Seattle Washington Building Expert Directory

Superior Court Of Pennsylvania Holds That CASPA Does Not Allow For Individual Claims Against A Property Owner’s Principals Or Shareholders

January 07, 2015 — William J. Taylor and Michael Jervis – White and Williams LLP
In Scungio Borst Assocs. v. 410 Shurs Lane Developers, LLC, the Superior Court of Pennsylvania held that an individual principal/shareholder of a property owner could not be held personally liable as an “agent of the owner” for unpaid invoices, penalties, and attorneys fees under the Pennsylvania Contractor and Subcontractor Payment Act (CASPA), 73 P.S. §§ 501-516, even though the property owner itself had failed to make payments allegedly due under a construction contract. CASPA is a Pennsylvania statute which is designed to protect contractors and subcontractors from nonpayment and which, to that end, establishes rules and deadlines for payment under construction contracts between property owners, contractors, and subcontractors. An owner or contractor who does not adhere to the Act’s payment requirements is subject to the imposition of interest, penalties, and attorneys’ fees. In this recent case, the property owner, a limited liability company, had retained the plaintiff contractor to perform construction services on a condominium project. Upon completion of the work, the contractor was not paid approximately $1.5 million that it was owed under the contract. The contractor filed suit under CASPA to obtain the payment it was owed plus interest, penalties and fees, and named both the property owner and its individual principal as defendants. The trial court granted summary judgment to the individual principal on all claims asserted against him, and the contractor appealed, arguing that CASPA allows for claims against both a property owner and its principal when the principal is an “agent of the owner acting with the owner’s authority.” Reprinted courtesy of Michael Jervis, White and Williams LLP and William J. Taylor, White and Williams LLP Mr. Jervis may be contacted at jervism@whiteandwilliams.com; Mr. Taylor may be contacted at taylorw@whiteandwilliams.com Read the court decision
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Construction Defects Claims Can Be Limited by Contract Says Washington Court

February 11, 2013 — CDJ STAFF
The firm Lane Powell has issued a construction law update on the recent Washington Supreme Court decision in Washington State Major League Baseball Public Facility District v. The Baseball Club of Seattle, LP. In the underlying construction defect claim, the Public Facility District found defects in the structural steel at Seattle’s Safeco Field. The contractor, Huber, Hunt & Nichols-Kiewit Construction Company claimed that construction claims could not be made, as it was barred by the statue of repose. Washington State has a six-year limitation on its statute of repose, however, the court noted that the contract contained a clause that, as noted by Lane Powell, “any alleged causes of action automatically accrue at substantial contemplation,” instead of within six years of substantial completion. The court concluded that the statue of repose could be rendered inoperative by contract. Further, the court found that these contract clauses pertained to subcontractors as well. Nevertheless, as PFD is a subdivision of the state, the court found that no statue of limitations could be appled. Read the court decision
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Effects of Amendment to Florida's Statute of Repose on the Products Completed Operations Hazard

November 06, 2018 — Richard W. Brown & Grace V. Hebbel - Saxe Doernberger & Vita, P.C.
Recent amendments to Florida’s Statute of Repose have resulted in concerns as to the scope of risk Florida homebuilders face as a result, and the availability of insurance coverage for such exposures. Previously, the statute provided for a strict, yet straightforward 10-year limitation for latent construction defect claims. Under that language, issues arose when suits were filed near expiration of the statute, because parties seeking to defend claims were given little time to effectively assert related claims. The amendment to the statute serves to lengthen the statute of repose to 11 years for certain cross-claims, compulsory counterclaims, and third-party claims, and in limited circumstances, potentially even longer. Most policies in the Florida marketplace serve to limit coverage under the products-completed operations hazard (“PCO”) to 10 years, and thus, in very limited circumstances, an insured contractor may be exposed to third-party claims under the revised statute. It is important to note, however, that coverage under most CGL policies is occurrence-based, meaning that the policy is triggered by property damage that occurs during the policy period, and therefore, any subsequent claims permitted under the amended statute will necessarily relate to the original property damage that occurred during the 10-year period, and thus, would be covered under the standard 10-year PCO extension. This paper will analyze the anticipated effect of the amendments upon coverage under a 10-year PCO extension. Reprinted courtesy of Richard W. Brown, Saxe Doernberger & Vita P.C. and Grace V. Hebbel, Saxe Doernberger & Vita P.C. Mr. Brown may be contacted at rwb@sdvlaw.com Ms. Hebbel may be contacted at gvh@sdvlaw.com Read the court decision
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Contracts and Fraud Don’t Mix (Even for Lawyers!)

August 24, 2020 — Christopher G. Hill - Construction Law Musings
In prior posts here at Construction Law Musings, I have discussed how fraud and contracts are often like oil and water. While there are exceptions, these exceptions are few and far between here in Virginia. The reason for the lack of a mix between these two types of claims is the so-called “source of duty” rule. The gist of this rule is that where the reason money is owed from one party to another (the source of the “duty to pay”) is based in the contract, Virginia courts will not allow a fraud claim. The rule was created so that all breaches of contract, claims that are at base a failure to fulfill a prior promise and could, therefore, be considered to be based on a prior “lie,” would not be expanded to turn into tort claims. This rule has been extended to claims that most average people (read, non-lawyers) would consider fraud because there was no intent to fulfill the contract at the time it was signed. Just so you don’t think that lawyers are exempt from this legal analysis, I point you to a recent case where a law firm sued a construction client of theirs for failure to pay legal fees. In EvansStarrett PLC v. Goode & Preferred General Contracting, the Fairfax County Circuit Court considered a motion by the Plaintiff law firm seeking to add a count of fraud to its breach of contract lawsuit. The Court considered the following facts. Read the court decision
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

The Golden State Commits to Going Green – Why Contractors Will be in High Demand to Build the State’s Infrastructure

November 28, 2018 — Karla Pascarella & Alexa Magrath - Peckar & Abramson, P.C.
On September 10, 2018 California’s Governor took an ambitious stance on environmental policy and signed Senate Bill 100 (“SB100”). The bill accelerates several Renewables Portfolio Standards (“RPS”) deadlines previously established by former Governor Arnold Schwarzenegger. The bill’s most notable effect—it requires that 100 percent of California’s electricity come from renewable and zero-carbon sources by 2045. California is the second state in the nation to pass such legislation; Hawaii passed a similar bill in 2015. The passage of this bill could not be timelier as wildfires, drought, and record high temperatures continue to make national headlines. California, as it often does, has taken a contrarian position as the federal government attempts to reinvigorate the coal mining industry in America. Coal and other fossil fuels used to produce energy increase air pollution and deplete necessary ozone. California has been experimenting and utilizing renewable energy technology since as early as 1997. According to the California Energy Commission, by the end of 2017 California generated approximately 32 percent of its energy from renewable sources. Reprinted courtesy of Karla Pascarella, Peckar & Abramson, P.C. and Alexa Magrath, Peckar & Abramson, P.C. Ms. Pascarella may be contacted at kpascarella@pecklaw.com Ms. Magrath may be contacted at amagrath@pecklaw.com Read the court decision
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Environmental Justice Legislation Update

May 17, 2021 — Anthony B. Cavender - Gravel2Gavel
Environmental Justice, as an urgent priority of the Federal Government, dates back to 1994, and President Clinton’s issuance of Executive Order 12898. This order directed federal agencies to identify and address, as appropriate, the disproportionately high and adverse human health and environment effects of its many programs, policies and procedures on minority populations and low-income populations. The primary legal basis for this order was Title VI of the Civil Rights Act of 1964, in particular, Sections 601 and 602, which prohibit discrimination in programs and activities receiving federal financial aid and assistance. Over the years, the Supreme Court has reviewed the scope and importance of Title VI. In Alexander v. Sandoval, decided in 2001, the Court concluded that while private parties could sue to enforce Section 601 or its implementing regulations, as written, Section 601 only prohibits intentional discrimination. Noting that disproportionate impact is not the sole touchstone of invidious racial discrimination. Moreover, the Court also ruled in Sandoval that private parties cannot sue to enforce regulations implementing Section 602. Perhaps as an acknowledgement of these shortcomings, the Environmental Protection Agency (EPA) has established an administrative system to process environmental justice complaints at 40 CFR Part 7. Without strengthening the statutory base of environmental justice, the program may continue to be the subject of countless symposiums and seminars. However, this may change soon. Read the court decision
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Reprinted courtesy of Anthony B. Cavender, Pillsbury
Mr. Cavender may be contacted at anthony.cavender@pillsburylaw.com

Know and Meet Your Notice Requirements or Lose Your Payment Bond Claims

May 17, 2021 — Chris Broughton, Jones Walker LLP - ConsensusDocs
Time is of the essence in the construction industry, and failing to provide timely notice of your payment bond claim can end your chance of recovery. Payment bonds guarantee payment for the subcontractors and suppliers who provide labor or materials on covered construction projects. Federal and state statutes governing payment bonds on public projects and the specific terms of non-statutory, private payment bonds have strict notice and timing requirements. Claimants who fail to provide timely notice can forfeit their chance of recovery. This article provides a brief overview of the notice requirements for payment bond claims – who has to give notice, what notice is required, and when you have to give notice. Payment bond protection is a frequent feature in construction. Payment bonds are required on most federal construction projects of over $100,000 under the federal Miller Act. Similar state statutes, typically referred to as “Little Miller Acts,” also require payment bonds on most state and local construction projects. Owners on private projects may require their general contractor to provide a payment bond to protect the property from liens. Finally, general contractors may also require subcontractors to provide payment bonds on public or private projects. Read the court decision
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Reprinted courtesy of Chris Broughton, Jones Walker LLP
Mr. Broughton may be contacted at cbroughton@joneswalker.com

Seattle Expands Bridge Bioswale Projects

May 11, 2020 — Jim Parsons - Engineering News-Record
The success of engineered systems to capture stormwater runoff from Seattle’s Aurora Avenue Bridge has spurred construction of additional measures that proponents say will increase total filtering capacity by another two million gallons per year. Jim Parsons, Engineering News-Record ENR may be contacted at ENR.com@bnpmedia.com Read the full story... Read the court decision
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SEATTLE WASHINGTON BUILDING EXPERT DIRECTORY AND CAPABILITIES