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    Building Expert News and Information
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    Reasonableness of Liquidated Damages Determined at Time of Contract (or, You Can’t Look Back Again)

    Echoes of Shutdown in Delay of Key Building Metric

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    Chairman of the Senate Committee on Banking, Housing and Urban Affairs Calls for CFPB Investigation into Tenant Screening Businesses

    New York Court Discusses Evidentiary Standards for Policy Rescission Based on Material Misrepresentation

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    Incorporation, Indemnity and Statutes of Limitations, Oh My!

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    Don’t Kick the Claim Until the End of the Project: Timely Give Notice and Preserve Your Claims on Construction Projects

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    Developers Can Tap into DOE’s $400 Million for Remote and Rural Clean Energy Projects

    Suit Limitation Provision Upheld

    Collapse of Improperly Built Deck Not An Occurrence

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    Fairfield, Connecticut

    Business Interruption, Food Spoilage Claims Resulting from Off Premise Power Failure Denied

    June 02, 2016 —
    The insurer denied the insured restaurant's claim for food spoilage and loss of business income when a flood elsewhere caused a power outage. N. Spy Food Co., LLC v. Tower Nat'l. Ins., 2016 N.Y. Misc. LEXIS 1033 (N.Y. Sup. Ct. March 22, 2016). Tower denied the claim based on an investigation which revealed that the claims resulted from an off premises power failure. The utility company verified that the cause of the power failure was due to flood, a cause excluded under the policy. The food loss and business interruption, therefore, did not result from direct physical loss or damage by a covered cause, justifying the denial of the claim. Read the court decision
    Read the full story...
    Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
    Mr. Eyerly may be contacted at te@hawaiilawyer.com

    Starting July 1, 2020 General Contractors are “Employers” for All Workers on Their Jobsite

    June 08, 2020 —
    I have discussed the impactful legislation to the Virginia construction industry in prior posts here at Construction Law Musings. One of those statutes that will take effect on July 1, 2020 will fundamentally change the relationships between general contractors and their subcontractors and suppliers. Senate Bill 838 does the following on construction projects with a value of $500,000 or greater that are not single family residential construction projects:
    • Makes the general contractor, and all tiers of subcontractors on a particular project contractually liable to pay their subcontractors’ (at any tier) employees wages.
    • Requires that the payments are equal or exceed those required by other statutes.
    • Deems contractors to be the employers of their subcontractors’ employees for purposes of Va. Code Section 40.1-29 that imposes criminal and civil penalties for failure to pay wages when due, and
    • Grants employees a private right of action for any violations, including the right to a class or joint action, award of liquidated damages, reasonable attorney fees and possible treble damages for “knowing” violations by the contractor.
    Read the court decision
    Read the full story...
    Reprinted courtesy of The Law Office of Christopher G. Hill
    Mr. Hill may be contacted at chrisghill@constructionlawva.com

    Nomos LLP Partner Garret Murai Recognized by Best Lawyers®

    September 18, 2023 —
    Nomos LLP Partner Garret Murai has been recognized by Best Lawyers® in its 30th edition of The Best Lawyers in America® in the area of Construction Law for 2024. This is the the first year Garret has been recognized by Best Lawyers®. Reprinted courtesy of Garret Murai, Nomos LLP Mr. Murai may be contacted at gmurai@nomosllp.com Read the full story... Read the court decision
    Read the full story...
    Reprinted courtesy of

    Monitoring Building Moisture with RFID – Interview with Jarmo Tuppurainen

    February 22, 2018 —
    I met Jarmo, the Technology Manager at Helsinki Metropolia University of Applied Sciences, at the leading event for housing markets in Helsinki (Asuntomarkkinat). He and his team had set up an impressive display of devices and structures in the KIRA-digi showroom. Read the court decision
    Read the full story...
    Reprinted courtesy of Aarni Heiskanen, aec business
    Mr. Heiskanen may be contacted at aec-business@aepartners.fi

    Delaware Supreme Court Choice of Law Ruling Vacates a $13.7 Million Verdict Against Travelers

    August 07, 2018 —
    On July 16, 2018, the Delaware Supreme Court held in Travelers Indemnity Company v. CNH Industrial America, LLC, No. 420, 2017 (Del. Jul. 16, 2018), that a court’s choice of law inquiry in an insurance coverage dispute should focus on the contacts most relevant to the insurance contract rather than the location of the underlying claims. In Travelers, CNH Industrial America, LLC (CNH), sought coverage for asbestos liabilities associated with J.I. Case, Inc., a subsidiary it had acquired, under policies issued to J.I. Case and its former parent company, Tenneco, Inc. The issue before the Delaware Supreme Court was whether the anti-assignment clause in three Travelers policies issued to Tenneco, Inc. precluded the assignment of the policies to CNH. The validity of the assignment turned on which state’s law governed the dispute. (Under Wisconsin law, the parties agreed that the assignment was valid, while under Texas law, the parties agreed the assignment was invalid.) Reprinted courtesy of Gregory Capps, White and Williams LLP and Zachery Roth, White and Williams LLP Mr. Capps may be contacted at cappsg@whiteandwilliams.com Mr. Roth may be contacted at rothz@whiteandwilliams.com Read the court decision
    Read the full story...
    Reprinted courtesy of

    Bond Principal Necessary on a Mechanic’s Lien Claim

    October 23, 2018 —
    As anyone that reads this construction law blog knows, mechanic’s liens are a big part of the Virginia landscape for a construction attorney like me. One option for dealing with a mechanic’s lien here in Virginia that we have not discussed but so often is the ability to “bond off” a lien. In short, the Virginia statute allows a party to essentially substitute a bond valued at a court set multiple of the principal amount of the mechanic’s lien for the memorandum. In exchange, the lien is released of record. Any enforcement action can still proceed with security for the claimant and the property owner feeling better about things because there will be no lien on the title to the land. In many ways this process provides an easier path to resolution for both owner and claimant. First of all, the claimant does not have to deal with a bank or other interest holders in the property (though a recent case discussed below reminds us that certain other parties are necessary). Second of all, the owner does not have the cloud on the title of a mechanic’s lien that may have been filed by a subcontractor over which he has no control. Read the court decision
    Read the full story...
    Reprinted courtesy of Christopher G. Hill, The Law Office of Christopher G. Hill
    Mr. Hill may be contacted at chrisghill@constructionlawva.com

    Anti-Concurrent, Anti-Sequential Causation Clause Precludes Coverage

    February 26, 2015 —
    Where the building was damaged by both a covered cause and a non-covered cause, the policy's anti-concurrent/anti-sequential causation clause barred coverage for a collapsed building. Ashrit Realty LLC v. Tower Nat'l Ins. Co., 2015 N.J. Super. Unpub. LEXIS 107 (N.J. Super. Ct. App. Div. Jan. 20, 2015). The property sustained moderate damage during a storm on August 14, 2011. More extensive damage was caused by Hurricane Irene two weeks later. After the hurricane, a large hole formed due to the collapse of a pipe which ran underneath the property. Once the pipe collapsed, leaking water caused substantial soil erosion, which led to the collapse of the rear portion of the building. Read the court decision
    Read the full story...
    Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
    Mr. Eyerly may be contacted at te@hawaiilawyer.com

    United States Supreme Court Limits Class Arbitration

    May 13, 2019 —
    On April 24, 2019, the United States Supreme Court held that the Federal Arbitration Act ("FAA") bars orders requiring class arbitration when an agreement is ambiguous about the availability of such a procedure. Lamps Plus v. Varela, 587 U.S. __ , 2019 WL 1780275, (2019). In Lamps Plus, the Court clarified a 2010 case in which it held that a court may not compel arbitration on a class-wide basis when an agreement is silent on the availability of class arbitration. Stolt-Nielsen S.A. v. Animal Feeds Int'l Corp., 559 U.S. 662, 687 (2012). In Lamps Plus, a 5-4 decision authored by Chief Justice Roberts, the Court explained that because the FAA envisions the use of traditional individualized arbitration, a party cannot be forced under the FAA to submit to class arbitration unless the parties explicitly agreed to do so. Because class arbitration does not share the benefits of traditional arbitration -- lower costs, greater efficiency and speed, and the parties' choice of a neutral -- the FAA requires more than an "ambiguous" agreement to show that the parties bound themselves to arbitrate on a class-wide basis. Unlike individualized arbitration, or even traditional class actions, class arbitration raises serious due process concerns because absent class members will have limited judicial review. Based on these critical differences between individual and class arbitration, the Court reiterated in Lamps Plus that "courts may not infer consent to participate in class arbitration absent an affirmative contractual basis for concluding that the party agreed to do so." Reprinted courtesy of Jeffrey K. Brown, Payne & Fears and Raymond J. Nhan, Payne & Fears Mr. Brown may be contacted at jkb@paynefears.com Mr. Nhan may be contacted at rjn@paynefears.com Read the court decision
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    Reprinted courtesy of