Rooftop Solar Leases Scaring Buyers When Homeowners Sell
June 26, 2014 —
Will Wade – BloombergDorian Bishopp blames the solar panels on his roof for costing him almost 10 percent off the value of the home he sold in March.
That’s because instead of owning them he leased the panels from SunPower Corp. (SPWR), requiring the new owner of the house to assume a contract with almost 19 years remaining. He had to shave the asking price for the house in Maricopa, Arizona, to draw in buyers unfamiliar with the financing arrangement.
Leasing is driving a boom in solar sales because most require no money upfront for systems that cost thousands of dollars. That’s made solar affordable for more people, helping spur a 38 percent jump in U.S. residential installations in the past year. Since the business model only gained currency in the past two years, the details embedded in the fine print of the deals are only starting to emerge.
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Will Wade, BloombergMr. Wade may be contacted at
wwade4@bloomberg.net
The Other Side of the North Dakota Oil Boom: Evictions
May 13, 2024 —
Sarah Holder - BloombergWilliams County, North Dakota, is one of the biggest beneficiaries of the state’s fracking boom. In the past decade, millions of barrels of oil have been pumped from its land, and the population of its largest city, Williston, has doubled.
But as the oil flowed and workers poured in to staff the rigs, housing options quickly ran dry. The region’s uneven expansion has led to an eviction crisis for the county’s 39,000 residents, according to a recent paper from a group of sociologists affiliated with Princeton University’s Eviction Lab.
Williams County saw its eviction rate go from “nearly non-existent” in 2010 to over 7% a decade later, the study found. By 2019, at the height of its oil boom — when the state accounted for 11% of the country’s oil production — its eviction filing rate was comparable to that of large, renter-heavy cities like New York City or Philadelphia, according to Eviction Lab. Though oil production peaked in 2019, the problem hasn’t abated: From January through November 2023, more than 550 evictions were recorded by the Williams County Sheriff’s office, up around 30% from the previous full year.
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Sarah Holder, Bloomberg
Federal Court Opinion Has Huge Impact on the Construction Industry
July 06, 2020 —
Wally Zimolong - Supplemental ConditionsThe United States District Court for the Eastern District of Pennsylvania in Philadelphia recently issued an opinion that should get the attention of any contractor or subcontractor performing work on a federal funded construction project. In U.S. ex rel IBEW Local 98 v. The Fairfield Company, the federal court held that a contractor on a SEPTA project could be held liable under the False Claims Act for failing to pay its workers under the Davis Bacon Act. The court found that liability was appropriate under the FCA even through the contractor did not knowingly violate the Davis Bacon Act. The court awarded the plaintiff over $1,000,000 in damages and an additional over $1,000,000 in attorneys fees.
An Extremely Brief Primer on the FCA
A full discussion of the FCA is beyond the realm of this blog post and you could write a book on FCA cases. But in a nutshell, the FCA prohibits a contractor from knowingly submitting a claim for payment to the federal government (or an entity receiving funding from the federal government, like SEPTA) that is false. Importantly, knowingly does not equal actual knowledge of the falsity of the claim. Rather, “reckless disregard of the truth or falsity” of the submission is sufficient. As explained below, this standard played an important role in the court’s decision and should give contractors performing work on federally funded projects pause.
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Wally Zimolong, Zimolong LLCMr. Zimolong may be contacted at
wally@zimolonglaw.com
New Jersey Supreme Court Ruled Condo Association Can’t Reset Clock on Construction Defect Claim
September 20, 2017 —
David Suggs – Bert L. Howe & Associates, Inc.The New Jersey Law Journal reported that New Jersey Supreme Court “justices reversed an Appellate Division ruling that found three suits filed against contractors by the Palisades at Fort Lee Condominium Association on various dates in March and April 2009 and September 2010 were within the six-year limit because the association received notice of construction defects in the building in an engineer's report issued in June 2007.”
The justices stated that the statute of limitations is not reset when property changes hands: "An owner of a building cannot convey greater property rights to a purchaser than the owner possessed. If the building's owner knew or reasonably should have known of construction defects at the time of the sale of the property, the purchaser takes title subject to the original owner's right—and any limitation on that right—to file a claim against the architect and contractors."
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Unlocking the Potential of AI and Chat GBT in Construction Management
September 11, 2023 —
Matthew DeVries - Best Practices Construction LawThe construction industry is one of the most complex and challenging sectors. Projects can be highly demanding and require a significant amount of planning and coordination to complete successfully. However, with advancements in technology, specifically the use of artificial intelligence (AI) and chat GBT, the construction industry can experience a transformation in how it operates.
One of the significant challenges in construction projects is the management of data. Information is collected from various sources and needs to be organized and analyzed to make informed decisions. AI can play a significant role in data analysis by providing real-time insights into the project’s progress. This can help in predicting potential delays, identifying areas where cost savings can be made, and even improve safety measures.
Chat GBT, a natural language processing tool, can assist in project management by acting as a virtual assistant to construction managers. The software can be programmed to answer questions about the project, provide updates on the progress, and even suggest solutions to potential problems. This can help in reducing the workload of the project manager and allow them to focus on other critical tasks.
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Matthew DeVries, Burr & Forman LLPMr. DeVries may be contacted at
mdevries@burr.com
2018 California Construction Law Update
January 10, 2018 —
Garret Murai – California Construction Law Blog The California State Legislature introduced 2,495 bills during the first year of the 2017-2018 Legislative Session. Of these, 859 were signed into law.
While much political attention was focused on several California laws that could be viewed as California’s rebuke of Washington, including California’s legalization of marijuana, enactment of “sanctuary state” legislation, and bills focused on climate change, 2017 also saw the enactment of a package of bills intended to address the state’s housing affordability crises (for a great summary of these bills see Wendel Rosen’s Landuse Group’s recent article
Slate of New Housing Bills Takes Effect January 1, 2018 ), as well as a range of other bills of interest to the construction industry including bills related construction financing, alternative project delivery methods, and solar construction.
Each of the bills discussed below took effect on January 1, 2018, except as otherwise stated.
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Garret Murai, Wendel, Rosen, Black, Dean, LLPMr. Murai may be contacted at
gmurai@wendel.com
Disaster Remediation Contracts: Understanding the Law to Avoid a Second Disaster
August 30, 2017 —
Todd Colvard – Peckar & Abramson, P.C.In the aftermath of Hurricane Harvey, consumers and contractors should be aware of protections prescribed by the Texas Legislature for Disaster Remediation Contracts. Chapter 58 of the Texas Business and Commerce Code includes several important consumer protections. Consumers should be aware of these protections, and contractors should take care to avoid inadvertent violations.
This statute applies to a contractor engaged in “disaster remediation,” in a county subject to a disaster declaration. Those contracts are subject to certain notice provisions and limitations. A violation of Chapter 58 is considered a Deceptive Trade Practice and could subject a violator to both public and private remedies. The full text of Chapter 58 is found here: http://www.statutes.legis.state.tx.us/Docs/BC/htm/BC.58.htm.
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Todd Colvard, Peckar & Abramson, P.C.Mr. Colvard may be contacted at
tcolvard@pecklaw.com
Google’s Floating Mystery Boxes Solved?
March 12, 2014 —
Beverley BevenFlorez-CDJ STAFFGarret Murai, on his California Construction Law blog, reported how “a four story structure made up of shipping containers” had been mysteriously erected on a barge in the middle of San Francisco Bay. Later, it was determined that Google was behind the strange structure, though they were keeping silent as to what the building-on-the-barge would be used for.
Construction stopped after the San Francisco Bay Conservation and Development Commission determined that the mysterious barge required a permit—which would require Google to file “publicly available documents.” Google chose to move the barge to Stockton, California rather than obtain a permit.
Google finally released a comment stating that they are “exploring using the barge as an interactive space where people can learn about new technology.” However, Murai believes that this statement may be a “distraction device” and the true use of the barge has yet to be revealed.
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