Fairfield Connecticut Building Expert Directory

Contractors Pay Heed: The Federal Circuit Clarifies Two Important Issues For Bid Protestors

September 13, 2021 — Andrew Balland - ConsensusDocs
The United States Court of Appeals for the Federal Circuit (Federal Circuit) recently decided two cases that are relevant to many disappointed offerors considering a bid protest. One decision rendered in March 2021 confirmed the authority of the United States Court of Federal Claims (COFC) to hear a protest based on an agency’s breach of an implied-in-fact contract. A second decision issued in February 2021 reversed a COFC decision from last year regarding the timeliness requirements to obtain a CICA stay and their interplay with Department of Defense (DoD) enhanced debriefing regulations. Federal Circuit Confirms The Court Of Federal Claims’ Jurisdiction Over Procurement-Related Implied Contract Claims When a contractor’s bid protest is denied by the Government Accountability Office (GAO), the unsuccessful protestor may challenge the GAO’s decision as arbitrary and capricious in an action before the COFC. While 28 U.S.C. § 1491(b)(1) authorizes the COFC to hear such procurement-related challenges, § 1491(a) also permits the court to adjudicate claims against the United States based on any express or implied contracts. Read the court decision
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Reprinted courtesy of Andrew Balland, Watt, Tieder, Hoffar & Fitzgerald, LLP

Subcontractor’s Claim against City Barred by City’s Compliance with Georgia Payment Bond Statute

March 29, 2017 — Chadd Reynolds – Autry, Hanrahan, Hall & Cook, LLP
In a recent Georgia Court of Appeals case, the Court was tasked with determining whether the City of Atlanta’s compliance with the Georgia Payment Bond Statutes barred a subcontractor from recovery against it after the general contractor failed to pay and the surety became insolvent. Squared Plumbing Co., LLC (J. Squared), was a subcontractor on a project to clean up sewage spills in approximately 100 dwellings for the City of Atlanta. As required by the contract executed with the City, the general contractor, Scott and Sons Holdings, LLC (Scott and Sons), obtained a $200,000 payment bond from its surety, First Seaford Surety, Inc. (First Seaford). J. Squared sought to collect on the payment bond when Scott and Sons failed to pay J. Squared for the work it performed on the project. However, First Seaford became insolvent. J. Squared subsequently filed a claim against Scott and Sons and the City to recover $140,000 for its work on the project. Read the court decision
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Reprinted courtesy of Chadd Reynolds, Autry, Hanrahan, Hall & Cook, LLP
Mr. Reynolds may be contacted at reynolds@ahclaw.com

New York Condominium Association Files Construction Defect Suit

December 10, 2015 — Beverley BevenFlorez-CDJ STAFF
According to The Real Deal, “The condominium association at 15 Union Square West has filed a $5 million lawsuit against developer Brack Capital Real Estate eight years after the building first launched sales, alleging that the firm did not deliver the quality of units it promised when residents originally signed their contracts.” Alleged problems include roof leaks, lack of terrace landscaping, and patchy electrical work, The Real Deal reported. A spokesperson for Brack stated, “We stand behind our product and are very proud of it.” Read the court decision
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Instant Hotel Tower, But Is It Safe?

March 28, 2012 — CDJ STAFF

Broad Sustainable Building has leapfrogged in China’s construction boom by building a thirty-story hotel in just fifteen days in the city of Changsha. According to an article in the Los Angeles Times, most of the building was prefabricated, but most prefabricated buildings require a longer time for assembly. Broad claimed that it cut no corners on safety. However, Zhang Li, a Beijing architect, told the Times that “incredible speed also means incredible risk.”

At the completion date, the interior was still partially finished. Some rooms were furnished, while others weren’t quite so ready. The hotel will be used to house clients who are visiting Broad and some of its employees.

Broad called their process “the most profound innovation in human history” and predicted that soon a third of new buildings worldwide would be constructed this way. The company anticipates using the same process to build taller buildings, with hopes of eventually constructing a 150-story building.

China is currently undergoing a building boom which Zhang attributed to a desire to catch up to the developed world. As a result of this boom, he noted that building inspections are often skipped in China to speed up building.

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Home-Building Climate Warms in U.S. as Weather Funk Lifts

May 20, 2015 — Sho Chandra and Steve Matthews – Bloomberg
The surge in April housing starts sends a clear signal that bad weather was the root cause of weak readings in the first quarter. The question now is whether the rebound is strong enough to lift the world’s largest economy. Builders broke ground on 1.14 million homes at an annualized rate last month, the most since November 2007 and up 20.2 percent from March, figures from the Commerce Department showed Tuesday in Washington. It was the single-biggest monthly surge since 1991, with both the Northeast and Midwest taking part, clearly showing milder temperatures had a hand. The rebound in home building is shaping up to be large enough to make a meaningful contribution to economic growth this quarter. Nonetheless, because residential construction accounts for less than 4 percent of the economy, it would take big gains to make up for what’s likely to be sustained weakness in manufacturing caused by slowing exports and cuts in business investment by the energy industry. Reprinted courtesy of Sho Chandra, Bloomberg and Steve Matthews, Bloomberg Read the court decision
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Should I Pull the Pin? Contractor and Subcontractor Termination for Cause

January 26, 2017 — Patrick McNamara - Porter Law Group
Any owner or general contractor who has a few projects under his or her belt has likely had this thought: “My contractor (or subcontractor) is not performing the way I expected; should I replace him?” The other side of the termination coin is: “This project is not going the way I expected; should I get out?” While there may be an emotional high that immediately comes from terminating a contractor or subcontractor (or leaving a project, in mid-stream), there are many factors to be weighed, before making that decision. Project Delay. Replacing a contractor or subcontractor that has already begun performance always results in delays to the project. Assessing the work in place, interviewing replacement contractors, and negotiating the terms of the new relationship can easily consume weeks, if not months of project time. Read the court decision
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Reprinted courtesy of Patrick McNamara, Porter Law Group
Mr. McNamara may be contacted at pmcnamara@porterlaw.com

Ortega Outbids Pros to Build $10 Billion Property Empire

March 19, 2014 — Jesse Drucker – Bloomberg
Amancio Ortega Gaona, already the world’s fourth-richest person based on the success of his Zara fashion retail stores, has quietly amassed a real estate empire worth as much as $10 billion and is emerging as a formidable competitor for prime properties from London to Beverly Hills. Relying on all-cash offers, he has outbid the world’s biggest institutional funds and professional property investors, such as Tishman Speyer Properties LP. “He’s at the very highest levels of high net worth investment and competing with some of the biggest sovereign wealth funds for the primest properties in the market,” said Joseph Kelly, director of market analysis for Real Capital Analytics in London, a real estate research firm. Read the court decision
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Reprinted courtesy of Jesse Drucker, Bloomberg
Mr. Drucker may be contacted at jdrucker4@bloomberg.net

Required Contract Provisions for Construction Contracts in California

October 08, 2014 — Garret Murai – California Construction Law Blog
One question I get fairly often when drafting or reviewing construction contracts is what provisions, if any, are required in construction contracts in California. This is, of course, different than what should be included in a construction contract which is a post for another day. So, here you go: Provisions Required in All Construction Contracts There’s only one requirement applicable to all construction contracts in California. And, that is, that you must include your California contractor’s license number if you are performing or bidding on work requiring a license. California Business and Professions Code section 7030.5 requires that licensed contractors include their license number in “(a) all construction contracts; (b) subcontracts and calls for bid; and (c) all forms advertising, as prescribed by the register of contractors, used by such person.” Read the court decision
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Reprinted courtesy of Garret Murai, Kronick Moskovitz Tiedemann & Girard
Mr. Murai may be contacted at gmurai@kmtg.com

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