Cambridge Massachusetts Building Expert Directory

Real Estate & Construction News Round-Up (01/11/23) – Construction Tech, Housing Market Confidence, and Decarbonization

February 01, 2023 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
To kick of 2023, this week’s news round-up dives into contech inventions projected to impact the industry, shifting home prices and buyer confidence, investors prioritizing decarbonization efforts, and more.

From holograms to robots, these 6 contech innovations are projected to tackle some of construction’s toughest issues. (Robyn Griggs Lawrence, Construction Dive)
Manufacturing and data center projects will support the U.S. construction industry as work begins to slow on retail projects, warehouses and offices. (Sebastian Obando, Construction Dive)
Despite macroeconomic headwinds, doubling down on decarbonization efforts is projected to be top-of-mind for investors and occupiers in 2023. (JLL)

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Reprinted courtesy of Pillsbury's Construction & Real Estate Law Team

Mandatory Attorneys’ Fee Award for Actions Brought Under the Underground Utility Damage Prevention Act

September 22, 2016 — Lindsay K. Taft – Ahlers & Cressman PLLC
In Washington, RCW 19.122 (the Underground Utility Damage Prevention Act or “Call Before You Dig” statute) provides for the protection of underground utilities. The statute was recently updated in 2013 and provides that homeowners and contractors must call “811” to schedule a “utility locate” prior to commencing any excavation. Failure to do so can result in steep penalties, as well as a mandatory fee award for the prevailing party. Read the court decision
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Reprinted courtesy of Lindsay K. Taft, Ahlers & Cressman PLLC
Ms. Taft may be contacted at ltaft@ac-lawyers.com

California Court of Appeal Adopts Horizontal Exhaustion Rule

June 28, 2013 — Tred Eyerly, Insurance Law Hawaii
In a long running suit regarding thousands of asbestos bodily injury claims brought against Kaiser Cement and Gypsum Corporation, the California appellate court held that the excess carrier's indemnity obligation did not attach until all collectible primary policies were exhausted. Kaiser Cement and Gypsum Corp. v. Ins. Co. of the State of Pennsylvania, 215 Cal. App.4th 210 (Cal. Ct. App. April 8, 2013). Kaiser manufactured a variety of asbestos-containing products from 1944 through the 1970's. Truck Insurance Company provided primary insurance to Kaiser from 1964 to 1983, through four CGL policies covering 19 annual policy periods. The policy in effect from 1974 to 1981 contained a $500,000 "per occurrence" liability limit. Kaiser was insured by three other primary carriers between 1947 and 1987. ICSOP issued a first layer excess policy to Kaiser from 1974 through 1976. Kaiser tendered numerous claims for bodily injury to Truck. By October 2004, Truck's indemnity payments exceeded $50 million and included at least 39 claims that resulted in payments in excess of $500,000. For claims alleging bodily injury in 1974, Kaiser selected Truck's 1974 policy to respond to each of the claims. Read the court decision
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Reprinted courtesy of Tred Eyerly
Tred Eyerly can be contacted at te@hawaiilawyer.com

Pandemic-Related Construction Materials Pricing Poses Challenges in Construction Lawsuits

September 20, 2021 — Nick Stewart - Construction Executive
During the global pandemic the construction industry saw unprecedented inflation in the cost of building supplies as a result of a myriad of issues. On May 7, 2021, lumber prices hit a record high at $1,670.50 per thousand board feet. This was more than six times their pandemic low in April 2020. This significant price spike was related to closure of sawmills during the height of the pandemic, low supply, soaring demand to expand existing homes or purchase new construction, the western U.S. wildfires and tariffs. More recently, lumber prices have fallen but they are still up nearly 100% from spring 2020. Some experts believe that the recent wildfires in the western United States and upcoming hurricane season will cause prices to jump back up in the upcoming months. Additionally, since March 2020, steel prices are up roughly 200%. The increase in steel prices is a result of many of the same factors causing lumber pricing spikes. Many steel mills shut down production or drastically reduced production during the early days of the pandemic expecting a deep recession and/or to comply with restrictive government mandates. Despite these industry expectations, demand for steel -elated products like grills and home appliances soared. These household demands for steel-based products impacted the price of steel for construction projects. Prior to the pandemic, hot-rolled steel traded between $500 and 800 per ton but hit an all-time high of $1,825 per ton in early July 2021. Reprinted courtesy of Nick Stewart, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Mr. Stewart may be contacted at nstewart@turnerpadget.com

No Coverage Under Exclusions For Wind and Water Damage

March 30, 2016 — Tred R. Eyerly – Insurance Law Hawaii
The Mississippi Supreme Court affirmed the granting of summary judgment to the insurer that there was no coverage under the all risk policy for loss caused by wind and water. Porter v. Grand Casino of Miss., Inc., 2016 Miss. LEXIS 3 (Miss. Jan. 7, 2016). Cherri Porter's home was destroyed during Hurricane Katrina. The destruction occurred when the barge operated by Grand Casino of Mississippi came loose from its moorings and collided with her home. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Outcry Over Peru’s Vast Graft Probe Prompts Top Lawyer to Quit

January 15, 2019 — John Quigley - Bloomberg
Peru’s Attorney General Pedro Chavarry quit his post amid allegations he sought to sabotage a plea deal with a major construction company and derail the country’s biggest corruption probe. The board of supreme prosecutors accepted his resignation Tuesday and appointed Zoraida Avalos as his replacement, according to a post on the account of the attorney general’s office. Chavarry will continue to sit on the five-member board. Read the court decision
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Reprinted courtesy of John Quigley, Bloomberg

Firm Offers Tips on Construction Defects in Colorado

February 28, 2013 — CDJ STAFF
Although the Tenth Circuit Court determined that construction defects are occurrences under a general liability policy and the passage of CRS Section 13-20-808, in which the Colorado Legislature addressed the definition of occurrences as they relate to construction defects, the insurance industry “will continue to challenge the very concept of coverage for construction defects,” according to five attorneys at the law firm Sherman & Howard. They suggest that there are lessons to be learned from two recent cases that were recently decided by the Colorado Court of Appeals, TCD, Inc. v. American Family and Colorado Pool Systems, Inc. v. Scottsdale Insurance Company. They suggest that construction professionals to be certain that their insurers are “firmly rooted in insuring the construction industry.” Their broker should also have “specific expertise in insuring the construction industry.” And don’t buy on price alone. Finally, they suggest that construction professionals should “engage an experienced coverage attorney to assess pursuing coverage when an insurance company denies coverage for a construction defect claim.” Read the court decision
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Disputes Over Arbitrator Qualifications: The Northern District of California Offers Some Guidance

August 10, 2021 — Justin K. Fortescue - White and Williams
The selection of an arbitration panel can often lead to disputes between the parties regarding things like whether a particular candidate is qualified, whether a challenge to an arbitrator’s qualifications can be addressed pre-award and whether a party that names an unqualified arbitrator should lose the opportunity to name a replacement. In Public Risk Innovations v. Amtrust Financial Services, No. 21-cv-03573, 2021 U.S. Dist. LEXIS 129464 (N.D. Ca. July 12, 2021), the court provided answers on all three of these issues. In Amtrust, the parties filed cross-motions to compel arbitration. Although both parties agreed the dispute was arbitrable, they disagreed about whether Public Risk Innovations, Solutions and Management’s (PRISM) arbitrator was qualified under the terms of the applicable contract. In seeking to have PRISM’s arbitrator disqualified, Amtrust argued that he: (1) was not a “current or former official of an insurance or reinsurance company”; and (2) was not “disinterested.” Amtrust also argued that because PRISM named an unqualified arbitrator (and presumably the time to appoint had passed), PRISM should be deemed to have failed to select an arbitrator as required by the contract and that Amtrust had the right to select a second arbitrator of its choice. Read the court decision
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Reprinted courtesy of Justin K. Fortescue, White and Williams
Mr. Fortescue may be contacted at fortescuej@whiteandwilliams.com

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