What If There Is a Design Error?
October 30, 2023 —
Scott L. Baker - Los Angeles Litigation BlogMany challenges can crop up when working on a construction project. Among these challenges, errors are the last thing that contractors or project owners want to face. Yet, they are not uncommon as you navigate the process.
Design errors or mistakes are one such issue that can result in serious construction disputes and delays. It is important to determine who is liable when it comes to defects and design errors.
So, who is responsible for design errors?
Many might assume the architect – or the person who created the project design – is responsible for design errors. That is not necessarily true.
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Scott L. Baker, Baker & AssociatesMr. Baker may be contacted at
slb@bakerslaw.com
Housing Starts in U.S. Surge to Seven-Year High as Weather Warms
May 20, 2015 —
Sho Chandra – BloombergNew residential construction in the U.S. surged in April to the highest level in more than seven years, indicating the industry has moved beyond a weather-related soft patch to regain strength.
Housing starts jumped 20.2 percent to a 1.14 million annualized rate, the most since November 2007, from a 944,000 pace in March, a Commerce Department report showed Tuesday in Washington. The median forecast of 83 economists surveyed by Bloomberg was 1.02 million. More permits, a proxy for future construction, were issued than at any time since June 2008.
An improving labor market and mortgage costs close to multiyear lows are reviving residential construction, a sign that the weakness in early 2015 was probably due to harsh winter weather. Builders including PulteGroup Inc. have said the spring selling season is off to a good start, and sentiment data for May showed developers are optimistic about the next six months.
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Shobhana Chandra, Bloomberg
Ornate Las Vegas Palace Rented by Michael Jackson for Sale
August 13, 2014 —
Emily Heffter – BloombergA unique and ornate palace for sale in Las Vegas was home to Michael Jackson in the strange and isolated years before his death. In fact, the King of Pop was the last tenant in the 24,000-square-foot estate, and his portrait still hangs above the fireplace.
Jackson eschewed the main house and lived in the guest villa while he was rehearsing for his Las Vegas show, The One, from 2007-2009, according to listing agent Eddy Martinez of Miami Beach-based Worldwide Properties. To avoid the paparazzi, Jackson traveled through a tunnel under the main house and got directly into a car parked at the end of it, Martinez said.
The Hacienda Palomino has only had two owners since theater developer Horst Schmidt built it in 1952. The home at 2710 Palomino Ln is "enchanting," said Martinez, and the property's unique features — including a musical note insignia used as an architectural feature — intrigued the late superstar.
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Emily Heffter, Bloomberg
U.S. Stocks Fall as Small Shares Tumble Amid Home Sales
September 24, 2014 —
Joseph Ciolli and Callie Bost – BloombergU.S. stocks fell, led by a plunge among small companies, as sales of existing homes unexpectedly dropped and China’s finance minister damped stimulus hopes.
The Russell 2000 Index of small-cap stocks sank 1.6 percent, the most since July. Yahoo! Inc. (YHOO) dropped 2.3 percent to lead the Dow Jones Internet Composite Index to a one-month low. Alibaba Group Holding Ltd. slid 2.1 percent after surging in its trading debut Sept. 19.
The Standard & Poor’s 500 Index dropped 0.7 percent to 1,997.37 at 11:24 a.m. in New York, after closing at a record Sept. 18. The benchmark gauge hasn’t had a four-day slide this year and hasn’t fallen 10 percent in three years. The Dow Jones Industrial Average slid 58.40 points, or 0.3 percent, to 17,221.34.
Mr. Ciolli may be contacted at jciolli@bloomberg.net; Ms. Bost may be contacted at cbost2@bloomberg.net
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Joseph Ciolli and Callie Bost, Bloomberg
Another Reminder that Your Construction Contract Language Matters
June 06, 2018 —
Christopher G. Hill - Construction Law MusingsHere at Musings, I have often (some might say too often) discussed the fact that in Virginia (as well as other places), your construction contract language will be strictly enforced. I have also discussed the need for attorney fees provisions as well as other language in order to mitigate your risk as a contractor. A recent case from the City of Roanoke Circuit Court discussed both of these principals and their intersection.
In LAM Enterprises, LLC v. Roofing Solutions, Inc., the Roanoke Court looked at a contract between LAM and Roofing Solutions, Inc. that contained two provisions of the construction contract between the parties. The first provision limited the liability of Roofing Solutions to the contract price. The second provision is a relatively typical “prevailing party” attorney fees provision in which the winner of any lawsuit would be entitled to collect its attorney fees. For the specific language of these provisions, I commend the opinion linked above for your reading.
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Christopher G. Hill, The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Construction Litigation Roundup: “Apparently, It’s Not Always Who You Know”
December 16, 2023 —
Daniel Lund III - LexologyA respondent party in a pair of international arbitrations on the losing end of roughly $285,000,000 in adverse awards attacked the awards based upon arbitrator bias.
“If there is one bedrock rule in the law of arbitration, it is that a federal court can vacate an arbitral award only in exceptional circumstances. … The presumption against vacatur applies with even greater force when a federal court reviews an award rendered during an international arbitration.”
Applying the Federal Arbitration Act (according to the court, the international arbitrations were “seated” in the United States and fell under the New York Convention, such that the FAA is required to be the basis for vacatur efforts), the court examined assertions that certain alleged non-disclosures by the panel “concealed information related to the arbitrators’ possible biases and thereby ‘deprived [respondent] of [its] fundamental right to a fair and consensual dispute resolution process.’” The aggrieved party urged that one arbitrator’s undisclosed nomination of another arbitrator to serve as president of another arbitral panel – “a position that sometimes pays hundreds of thousands of dollars” – possibly influenced the second arbitrator to side with the first. Assertions were also levied that the arbitrators’ undisclosed work with the attorneys for the claimant in other arbitrations “allowed them to become familiar with each other, creating a potential conflict of interest.”
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Daniel Lund III, PhelpsMr. Lund may be contacted at
daniel.lund@phelps.com
Kahana & Feld P.C. Enhances Client Offerings, Expands Litigation Firm Leadership
March 22, 2017 —
Kahana & Feld, P.C.SANTA ANA, Calif., March 9, 2017 – Celebrating 10 successful years of practice, Managing Partner
Amir M. Kahana, Esq. , of Kahana & Feld P.C. (formally Kahana Law), is pleased to announce he has added as name partner
Jason Daniel Feld, Esq., expanding client offerings to include insurance defense and bolstering its construction defect and real estate law practice.
Feld joins the AV Preeminent firm that for the past decade has become known for its prowess in general business litigation matters, including cases involving employment, construction, real estate and intellectual property law. The firm is home to a group of proven trial attorneys who are among Southern California’s top rated counsel.
Feld brings 18 years of experience, with his practice focusing on defending homebuilders, contractors and developers in Arizona, Texas and California. He primarily chooses to represent smaller, family-owned and operated clients, providing the unique opportunity to also assist with overall best practices and risk prevention. In addition, Feld serves on several prominent insurance carrier panels, allowing him to cultivate valuable relationships with the builder and contactor community. A resident of Tustin Ranch, Feld received his juris doctor cum laude from Whittier Law School and a bachelor’s degree from University of Houston.
“Jason’s breadth of experience, leadership and work ethic are qualities I have admired throughout the many years of our friendship. He embodies the integrity and admirable character that are at the core of our firm’s fabric,” said Kahana, a resident of Irvine. “I am thrilled to have Jason join forces with our firm as we enter our second decade and are poised for significant growth. Our clients will benefit from our expanded areas of practice, allowing us to provide counsel and litigation support in a variety of areas.”
Under Kahana’s leadership, the firm has become known for holding its client relationships in the highest regard while providing premier quality legal services and sound risk assessment at a reasonable cost. With integrity always coming first, the firm’s record of success extends well beyond the office as each associate is proudly involved in his or her community, donating time and resources to a variety of worthy community organizations.
“I feel honored to join Amir and this talented and energetic firm,” said Feld. “I feel fortunate to have found a new home with partners and associates who share the same values and commitment to serving the community. I look forward to helping grow the firm in the years ahead.”
About Kahana & Feld, P.C.
Kahana & Feld, P. C. focuses on general business litigation and insurance defense, with particular emphasis on employment, real estate, construction defect and intellectual property litigation. The AV Preeminent firm is led by attorneys who have been named among Southern California’s Top Rated. The firm was founded with the goal of providing high-quality legal services at fair and reasonable rates. The firm believes that what defines attorneys is not their billing rates, but their record of success, and Kahana & Feld’s track record speaks for itself. For more information, please visit: http://www.kahanafeld.com
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Navigating Abandonment of a Construction Project
March 02, 2020 —
Bremer Whyte Brown & O’MearaNo construction or real estate developments goes completely as planned. Despite the expectation that modifications will likely be necessary to finalize a project, far too many parties suffer losses related to these projects.
In California, abandonment of a project without legal excuse gives rise to a legal claim. An abandonment occurs if there was a material failure to complete any construction project or operation for the price stated in the contract or in any modification of the contact. If abandonment occurs, litigation likely follows.
Disputes most commonly arise when the parties fail to retain a paper trail. Therefore, to limit litigation, document everything. Change orders can offer protection, but they must be in writing. Handshakes or oral promises are not sufficient. Rather, obtain written agreements signed by the contractor, and retain all documentation provided by the contractor, including invoices, receipts, work estimates and change orders.
If the construction project has been abandoned, take photographs and/or videos of the job as it appears. To mitigate damages, preserve any leftover materials that a new contractor may be able to use.
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Bremer Whyte Brown & O’Meara
