Construction in Indian Country – What You Need To Know About Sovereign Immunity
July 22, 2019 —
Edward J. Hermes - Snell & Wilmer Under Construction BlogThere are many legal issues to consider when bidding on and building projects in American Indian Country. Which labor and employment laws apply? Are there contracting or hiring preferences that apply? Do the Prompt Pay Act and other state laws apply? Can I bring a lawsuit to enforce the contract and, if so, where would I file suit? This article addresses the final question, which is often the most important question when contracting with a tribal entity.
Many of the construction projects in American Indian Country are with tribes or entities wholly owned or by a tribe, such as housing authorities, casinos, hospitals, schools or other economic enterprises. Like the state and federal government, tribes (and their tribally—owned enterprises) enjoy sovereign immunity from any lawsuit, meaning they cannot be sued unless the tribe expressly agrees to waive its sovereign immunity. Sovereign immunity poses a unique issue for contractors that does not typically arise in other projects, but it need not be a deterrent to doing business with tribes. It is usually in the best interest of both the contractor and tribe to negotiate an acceptable waiver of sovereign immunity. Absent such a waiver, the tribe or tribal entity cannot be sued and the resulting forfeiture of remedies can be devastating for the contractor.
To waive sovereign immunity, the tribe must make it clear in the contract that it can be sued in a specific jurisdiction. Oklahoma Tax Comm'n v. Citizen Band Potawatomi tribe of Okla., 498 U.S. 505, 509 (1991). It does not matter whether the tribe is operating on or off its lands—if there is no express contractual waiver of sovereign immunity, a contractor will have no recourse in the event of non-payment or other breach of contract. See Kiowa tribe of Okla. v. Manufacturing Technologies, Inc., 523 U.S. 751, 118 S.Ct. 1700, 140 L.Ed.2d 981 (1998).
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Edward J. Hermes, Snell & WilmerMr. Hermes may be contacted at
ehermes@swlaw.com
Construction Companies Can Be Liable for “Secondary Exposure” of Asbestos to Household Members
October 26, 2017 —
Garret Murai - California Construction Law BlogThe history of asbestos regulation in the United States is complicated. Prior to the 1970s, asbestos-containing materials used in construction was widespread.
In 1971, when the U.S. Environmental Protection Agency issued an emissions standard for asbestos as part of the Clean Air Act. In 1972, the EPA extended this regulation to an occupational standard and, over the next decade, the EPA together with the U.S. Occupational Safety and Health Administration and the U.S. Consumer Product Safety Commission issued a wide array of regulations aimed at asbestos.
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Garret Murai, Wendel Rosen Black & Dean LLPMr. Murai may be contacted at
gmurai@wendel.com
Constructive Suspension (Suspension Outside of an Express Order)
December 13, 2022 —
David Adelstein - Florida Construction Legal UpdatesIn the federal procurement arena, there is a concept known as “constructive suspension.” Constructive suspension, while known in the federal arena, should reasonably apply to all projects when work is stopped outside of an express order to stop the work based on the law below. An unreasonable suspension is an unreasonable suspension and an express order to stop the work does not negate the effects of what really amounts to a suspension.
“Constructive suspension occurs when work is stopped absent an express order by the contracting officer and the government is found to be responsible for the work stoppage.” P.R. Burke Corp. v. U.S., 277 F.3d 1346, 1359 (Fed. Cir. 2002). The government delay must be unreasonable to support a constructive acceleration claim. Id.
“To demonstrate such a constructive suspension of work, the contractor must show that the delay (1) was for an ‘unreasonable length of time,’ (2) was proximately caused by the government’s actions, and (3) resulted in some injury to the contractor.” Fireman’s Fund Ins. Co. v. U.S., 2001 WL 36415627, *6 (Fed.Cl. 2001) (citation omitted). “Relative to proving that the delay was directly caused by the government, the contractor must concomitantly show that it was not delayed by any concurrent cause that would have independently generated the delay during the same time period even if it does not predominate over the government’s action as the cause of the delay.” Beauchamp Const. Co. v. U.S., 14 Cl.Ct. 430, 437 (Cl.Ct. 1988).
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Will COVID-19 Permanently Shift the Balance between Work from Home and the Workplace?
April 13, 2020 —
Adam Weaver - Gravel2Gavel Construction & Real Estate Law BlogOn March 15, 2020, the Center for Disease Control and Prevention (CDC) issued formal guidance to combat the spread of the coronavirus by recommending against gatherings of 50 or more people for the next eight weeks (CDC guidance), which includes nearly every office building in America. Thus, began the most significant work from home experiment this country has ever seen.
With the majority of the workforce working from home, many employees see this as an opportunity to finally prove that, “yes, that meeting could have been an email.” However, while workers will not be distracted by constant (and potentially unnecessary) meetings, a number of issues and questions arise with working from home.
Most importantly, is this working from home experiment a temporary opportunity for businesses to test remote work ideas or is this the new normal? And how will this affect commercial real estate moving forward?
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Adam Weaver, PillsburyMr. Weaver may be contacted at
adam.weaver@pillsburylaw.com
Shutdowns? What A Covid-19-Safe Construction Site Looks Like
April 20, 2020 —
ENR Editors - Engineering News-RecordThere’s no end to published opinions about construction project shutdowns where the widely different types of jobsites are reduced to a single Dickensian nightmare crying out to be closed during this COVID-19 pandemic.
ENR Editors
ENR may be contacted at ENR.com@bnpmedia.com
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Rio Olympic Infrastructure Costs of $2.3 Billion Are Set to Rise
January 31, 2014 —
Tariq Panja and David Biller – BloombergBrazilian authorities announced 5.6 billion reais ($2.3 billion) will be spent on infrastructure directly related to the 2016 Rio de Janeiro Olympic Games and those costs will rise as projects are added.
Yesterday’s announcement comes months behind schedule, and after pressure on public bodies to reveal exactly how much it will cost for Rio to be the first South American city to host the quadrennial showpiece. Delays and cost overruns to several projects related to this year’s soccer World Cup have sharpened the focus on the Olympics.
“We are committed to being on schedule,” Sports Minister Aldo Rebelo said at a press conference in Rio to announce the spending plans. “It is the first time we have a consortium of three levels of government. It is in an effort to ensure the success and execution of all the commitments to deliver the Olympics in Rio in 2016.”
Mr. Panja may be contacted at tpanja@bloomberg.net and Mr. Biller may be contacted at dbiller1@bloomberg.net.
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Tariq Panja and David Biller, Bloomberg
Construction Law Client Advisory: What The Recent Beacon Decision Means For Developers And General Contractors
August 20, 2014 —
Steven M. Cvitanovic and Whitney L. Stefko - Haight Brown & Bonesteel LLPOn July 3, 2014, the California Supreme Court (the “Court”) came out with its decision in Beacon Residential Community Association v. Skidmore, Owings & Merrill, et al. The Beacon decision settled a long-standing dispute in California about whether design professionals such as architects and engineers owe a duty to non-client third parties. In finding that the plaintiffs in Beacon could state a claim against the architects of the Beacon project, the Court also sowed the seeds of change in the way contracts are structured between developers, architects, engineers, and even general contractors.
So, how will Beacon change the landscape for developers and general contractors? It is important to understand the factual background in Beacon to predict how the decision may alter the playing field. For a detailed analysis of the Amicus briefs in the Beacon matter from the AIA, the CBIA, and the Consumer Attorneys of California, please click here.
The Beacon case arose from a common development model in California: a developer conceives a multi-unit project, maps the project as a condo development but rents as apartments. Shortly after completion of the Beacon project, the developer sold the entire project and the new owner finalized the existing condominium map and placed the units on the market as condominiums. Although the architects always knew they had designed a residential structure, the project ultimately became a condominium development. The newly formed homeowners’ association filed a construction defect suit against the developers, general contractor, the subcontractors and the architects for design and construction defects.
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Steven M. Cvitanovic, Haight Brown & Bonesteel LLP and
Whitney L. Stefko, Haight Brown & Bonesteel LLP
Mr. Cvitanovic may be contacted at scvitanovic@hbblaw.com; Ms. Stefko may be contacted at wstefko@hbblaw.com
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The Power of Team Bonding: Transforming Workplaces for the Better
June 10, 2024 —
Alexa Stephenson & Brittney Aquino - Kahana FeldThe number of civil Complaints filed in California has been steadily rising over the last few years. When employees struggle daily to make a dent in what seems as an insurmountable to-do list, taking time away from work to chat with coworkers about their weekends or the latest Netflix drop seems counterintuitive. Yet recent studies suggest that taking even 30 minutes away from your workday to engage in team bonding has lasting benefits. Investing in team bonding activities is not just about having fun; it is about creating a cohesive, motivated, and high-performing team that can drive organizational success. As the evidence suggests, the return on investment for team bonding activities is substantial, making it a vital component of any successful workplace strategy.
Enhancing Communication and Collaboration
One of the primary benefits of team bonding is improved communication among team members. Effective communication is the bedrock of any successful team, and activities designed to foster relationships can significantly enhance this aspect. A study conducted by MIT’s Human Dynamics Laboratory found that teams with higher levels of social interaction outside of formal meetings performed better than those with limited interaction. These teams were more cohesive, coordinated, and ultimately more productive.
Bonding activities, as simple as group lunches or intensive as a weekend retreat, create opportunities for employees to interact in a relaxed setting. This helps break down barriers and encourages open communication, which translates into a more collaborative work environment. When employees feel comfortable sharing ideas and feedback, it leads to better problem-solving and innovation.
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Alexa Stephenson, Kahana Feld and
Brittney Aquino, Kahana Feld
Ms. Stephenson may be contacted at astephenson@kahanafeld.com
Ms. Aquino may be contacted at baquino@kahanafeld.com
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