Fairfield Connecticut Building Expert Directory

You Are Your Brother’s Keeper. Direct Contractors in California Now Responsible for Wage Obligations of Subcontractors

January 31, 2018 — Garret Murai – California Construction Law Blog
If there’s one law from the 2017 Legislative Session that’s garnered a lot of attention in the construction press, it’s AB 1701. Under AB 1701, beginning January 1, 2018, for contracts entered into on or after January 1, 2018, direct contractors may be found liable for unpaid wages, fringe or other benefit payments or contributions, including interest, but excluding penalties or liquidated damages, owed by a subcontractor of any tier to their workers. Here’s what you need to know about AB 1701. What code section did AB 1701 amend? AB 1701 added a a new section 218.7 to the Labor Code. To whom does AB 1701 apply? AB 1701 applies to direct contractors only. A direct contractor is defined as a “contractor that has a direct contractual relationship with an owner.” On what types of projects does AB 1701 apply? AB 1701 applies to private works projects only. When does AB 1701 take effect? AB 1701 took effect on January 1, 2018 and applies to all contracts entered into on or after January 1, 2018. Read the court decision
Read the full story...
Reprinted courtesy of Garret, Murai, Wendel, Rosen, Black, Dean, LLP
Mr. Murai may be contacted at gmurai@wendel.com

COVID-izing Your Construction Contract

December 21, 2020 — Frederick E. Hedberg - Construction Executive
The global COVID-19 pandemic has changed the world forever, disrupting many industries, as well as creating unprecedented challenges that threaten many businesses. The construction industry is no different. Projects throughout the country have been adversely affected by unplanned work stoppages, delays, disruptions to the supply chain, price escalations and other unanticipated events. It is critical that owners, developers, contractors and suppliers learn from their experiences over the past year and account for the COVID-19 pandemic when drafting and negotiating contracts for their projects. First and foremost, parties should clearly define their rights and responsibilities to properly manage risks due to COVID-19 and its impacts. COVID-19 and other key related terms should be defined, relying on the CDC and state governments for guidance, to eliminate any uncertainties. The contract should also identify executive orders, guidelines and regulations that have been issued concerning COVID-19 by states, municipalities and other authorities that have jurisdiction where the project is located. Reprinted courtesy of Frederick E. Hedberg, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Mr. Hedberg may be contacted at fhedberg@rc.com Read the court decision
Read the full story...
Reprinted courtesy of

2022 Construction Outlook: Continuing Growth But at Slower Pace

January 24, 2022 — Garret Murai - California Construction Law Blog
In the midst of a pandemic that has lasted far longer than I think many of us thought it would, it’s been a study in contrasts:

There has been over 305 million COVID-19 cases and 5.5 million deaths worldwide since the start of the pandemic.
The U.S. stock market gained a whopping 26.9% in 2021.
The annual rate of inflation in the U.S. hit 6.8% in November 2021 the highest it has been in nearly 40 years.
The U.S. unemployment rate stood at 4.2% at the end of 2021, down from 14.7% in April 2020, the second highest unemployment rate since the Great Depression.
The Doomsday Clock struck 100 seconds before midnight in 2021 as scientists warn that global leaders are doing too little too late to combat climate change that has seen global temperatures rise roughly 2 degrees Fahrenheit since the pre-industrial era.
2021 saw the launch of the first all-civilian spaceflight by Elon Musk’s Space X which was just one of 16 private spaceflights by tech billionaires Richard Branson’s Virgin Galactic and Jeff Bezos’ Blue Origin.

For the construction industry, when we started out in 2021, economists were estimating that construction starts would be up just 4% in 2021 after taking a 14% free-fall in 2020. As it turned out, construction starts increased 12% in 2021. That’s why economic forecasts should be viewed less like a marksmanship competition and more like horseshoes and hand grenades. Close is about the best you can realistically hope for. Read the court decision
Read the full story...
Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

Congress Addresses Homebuilding Credit Crunch

May 20, 2011 — CDJ STAFF

The National Association of Home Builders (NAHB) reports that Representatives Gary Miller (CA), Brad Miller (NC) and twenty-nine cosponsors have put forth a bill with bipartisan support to “address the severe credit crunch for acquisition, development, and construction (AD&C) financing.” They report in addition to more than 1.4 million construction workers who have been “idled since 2006,” the housing slump has cost 3 million jobs and $145 million in wages.

NAHB reports that they worked closely with lawmakers on the bill. The association had members meet with legislators both in D.C. and in their home districts. They state that HR 1755 would help homebuilders “find the credit they need to move forward with new or existing projects.”

The bill would allow lenders to use the value upon completion when assessing loan collateral and ban the use of foreclosed or distressed sale properties in assessing values of projects. The would bill would also lessen restrictions by banking regulators, which the lead sponsors said “have hindered federal and state chartered banks and thrifts’ ability to make and maintain loans to qualified small home builders that have viable projects.”

The NAHB is urging members of Congress to cosponsor the bill and is urging the Senate to introduce a companion bill.

Read the full story…

Read HR 1755

Read the court decision
Read the full story...
Reprinted courtesy of

Get Smarter About Electric Construction Equipment

October 24, 2022 — CONEXPO-CON/AGG
MILWAUKEE – Sustainability in the construction industry is being advanced by the public and private sectors. Governments are adopting more clean-air regulations at local and regional levels and companies are adopting sustainability policies and asking partners to help them meet their targets. Consequently, many manufacturers have already developed – or are in the process of developing – electric-powered construction equipment to meet increasing emissions regulations, provide efficiency improvements, and lower operating costs. All electric, electric/hydraulic, and battery-operated versions rival their diesel and gas counterparts in performance, notes Joel Honeyman, Vice President of Global Innovation at Bobcat. THE CHANGING INDUSTRY “People say electric machines are not going to perform as well as a diesel machine,” Honeyman observes. “That is simply not true. In many cases they can outperform them.” “Many people are so used to what they have and are afraid of new technology. Some companies have been running diesel- and gas-powered equipment for 40, 50 years. Hydraulics have been on equipment for 80 years. Adjusting to an electric-powered machine is quite a paradigm shift.” About the Association of Equipment Manufacturers (AEM) AEM is the North America-based international trade group representing off-road equipment manufacturers and suppliers with more than 1,000 companies and more than 200 product lines in the agriculture and construction-related industry sectors worldwide. The equipment manufacturing industry in the United States supports 2.8 million jobs and contributes roughly $288 billion to the economy every year. About CONEXPO-CON/AGG Held every three years, CONEXPO-CON/AGG is the must-attend event for construction industry professionals. The show features the latest equipment, products, services and technologies for the construction industry, as well as industry-leading education. The next CONEXPO-CON/AGG will be held March 14-18, 2023 in Las Vegas, Nevada. For more information on CONEXPO-CON/AGG, visit https://www.conexpoconagg.com. Learn more about excavator tech here. Read the court decision
Read the full story...
Reprinted courtesy of

Priority of Liability Insurance Coverage and Horizontal and Vertical Exhaustion

June 22, 2020 — David Adelstein - Florida Construction Legal Updates
Recently, I participated in a webinar involving the horizontal and vertical exhaustion of insurance coverage. Say what? This pertains to the PRIORITY of liability insurance coverage and the interface between a general contractor’s (or upstream party’s) primary insurance and the subcontractor’s (or downstream party’s) excess insurance, particularly when the general contractor is required to be indemnified by the subcontractor and named as an additional insured under the subcontractor’s liability policies. For instance, let’s assume the general contractor has a $2M primary policy and a $5M excess policy. Its subcontractor has a $1M primary and a $5M excess policy. The general contractor is an additional insured under the subcontractor’s policies and the subcontractor is required to contractually indemnify the general contractor. An issue occurs caused by the subcontractor’s negligence resulting in a $5M judgment against the general contractor and the subcontractor. Read the court decision
Read the full story...
Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

Construction Warranties: Have You Seen Me Lately?

February 07, 2022 — Christopher D. Cazenave - ConsensusDocs
A construction contract typically contains many different types of warranties. Owners expect contractors to explicitly warrant their workmanship, contractor-provided materials and equipment, and in many instances to assume other warranty risks that may obligate the contractor years after the project is completed. No contractor wants to be surprised years after a project is completed by the existence of warranty obligations that were not considered or negotiated at the outset of the project. To help avoid this situation, warranties should be treated similar to other critical risk-sharing provisions in the contract in concert with other bargained-for provisions, including for example price and schedule. This article provides a brief overview of warranty obligations found in typical construction contracts followed by a few practical considerations for contractors to consider when negotiating warranty obligations. Reprinted courtesy of Christopher D. Cazenave, Jones Walker, LLP (ConsensusDocs) Mr. Cazenave may be contacted at ccazenave@joneswalker.com Read the court decision
Read the full story...
Reprinted courtesy of

Loss of Use From Allegedly Improper Drainage System Triggers Defense Under CGL Policy

February 28, 2018 — Katherine E. Miller and Michael S. Levine – Hunton Insurance Recovery Blog
The Eleventh Circuit, in Mid-Continent Casualty Co. v. Adams Homes of Northwest Florida, Inc., No. 17-12660, 2018 WL 834896, at * 3-4 (11th Cir. Feb. 13, 2018) (per curiam), recently held under Florida law that a homebuilder’s alleged failure to implement a proper drainage system that allowed for neighborhood flooding triggered a general liability insurer’s duty to defend because the allegations involved a potentially covered loss of use of covered property. Reprinted courtesy of Katherine E. Miller, Hunton & Williams and Michael S. Levine, Hunton & Williams Ms. Miller may be contacted at kmiller@hunton.com Mr. Levine may be contacted at mlevine@hunton.com Read the court decision
Read the full story...
Reprinted courtesy of

FAIRFIELD CONNECTICUT BUILDING EXPERT DIRECTORY AND CAPABILITIES