Fairfield Connecticut Building Expert Directory

Preparing Your Business For Internal Transition

October 14, 2019 — Stephen P. Katz, Esq. - ConsensusDocs
When is it right to start thinking about succession planning and preparing a construction company for transition? Many would agree – in concept, at least – that serious thought regarding succession and transition planning should begin at a company’s inception and be revisited throughout its lifecycle, but as a practical matter, it is frequently not part of the mindset when growing a business. This article explores issues that construction company owners should consider in order to achieve smooth transition of ownership and control. We will address three critical questions:

What happens to the business when an owner retires;
In the event an owner(s) become disabled; and,
Unplanned exit/owner pre-deceases her/his exit from the company

Owners who do not plan carefully for transition are often faced with the less than appealing option of liquidating their business for much less than its value, or by closing the business with no return upon that event. However, those who plan carefully can realize the value of their life’s work, pass the business to the next generation and see their legacy continue. Read the court decision
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Reprinted courtesy of Stephen P. Katz, Esq., Peckar & Abramson, P.C.
Mr. Katz may be contacted at skatz@pecklaw.com

Washington’s Court of Appeals Protects Contracting Parties’ Rights to Define the Terms of their Indemnity Agreements

March 19, 2024 — Margarita Kutsin - Ahlers Cressman & Sleight PLLC
It has long been the law in Washington that contracting parties are free to draft contractual indemnity agreements to allocate risk arising from performance of the work, and Courts will generally enforce those agreements as written. This well-settled principle was recently reaffirmed in King County v. CPM Development Corp., dba ICON Materials[1] a decision from Division I of the Washington Court of Appeals, wherein one party to an indemnity agreement attempted to evade its contractual obligations by arguing that certain common law indemnity principles supersede the written terms. This appeal followed a multi-week jury trial from which the client and Ahlers Cressman and Sleight legal team, including Lindsay Watkins, Klien Hilliard, and Christina Granquist, obtained a seven-figure judgment in the client’s favor, including an award of all attorneys’ fees and costs. ICON was the general contractor on a Vashon Island Highway Pavement project for King County. Part of the work on the project involved hauling away and disposing of ground milled asphalt (the “millings”) at King County-approved sites. ICON and D&R Excavating Inc., (“D&R”) executed a subcontract for D&R to perform that work. The subcontract incorporated the contract between ICON and King County, including the obligation to stockpile millings only at approved sites. D&R, however, did not obtain the requisite approvals from King County, and placed the millings at various sites on the Island, including locations that King County explicitly rejected. Read the court decision
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Reprinted courtesy of Margarita Kutsin, Ahlers Cressman & Sleight PLLC
Ms. Kutsin may be contacted at margarita.kutsin@acslawyers.com

How to Prevent Forest Fires by Building Cities With More Wood

December 16, 2023 — Leslie Kaufman - Bloomberg
Deep in Colville National Forest in eastern Washington state, Russ Vaagen is pointing to a delineation between woods that have been selectively thinned and those that haven’t. One side is light-filled and punctuated with meadows; the other is dense and dark and loaded with trees losing a Darwinian battle for water and life. To Vaagen it’s proof that America’s sawmills and lumberjacks can help head off the forest conflagrations that are becoming ever more common, and at the same time provide raw material for an emerging industry, known as mass timber, that makes sustainable wood building components. Read the court decision
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Reprinted courtesy of Leslie Kaufman, Bloomberg

Navigating the New Landscape: How AB 12 and SB 567 Impact Landlords and Tenants in California

March 11, 2024 — Sharon Oh-Kubisch - Kahana Feld
There are various changes in the Landlord-Tenant laws in CA that became effective in 2024. For the purposes of this article, I wanted to focus on Assembly Bill (AB) 12 and Senate Bill (SB) 567 only. Governor Gavin Newsom recently signed AB 12 into law, a legislation that limits the amount landlords can charge for security deposits to just one month’s rent for unfurnished apartments. While the law aims to make housing more accessible, it raises several concerns for landlords and tenants alike. AB 12, was authored by Assemblyman Matt Haney, D-San Francisco; it passed both the Senate and the Assembly houses in September. The legislation introduces a notable shift from existing law, under which landlords can charge up to two months’ rent for an unfurnished unit and three months’ rent for a furnished one. This exception does not apply when the prospective tenant is a military service member, however. Read the court decision
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Reprinted courtesy of Sharon Oh-Kubisch, Kahana Feld
Ms. Oh-Kubisch may be contacted at sokubisch@kahanafeld.com

Subcontractor's Faulty Workmanship Is Not an "Occurrence"

March 16, 2017 — Tred R. Eyerly – Insurance Law Hawaii
The court found there was no duty to defend the subcontractor for alleged faulty workmanship in installing stone veneer at a condominium construction project. Quality Stone Veneer, Inc. v. Selective Ins.Co. of Am., 2017 U.S. Dist. LEXIS 9393 (E.D. Pa. Jan. 23, 2017). Quality Stone Veneer (QSV) entered a subcontract with Mignatti Construction, the general contractor, for development of a condominium. QSV agreed to provide all the materials and labor related to the installation of stone veneer at the project. After construction began, the Association filed a complaint against Mignatti, claiming deficiencies in the construction of the furnace, ventilation, roofing, alarms, sprinklers, electrical and water systems. Mignatti filed a joinder complaint against QSV for contribution and/or indemnity for breach of warranty and negligence. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

How You Plead Allegations to Trigger Liability Insurer’s Duties Is Critical

November 01, 2021 — David Adelstein - Florida Construction Legal Updates
How you plead allegations in your lawsuit to trigger duties of a liability insurance carrier is a critical consideration. If the complaint is not pled appropriately, it can result in the carrier NOT owing a duty to defend its insured, which is the party(ies) you are suing. If there is no duty to defend, there will be no duty to indemnify the insured to cover your damages. For this reason, in a number of circumstances, this is NOT what you want because you want to trigger insurance coverage and potential proceeds to be paid by a carrier to cover your damages. There are times when you are confronted with a case that just is not a good insurance coverage case. This may result in you coming up with creative arguments to maximize insurance coverage. Even in these times, you want to plead the complaint to best maximize coverage under the creative arguments you have developed. An example of not pleading allegations in a complaint to trigger an insurer’s duties can be found in the Eleventh Circuit Court of Appeal’s decision in Tricon Development of Brevard, Inc. v. Nautilus Insurance Co., 2021 WL 4129373 (11th Cir. 2021). This case involved a general contractor constructing condominiums. The general contractor hired a subcontractor to fabricate and install metal railings. The subcontractor had a commercial general liability (CGL) policy that named the general contractor as an additional insured with respect to liability for property damage “caused in whole or in part” by the subcontractor’s direct or vicarious acts or omissions. (This is a good additional insured endorsement.) Read the court decision
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Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

“Incidental” Versus “Direct” Third Party Beneficiaries Under Insurance Policies in Which a Party is Not an Additional Insured

April 18, 2023 — Garret Murai - California Construction Law Blog
As they say, when it rains, it pours. Indemnity and insurance are the “Big Two” when it comes to risk avoidance on construction projects. The next case, LaBarbera v. Security National Security Company, 86 Cal.App.5th 1329 (2022), involves both. It’s an interesting case, which I think could have gone either way, involving claims by a higher-tiered party that they were a third party beneficiary under an insurance policy in which they were not named as an additional insured. The LaBarbera Case The Indemnity Provision and Insurance Policy In June 1016, Chris LaBarbera hired Richard Knight doing business as Knight Construction to remodel his house in Carmichael, California. The construction contract included an indemnity provision which provided that Knight would defend and indemnify LaBarbera from all claims arising out the remodeling work except for claims arising from LaBarbera’s sole negligence and willful misconduct. Read the court decision
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Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

Zinc in London Climbs for Second Day Before U.S. Housing Data

January 21, 2015 — Alex Davis – Bloomberg
Zinc rose for a second day and copper held gains before data showing increased housing construction in the U.S. and a stimulus decision by the European Central Bank. Zinc advanced as much as 0.8 percent. Housing starts in the U.S., the second-largest metals consumer, climbed 1.2 percent in December from the previous month, according to a Bloomberg survey, after falling 1.6 percent in November. The ECB will announce a 550 billion-euro ($636 billion) government-bond purchase program this week, according to 93 percent of respondents in a separate survey. Read the court decision
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Reprinted courtesy of Alex Davis, Bloomberg
Mr. Davis may be contacted at adavis150@bloomberg.net

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