Seattle Washington Building Expert Directory

Handshake Deals Gone Wrong

May 22, 2023 — Jessica Allain - ConsensusDocs
The construction industry has it fair share of “handshake deals”, oral agreements relying on the integrity of the people involved. But when it comes to protecting and enforcing legal rights, it is always a better idea to properly paper the deal and get it in writing. Otherwise, contractors relying on verbal promises may find themselves without any legal remedy should the deal go south. After all, it is not just a matter of trust, but also a way to document that everybody agrees on what the terms of the deal actually are. For example, a recent case out of New York highlights the dangers of unwritten promises. In Castle Restoration, LLC v. Castle Restoration & Construction, Inc., No. 16349-15 (N.Y. App. Div. 2/9/22), 2022 NY Slip Op 50082(U), 2022 WL 402882, 2022 N.Y. Misc. LEXIS 485, Castle Inc. and Castle LLC entered into a deal for an asset sale to transfer equipment and a client list from Castle Inc. to Castle LLC. While that initial asset sale was properly papered with sale documents and a promissory note, the parties entered into a subsequent handshake/oral agreement where Castle LLC agreed to provide Castle Inc. with labor and materials on construction projects, and those goods and services would offset the payment obligation under the promissory note. But the problem was that the contract for the asset sale had a provision that the agreement could not be changed by oral agreement; rather, any changes had to be made in writing. Reprinted courtesy of Jessica Allain, Jones Walker LLP (ConsensusDocs) Ms. Allain may be contacted at jallain@joneswalker.com Read the court decision
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What to Know Before Building a Guesthouse

September 17, 2014 — Cynthia Flash – Bloomberg
Those tiny, often very cute homes that people are adding on their properties seem to be popping up everywhere these days. The tiny buildings can provide extra rental income, offer a less-expensive housing option or provide a home for a relative. Accessory dwelling units, or ADUs, are second dwelling units created on a lot with an existing house or attached house. They’re often referred to as mother-in-law apartments, granny flats or studio apartments. As a homeowner, what are the legal issues to consider before building an ADU of your own? Different cities, different rules First off, different cities have different rules. Before plotting the space for your new tiny house, check with your city’s planning and zoning department to determine what those rules are. You can start online at accessorydwellings.org for a list of regulations by state and city. Read the court decision
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Massachusetts Supreme Judicial Court Strikes a Deathblow to Substantial Factor Causation in Most Cases; Is Asbestos Litigation Next?

March 22, 2021 — Christian J. Singewald, Rochelle Gumapac & Timothy J. Keough - White and Williams LLP
In Doull v. Foster, the Massachusetts Supreme Judicial Court (SJC) addressed the proper causation standard in a medical malpractice case. In reaching this issue, the SJC reached far beyond the medical malpractice case before it. The SJC concluded that the substantial factor test for causation, which had been regularly employed in the Commonwealth for decades, was “unnecessarily confusing.” In doing so, the SJC effectively ended the use of the substantial factor test in all negligence cases going forward, except in toxic tort litigation. However, the SJC openly questioned its usefulness in toxic tort litigation and all but welcomed a direct challenge to its use there. Reprinted courtesy of Christian J. Singewald, White and Williams LLP, Rochelle Gumapac, White and Williams LLP and Timothy J. Keough, White and Williams LLP Mr. Singewald may be contacted at singewaldc@whiteandwilliams.com Ms. Gumapac may be contacted at gumapacr@whiteandwilliams.com Mr. Keough may be contacted at keought@whiteandwilliams.com Read the court decision
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Court Sharpens The “Sword” And Strengthens The “Shield” Of Contractors’ License Law

July 24, 2023 — Kyle S. Case - ConsensusDocs
Performing construction work without the necessary license can have significant repercussions on a contractor’s business. California in particular has become known for its imposition of “strict and harsh” penalties for a contractor’s failure to maintain proper licensure. In the realm of public works projects, any contract with an unlicensed contractor is deemed void. See Business & Professions Code Section 7028.15(e). On private projects, California’s Contractors’ License Law prohibits contractors from maintaining any action to recover payment for their work, and more severe, may require a contractor to disgorge all funds paid to it for performing unlicensed work. See Business & Professions Code Section 7031). These methods of deterrence are referred to as the “shield” and “sword” of the Contractors’ State License Law. Loranger v. Jones, 184 Cal. App. 4th 847, 854 (2010). In any discussion surrounding licensure, it is important to review the language of the Business and Professions Code (“Bus. & Prof.”). Section 7031(a) states:

Except as provided in subdivision (e), no person engaged in the business or acting in the capacity of a contractor, may bring or maintain any action, or recover in law or equity in any action, in any court of this state for compensation for the performance of any act or contract where a license is required by this chapter without alleging that they were a duly licensed contractor at all times during the performance of that act or contract regardless of the merits of the cause of action brought by the person…

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Reprinted courtesy of Kyle S. Case, Watt, Tieder, Hoffar & Fitzgerald LLP
Mr. Case may be contacted at kcase@watttieder.com

Do Municipal Gas Bans Slow the Clean Hydrogen Transition in Real Estate?

June 06, 2022 — Sidney L. Fowler, Robert G. Howard & Emily Huang - Gravel2Gavel Construction & Real Estate Law Blog
Clean hydrogen has the potential to play a significant role in the energy transition by serving as a carbon-free form of energy storage and heat production. In real estate, hydrogen could provide heating, replace or supplement natural gas in many applications, or store excess rooftop solar power. The United Kingdom, United States and Japan are all homes to pilot projects attempting to scale out hydrogen for use in communities. As we have discussed previously, many cities have recently passed ordinances banning the inclusion of natural gas infrastructure in new commercial and residential buildings. These bans can create headaches for real estate developers and inject uncertainty into development plans. Reprinted courtesy of Sidney L. Fowler, Pillsbury, Robert G. Howard, Pillsbury and Emily Huang, Pillsbury Mr. Fowler may be contacted at sidney.fowler@pillsburylaw.com Mr. Howard may be contacted at robert.howard@pillsburylaw.com Ms. Huang may be contacted at emily.huang@pillsburylaw.com Read the court decision
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Common Construction Contract Provisions: No-Damages-for-Delay Clause

March 16, 2017 — David Cook & Chadd Reynolds - Autry, Hanrahan, Hall & Cook, LLP Blog
In continuing our series on common contract provisions found in construction contracts, this post highlights no-damages-for-delay clauses. Parties to a contract – particularly a construction contract – may agree that the performance of the contract must occur within a set amount of time. When a party is delayed in performing a contract, it may incur additional costs due to the delay. In most circumstances, unless the parties agree otherwise, the delayed party would be entitled to an extension of time to perform the contract. But it may also seek to recover the additional costs resulting from the delay. A no-damages-for-delay clause attempts to prevent the delayed party from recovering those additional costs. In construction contracts, an upstream party, such as an owner or prime contractor, typically relies on a no-damages-for-delay clause when presented with a delay claim by a downstream party, such as a subcontractor. Reprinted courtesy of David Cook, Autry, Hanrahan, Hall & Cook, LLP and Chadd Reynolds, Autry, Hanrahan, Hall & Cook, LLP Mr. Cook may be contacted at cook@ahclaw.com Mr. Reynolds may be contacted at reynolds@ahclaw.com Read the court decision
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Illinois Legislature Passes Bill Allowing Punitive Damages In Most Wrongful Death Actions

June 05, 2023 — John Hackett & Jarred Reed - Lewis Brisbois
Madison County, Ill. (May 19, 2023) – On May 18, 2023, the Illinois legislature passed House Bill 0219, amending the Illinois Wrongful Death Act to allow for the recovery of punitive damages in wrongful death actions. The bill will soon be sent to the Governor’s desk for signature. If signed into law, the statutory change will allow heirs of decedents to recover punitive damages in wrongful death actions. The proposed amendment to the Illinois Wrongful Death Act is underlined below: Whenever the death of a person shall be caused by wrongful act, neglect or default, and the act, neglect or default is such as would, if death had not ensued, have entitled the party injured to maintain an action and recover damages including punitive damages when applicable, in respect thereof, then and in every such case the person who or company or corporation which would have been liable if death had not ensued, shall be liable to an action for damages, including punitive damages when applicable, notwithstanding the death of the person injured, and although the death shall have been caused under such circumstances as amount in law to felony. Nothing in this Section affects the applicability of Section 2-1115 of the Code of Civil Procedure or Section 2-102 or 2-213 of the Local Governmental and Governmental Employees Tort Immunity Act. Punitive damages are not available in action for healing art malpractice or legal practice or in an action against the State or unit of local government or an employee of a unit of local government in his or her official capacity. The changes made to this Section by this amendatory Act of the 103rd general Assembly apply to actions filed on or after the effective date of this amendatory Act. Reprinted courtesy of John Hackett, Lewis Brisbois and Jarred Reed, Lewis Brisbois Mr. Hackett may be contacted at John.Hackett@lewisbrisbois.com Mr. Reed may be contacted at Jarred.Reed@lewisbrisbois.com Read the court decision
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Will On-Site Robotics Become Feasible in Construction?

April 13, 2017 — Aarni Heiskanen – AEC Business
Over the last few years we’ve seen concepts and pilot projects for construction site robotics. Peter Novikov, Enrico Dini, Wolf D. Prix, and others have shown what on-site robotics can already accomplish. There are still hurdles to overcome, but the convergence of several technologies is making the automated construction site look attainable. Construction robotics is not a fad. In his keynote at AEC Hackathon Munich in April 2017, Professor Thomas Bock showed examples of construction robotics beginning in the early 1970s. The first construction robots were designed in Japan for manufacturing prefabricated modular homes. Already in the late 1970s, plans were made for extensive use of on-site construction robots. Read the court decision
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Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aarni@aepartners.fi

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