Creating a Custom Home Feature in the Great Outdoors
July 09, 2014 —
Beverley BevenFlorez-CDJ STAFFWhen a resort designer and a spa director join together to create a custom home, what do you get? An outdoor tub that resides on a balcony overlooking the San Francisco Bay.
According to Custom Home, Scott Lee, president of SB Architects, and his wife had the “custom cast concrete tub…craned into place on the third-story deck while avoiding an established oak tree.” A radiant heat lamp makes the outdoor bathing area practical, while the curved backrest, remote controlled dimmable lights, and music make the experience luxurious.
“Tubs are more about relaxing then getting clean,” Lee told Custom Home. “Being out here among the branches with views of San Francisco, it really is like a resort.”
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What Sustainable Building Materials Will the Construction Industry Rely on in 2020?
March 23, 2020 —
Emily Folk - Construction ExecutiveThe construction industry has had a successful year in developing new ways to make building sustainable and healthy for citizens. From recycled glass to cork, there's been an abundance of materials used for creating better structures. Many of these trends will roll over into 2020, but there's no doubt that a new crop of green solutions will surface.
Construction companies and contractors will benefit from keeping staying on the leading edge of new trends. Environmentalism is on everyone's minds, and consumers want sustainable structures for their attractiveness and eco-friendly properties. Implementing the next best resources puts engineers ahead of the competition while preserving the planet.
The Benefits of Sustainable Construction
Eco-friendly buildings offer numerous benefits to their builders and owners. They generate less waste, require less energy and output less carbon dioxide, making the Earth cleaner. Because they consist of high-quality materials, they help building owners save money on maintenance and upkeep. These funds can go toward other necessary expenses, such as purchasing inventory or implementing upgrades for tenants.
Reprinted courtesy of
Emily Folk, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Risk Transfer: The Souffle of Construction Litigation
December 13, 2022 —
Alexa Stephenson & Ivette Kincaid - Kahana FeldWho does not love a good souffle?! Enthusiasts will know that a great souffle is not something you can obtain quickly. Rather, it is common in restaurants to order the souffle as dessert at the beginning of the meal because it takes an hour to bake. Risk transfer – like a good souffle – also requires planning, preparation, and the right ingredients.
In construction litigation, attorneys are often not retained until after the project has been completed for several years as the dispute between the homeowner and the general contractor or developer took time to escalate to formal litigation. A significant part of defense counsel’s legal analysis involves assessing and evaluating risk transfer opportunities. For example, in the case of a general contractor or developer who did not self-perform the construction work but instead retained subcontractors to do so, counsel will assess if risk can be transferred from the general contractor or developer to the subcontractors who performed the work which the homeowners allege is defective. In other words, a developer or general contractor can reduce their risk (i.e. liability and money owed) by transferring said risk (i.e. pointing the finger at) to a third party.
Sounds easy, right? Unfortunately, just like the souffle making process, it is easier said than done. This task can be exceedingly difficult in the absence of contracts that contain strong indemnity and insurance provisions – the essential ingredients to effect risk transfer. Worry not! We have provided “baking” instructions for you below to help you get a great risk transfer souffle time and again.
Reprinted courtesy of
Alexa Stephenson, Kahana Feld and
Ivette Kincaid, Kahana Feld
Ms. Stephenson may be contacted at astephenson@kahanafeld.com
Ms. Kincaid may be contacted at ikincaid@kahanafeld.com
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Dynamics of Managing Professional Liability Claims for Design Builders
February 21, 2022 —
Eric M. Clarkson - Saxe Doernberger & Vita, P.C.Nearly half of America’s construction projects are now design-build in a continuing shift. As a result, contractors are taking on more professional liability (“PL”) risk than ever before, and the risk management landscape is changing. There are unique challenges to managing PL risks and claims. Specifically, PL coverage requires proactive claim management and project coordination. As a result, design-build projects should involve significant collaboration amongst all of the parties involved in the project.
Claims Made Coverage Considerations
PL policies typically provide three types of coverage:
- Professional Liability covers defense and indemnity against claims arising out of acts or omissions of the insured in rendering a defined set of professional services –including construction management, project management, and design work in the design build context.
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Eric M. Clarkson, Saxe Doernberger & Vita, P.C.Mr. Clarkson may be contacted at
EClarkson@sdvlaw.com
Federal Judge Refuses to Limit Coverage and Moves Forward with Policyholder’s Claims Against Insurer and Broker
December 07, 2020 —
Michael S. Levine & Casey L. Coffey - Hunton Insurance Recovery BlogOn November 10, 2020, a New York federal judge dismissed an insurer’s counterclaims seeking to cap its exposure under a $15 million sublimit and an order estopping the policyholder from pursuing any additional amounts.
In February 2017, Plaintiff Pilkington North America, Inc. (Pilkington), suffered between $60 and $100 million in damage from a tornado that struck its glass manufacturing factory in Illinois. Pilkington sought coverage for its loss under a commercial property and business interruption policy issued by Defendant Mitsui Sumitomo Insurance Company (MSI). Pilkington also claimed its insurance broker, Aon Risk Services Central, Inc. (Aon), is liable for faulty advice provided while brokering the policy. Aon’s negligence allegedly gave way to MSI’s fraudulent revision of the insurance policy, which caused the losses from the tornado to not be fully compensable.
Pilkington’s fraud and faulty brokering claims stem from MSI’s revision of an endorsement contained in the policy. The revision changed the wording of a windstorm sublimit. Allegedly, Aon was informed by MSI of the changes and failed to inform Pilkington that the revision would substantially reduce coverage for windstorms, including tornados.
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Michael S. Levine, Hunton Andrews KurthMr. Levine may be contacted at
mlevine@HuntonAK.com
Are Millennials Finally Moving Out On Their Own?
July 16, 2014 —
Beverley BevenFlorez-CDJ STAFFBrad Hunter of Big Builder reported that there is “some evidence that young people who had moved in with their parents or relatives are now finding the means and the motivation to move out and get their own place.”
According to the 2013 Current Population Survey (as quoted by Big Builder), there was “a drop in the percentage of twenty-somethings living with parents. This was the first decline since 2005, back when the speculative foundations of the housing market started to crumble.” However, a study by the Harvard Joint Center on Housing found that “2.1 million more people between in their 20's lived with their parents than would have typically been the case based on normal headship rates.” This demonstrates that demand for housing should increase as this group gets older and decides to break out on their own.
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Government Claims Act Does Not Apply to Actions Solely Seeking Declaratory Relief and Not Monetary Relief
March 25, 2024 —
Garret Murai - California Construction Law BlogPerhaps it should come as no surprise, but public entities get special treatment under the law, and when filing a claim against a public entity, in most cases, a claimant is required to file a claim with the public entity before filing suit under the Government Claims Act (Gov. Code §810 et seq.).
But, as the next case demonstrates, that’s not always the case. In Stronghold Engineering Incorporated v. City of Monterey, 96 Cal.App.5th 1203 (2023), the 6th District Court of Appeals examined whether a public works contractor that alleged an extended overhead claim was required to file a Government Claims Act claim before filing suit when its initial complaint was limited to a claim for declaratory relief.
The Stronghold Case
In December 2015, general contractor Stronghold Engineering Incorporated entered into a construction contract with the City of Monterey for the renovation of the City’s conference center and an adjacent city-owned plaza. The construction contract provided that any modification to the construction contract had to be approved by the City through a written change order. No surprise there.
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Garret Murai, Nomos LLPMr. Murai may be contacted at
gmurai@nomosllp.com
Loan Modifications Due to COVID-19 Pandemic: FDIC Answers CARES Act FAQs
May 11, 2020 —
Nancy Sabol Frantz, Marissa Levy, Timothy E. Davis & Kristen E. Andreoli - White and WilliamsIn support of financial institutions and borrowers during the COVID-19 pandemic, the newly enacted Coronavirus Aid, Relief, and Economic Security Act (CARES Act) includes a number of provisions permitting lenders to suspend, during a covered period, requirements under U.S. Generally Accepted Accounting Principles (GAAP) with respect to categorizing certain loan modifications as a troubled debt restructuring (TDR) due to COVID-19. In light of the CARES Act, the Federal Deposit Insurance Corporation (FDIC) issued a series of answers to FAQs for financial institutions with respect to loan modifications. The FAQs help guide lenders as well as borrowers as they address pending defaults under existing credit facilities. The FAQs encourage financial institutions to work with borrowers who may be unable to meet their payment obligations due to COVID-19 in several ways:
Payment Accommodations
Short-term accommodations which modify, extend, suspend or defer repayment terms should be intended to facilitate the borrower’s ability to work through the immediate impact of the virus. According to the FAQs, all loan accommodation programs should ultimately be targeted towards repayment. To that end, the FDIC recommends that financial institutions address deferred or skipped payments by either extending the original maturity date or by making those payments due in a balloon payment at the maturity date of the loan.
Reprinted courtesy of White and Williams attorneys
Nancy Sabol Frantz,
Marissa Levy,
Timothy E. Davis and
Kristen E. Andreoli
Ms. Frantz may be contacted at frantzn@whiteandwilliams.com
Ms. Levy may be contacted at levymp@whiteandwilliams.com
Mr. Davis may be contacted at davist@whiteandwilliams.com
Ms. Andreoli may be contacted at andreolik@whiteandwilliams.com
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