABQ Journal reports that Charles M. Lea and Olga Y. Ziabrikova said that they would not have purchased the condo if they had known the association was already alleging construction defects. The condo association discovered the defects “by at least late 2010,” according to the suit. The couple bought their condo in August 2011 and heard of the defects only in March 2012.
The couple notes that no one involved with the sale informed them of the construction defect complaints. The community association’s lawsuit states that problems have lead to $2.5 million in damages. The developer, Vegas Verde Condo Partners, have filed a general denial of the construction problems.
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A Few Construction Related Bills to Keep an Eye On in 2023 (UPDATED)
February 20, 2023 —
Christopher G. Hill - Construction Law MusingsThe annual General Assembly session is now well underway here in the Commonwealth of Virginia. As is always the case, those in our fine state legislature have introduced with varying success a few construction-related bills. This post will list just a few without comment, and a big one at the end that will likely spur a post or two down the road here at Construction Law Musings:
HB1490:
Virginia Public Procurement Act; certain construction contracts; performance and payment bonds. Allows localities to allow a contractor of indefinite-delivery or quantity contracts, defined in the bill, who is otherwise required to furnish performance and payment bonds in the sum of the contract amount to the public body with which he contracted to furnish such bonds only the dollar amount of the individual tasks identified in the underlying contract. Such contractors shall not be required to furnish the sum of the contract amount if the governing locality has adopted such an ordinance.
UPDATE: Passed the House and is being considered in the Senate
UPDATE 2: A
substitute bill has passed both the House and the Senate.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
White and Williams Defeats Policyholder’s Attempt to Invalidate Asbestos Exclusions
January 28, 2014 —
White and Williams LLPWhite and Williams attorneys scored a significant victory for the insurance industry on January 15, 2014, when a federal jury of four men and four women rejected a policyholder’s novel efforts to invalidate asbestos exclusions contained in insurance policies issued between February 1, 1979 and August 1, 1985.
In General Refractories Co. v. First State Ins. Co., Civil Action No. 04-CV-3509 (E.D. Pa.), General Refractories Company contended that asbestos exclusions in insurance policies issued by various insurance companies in the late 1970s and 1980s had not been submitted to the Pennsylvania Department of Insurance for approval prior to use and, therefore, were unenforceable. Holding a failure to obtain approval, by itself, would not be sufficient to render the exclusions unenforceable, the Honorable Edmund Ludwig sent the matter to trial to determine whether the Pennsylvania Insurance Commissioner implemented a policy that was uniformly executed by the Insurance Department to disapprove all asbestos exclusions between February 1, 1979 and August 1, 1985, such that the exclusions violated a “dominant public policy.”
Reprinted courtesy of Gregory LoCasale, White and Williams LLP
and
Patricia Santelle , White and Williams LLP
Ms. Santelle may be contacted at santellep@whiteandwilliams.com and Mr. LoCasale may be contacted at locasaleg@whiteandwilliams.com.
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