2017 Construction Outlook: Slow, Mature Growth, but No Decline, Expected
December 21, 2016 —
Garret Murai – California Construction Law BlogAs we count down the remaining days of 2016 (thank God) it’s time to think about what the new year will bring (I’m good with pretty much anything at this point).
The economists at Dodge Data & Analytics have a few predictions. According to their 2017 Dodge Construction Outlook, they predict that U.S. construction starts will increase modestly in 2017, up 5% to $713 billion, after rather anemic growth in 2016 following several years of steady growth.
According to Robert Murray, chief economist for Dodge Data & Analytics, while the first half of 2016 lagged behind construction activity in 2015, that shortfall grew smaller as the year progressed, easing concern that the construction industry might be in the early stage of a cyclical decline. Rather, according to Murray, it appears that the construction industry has now entered a more mature phase of expansion, one characterized by slower rates of growth than during the 2012-2015 period and that construction spending can be expected to see moderate gains through 2017 and beyond[.]
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Garret Murai, Wendel Rosen Black & Dean LLPMr. Murai may be contacted at
gmurai@wendel.com
Honoring Veterans Under Our Roof & Across the World
November 15, 2017 —
Newmeyer & Dillion, LLPNovember 11, 2017 - In honor of Veterans Day, we would like to take time to acknowledge, honor and thank those who have served in the United States Armed Forces. We are also proud to recognize eleven of our own who have served our great country.
Ben Ammerman – United States Navy
Philip Kopp – United States Air Force
Ryan Manning – United States Marine Corps
Jason Morris – United States Marine Corps
Tyson Nakagawa - United States Marine Corps
Richard Protzmann - United States Marine Corps
Francis Quinlan - United States Marine Corps
Louis “Dutch” Schotemeyer - United States Marine Corps
Christina Soto-Maynez – United States Army
Michael Studenka - United States Marine Corps
Paul Tetzloff - United States Marine Corps
About Us
For more than 30 years, Newmeyer & Dillion has delivered creative and outstanding legal solutions and trial results for a wide array of clients. With over 70 attorneys practicing in all aspects of business, employment, real estate, construction and insurance law, Newmeyer & Dillion delivers legal services tailored to meet each client’s needs. Headquartered in Newport Beach, California, with offices in Walnut Creek, California and Las Vegas, Nevada, Newmeyer & Dillion attorneys are recognized by The Best Lawyers in America©, and Super Lawyers as top tier and some of the best lawyers in California, and have been given Martindale-Hubbell Peer Review's AV Preeminent® highest rating. For additional information, call 949-854-7000 or visit www.ndlf.com.
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Park Avenue Is About to Get Something It Hasn’t Seen in 40 Years
February 05, 2015 —
David M. Levitt – BloombergSometime next week, a metal frame will go up around the blocky brick tower at Manhattan’s 425 Park Ave., designed to protect pedestrians from falling objects. It’s a prelude to the building’s demise.
In about three years, if all goes according to plan, the site will have a new Norman Foster-designed skyscraper more than twice the height of the existing one. The replacement would be the first new office building in almost four decades on what the developer, David Levinson, called New York’s “grand boulevard of commerce.”
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David M. Levitt, Bloomberg
Ohio Supreme Court Rules That Wrongful Death Claims Are Subject to the Four-Year Statute of Repose for Medical Claims
January 16, 2024 —
Lewis Brisbois NewsroomCleveland, Ohio (January 2, 2024) - In a landmark 4-3 ruling, the Supreme Court of Ohio ruled on December 28 that wrongful death claims are subject to the four-year statute of repose contained in O.R.C. 2305.113(C) (“Medical Claim Statute of Repose”). Everhart v. Coshocton County Memorial Hospital, Slip No. 2023-Ohio-4670. Statutes of repose create an absolute bar to filing a lawsuit. When applicable, they bar plaintiffs from filing claims outside a specified time frame. The Medical Claim Statute of Repose creates a four-year window for commencing medical claims, which begins to run from “the occurrence of the act or omission constituting the alleged basis of the medical…claim.” O.R.C. 2305.113(C)(1). Medical claims commenced after the four-year period are barred.
The primary question before the Court was whether a wrongful death claim, which is separate and distinct from a medical negligence claim, can qualify as a “medical claim” within the context of the Medical Claim Statute of Repose. The Court answered in the affirmative. A wrongful death claim can qualify as a medical claim if the wrongful death claim “…arises out the medical diagnosis, care, or treatment, of any person.” O.R.C. 2305.113(E)(3). According to the majority, a wrongful death claim can fall within the broad definition of “medical claim” and, if it does, is subject to the Medical Claim Statute of Repose.
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Lewis Brisbois
Insurer Could Not Rely on Extrinsic Evidence to Circumvent Its Duty to Defend
February 14, 2023 —
Lorelie S. Masters & Yaniel Abreu - Hunton Insurance Recovery BlogIn
First Mercury Insurance Co. v. First Florida Building Corp., et al., a federal district court ordered that an insurer had a duty to defend its insured against an underlying personal injury lawsuit. 2023 WL 23116, at *1 (M.D. Fla. Jan. 3, 2023). First Mercury is a cautionary tale about how insurers may try to circumvent their obligations by improperly considering extrinsic evidence when determining whether they have a duty to defend their insureds.
First Mercury is a coverage dispute over an underlying personal injury lawsuit that was filed against the insured, a construction company, for injuries the claimant allegedly sustained at a construction site. Id. The claimant alleged that he was at the construction site as an invitee who was “working with” the insured. Id. The insurer agreed to defend the insured against the personal injury lawsuit under a reservation of rights. Id. However, the insurer filed a coverage action seeking a declaration that coverage for the personal injury lawsuit was excluded under the policy. Id. Specifically, the insurer, on summary judgment, argued that the claimant was an employee of the insured who was injured in the course of his employment, thus falling within the employer’s liability and workers’ compensation exclusions in the policy. Id. Although the insurer acknowledged that the personal injury complaint against the insured triggered its duty to defend under the policy, the insurer argued that those exclusions relieved its duty to defend or indemnify the insured. Id.
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Lorelie S. Masters, Hunton Andrews Kurth and
Yaniel Abreu, Hunton Andrews Kurth
Ms. Masters may be contacted at lmasters@HuntonAK.com
Mr. Abreu may be contacted at yabreu@HuntonAK.com
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Construction Defect Settlement in Seattle
June 28, 2013 —
CDJ STAFFThe Seattle Post-Intelligencer reports that a settlement has been reached in the Mosler Lofts construction defect claim. The settlement received by the homeowners was for about $8.5 million, which will used for repairs of the construction defects and for paying their legal costs.
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Bel Air Mansion Construction Draws Community Backlash
December 17, 2015 —
Beverley BevenFlorez-CDJ STAFFAccording to the New York Times, a Bel Air hillside mansion in Los Angeles has outraged neighbors who refer to the unfinished, 30,000 square foot and almost 70 feet high building as “the Starship Enterprise.” Despite legal violations such as tearing down the original structure without the city’s permission, the height being twice the legal limit, and digging into the hillside though the site is an “earthquake-induced landslide area,” the case has not progressed much in four years because the actual owner is a shell company.
The New York Times summarized the issues at 901 Strada Vecchia as follows: “After the unapproved teardown and leveling of the hillside, the construction team did ask permission to grade the hill but used a survey that made it appear that workers had not already removed significant loads of dirt. Then they joined two buildings that were supposed to be separate and built so high that they drastically violated the city’s height limit.”
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The Importance of Providing Notice to a Surety
October 21, 2015 —
Craig Martin – Construction Contractor AdvisorA recent case out of Missouri emphasizes the importance of providing notice to a surety when a bonded subcontractor is in default. When the question of whether a surety will be obligated under the bond is in the balance, notice is crucial.
In CMS v. Safeco Insurance Company, Safeco provided a performance bond to a subcontractor for the benefit of CMS. The bond specifically provided:
“PRINCIPAL DEFAULT. Whenever the Principal [Subcontractor] shall be, and is declared by the Obligee [CMS] to be in default under the Subcontract, with the Obligee having performed its obligations in the Subcontract, the Surety [Safeco] may promptly remedy the default, or shall promptly:
4.1 COMPLETE SUBCONTRACT. . . .
4.2 OBTAIN NEW CONTRACTORS. . . .
4.3 PAY OBLIGEE. . . .
4.4 DENY LIABILITY. . .”
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Craig Martin, Lamson, Dugan and Murray, LLPMr. Martin may be contacted at
cmartin@ldmlaw.com