Fraud, the VCPA and Construction Contracts
November 26, 2014 —
Christopher G. Hill – Construction Law MusingsI’ve discussed the economic loss rule here at Musings on several occasions. The economic loss rule basically states that where one party assumes a duty based in contract or agreement, the Virginia courts will not allow a claim for breach of that duty to go forward as anything but a contract claim. This doctrine makes fraud claims nearly, though not absolutely, impossible to maintain in a construction context. In a majority of instances, fraud and construction contracts are very much like oil and water, leaving parties to fight it out over the terms of a particular contract despite actions by one party or the other that non-lawyers would clearly see as fraud.
However, a recent case decided by the Virginia Supreme Court gives at least some hope to those who are seemingly fooled into entering a contract that they would not other wise have entered into. In Philip Abi-Najm, et. al, v Concord Condominium, LLC, several condominium purchasers sued Concord under for breach of contract, breach of the Virginia Consumer Protection Act (VCPA) and for fraud in the inducement based upon flooring that Concord installed that was far from the quality stated in the purchase contract. Based upon these facts, the Court looked at two questions: 1. Did a statement in the contract between Concord and the condo buyers create a situation in which the merger doctrine barred the breach of contract claim, and 2. Did the economic loss rule bar the VCPA and fraud claims?
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Christopher G. Hill, Law Office of Christopher G. Hill, PCMr. Hill may be contacted at
chrisghill@constructionlawva.com
Quick Note: Aim to Avoid a Stay to your Miller Act Payment Bond Claim
February 23, 2017 —
David Adelstein – Florida Construction Legal UpdatesStrategy is important. This is especially true if you are trying to avoid arbitration. In a recent federal district court case, a subcontractor sued the prime contractor and the Miller Act payment bond surety. The subcontractor, however, had an arbitration provision in its subcontract with the prime contractor. The prime contractor moved to compel arbitration pursuant to the subcontract and moved to stay the subcontractor’s Miller Act payment bond claim. The last thing, and I mean the last thing, the subcontractor wanted to do was to stay its claim against the Miller Act payment bond. However, the district court compelled the subcontractor’s claim against the prime contractor to arbitration and stayed the subcontractor’s Miller Act payment bond claim pending the outcome of the arbitration. See U.S. v. International Fidelity Ins. Co., 2017 WL 495614 (S.D.Al. 2017). This is not what the subcontractor wanted.
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David Adelstein, Florida Construction Legal UpdatesMr. Adelstein may be contacted at
dadelstein@gmail.com
The G2G Year in Review: 2021
January 24, 2022 —
Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law BlogWith 2021 now behind us, we wanted to share our top five most-read articles of 2021 from Gravel2Gavel. The most-read blog posts covered real estate and construction industry trends ranging from Proptech, smart construction, COVID-eviction moratoriums, and blockchain tokenization.
Throughout the year, G2G posts provided deep industry insight and summarized hot topics addressing the legal implications and disruptions that affected the market, and we will continue to expand on these insights in 2022. Our 2021 roundup:
- Blockchain Innovations and Real Estate: NFTs, DeFis and dApps by Craig A. de Ridder
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Pillsbury's Construction & Real Estate Law Team
Real Estate & Construction News Roundup (5/29/24) – Megaprojects on the Rise, Agency Guidance for CRE, and an Upbeat Forecast for Commercial Real Estate Investment
June 21, 2024 —
Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law BlogIn our latest roundup, summer travelers seek alternative lodging options, purpose-built wellness real estate investments grow, bonds backed by CRE debt hit are hit with losses, and more!
- Across all property types, purpose-built wellness real estate investment has grown dramatically in recent years, including properties with wellness features as a focus. (Mary Salmonsen, Multifamily Dive)
- The travelers on the road this summer will have different demographics, budgets and reasons for travel and different preferences on accommodations, with more travelers opting for alternative housing options. (Noelle Mateer, Hotel Dive)
- Megaprojects are on the rise, with massive projects, from rail tunnels to computer chip factories, having myriad stakeholders and lengthy timelines that span political administrations. (Julie Strupp, Construction Dive)
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Pillsbury's Construction & Real Estate Law Team
Colorado Requires Builders to Accommodate High-Efficiency Devices in New Homes
December 14, 2020 —
David M. McLain – Colorado Construction LitigationStarting in 2009, the Colorado Legislature began adding requirements that builders offer certain options to accommodate high-efficiency devices. These requirements started with solar prewire options in 2009, then water-smart home options in 2010. In 2020, the Legislature added requirements for electric vehicle charging and heating systems. These sections apply to unoccupied homes serving as sales inventory or a model home or manufactured homes, as defined by Colorado law. While the Legislature has only required builders to include options to accommodate these devices, it may be just a matter of time until builders must install the prescribed devices themselves.
In 2009, the Legislature passed C.R.S. 38-35.7-106, which was amended this year by HB 20-1155. As it now reads, Colorado law requires every builder of single-family detached residences to offer to have the home’s electrical or plumbing system, or both, include:
- A residential photovoltaic solar generation system or a residential thermal system, or both;
- Upgrades of wiring or plumbing, or both, planned by the builder to accommodate future installation of such systems; and
- A chase or conduit, or both, constructed to allow ease of future installation of the necessary wiring or plumbing for such systems.
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David McLain, Higgins, Hopkins, McLain & RoswellMr. McLain may be contacted at
mclain@hhmrlaw.com
Augmented and Mixed Reality in Construction
July 28, 2016 —
Aarni Heiskanen - AEC BusinessAugmented reality (AR) and mixed reality (MR) are in the headlines, thanks to the recent mobile gaming boom. How are these emerging technologies applicable to construction? In this blog post, I present six application areas to consider.
In AR—like Google Glass or Pokémon GO on a mobile device—the visible natural world is overlaid with a layer of digital content. In MR technologies, like Microsoft’s HoloLens or Magic Leap, virtual objects are integrated into and responsive to the natural world. In my earlier post, I wrote about virtual reality (VR), where the real world is replaced by a computer-generated environment.
All the virtual technologies are still in relatively early stages of development. However, they already demonstrate the potential to change how we design, build, commercialize, and use the built environment. I brainstormed six application areas for AR and MR in construction.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aarni@aepartners.fi
Wilke Fleury Attorneys Featured in “The Best Lawyers in America” & “Best Lawyers: Ones to Watch” 2025 Editions
August 19, 2024 —
Wilke Fleury LLP2025 Best Lawyers & Ones to Watch
George Guthrie, Best Lawyer
Adriana Cervantes, One to Watch
Steven Williamson, Best Lawyer
Jason Eldred, One to Watch
Daniel Foster, Best Lawyer
David Frenznick, Best Lawyer
Kathryne Baldwin, One to Watch
Daniel Egan, Best Lawyer
Wilke Fleury is extremely proud to have five attorneys recognized in The Best Lawyers in America and three attorneys recognized in the Best Lawyers: Ones to Watch in America! Best Lawyers has been regarded by lawyers and the public for more than 40 years as the most credible measure of legal integrity and distinction in the United States. Congratulations to this talented group!
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Wilke Fleury LLP
The Comcast Project is Not Likely to Be Shut Down Too Long
July 13, 2017 —
Wally Zimolong - Supplemental ConditionsJan Von Bergen at the Philadelphia Inquirer reported that work on Comcast’s new tower came to a halt this morning when striking members of Local 542 picketed the Comcast tower project and other union trades refused to cross the picket line. However, this show of solidarity (during the afternoon on the Friday before the Fourth of July) is unlikely to last past the long weekend. Why? Because any conduct by Local 542 aimed at encouraging a work stoppage by other union members is illegal and the companies that employ the sympathetic union members are in breach of contract if they do not work on Tuesday.
Any actions by Local 542 to encourage members of a different trade unions to honor their picket line is a secondary boycott. The National Labor Relations Act prohibits secondary boycotts. Specifically, the NLRA prohibits a union for inducing employees of an employer not subject to a labor dispute to refuse to work.
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Wally Zimolong, Zimolong LLCMr. Zimolong may be contacted at
wally@zimolonglaw.com