Windows and Lawsuits Fly at W Hotel
July 05, 2011 —
CDJ STAFFAn Austin, Texas lawyer has filed a lawsuit against Starwood Hotels and Resorts, the operator of the W Hotel Austin, after two people were struck by glass which fell from the hotel’s balconies. YNN in Austin reports that the hotel has been closed indefinitely as construction workers removed panels. An additional three panels fell before work started. Randy Howry, the lawyer representing the injured parties, notes that in May glass falling from the W Hotel in Atlanta killed one woman and injured another. “Seventeen days pass and we put them on notice, our clients have put them on notice, yet nothing has been done an only after the glass fell yesterday did they do something about it,” YNN quotes Howry.
The hotel released a statement that they will be replacing all of the balcony glass to ensure safety for their guests and the general public. They relocated all hotel guests and coordinated with Austin officials to close adjacent sidewalks and roads. The statement identifies the firms involved with the design and construction of the balconies.
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Texas Plans a Texas-Sized Response to Rising Seas
June 27, 2022 —
Francis Wilkinson - BloombergIn 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.
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Francis Wilkinson, Bloomberg
Final Thoughts on New Pay If Paid Legislation in VA
August 15, 2022 —
Christopher G. Hill - Construction Law MusingsThis past General Assembly session, and after a governor’s amendment and with the convening of a study group, a new statute banning so-called “pay-if-paid” clauses from enforcement was passed. Some of the key features of the legislation are as follows:
It does not take effect until January 1, 2023, and,
For those construction contracts in which there is at least one general contractor and one subcontractor:
- It requires payment within 60 days of receipt of an invoice following the satisfactory performance of the work or within 7 days of receipt of payment by the Owner
- It allows for retainage
- It allows the higher-tier contractor to withhold money for improper performance
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Pine River’s Two Harbors Now Targets Non-Prime Mortgages
November 05, 2014 —
Jody Shenn - BloombergCount Two Harbors Investment Corp. (TWO) among investors looking for profits in riskier home loans -- and expecting a market for bonds backed by them to re-emerge even with safer issuance showing limited signs of life.
The real-estate investment trust, whose 74 percent total return over the past three years is almost double that of peers, recently told the lenders that have been selling it big, high-quality mortgages that it’s now also seeking to purchase non-prime loans and those with low down payments, Chief Investment Officer Bill Roth said today during a conference call for analysts and investors.
“Our expectation and certainly hope would be as this market opens up and becomes fairly meaningful that a securitization market would develop,” he said. Of course, he sees the timeline as “probably measured in years, not months.”
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Jody Shenn, BloombergMs. Shenn may be contacted at
jshenn@bloomberg.net
Limiting Liability: Three Clauses to Consider in your Next Construction Contract
June 25, 2019 —
Tara Lynch - Gordon & Rees Construction Law BlogIn your next contract, consider including some (or all!) of the following clauses to limit your liability and maximize your profits.
Waiver of Consequential Damages
While a proven breach of contract will leave a design professional or contractor exposed to direct or compensatory damages, a waiver of consequential damages will help “stop the bleeding” and protect the design professional or contractor from paying every damage that might flow from the breach. Consequential damages include those damages which indirectly flow from the breach of contract, for example, lost rents, lost profits, lost use, lost opportunity, loss of employee productivity, and damages to reputation.
The American Institute of Architects (AIA) has included a mutual waiver of consequential damages in its sample A201 for over 20 years. The AIA provision includes a definition of consequential damages which are waived, including many of the examples cited above. However, the AIA waiver of consequential damages clause carves out an exception for liquidated damages to the owner. Prudent design professionals and contractors will strike this exception so as not to render the clause meaningless. A well-drafted waiver clause will be mutual, will define which damages are consequential versus direct, and will not contain exceptions.
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Tara Lynch - Gordon & Rees Scully MansukhaniMs. Lynch may be contacted at
tlynch@grsm.com
AB 3018: Amendments to the Skilled and Trained Workforce Requirements on California Public Projects
February 18, 2019 —
Alex R. Bagdassarian & Nathan A. Cohen - Peckar & AbramsonWhat California Contractors Need To Know About AB 3018
California contractors used to face limited consequences for non-compliance with the state’s skilled and trained workforce requirements on public works projects. A sea-change to the statutory landscape went into effect on January 1, 2019 as a result of Assembly Bill No. 3018 (“AB 3018”).1 The Code re-defines what constitutes a skilled/trained workforce by eliminating existing exemptions, strengthens monthly reporting guidelines and agency oversight, and empowers the Labor Commissioner and public agencies with enforcement tools that include monetary penalties and debarment. Contractors who fail to institute a program to comply with AB 3018’s reporting requirements do so at their peril.
What Does The 30% Requirement Mean?
Previously, in order to comply with the skilled workforce requirements2, 30% of skilled journeypersons had to be graduates of an apprenticeship program, except for certain listed trades which were exempt from the apprenticeship percentage requirement3. AB 3018 eliminates this exception for the listed occupations and requires 30% of all trades to be comprised of apprenticeship program graduates.
Reprinted courtesy of
Alex R. Baghdassarian, Peckar & Abramson and
Nathan A. Cohen, Peckar & Abramson
Mr. Baghdassarian may be contacted at Abaghdassarian@pecklaw.com
Mr. Cohen may be contacted at ncohen@pecklaw.com
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Meet Some Key Players in 2020 Environmental Litigation
May 04, 2020 —
Ellen M. Gilmer - BloombergU.S. courts are set to take up critical environmental law issues in 2020, with pipeline approvals, wildlife protections, and climate change all on the docket for the new year.
Judges will weigh the Trump administration’s deregulatory efforts, the impacts of the president’s promised border wall, and just how far states can go to address climate change.
Leading the legal battles are lawyers from private practice, environmental organizations, local governments, and the Justice Department. Here are some of the players in environmental law in 2020.
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Ellen M. Gilmer, BloombergMs. Gilmer may be contacted at
egilmer@bloombergenvironment.com
Acord Certificates of Liability Insurance: What They Don’t Tell You Can Hurt You
June 28, 2013 —
David McLainAs anyone involved in construction knows, one of the most heavily used forms for tracking insurance information during the subcontracting phase of a project is the Acord Certificate of Liability Insurance. General contractors often require subcontractors to provide these ubiquitous forms as evidence that the subcontractor maintains adequate insurance or insurance which complies with the requirements of the subcontract. Unfortunately, experience has shown that the Acord forms being used today are insufficient sources of the information needed by the developer and general contractor.
Historically, developers and GCs would require Acord forms to ensure that a subcontractor had a CGL insurance policy, with sufficient limits, and which named them as additional insureds. More recently, developers and GCs took the additional step of requiring a confirmation on the Acord forms that they were named as additional insureds for both ongoing and completed operations. This is important because coverage for ongoing operations only provides coverage during the construction process. Once the homes are put to their intended use, developers and GCs must be named as additional insureds for completed operations also in order to avail themselves of the benefits of the policy. Unfortunately, this is where the evolution of the use of the Acord forms ended, resulting in a failure to provide sufficient information to protect developers and GCs from the unknown.
My firm has had a rash of recent experience where our clients have not obtained the benefit of additional insured coverage for which they bargained because they relied on Acord forms which failed to provide sufficient information to allow them to protect themselves from insufficient insurance coverage on the part of the subcontractors with which they did business. For example, in one recent case a homeowners association alleged insufficient grading and drainage away from the homes within a development built by one of our clients. In reviewing the insurance information from the construction files, we found the Acord forms from the excavating company that performed all of the grading work around the homes. To our delight, the Acord form listed our client as an additional insured for both ongoing and completed operations.
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David M. McLainDavid M. McLain can be contacted at
mclain@hhmrlaw.com