FAIRFIELD CONNECTICUT BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Powering Goal Congruence in Construction Through Smart Contracts

February 22, 2021 — Michael Matthews - Construction Executive
The $814 billion U.S. commercial construction market requires a unique assembly of designers, contractors, subcontractors and suppliers to work together in a highly orchestrated manner to make sure that the right labor, material, equipment, tools and information all comes together at the right place and time. Alignment and coordination between companies is critical for a project to be successful; completed safely, on time, on budget and resulting in an asset that performs as designed. Yet the industry is slowed by an operating model bogged down by transactional and informational barriers that destroys value across the construction supply chain. Companies are connected through contracts and purchase orders that are undercut by mistrust that yields adversarial relationships and conflicting priorities that result in restricted transparency, elongated payment cycles and an abundance of resource-sucking reconciliations, audits and disputes. With margins already razor thin, company protectionism cascades down from owners, developers and operators to contractors, subcontractors and suppliers with each player focused on optimizing their piece at the expense of the whole. Perhaps this is part of the reason 98% of megaprojects experience cost overruns or delays, 95% of projects are unable to meet even one business objective; and 70% of all construction projects are not completed within 10% of the proposed budget. Reprinted courtesy of Michael Matthews, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Real Estate & Construction News Round-Up 04/06/22

April 11, 2022 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
A growing proptech startup aims to pre-emptively identify needed home repairs, 3D-printed homes could become a workable solution to the housing shortage, and more.

• Concerns about a housing-market crash are growing as the Fed begins to hike interest rates, leaving industry experts to speculate on what’s next for the U.S. housing bubble. (William Edwards, Insider)
• Real-estate sales in Manhattan topped $7 billion in the first quarter of 2022, with the average price of apartments jumping 19% over the previous year. (Robert Frank, CNBC)
• Proptech startup DwellWell claims to have produced the first “check engine light” that can pre-emptively diagnose needed home repairs. (T.P. Yeatts, The Real Deal)

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

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What Sustainable Building Materials Will the Construction Industry Rely on in 2020?

March 23, 2020 — Emily Folk - Construction Executive
The construction industry has had a successful year in developing new ways to make building sustainable and healthy for citizens. From recycled glass to cork, there's been an abundance of materials used for creating better structures. Many of these trends will roll over into 2020, but there's no doubt that a new crop of green solutions will surface. Construction companies and contractors will benefit from keeping staying on the leading edge of new trends. Environmentalism is on everyone's minds, and consumers want sustainable structures for their attractiveness and eco-friendly properties. Implementing the next best resources puts engineers ahead of the competition while preserving the planet. The Benefits of Sustainable Construction Eco-friendly buildings offer numerous benefits to their builders and owners. They generate less waste, require less energy and output less carbon dioxide, making the Earth cleaner. Because they consist of high-quality materials, they help building owners save money on maintenance and upkeep. These funds can go toward other necessary expenses, such as purchasing inventory or implementing upgrades for tenants. Reprinted courtesy of Emily Folk, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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TRI Pointe Merges with Weyerhaeuser’s Real Estate Company

July 09, 2014 — Beverley BevenFlorez-CDJ STAFF
According to Big Builder, “TRI Pointe settled--expectedly--on its mammoth $2.8 billion deal to acquire Weyerhaeuser's five home building operations in the Northwest, California/Nevada, Arizona, Texas, and the Mid-Atlantic regions, a talent-rich operator group, 27,000 building lots, and power brand names via a complex Reverse Morris Trust financial transaction.” This now makes TRI Pointe “one of the top 10 largest public homebuilders in the United States by equity market capitalization based on the closing price of TRI Pointe common stock on July 8, 2014,” according to their press statement, as quoted in Big Builder. Read the court decision
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Claims for Breach of Express Indemnity Clauses Subject to 10-Year Statute of Limitations

October 08, 2014 — Beverley BevenFlorez-CDJ STAFF
According to Thomas G. Cronin of Gordon & Rees LLP (published in Association of Corporate Counsel), “[i]n 15th Place Condominium Association v. South Campus Development Team LLC, the Appellate Court for the First District of Illinois held that a claim for breach of an express indemnity clause within a construction agreement was subject to the 10-year statute of limitations for written contracts instead of the four-year statute of limitations for construction claims.” In 2008, the condo association sued the developer alleging “it had discovered latent design and construction defects in the condominium towers. In 2011, the developer filed a third-party complaint against the general contractor alleging breach of express indemnity.” While the general contractor prevailed in the first trial, the appellate court reversed the decision, “concluding that the nature of the developer’s express indemnity claim against the general contractor related to the failure to indemnify rather than to a construction-related activity.” Read the court decision
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SB800 Not the Only Remedy for Construction Defects

October 01, 2013 — CDJ STAFF
“We anticipate an increase in residential construction defect litigation in response to this ruling,” David Frenznic, a construction defect lawyer at Wilke, Fleury, Hoffelt, Gould & Birney LLP told the Central Valley Business Times. Mr. Frenznic was responding to an August ruling by the California Court of Appeals that found that SB800 does not create the only remedy for homeowners with construction defects. “Homeowners who suffer actual damage as a result of construction defects have a choice of remedies,” said Mr. Frenznick. SB800 established a shorter statute of limitations for construction defect claims, however, “the ruling makes clear that common law claims are still governed by the longer statues of limitations.” Read the court decision
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First Circuit Rules Excess Insurer Must Provide Coverage for Fuel Spill

January 18, 2021 — Syed S. Ahmad & Adriana A. Perez - Hunton Andrews Kurth
The First Circuit recently held that a “Special Hazard and Fluids Limitation Endorsement” was ambiguous and therefore there was excess coverage for a fuel spill that occurred after a tanker-truck overturned. In Performance Trans. Inc. v. General Star Indem. Co., the First Circuit reversed the District Court’s grant of summary judgment in favor of General Star Indemnity Company. The District Court held that the excess policy General Star issued to Performance Trans. Inc. precluded coverage for a spill that resulted in the leaking of thousands of gallons of fuel. The District Court relied on the existence of a total pollution exclusion to bar coverage and held that the policy’s Special Hazards and Fluids Limitation Endorsement could not create an ambiguity that would afford coverage. Reprinted courtesy of Syed S. Ahmad, Hunton Andrews Kurth and Adriana A. Perez, Hunton Andrews Kurth Mr. Ahmad may be contacted at sahmad@HuntonAK.com Ms. Perez may be contacted at pereza@HuntonAK.com Read the court decision
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New York Court Grants Insured's Motion to Dismiss Construction Defect Case and Awards Fees to Insured

February 05, 2024 — Tred R. Eyerly - Insurance Law Hawaii
The New York Supreme Court granted the insured's motion to dismiss the insurer's complaint seeking relief on its duty to indemnity and awarded fees to the insured. Utica Mut. Ins. Co. v. Crystal Curtain Wall Sys. Corp., 2023 N.Y. Misc. LEXIS 22368 (N.Y. Sup. Ct. Nov. 27, 2023). The case arose from a construction-related property damage action. Crystal entered a subcontract with the general contractor to design and install window and curtain systems in mixed residential and commercial buildings. When unit owners took possession, water infiltration during a rainstorm caused property damage and moldy conditions. The unit owners sued asserting claims against Crystal for the cost of repair or replacement of the allegedly defective curtain wall, damage to unit owners' personal property, diminution in value of the units, and delay damages consisting of increasing interest and carrying costs. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

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