How Do You Get to the Five Year Mark? Some Practical Advice
August 26, 2015 —
Christopher G. Hill – Construction Law MusingsFor this week’s Guest Post Friday here at Construction Law Musings, we would like to welcome back (again) Sean Lintow Sr. of
SLS Construction & Building Solutions . Sean has over 20 years working directly in the trenches in the construction arena. Since moving to Illinois, the focus of his business has shifted to helping builders, trade professionals& even code officials not only understand and meet the latest energy codes but how to improve their methods to accomplish it better and more affordably.
Currently he is RESNET Rater, AEE CEA (Certified Energy Auditor), ENERGY STAR partner & verifier, EPA Indoor airPLUS verifier, Level 2 Infrared Thermographer, Volunteer Energy Rater for Habitat for Humanity, and Builders Challenge Partner & Verifier. You may also want to check out his great resources on
The HTRC (Homeowners & Trades Resource Center).
I would like to thank Chris for inviting me back for my 6th musing on this great site. I would also like to give him a Belated Happy Birthday for reaching 5 years since going solo. Reaching five years is a big milestone for many businesses as most new ventures (I think it is 85% or maybe even 90%) fail during that time. Therefore, a big congrats to you Chris & here is to another five plus years.
For the most part the blame game for failure comes down to; wrong product offerings (market to saturated, not interested in, etc…), their ability to market, or poor business skills (not charging enough, realizing what they are spending, etc…) as the main point of failures. There is another group though that never seems to get much press and that is the ones that seemingly are blindsided by the dreaded “ignorance of the law” is no excuse… Not only does this effect many large companies but also many solo operations which is where I do want to focus today, especially on 4 “lesser” known issues.
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Christopher G. Hill, Law Office of Christopher G. Hill, PCMr. Hill may be contacted at
chrisghill@constructionlawva.com
Two More Lawsuits Filed Over COVID-19 Business Interruption Losses
April 13, 2020 —
Michael S. Levine - Hunton Andrews KurthTwo more lawsuits were filed yesterday concerning business interruption losses resulting from the COVID-19 pandemic. The plaintiffs, the Chickasaw and Choctaw nations, filed their lawsuits, copies of which can be found
here and
here, in Oklahoma state court against a litany of property insurers, led by AIG. The lawsuits seek an order that any financial losses suffered by the nations’ casinos, restaurants and other businesses as a result of the coronavirus pandemic are covered by the nations’ insurance policies.
According to the complaints:
On or about March of 2020, the United States of America became infected by COVID 19 resulting in a pandemic. As a result of this pandemic and infection, the Nation’s Property sustained direct physical loss or damage and will continue to sustain direct physical loss or damage covered by the policies, including but not limited to business interruption, extra expense, interruption by civil authority, limitations on ingress and egress, and expenses to reduce loss. As a direct result of this pandemic and infection, the Nation’s Property has been damaged, as described above, and cannot be used for its intended purpose.
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Michael S. Levine, Hunton Andrews KurthMr. Levine may be contacted at
mlevine@HuntonAK.com
First Look at Long List of AEC Firms Receiving PPP Loans
July 20, 2020 —
Tom Ichniowski & Scott Blair - Engineering News-RecordThousands of construction and design firm from all parts of the U.S. appear on lists of companies that have received federal Paycheck Protection Program forgivable loans, according to federal documents just made public.
Reprinted courtesy of
Tom Ichniowski, Engineering News-Record and
Scott Blair, Engineering News-Record
Mr. Ichniowski may be contacted at ichniowskit@enr.com
Mr. Blair may be contacted at blairs@enr.com
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Unintended Consequences of New Building Products and Services
April 19, 2022 —
David S. Jaffe – National Association of Home BuildersAs home builders throughout the United States are grappling with building material price surges, and shortages or delays for certain orders, many are exploring alternatives products to complete or start projects. For example, according to a recent article, some builders are constructing homes from natural materials such as rammed earth, adobe brick, and volcanic rock. In addition to being readily available on site there may be heating and cooling benefits due to the natural insulation provided by these materials. The article cautions, however, that using these alternative materials may come with added challenges such as higher costs due to a need for skilled labor, delays by home inspectors who may be unfamiliar with the techniques and methods of construction, and energy consultants who might have difficulty calculating the value of homes with these materials. See Home Builders Are Turning to Natural Materials to Get Around Supply Chain Problems; There are advantages to buying homes made with natural materials, but expect to pay a premium, Alanna Schubach, Mansion Global (March 25, 2022).
Another caution, not addressed in the article, however, but one that should be heeded by builders considering alternative materials, is the unintended consequences that might result from using alternative products, whether they are natural products or any others. The long-term effects of material use should not be ignored.
For instance, it has been reported that earthen materials are known to contain numerous organic substances and can also harbor mold. It was not too long ago that mold was a high liability issue for builders and property owners. Similarly, the use of rapidly renewable materials - products that can be produced naturally and quickly from nature - is a key component of green building. They are also cellulose or carbohydrate-based products and as such are typically optimal food sources for mold in the presence of moisture.
To avoid mold, it is important to understand the relationship between construction materials and their susceptibility to mold in the presence of moisture. “Buildings will never be designed, built, maintained, or utilized perfectly; and weather and natural disasters cannot be predicted. The one thing we can have complete control over, the materials within the building, should be selected wisely.” See Mold Susceptibility of Rapidly Renewable Building Materials Used in Wall Construction, AM Cooper, Master's thesis, Texas A&M University (2007) (Samples of wool, cork, straw, and cotton-- rapidly renewable materials used as exterior wall insulation products--were exposed to different moisture amounts in an encapsulated environment, representing the environment within a wall cavity when exposed to water from pipes, leaks, condensation and absorption, or from initial construction. The samples were monitored over time for mold growth).
Mold-related issues are just one example of the potential for unintended consequences from the use of alternative materials. Carefully reviewing building material choices in advance may help eliminate non-conforming building materials, returns and possibly disputes. NAHB has developed a guide,
Assessing Building Materials, for builders who may not have their own review process for gathering information from manufacturers and distributors when considering the selection of new building materials.
The guide is intended to arm members with the most important factor when evaluating new materials or products: information. Use the guide to step through the information collection process to make an informed decision on deploying new products or materials. The guide is not intended to be exhaustive or all-inclusive, but it will help builders ask the right questions and seek the most relevant information.
Copyright © 2022 by the National Association of Home Builders of the United States. All rights reserved.
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David S. Jaffe, NAHBMr. Jaffe may be contacted at
DJaffe@nahb.org
Unit Owners Have No Standing to Sue under Condominium Association’s Policy
February 10, 2012 —
Tred R. Eyerly - Insurance Law HawaiiIf a condominium owner suffers damage caused by a leak from another unit, may it sue the insurer for the Association of Apartment Owner (AOAO) for coverage? The federal district court for Hawaii said "no" in a decision by Judge Mollway. See Peters v. Lexington Ins. Co., 2011 U.S. Dist. LEXIS 148734 (D. Haw. December 27, 2011).
Two cases were consolidated. In each case, Plaintiffs owned condominium units at the Watercrest Resort on Molokai. Water leaking from another unit damaged Plaintiffs’ units.
Watercrest Resort was insured by Lexington pursuant to a policy maintained by the AOAO. Plaintiffs filed claims with Lexington. Lexington hired an adjustor.
Unhappy with the adjustment of their claims, Plaintiffs sued Lexington and the adjustor.
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii. Mr. Eyerly can be contacted at te@hawaiilawyer.com
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New York Bars Developers from Selling Condos due to CD Fraud Case
October 15, 2014 —
Beverley BevenFlorez-CDJ STAFFAccording to GlobeSt, New York “Attorney General Eric T. Schneiderman has announced a settlement agreement that bars developers Joseph Scarpinito and Shiraz Sanjana—and five affiliated entities they own and operate—from offering or selling securities, including condo and coop sales, in or from New York State.”
The settlement is in “result of an investigation by the Attorney General’s real estate finance bureau into allegations of fraud by the developers of the Mirada, an eight-story Harlem condominium.” GlobeSt also stated that the agreement “provides for binding arbitration with the condo purchasers for alleged construction defects, and requires the developers to pay $500,000 in penalties and fines to New York State.”
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Client Alert: Release of Liability Agreement Extinguishes Duty of Ordinary Care
February 05, 2015 —
R. Bryan Martin and Whitney L. Stefko – Haight Brown & Bonesteel LLPOn January 27, 2015, the California Court of Appeal, Fourth Appellate District, in Eriksson v. Nunnink (Case No. E057158), held a release of liability between Decedent and Defendant was enforceable as a defense to the Decedent's Parents' wrongful death and negligent infliction of emotional distress ("NIED") claims. In Eriksson, the Court concluded that on the basis of the signed release agreement, Defendant did not owe a duty of care to Decedent and thus could only be liable for Decedent's death if caused by the Defendant's gross negligence. The Court held that Plaintiffs failed to establish gross negligence and affirmed the lower court's judgment.
Reprinted courtesy of Haight Brown & Bonesteel LLP attorneys
R. Bryan Martin and
Whitney L. Stefko
Mr. Martin may be contacted at bmartin@hbblaw.com; Ms. Stefko may be contacted at wstefko@hbblaw.com
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Federal Contractors Should Request Debriefings As A Matter Of Course
May 30, 2018 —
Scott MacDonald - Ahlers Cressman & Sleight BlogFederal Contractors—especially those engaging in FAR Part 15 direct contract negotiations—should make it a routine practice to timely request debriefings after the Contracting Agency excludes the bidder from the competitive range (“pre-award debriefing”) or after the Agency issues the award (“post-award debriefing”). Debriefings allow the Contractor to understand the evaluation process used by the Contracting Agency and to receive an assessment of how it fared in that evaluation. This is not a one-sided presentation as Contracting Agencies are required to answer the contractor’s relevant questions about the decision-making process. Properly run debriefings can be used to better tailor future bids and negotiations, as further marketing to the Contracting Agency for future awards, and, occasionally, to unearth grounds for a potential protest if any part of the evaluation process is out of sync with the FARs. In the event the contractor learns of a basis for protest at the debriefing, the deadline to file a protest begins running from the date of the debriefing—whether it was required or not.
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Scott MacDonald, Ahlers Cressman & Sleight PLLCMr. MacDonald may be contacted at
scott.macdonald@acslawyers.com
