Fairfield Connecticut Building Expert Directory

Missouri Legislature Passes Bill to Drastically Change Missouri’s “Consent Judgment” Statute

August 10, 2021 — Jason Taylor - Traub Lieberman Insurance Law Blog
On June 29, 2021, Missouri Governor Mike Parson signed SB-HB 345 into law, which will drastically change Section 537.065 of the Missouri Revised Statutes. Section 537.065 provides an insured who has been denied insurance coverage a statutory mechanism to settle certain tort claims through an agreement akin to a consent judgment. Typically referred to as a “065 Agreement,” the statute allows a plaintiff and insured-tortfeasor to settle a claim for damages and specify which assets are available to satisfy the claim, typically the tortfeasor’s available insurance policy. In the past, such agreements were often accomplished without the insurer’s participation or even its knowledge. Under such agreements, the insured-tortfeasor assigns all rights to the insurance policy to the plaintiff and agrees not to contest the issues of liability or damages. In exchange the plaintiff agrees not to execute any judgment against the insured. The parties conduct what amounts to an uncontested and often “sham” trial resulting in a judgment far in excess of any actual damages or applicable policy limits had the case been contested. In a subsequent proceeding to collect on the judgment, the tortfeasor’s insurer is bound by the determinations of liability and damages made in the underlying action. This statutory framework presented plenty of opportunities for abuse. In 2017, the statute was amended in order to address some of those issues, including a requirement that the insured provide notice of a settlement demand under Section 065 and providing insurers a limited right to intervene in the tort action before liability and damages have been determined. Ostensibly, the intent of the 2017 amendments was to reduce the number of large and uncontested judgments and allow the insurance carrier an opportunity to continue litigating the injured party’s claim where the insured has no incentive or is contractually prohibited from doing so. Yet, creative plaintiff’s attorneys found several “loopholes” around these changes, most prominently, by moving their disputes from state court to binding arbitration and dispensing with notice to the insurer altogether, or at least until after the arbitration has concluded. Read the court decision
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Reprinted courtesy of Jason Taylor, Traub Lieberman
Mr. Taylor may be contacted at jtaylor@tlsslaw.com

Eight Ways to Protect a Construction Company Before a Claim Is Filed

November 04, 2019 — Mary Bacon - Construction Executive
Claims are inevitable in the construction industry. They can take on a life of their own and come with the burden of legal fees, wasted executive time and a possible judgment. Too often the only winners are the lawyers. TIPS FOR PROTECTING MANAGEMENT AND THE BUSINESS BEFORE A CLAIM IS FILED

Respect the business entity’s corporate structure. First and most importantly, respect the business entity’s corporate form. Legal entities have certain formalities like filing an annual list of officers, maintaining separate bank accounts, conducting certain meetings and following bylaws, etc. Respect these formalities. Failure to follow them exposes the owner to personal liability for company debts. And while a business claim has the potential to wipe out a business, owners should not risk having their personal assets on the line as well.
Get a good contract. In most instances, a contract governs what happens and who is responsible for payment associated when a certain issue or dispute arises. A clear, well-written contract can often avoid a dispute or liability for a dispute. Actively participate in the contract negotiation and drafting process to make sure each party’s role and responsibilities are clearly accounted for.
Make friends with clients. While it is true that “business is business,” people are often fairer and more willing to work towards a solution for people they are friends with. In most cases, friends will help friends in ways that people would not help mere business associates. When encountering a problem on a job, a friend may be willing to help achieve a more favorable outcome.

Reprinted courtesy of Mary Bacon, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Ms. Bacon may be contacted at mbacon@spencerfane.com

When is a Contract not a Contract?

January 21, 2019 — Christopher G. Hill - Construction Law Musings
As I’ve stated numerous times here at Musings, in Virginia the contract is king. The courts of Virginia will read a contract as written and where there is a contract (read as foreshadowing), the courts will assume the parties knew what they were doing and enforce it by its terms. However, there has to be a contract in the first place. When can something look like a contract but still not be a contract? When there isn’t mutual assent according to the case of Knox Energy, LLC v. Gasco Drilling, Inc. In the Knox case, along with a ruling on discovery abuse that is a topic of other blogs, considered a jury instruction on mutual assent given by the district court in a case where Knox contended that it inadvertently sent an unexecuted drilling contract form to Gasco and then inadvertently executed it when Gasco returned it. While this would not normally cause this series of events to be a non-contract, Knox also contended that Gasco knew that Knox had no intention to enter into the drilling contract and that Gasco jumped at the deal. Read the court decision
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

The Future of High-Rise is Localized and Responsive

August 26, 2019 — Aarni Heiskanen - AEC Business
By 2050, 70 percent of world’s population of almost 10 billion people will live in urban areas. The presenters at the High Rise – Northern Exposure seminar envisioned how high-rise construction will meet the requirements of urbanization, and what technologies have to offer to builders and users today. A line-up of high-rise specialists shared their insights with a keen audience in Otaniemi, Finland, on June 25, 2019. The conference was a co-operation between The Glass Performance Days (GPD) 2019, Aalto University, and the Glass Innovation Institute. Peter Smithson of BG&E Facades and Kimmo Lintula of Aalto University co-hosted the event. After welcoming words from Jorma Vitkala, the chairman of GDP, the first four presentations were by architects; one from the USA, two from Finland, and one from Australia. 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

New York Philharmonic Will Open Geffen Hall Two Years Ahead of Schedule

April 11, 2022 — James Tarmy - Bloomberg
After decades of setbacks, the New York Philharmonic will finally perform in a gut-renovated concert hall in October. “The key is—two years early—on budget and on schedule,” says a triumphant Deborah Borda, the president and chief executive officer of the New York Philharmonic, standing under a scaffold in what will be the completely revamped concert hall. A happy ending was by no means guaranteed. The venue, set at New York’s Lincoln Center, had problems almost as soon as its doors opened in 1962. Concertgoers and performers complained that the sound was muddy and deadening. Read the court decision
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Reprinted courtesy of James Tarmy, Bloomberg

Greystone on Remand Denies Insurer's Motion for Summary Judgment To Bar Coverage For Construction Defects

June 28, 2013 — Tred Eyerly
A prior post here discussed the Tenth Circuit's decision in Greystone Constr., Inc. v. National Union Fire & Marine Ins. Co., 661 F. 3d 1272 (10th Cir. 2011). The court found a duty to defend construction defect claims where damage caused by the faulty workmanship was unintentional. The Tenth Circuit remanded for a determination on whether any policy exclusions precluded a defense or indemnity for damage arising from faulty workmanship. On remand, the district court denied National Union's Motion for Summary Judgment, seeking to establish the policy exclusions precluded its duty to defend and to indemnify. See Greystone Constr., Inc. v. v. National Union Fire & Marine ins. Co., 2013 U. S. LEXIS 46707 (D. Colo. March 31, 2013). Greystone was sued for construction defects in homes it built. The suit alleged that Greystone failed to recognize defects in the soil where the house was built. National Union refused to defend. The district court initially granted summary judgment to National Union because claims arising from construction defects were not covered. As noted above, the Tenth Circuit vacated because the damage in the underlying suit did not categorically fall outside coverage under the policy. On remand, National Union first argued there was no duty to defend based upon an exclusion precluding coverage for damage arising out of work done by subcontractors unless the subcontractors agreed in writing to defend and indemnify the insured and carried insurance with coverage limits equal to or greater than that carried by the insured. The Tenth Circuit rejected this argument because National Union had to rely on facts outside of the underlying complaint. Read the court decision
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Reprinted courtesy of Tred Eyerly
Tred Eyerly can be contacted at te@hawaiilawyer.com

Real Estate & Construction News Roundup (1/16/24) – Algorithms Affect the Rental Market, Robots Aim to Lower Construction Costs, and Gen Z Struggle to Find Their Own Space

February 12, 2024 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
In our latest roundup, New York’s Prompt Payment Act comes into question, vacancy rates rise in commercial office space, the Biden administration applies project labor agreements on certain federal construction projects, and more!

The Biden administration announced the implementing on an executive order that will require project labor agreements on federal construction projects costing $35 million or more, likely resulting in PLAs being required on a majority of large federal jobs. (Zachary Phillips, Construction Dive)
Boeing plans to increase quality inspections of its 737 Max 9 aircraft, following a series of manufacturing flaws that have led some airlines to hold off aircraft purchases or go with its European rival, Airbus. (Ken Sweet, AP)
31% of Generation Z (generally defined as those born between 1996 and 2012) adults live at home with parents because they can’t afford to buy or rent their own space. (Jessica Dickler, CNBC)

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

Unfinished Building Projects Litter Miami

November 18, 2011 — CDJ STAFF

Buildings born in ambitious development plans that were never brought to completion form a grim reminder of the building bust in Miami, according to an article in the Miami Herald. One project started in 2007 as a residential project, later there were hopes to develop it as a hotel. These plans are ten months old with no work done.

Another project was projected as a 30-story office and commercial tower. Four were built before the project was abandoned. The article describes the site as “squalid.” Another project completed the planned 17 stories, but no work has been done beyond constructing the shell. Once planned as luxury condos, the owner owes more than $30,000 in property taxes.

Each of the three sites profiled in the Miami Herald have become dumping grounds for trash. The building skeletons have also become damaged by the elements. Some abandoned projects have been taken over by homeless people. Businesses near the abandoned properties have been hurt. The buildings also represent failed obligations to subcontractors who have put liens on the properties for work they performed but were never paid for.

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FAIRFIELD CONNECTICUT BUILDING EXPERT DIRECTORY AND CAPABILITIES