SEATTLE WASHINGTON BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Fannie-Freddie Elimination Model in Apartments: Mortgages

April 08, 2014 — Sarah Mulholland – Bloomberg
The apartment-lending units of Fannie Mae (FNMA) and Freddie Mac were among their few money makers after the U.S. housing collapse. Now they should help transform the U.S. mortgage industry. Lawmakers seeking to eliminate the two government lenders, which were seized by regulators during the 2008 credit crisis, see an antidote to the reckless lending that blew up the U.S. housing market in the structure of the firms’ multifamily operations, which share risks with lenders. Senate Banking Committee Chairman Tim Johnson and Republican Mike Crapo are proposing legislation to create a new government-backed reinsurer of mortgage bonds that would require private investors to bear losses on the first 10 percent of capital. The model for the provision mirrors Fannie Mae and Freddie Mac (FMCC)’s multifamily lending operations, requiring lenders to shoulder some of the risk on loans they originate. Read the court decision
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Reprinted courtesy of Sarah Mulholland, Bloomberg
Ms. Mulholland may be contacted at smulholland3@bloomberg.net

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Update: Where Did That Punch List Term Come From Anyway?

December 21, 2016 — Duane Craig – Construction Informer
I’ve often wondered just where the term “punch list” came from, and I’ve found a few sources that seem to make sense, while others not so much. Enter the Realm of Conjecture and Opinion One person claims it came from the telephone installer process of “punching down” terminals on a block. That seems a bit of a stretch though. A blog writer said it had to do with the term ‘punch’ since it means to “punch something up” as in fix it. Another blog writer thought it had something to do with a long forgotten practice. Apparently subcontractors used to each have their own hole punches that would punch a hole with a shape unique to them. They would use these punches to indicate they had corrected the deficiency that was their responsibility. Read the court decision
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Reprinted courtesy of Duane Craig, Construction Informer
Mr. Craig may be contacted at dtcraig@constructioninformer.com

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Will COVID-19 Permanently Shift the Balance between Work from Home and the Workplace?

April 13, 2020 — Adam Weaver - Gravel2Gavel Construction & Real Estate Law Blog
On March 15, 2020, the Center for Disease Control and Prevention (CDC) issued formal guidance to combat the spread of the coronavirus by recommending against gatherings of 50 or more people for the next eight weeks (CDC guidance), which includes nearly every office building in America. Thus, began the most significant work from home experiment this country has ever seen. With the majority of the workforce working from home, many employees see this as an opportunity to finally prove that, “yes, that meeting could have been an email.” However, while workers will not be distracted by constant (and potentially unnecessary) meetings, a number of issues and questions arise with working from home. Most importantly, is this working from home experiment a temporary opportunity for businesses to test remote work ideas or is this the new normal? And how will this affect commercial real estate moving forward? Read the court decision
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Reprinted courtesy of Adam Weaver, Pillsbury
Mr. Weaver may be contacted at adam.weaver@pillsburylaw.com

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The Reptile Theory in Practice

September 06, 2021 — Nicholas P. Hurzeler - Lewis Brisbois
The “Reptile Theory” is a trial strategy that attempts to use fear and anger to make the jury dislike the defendant so strongly they will award a plaintiff a grossly excessive amount of damages. The plaintiff’s attorney will seek to activate the jurors’ “survival mode” instincts by presenting the defendant’s conduct as highly dangerous and worthy of punishment. The defendant’s conduct will be portrayed as a threat to the safety of the general public, and the award as a deterrent needed to protect the community at large. The Reptile Theory appeals to the jurors’ emotions in place of any rational, impartial evaluation of the evidence. The term “Reptile Theory” originated in the writings of nuero-physiologist Paul D. MacLean in the 1950s, who suggested that one major part of the brain consisted of a “reptilian complex” that controlled instinctive behaviors involved in aggression, dominance, and territoriality. Then in the 2009 publication “Manual of the Plaintiff’s Revolution” by David Ball and Don Keenan, the authors first described the “Reptile Theory” in the context of litigation. Since then it has become a hot topic in litigation as defense counsel develop methods to combat “Reptile” tactics resulting in runaway jury awards. Read the court decision
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Reprinted courtesy of Nicholas P. Hurzeler, Lewis Brisbois
Mr. Hurzeler may be contacted at Nicholas.Hurzeler@lewisbrisbois.com

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Construction Firm Sues City and Engineers over Reservoir Project

October 28, 2011 — CDJ STAFF

The city of Fremont, Ohio and Arcadis have been sued by Trucco Construction. Trucco had been hired by the city to build a reservoir designed by Arcadis, the News-Messenger reports. Peter Welin, attorney for Trucco, said that he found “startling evidence of the company’s negligence” when he deposed Arcadis engineers. “This project could never be built the way they bid it.”

Their suit alleges that Arcadis and the city were aware that the site was not conducive to construction and also that Arcadis failed to be a neutral party in discussions between Trucco and the city regarding compensation.

Sam Wamper, an attorney for Fremont, said he was going to file a motion which would include “quite an interesting story,” but declined to elaborate.

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NY Supreme Court Rules City Not Liable for Defective Sidewalk

February 12, 2014 — Beverley BevenFlorez-CDJ STAFF
Eileen N. Fanning sued the city of Watertown, New York after incurring injuries from a fall on a sidewalk on Court Street, according to the Watertown Daily Times. A state Supreme Court judge dismissed the lawsuit. According to Fanning as reported by the Watertown Daily Times, the plaintiff “fell on an uneven section of sidewalk” and “suffered multiple broken bones in her hand, as well as neurological damage to her arm, among other injuries.” She claimed that the damage is permanent. The lawsuit involved Purcell Construction (the landscape pavers), Neighbors of Watertown (a renovation project), and the city of Watertown. The judge ruled that “Neighbors of Watertown was not liable for her injuries because the agency neither owned nor controlled the property where the injuries occurred and therefore ‘did not owe a duty of care’ to users of the walk as it was not responsible for the sidewalk’s maintenance.” The city was not held liable “because it had received no prior written notice about the alleged defective condition of the property.” Furthermore, the judge “agreed with Purcell Construction’s claim that the area claimed to be defective is ‘one little section’ of sidewalk ‘over which the public walked’ for nearly 20 years.” Read the court decision
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Reprinted courtesy of

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Back to Basics: What is a Changes Clause?

July 18, 2018 — J. Cole Phillips – Smith Currie
The Changes Clause is one of the most important, perhaps the most important, provision in any construction contract. Project designs are rarely perfect. A Changes Clause provides a mechanism for dealing with such imperfections as well as allowing project owners the flexibility to update a project’s design as the project progresses. A good Changes Clause specifies when an owner can change the original scope of the contract, how the parties should resolve the value of the changed scope and when payment should be made to the contractor or a credit given to the owner. A good Changes Clause will also provide a mechanism for the contractor to notify the owner when it believes a change order is due and specify the time within which such notice must be given. For the contractor, failure to pay attention to the requirements of the Changes Clause can lead to forfeiture of the right to seek an adjustment to the contract value or contract completion date. For an Owner, failure to pay attention to and enforce the requirements of the Changes Clause can result in unnecessary payments to the Contractor. Read the court decision
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Reprinted courtesy of J. Cole Phillips, Smith Currie
Mr. Phillips may be contacted at jcphillips@smithcurrie.com

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London Is Falling Down and It's Because of Climate Change

July 16, 2023 — Priscila Azevedo Rocha - Bloomberg
Britain’s increasingly extreme weather is shaking the very foundations of its centuries-old history. The nation has been experiencing prolonged periods of drought after wet winters since last year. That’s causing the porous rock beneath vast parts of southeast of England, including London, to move more than usual, cracking or tilting many of the city’s historical homes in the plushest neighborhoods. The damage has triggered the highest insurance payout in almost two decades, with experts warning that it could get worse. The London clay, the type of soil that covers most of these areas, “is quite unique” because it can shrink and swell a lot, according to Lee Jones, a geological engineer at the British Geological Survey who has studied UK hazards for over 30 years. “The wetter it gets, the more it swells and expands and the drier it gets, the more it shrinks and cracks,” he said, adding that future temperature extremes will exacerbate the impact on buildings and roads. Read the court decision
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Reprinted courtesy of Priscila Azevedo Rocha, Bloomberg

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