Bank of America’s Countrywide Ordered to Pay $1.3 Billion
July 30, 2014 —
Patricia Hurtado – BloombergBank of America Corp.’s Countrywide unit was ordered to pay $1.3 billion in penalties for defective mortgage loans it sold to Fannie Mae (FNMA) and Freddie Mac in the run-up to the 2008 financial crisis, a little more than half of what the U.S. had requested.
U.S. District Judge Jed Rakoff in Manhattan issued the civil penalty against the Charlotte, North Carolina-based bank today in the first mortgage-fraud case brought by the federal government to go to trial.
Countrywide and Rebecca Mairone, a former executive with the mortgage lender, were found liable in October for selling thousands of bad loans to the two government-sponsored enterprises. Mairone was ordered today to pay $1 million.
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Patricia Hurtado, BloombergMs. Hurtado may be contacted at
pathurtado@bloomberg.net
Know What You’ve Built: An Interview with Timo Makkonen of Congrid
September 09, 2019 —
Aarni Heiskanen - AEC BusinessConstruction contains thousands of big and small tasks. How can a client and contractor know if they have all been completed as intended? Congrid offers an answer to that question.
Congrid is a Finnish construction software developer. The company provides software for punch lists, quality and safety audits, and design document distribution. It operates in Finland, Sweden, and the U.K.
The company’s founding team members, collectively, offer a combination of expertise in construction management, software development, and marketing and sales. “I come from the electronics industry. I came into this business through my old schoolmates,” says Timo Makkonen, Congrid’s CEO. “My specialty is business development and leadership.”
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
Good Indoor Air Quality Keeps Workers Healthy and Happy
June 10, 2024 —
Ellie Gabel - Construction ExecutiveMost people primarily think of air conditioners as appliances to keep people cool. However, a 2024 study of office air conditioners shows that they promote indoor air quality by minimizing the harmful effects of bushfire smoke.
The research indicated air conditioners used in office environments can trap particles and reduce people’s exposure to harmful elements such as sulfates and nitrates. The researchers collected particulate matter from commercial air conditioner filters during the peak bushfire season in Australia. Evaluations showed the daily particulate matter levels were usually two to three times the average amount. However, some hourly maximums were 10.5 times the usual.
The team took samples for four months, finding the specimens exceeded national air quality standards 19% of the time. Analyses performed in a university showed commercially available air filters captured significant amounts of bushfire smoke, reducing the associated hazards for building occupants.
Reprinted courtesy of
Ellie Gabel, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Think Before you Execute that Release – the Language in the Release Matters!
June 17, 2024 —
David Adelstein - Florida Construction Legal UpdatesIf you execute a release in exchange for payment or other consideration, remember the language in the release means something. THE RELEASE LANGUAGE MATTERS! And the meaning in the release may be way more than you intended so please make sure you truly digest and consider release language before executing.
This sentiment could not be truer than in the 2009 decision Bell BCI Company v. United States, 570 F.3d 1337 (Fed. Cir. 2009). In this case, a contractor entered into a modification (change order) with the government. The modification included the following language:
increase the contract amount by $2,296,963 … as full and equitable adjustment for the remaining direct and indirect costs of the Floor 4 Fit-out (EWO 240–R1) and full and equitable adjustment for all delays resulting from any and all Government changes transmitted to the Contractor on or before August 31, 2000.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
The California Privacy Rights Act Passed – Now What?
November 09, 2020 —
Heather Whitehead - Newmeyer DillionThe ballot initiative, Proposition 24, has been passed by voters in yesterday’s election. What does this proposition entail and how does it impact the California Consumer Privacy Act (CCPA)?
What’s Covered in Proposition 24 - The California Privacy Rights Act (CPRA)
The CPRA, among other things, does the following:
- Revises the existing CCPA to expand consumer rights with respect to personal information and sensitive personal information;
- Creates a new agency responsible for enforcing the CPRA; and
- Increases penalties for violations related to the personal information of children under the age of 16.
As for additional consumer rights, the CPRA offers consumers the opportunity to request a correction of inaccurate personal information. In addition, a consumer may direct a company to “limit its use of the consumer's sensitive personal information” to a use that an average customer would expect.
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Heather Whitehead, Newmeyer DillionMs. Whitehead may be contacted at
heather.whitehead@ndlf.com
California Supreme Court Holds Insured Entitled to Coverage Under CGL Policy for Negligent Hiring
June 13, 2018 —
Traub Lieberman Straus & Shrewsberry LLP - TLSS Insurance Law BlogIn its recent decision in Liberty Surplus Ins. Corp. v. Ledesma & Meyer Constr. Co.,2018 Cal. LEXIS 4063 (Cal. June 4, 2018), the Supreme Court of California addressed the question of whether an insured’s negligent hiring, retention and supervision of an employee who intentionally injured a third-party can be considered an occurrence under a general liability policy.
The insured, L&M, was the construction manager on a project at a middle school in California. It was alleged that one of its employees sexually abused a thirteen year old student during the course of the project. The student later brought a civil suit against L&M based on its negligent hiring, retention and supervision of the employee-perpetrator.
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Traub Lieberman Straus & Shrewsberry LLP
Title II under ADA Applicable to Public Rights-of-Way, Parks and Other Recreation Areas
June 29, 2017 —
Richard E. Morton - Haight Brown & Bonesteel LLPPlaintiff Ivana Kirola, who suffers from cerebral palsy, sued the City and County of San Francisco, in a class action contending certain public areas, including rights-of-way, pools, parks and other recreation areas, did not meet the mandate of Title II of the American With Disabilities Act (Kirola v. City and County of San Francisco, 9th Circuit Court of Appeals, No. 14-17521, 2017 DJDAR 5982). Title II provides that no qualified individual with a disability “shall, by reason of such disability, be excluded from participation in or be denied the benefits of the services, programs, or activities of a public entity, or be subjected to discrimination by any such entity.”
Title II’s implementing regulations mandate that each facility constructed after January 26, 1992 be “readily accessible to and usable by individuals with disabilities.” And, for each facility “altered after January 26, 1992,” the altered portion must, “to the maximum extent feasible,” be likewise accessible. The Federal Architectural and Transportation Barriers Compliance Board creates nonbinding Americans With Disabilities Act Accessibility Guidelines (ADAAG) to ensure compliance with Title II, and that the Department of Justice (DOJ) adopt its own binding regulations, consistent with the ADAAG standards. Here, the District Court interpreted ADAAG standards as not applying to public rights-of-way, parks, and playground facilities. The District Court concluded that none of Kirola’s experts were reliable in their interpretation of the standards and how the standards applied to the public rights-of-way, etc. Conversely, the District Court concluded that all of the city’s experts were reliable. It thus disregarded and discarded every ADAAG violation identified by Kirola’s experts, accepting only the small number of violations identified by the city’s experts.
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Richard E. Morton, Haight Brown & Bonesteel LLPMr. Morton may be contacted at
rmorton@hbblaw.com
U.S. Home Sellers Return for Spring as Buyers Get Relief
February 10, 2014 —
Prashant Gopal – BloombergSuzanne Baker and her siblings bought a foreclosed home in Atlanta two years ago, added a fourth bathroom, then waited for values to rebound before considering a sale. Now, she says, they’re ready to cash in.
The family last month listed the four-bedroom house in the affluent Buckhead neighborhood for $710,000. It was purchased as an investment for about $375,000 in late 2011, before bulk buyers snapped up many of the area’s distressed homes, helping to drive up prices in Atlanta by more than 25 percent.
“The market is back up,” Baker said. “We think we can make a good amount of profit so we’re going to try.”
For two years, a shortage of sellers like the Bakers has propped up prices across the U.S. as shoppers jostled for a dwindling supply of houses. Now, as the market’s busiest season approaches, escalating values are spurring more listings as homeowners regain equity lost in the worst crash since the 1930s. While new-home construction at a third of its 2006 peak will keep inventory tight, the supply increase is poised to damp price gains while higher mortgage rates cut into demand.
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Prashant Gopal, BloombergMr. Gopal may be contacted at
pgopal2@bloomberg.net