Fairfield Connecticut Building Expert Directory

Construction Litigation Roundup: “Who Needs Them”

August 28, 2023 — Daniel Lund III - Lexology
Who needs them? So argued a surety pursuing recovery under its general agreement of indemnity when the indemnitors urged a Louisiana federal court to dismiss the surety’s complaint for failure to join various allegedly required parties as defendants in the litigation. As part of its court action, the surety moved for preliminary injunction to enforce its collateral security rights. In response thereto, the indemnitors informed the court that if the injunction were to be granted, the indemnitors would “be forced to sell assets that are encumbered by security interests senior to those held by” the surety. In connection therewith, the indemnitors demanded that the other creditors be joined in the action or the lawsuit dismissed. The indemnitors also urged that the public project owner be joined as a party because the surety was seeking proceeds from the project that were still in the possession of the project owner. Read the court decision
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Reprinted courtesy of Daniel Lund III, Phelps
Mr. Lund may be contacted at daniel.lund@phelps.com

Deadly Fire in Older Hawaii High-Rise Causes Sprinkler Law Discussion

July 19, 2017 — David Suggs – Bert L. Howe & Associates, Inc.
Last Friday, at least three people died and twelve were injured during a fire at a Honolulu high-rise that did not have sprinklers, according to CBS News. The fire began on the 26th floor and spread to at least the 28th floor and several units, the Honolulu Fire Department spokesman, Captain David Jenkins, stated. “Without a doubt if there were sprinklers in this apartment, the fire would be contained to the unit of origin,” Captain Jenkins concluded, as reported by CBS News. The Marco Polo development “was built four years before Honolulu required fire sprinkler systems in new residential high-rises,” the LA Times reported. “In 2005, the Honolulu City Council created a task force to estimate the cost of retrofitting and installing fire sprinkler systems in about 300 residential condominium buildings. A report estimated that retrofitting the Marco Polo would cost $4,305.55 for each unit.” A separate report estimated the cost would be $4.5 million to retrofit the entire building. According to Samuel Dannway, chief fire protection engineer for Coffman Engineers in Honoloulu, stated that the owners “lobbied strongly against any retrofitting” due to cost. Retrofitting sprinklers is more challenging in residential high-rises than office buildings, Glenn Corbett, associate professor of fire science at John Jay College of Criminal Justice in New York told the LA Times. “Wall after wall, you have to penetrate with piping, and that means moving people around in apartments,” Corbett said. “They can’t live there while workers are drilling holes in their walls.” Mayor Kirk Caldwell stated that Honolulu “needs to look at passing a new law requiring sprinklers in older high-rises.” Read the full story, CBS News... Read the full story, LA Times... Read the court decision
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Review the Terms and Conditions of Purchase Orders- They Could be Important!

February 15, 2018 — Christopher G. Hill – Construction Law Musings
There are many moving parts on a commercial construction project. These range from site surveys to weather events to ordering materials. On most large construction projects, the prime contract and subcontracts are generally drafted ahead of time and hopefully reviewed by both in house personnel and an experienced construction attorney. However, there are situations, particularly where the contract may be one for service or provision of materials where individual purchase orders are issued as opposed to what would likely be looked at as a long form subcontract. Read the court decision
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Reprinted courtesy of Christopher G. Hill, The Law Office of Christopher G. Hill, PC

Texas Construction Firm Officials Sentenced in Contract-Fraud Case

August 07, 2018 — Tom Ichniowski – Engineering News-Record
Two top officials of a Texas construction company—Honest, Experienced, Reliable Contracting Solutions LLC—have been sentenced to federal prison terms for defrauding the State Dept. through a plan to steer more than $1 million in contracts to the company, the Dept. of Justice says. Read the court decision
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Reprinted courtesy of Tom Ichniowski, ENR
Mr. Ichniowski may be contacted at ichniowskit@enr.com

The Most Expensive Apartment Listings in New York That Are Not in Manhattan

August 26, 2015 — James Tarmy & Oshrat Carmiel – Bloomberg
Apartments for very wealthy New Yorkers have remained mostly within the city’s smallest borough. Until now. The record price for a Brooklyn home broke the $15 million threshold this summer, and by now it’s widely accepted that New York’s outer boroughs are not much of a bargain, growing further out of reach for the aspiring homeowner. The rush of new construction in gentrifying neighborhoods has pushed up the price of land, and that’s caused construction costs to rise, too. Eventually, to make a profit, developers have to build luxury buildings, according to Jonathan Miller, the president of New York appraiser Miller Samuel. “We have this perfect storm,” he says. “Everybody gets the same idea at the same time, so materials and labor are at a premium. Throw in the high price of land at each locale, and you’ve got to build a luxury product.” Reprinted courtesy of James Tarmy, Bloomberg and Oshrat Carmiel, Bloomberg Read the court decision
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Florida Condo Collapse Shows Town’s Rich, Middle-Class Divide

August 04, 2021 — The Associated Press (Terry Spencer & Freida Frisaro) - Bloomberg
The condo tower collapse in Surfside could exacerbate the division that already exists between the tiny Florida town’s new luxury buildings built for the global elite and those constructed decades ago for the middle class. It is already creating headaches for some small businesses. The town has seen the construction of numerous new condos in recent years, where large oceanfront units exceeding 3,000 square feet (280 square meters) with modern amenities can fetch $10 million and up. Meanwhile, small units of 800 square feet (75 square meters) in neighboring condo buildings constructed decades ago can be had for $400,000. Ana Bozovic, a South Florida real estate broker, said the June 24 collapse of the 40-year-old, middle-class Champlain Towers South will exacerbate this division. At least 46 people were killed and more than 90 remain missing. Read the court decision
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Reprinted courtesy of Bloomberg

Coloradoans Deserve More Than Hyperbole and Rhetoric from Plaintiffs’ Attorneys; We Deserve Attainable Housing

January 09, 2015 — David M. McLain – Colorado Construction Litigation
As the 2015 Colorado legislative session gets underway, the media attention and discussion regarding the lack of attainable housing, skyrocketing rental rates, and the ongoing state and local efforts to reverse these trends have risen to a dull roar. The hyperbole and rhetoric from those who would oppose any reforms has risen to cacophonous levels. Among the most often quoted talking points from the opposition are that any changes to Colorado’s existing laws would strip homeowners of their right to seek redress for construction defects and that they would virtually insulate construction professionals from such claims. The long and the short of it is that if this year’s legislation looks anything like SB 220 from last year, nothing could be further from the truth. The two main provisions from SB 220 were: 1) protection of a construction professional’s ability to resolve construction defect claims through arbitration; and 2) requirement of informed consent of more than 50% of the owners within a common interest community before a construction defect action could begin. Neither of these changes would strip homeowners of any rights and they certainly would not insulate construction professionals from construction defect actions. Read the court decision
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Reprinted courtesy of David M. McLain, Higgins, Hopkins, McLain & Roswell, LLC
Mr. McLain may be contacted at mclain@hhmrlaw.com

Join: Computer Science Meets Construction

August 20, 2018 — Aarni Heiskanen - AEC Business
Increasingly, projects need to be optimized to create the most value for their clients and users. With the fragmented nature of project teams, decisions can be lost, communication sporadic, and information disjointed. In addition, the rapid pace of innovation means that it’s difficult – if not impossible – for architects and engineers to be aware of all the latest construction products and materials. It is these problems that inspired the creation of Join. Join is a smart platform that helps project teams collaborate more efficiently and effectively, whether as part of a project optimization process or throughout the entire project lifecycle. The platform connects construction teams, pulls together different types of project information, and integrates manufacturing into construction. Read the court decision
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Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

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