Sanctions of $1.6 Million Plus Imposed on Contractor for Fabricating Evidence
March 16, 2017 —
Paul R. Cressman, Jr.King County Superior Court issued sanctions of $1,641,721 in favor of Gefco and against Cascade Drilling, Inc. and its President, Bruce Niermeyer, composed of $1,394,435 in attorneys’ fees and $247,286 in expert fees. [i]
Cascade Drilling is a contractor. Gefco manufactures and sells large drilling machinery. The dispute centered around a project that began in 2008. Cascade was hired to drill a water well at a housing development in Wheeler Canyon, California. Cascade used a 50K drilling rig purchased from Gefco. The pump drive shafts on the drilling rig failed four times. After each failure, Cascade ordered a replacement pump drive shaft from Gefco.
In September 2008, Cascade ordered drilling equipment for an unrelated drilling rig from Gefco, but did not pay Gefco. Gefco then sued to collect. Cascade admitted not paying, but asserted counterclaims alleging that Gefco was indebted to Cascade for non-conforming and defective goods, including the replacement pump drive shafts purchased from Gefco for the Wheeler Canyon project.
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Paul R. Cressman, Jr., Ahlers & Cressman PLLCMr. Cressman may be contacted at
pcressman@ah-lawyers.com
Contractor Walks Off Job. What are the Owner’s Damages?
September 25, 2018 —
David Adelstein - Florida Construction Legal UpdatesWhat are your damages as the result of a breach of the construction contract? This is an important question, right? It is probably the most important part of your case. If you didn’t have damages, you wouldn’t be in a dispute. So, I repeat, what are your damages as the result of a breach of the construction contract? The below case explains dealing with a contractor that elected to walk off the job mid-construction.
In Forbes v. Prime General Contractors, Inc., 43 Fla.L.Weekly D20194a (Fla. 2d DCA 2018), owners hired a contractor to perform a residential renovation job for $276,000. The owners were to pay the contractor in five draw payments (common for residential jobs) where the third draw payment was due upon the contractor’s completion of the dry-in (as defined in the contract). After the contractor received the first two draw payments totaling $138,000 plus an additional $6,000 for updated architectural plans, the contractor claimed the job doubled in price and demanded that the owners pay the contractor the third draw payment immediately (before it was due) plus an additional $31,450. The contractor refused to continue unless the owners agreed to its terms, and then walked off the job when the owners would not agree to these terms (nor should the owners agree to those terms). At the time the contractor walked off the job, the owners’ home was not habitable due to the construction.
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David Adelstein, Kirwin NorrisMr. Adelstein may be contacted at
dma@kirwinnorris.com
Insurers' Motion to Void Coverage for Failure to Attend EUO Denied
January 04, 2023 —
Tred R. Eyerly - Insurance Law HawaiiThe insurer's motion for summary judgment and disposal of the insureds' claim due to failure to attend an examination under oath (EUO) was denied. Perkins v Syndicate 4242 of Lloyd's of London, 2022 U.S. Dist. LEXIS 196922 (W.D. La. Oct. 28, 2022).
The insureds' home suffered damage from Hurricane Laura on August 27, 2020, and Hurricane Delta on October 9, 2020. The insureds reported damage after Hurricane Laura under the homeowners policy. They filed suit in August 2021, alleging that Lloyds failed to adequately inspect their claims. The court issued a Case Management Order (CMO) that governed initial disclosures and the parties' participation in a streamlined settlement process for hurricane claims. The dispute did not settle, however, so the matter was set for a bench trial.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Venue for Miller Act Payment Bond When Project is Outside of Us
December 02, 2019 —
David Adelstein - Florida Construction Legal UpdatesThe proper venue for a Miller Act payment bond claim is “in the United States District Court for any district in which the contract was to be performed and executed, regardless of the amount in controversy.” 40 U.S.C. s. 3133(b)(3)(B).
Well, there are a number of federal construction projects that take place outside of the United States. For these projects, where is the correct venue to sue a Miller Act payment bond if there is no US District Court where the project is located? A recent opinion out of the Southern District of Florida answers this question.
In U.S. ex. rel. Salt Energy, LLC v. Lexon Ins. Co., 2019 WL 3842290 (S.D.Fla. 2019), a prime contractor was hired by the government to design and construct a solar power system for the US Embassy’s parking garage in Burkina Faso. The prime contractor hired a subcontractor to perform a portion of its scope of work.
The subcontractor remained unpaid in excess of $500,000 and instituted a Miller Act payment bond claim against the payment bond surety in the Southern District of Florida, Miami division. The surety moved to transfer venue to the Eastern District of Virginia arguing that the Southern District of Florida was an improper venue. The court agreed and transferred venue. Why?
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Unesco Denies Claim It Cleared Construction of Zambezi Dam
November 06, 2023 —
Antony Sguazzin - BloombergUnesco denied that it cleared Zimbabwe and Zambia to proceed with the construction of a $5 billion hydropower dam downstream from the Victoria Falls, which it has designated as a World Heritage Site.
Munyaradzi Munodawafa, chief executive officer of the Zambezi River Authority, said in an
earlier interview that Unesco’s World Heritage Committee “agreed that Batoka could go ahead,” referring to the planned dam and 2,400-megawatt power plant on the Zambezi River. Munodawafa didn’t answer calls or text messages to his mobile phone.
“The decision taken by the committee raises several concerns regarding the site, including the inevitable negative impacts of the Batoka Gorge” project, Unesco said in a response to queries.
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Antony Sguazzin, Bloomberg
Tejon Ranch Co. Announces Settlement of Litigation Related to the Tejon Ranch Conservation and Land Use Agreement
December 05, 2022 —
Tejon Ranch Co.TEJON RANCH, Calif., Nov. 30, 2022 (GLOBE NEWSWIRE) -- Tejon Ranch Co. is pleased to announce the resolution of a legal dispute involving the Tejon Ranch Conservancy and the signatories to the 2008 Tejon Ranch Conservation and Land Use Agreement (Agreement), namely, Audubon California, Endangered Habitats League, Natural Resources Defense Council, Planning and Conservation League, and the Sierra Club. The dispute stemmed from the signatories' participation in the Antelope Valley Regional Conservation Strategy (AVRCIS), which was subsequently used by the Center for Biological Diversity (CBD) and the California Native Plant Society (CNPS) to oppose Tejon Ranch Co.'s Centennial development.
The 2008 Tejon Ranch Conservation and Land Use Agreement has been widely hailed as a historic conservation achievement in preserving one of California's great natural and working landscapes. Tejon Ranch Co.'s agreement to conserve 90 percent of its landholdings pursuant to the Agreement is a monumental contribution to conservation in California. Tejon Ranch Co. continues to be a leader in balancing the stewardship of the ranch as a natural treasure for California and achieving economic opportunities for its shareholders. The Company demonstrated that leadership with the actions it took to enforce the terms of the Agreement, which led to this legal dispute.
As part of a settlement agreement, the Conservancy and the signatories dismissed with prejudice the lawsuit they filed. They also acknowledge that the AVRCIS does not contain the "best available scientific data" regarding Tejon Ranch Co.'s landholdings, and further, that they will not use, or support the use of, the AVRCIS or any other similar endeavors, to challenge Tejon Ranch Co.'s development projects and/or any Ranch uses consistent with the Agreement.
In turn, Tejon Ranch Co. released from escrow 50% of the advance payments it withheld under the terms of the Agreement. The remaining funds will be released over a three-year period as matching funds to monies raised by the Conservancy as well as others who participate in Conservancy capital raising programs, after which the remaining funds with be released to the Conservancy to further its mission. These funds are the final fulfilment of Tejon Ranch Co.'s full funding obligations under the Agreement, totaling $11,760,000 over the past 14 years, again demonstrating Tejon Ranch Co.'s commitment to fulfilling the implementation of the 2008 Tejon Ranch Conservation and Land Use Agreement.
All parties are glad to put this dispute behind them and move forward in a cooperative manner to achieve the goals envisioned in the historic 2008 Agreement.
About Tejon Ranch Co.
Tejon Ranch Co. (NYSE: TRC) is a diversified real estate development and agribusiness company, whose principal asset is its 270,000-acre land holding located approximately 60 miles north of Los Angeles and 30 miles south of Bakersfield. More information about Tejon Ranch Co. can be found on the Company's website at www.tejonranch.com.
Forward Looking Statements
This press release contains forward-looking statements, including without limitation statements regarding commitments of the parties under the settlement agreement and the achievement of certain goals related to Tejon Ranch Co.'s landholdings. These forward-looking statements are not a guarantee of future results, performance, or achievements, are subject to assumptions and involve known and unknown risks, uncertainties and other important factors that could cause the actual results, performance, or achievements to differ materially from those implied by such forward-looking statements. These risks, uncertainties and important factors include, but are not limited to, the ability and willingness of the parties to the Settlement Agreement to take the actions (or refrain from taking the actions) specified in the Settlement Agreement, and the risks described in the section entitled "Risk Factors" in our annual and quarterly reports filed with the SEC.
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Port Authority Revises Plans for $10B Midtown NYC Bus Terminal Replacement
March 04, 2024 —
Marigo Farr - Engineering News-RecordNew York City's Midtown Manhattan bus terminal replacement project advanced last week after the Port Authority of New York and New Jersey released a draft environmental impact statement and a revised project plan based on feedback from commuters, residents and local officials.
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Marigo Farr, Engineering News-Record
ENR may be contacted at enr@enr.com
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Do You Have an Innovation Strategy?
November 08, 2017 —
Aarni Heiskanen - AEC BusinessConstruction and engineering are among the top five industries ripe for disruption according to research by PwC. Will innovation come from tech companies and startups, or could established firms be proactive? For Granlund, founded in 1960, innovation is a strategic essential and a core competency.
Granlund is a Finnish design, consultancy, and software services firm specializing in energy efficiency. It employs more than 800 people in 20 locations in Finland and in its offices in Shanghai and Dubai. The company is known internationally for being in the vanguard of building information modeling and for real estate management software development.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
info@aepartners.fi
