Wheaton to Require Sprinklers in New Homes
November 06, 2013 —
CDJ STAFFThe town of Wheaton, Illinois is considering a change to its building codes, based on the recommendations made in the 2012 building code, released by the International Code Council. Eighty-two towns in Illinois already require new homes to have fire sprinklers. Wheaton did not adopt any changes from the 2006 or 2009 building code; they are currently using the standards of the 2003 edition.
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No Duty to Defend Construction Defect Claims under Kentucky Law
March 25, 2024 —
Tred R. Eyerly - Insurance Law HawaiiThe federal district court determined that the insurer was not obligated to defend construction defect claims under Kentucky law. Westfield Ins. Co. v. Kentuckiana Commercial Concrete, LLC, 2023 U.S. Dist. LEXIS 222674 (W.D. Ky. Dec. 14, 2023).
HRB, the owner of an apartment complex, filed an arbitration demand against the general contractor, Doster Commercial Construction, for allegedly doing faulty concrete work in the construction of the apartments. Doster added its concrete subcontrator Kentuckiana Commercial Concrete - and 16 other subcontractors - to the arbitration. Kentuckiana tendered the claim to its insurer, Westfield. Wesfield defended. Doster claimed it was an additional insured under the Westfield policy and also sought coverage. Westfield refused the defend Doster. Westfield argued there was no "occurrence."
Westfield then sued both Doster and Kentuckiana in federal court, seeking a declaration that it had no duty to defend either. Westfield moved for a judgment on the pleadings.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Eleventh Circuit’s Noteworthy Discussion on Bad Faith Insurance Claims
November 01, 2021 —
David Adelstein - Florida Construction Legal UpdatesThe Eleventh Circuit Court of Appeal’s opinion in Pelaez v. Government Employees Insurance Company, 2021 WL 4258821 (11th Cir. 2021) is a non-construction case that discusses the standard for pursuing a bad faith claim against an insurer. This case dealt with an automobile accident. While the facts of the case are interesting and will be discussed, the takeaway is the Eleventh Circuit’s noteworthy discussion on the standard for bad faith claims and how they should be evaluated. This discussion is included below–with citations–because while the term “bad faith” is oftentimes thrown around when it comes to insurance carriers, there is indeed an evaluative standard that is applied to determine whether an insurance carrier acted in bad faith.
In Pelaez, a high school student driving a car crashed with a motorcycle. The motorcycle driver was seriously injured and airlifted to the hospital. The accident was reported to the automobile liability insurer of the driver of the car. The insurer through its investigation initially believed the motorcycle driver was contributory negligent. Eleven days after the crash, after learning additional information, the insurer tendered its bodily injury policy limits of $50,00 to the motorcycle driver even though it never received a settlement demand. The insurer sent a tender package to the motorcycle driver’s lawyer that included a $50,000 check for the bodily injury claim and a proposed release. The accompanying letter told the attorney to contact the insurer with any questions about the release and to edit the proposed release with suggested changes. The insurer also wanted to inspect the motorcycle in furtherance of adjusting the property damage claim which also had a policy limit of $50,000. A location of where the motorcycle could be inspected was never provided.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Risk Spotter Searches Internal Data Lakes For Loaded Words
October 11, 2017 —
Tom Sawyer - Engineering News-RecordA tech start-up recently announced that it has been granted seven U.S. patents for a system that applies a “deep learning” algorithm to examine corporate e-mail databases and flag those with message fields or attachments containing language that might increase risk for a company involved in a federal discrimination lawsuit.
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Tom Sawyer, ENRMr. Sawyer may be contacted at
sawyert@enr.com
#4 CDJ Topic: Vita Planning and Landscape Architecture, Inc. v. HKS Architects, Inc.
December 30, 2015 —
Beverley BevenFlorez-CDJ STAFFIn the above mentioned case, a Texas architectural firm (HKS Architects, Inc.) hired a California design firm (Vita Planning and Landscape Architecture, Inc.) as a sub-consultant, according to
Garret Murai of
Wendel Rosen Black & Dean LLP in a post on his
California Construction Law Blog. After Vita filed a complaint in California against HKS, HKS filed a motion to dismiss on the grounds that the landscape design contract included a “Texas forum selection clause.” The court found in favor of Vita, stating that “section 410.42 precludes enforcement of the forum selection clause requiring Vita to litigate its dispute against HKS in Texas.”
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In their article, “Court of Appeal Opens Pandora’s Box on Definition of ‘Contractor’ for Forum Selection Clauses,”
Haight Brown & Bonesteel LLP attorneys
Abigail E. Lighthart and
David A. Harris also analyzed the Vita case: “The Vita ruling expands the protections by Section 410.42 beyond traditional ‘builders’ to design professionals and architects who do not actually ‘build’ a project. What remains to be seen is whether other courts will take the expansion to cover other groups that are in any way involved in a construction project.”
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Lien Law Change in Idaho
December 05, 2022 —
Grace Maldonado - Gordon & Rees Construction Law BlogJuly 1, 2022, the Idaho Legislature’s amendments to I.C. 45-507 came into effect. This statute regulates the steps and requirements to sustain a valid mechanics and materialmen lien. There were three changes to the statute: (1) clarification as to who may personally serve a notice of lien; (2) additional contents that must be included in a lien claim; and (3) authorization for attorney fees.
Prior to the amendments, any person could, on behalf of the entity (contractor) seeking to establish a lien, personally serve the owner of the property with a claim of lien. Now, for personal service to be considered effective, the owner or reputed owner must be personally served by an officer “authorized by law” to serve process. Essentially, a process server needs to be employed for personal service. A contractor may still serve an owner via certified mail
The second change relates to required disclosures. Now, in order to have a valid lien, a contractor must attach a copy of the required disclosures and acknowledgement of receipt of said disclosures with the claim of lien. If the claim does not contain the required documents, it will be considered invalid. This is an important change, because even if the contractor provides all required documents to the owner if there is no copy of the documents attached to the claim of lien the contractor will lose their lien rights – assuming the deficiency is not corrected prior to the statute of limitations running.
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Grace Maldonado, Gordon Rees Scully MansukhaniMs. Maldonado may be contacted at
gmaldonado@grsm.com
7 Areas where Technology is Shifting the Construction Business
November 21, 2018 —
Eric Weisbrot – JW Surety BondsThe digital transformation of the last two decades has taken hold of the business environment in a powerful way. Companies in nearly all sectors are experiencing a significant shift in the way business is done, with a heavy focus on improved productivity, increase profitability, and enhanced product and service offerings. The construction industry has been historically slow to update its processes and business models in-line with other industries, but technology is currently making its long-awaited appearance in the sector. Construction professionals can embrace these new solutions to run more efficient businesses and keep a closer eye on profitability by reducing
common costs over time.
These are the seven major areas where technology is changing construction.
1 - Business Management
One of the most apparent shifts taking place in the construction industry thanks to technology is the advancement of business processes and systems behind the scenes. Construction managers and job site owners have countless
digital tools at their fingertips to help with managing all aspects of the business. This includes more efficient ways to manage material use and equipment inventory, logging subcontractor hours and pay, and maintaining reporting requirements from regulatory perspectives. Many software solutions integrate with older, legacy systems, making this change an easy one for construction businesses across the board.
2 – Jobsite Productivity
Another area of transformation in construction is productivity on each job site. Technology has offered job owners and general contractors more efficient methods to keep track of project timelines as well as subcontractor progress from start to finish. The technology advancements in this arena come in the form of wearable devices that track work performed, as well as mobile devices that help keep the often mundane tasks necessary for a project’s success up to date and completed on time.
3 – Worker Safety
Although wearables are being utilized in several different ways in the construction business, these devices are making a significant difference in the safety of workers. From smart helmets to digitally enhanced eyewear, workers are alerted to potential hazards on the job that they otherwise could not identify. Similarly, augmented and virtual reality solutions are being used to train workers before they arrive at a job, preparing them for safety concerns well in advance. Even though most licensed and
bonded construction workers have appropriate training throughout their careers, the addition of these resources has the ability to further reduce the risks often associated with construction work.
4 – Surveying and Monitoring
Unmanned aerial vehicles, also known as
drones, are being used throughout construction. These digital tools are equipped with cameras to offer a bird’s eye view of a construction site to help with surveying and identifying potential hazards for workers. Drones also help with inspections throughout a project’s progression, offering some reduction in cost and improving efficiencies.
5 – Improved Materials
Technology is also playing a role in the materials used on job sites. The addition of 3D printing has proven beneficial for construction companies, as concrete composites, plastics, and other materials are being printed and used to create structures on-site. This offers a more cost-effective and accurate way to complete a project.
6 – Self-operating Equipment
Some technology firms are making waves in the construction industry because they are currently developing and implementing
autonomous equipment solutions. Heavy machinery, like excavators, bricklayers, and bulldozers, are already being used on construction sites to help ease the burden of the labor shortage in the industry. While these machines are not yet mainstream, the benefits they offer mean they are likely to become a staple in construction in the years to come.
7 – Big Data
Finally, technology is shifting the construction business by way of big data analytics. With the detailed information from new software solutions, wearable tech, and drones, construction site managers have more data than they have ever had. This influx of information offers a way to analyze job site progress, budgets, timelines, and efficiency for companies large and small.
Author:
Eric Weisbrot is the Chief Marketing Officer of
JW Surety Bonds. With years of experience in the surety industry under several different roles within the company, he is also a contributing author to the surety bond blog.
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Japan Quake Triggers Landslides, Knocks Power Plant Offline
September 10, 2018 —
Jeff Rubenstone - Engineering News-RecordA magnitude 6.7 earthquake occurred on the northern Japanese island of Hokkaido on Sept. 6, leaving at least seven dead and damaging buildings and structures in the region, including a 1,650MW coal-fired thermal power plant that was taken offline.
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Jeff Rubenstone, ENRMr. Rubenstone may be contacted at
rubenstonej@enr.com