Fairfield Connecticut Building Expert Directory

Real Estate & Construction News Round-Up (09/21/22) – 3D Printing, Sustainable Design, and the Housing Market Correction

October 17, 2022 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
The first 3D-printed home is under construction, construction contractors could face liability for not securing employee data, the housing market correction continues, and more.

Sustainable home design has become key focus of builders and homeowners, helping reduce carbon emissions and other environmental impacts. (Kristi Waterworth, U.S.News)
Construction contractors could face legal consequences for failing to manage employee data correctly. (Robyn Griggs Lawrence, Construction Dive)
The home price correction continues to spread across the U.S., with an interactive map showcasing local housing markets that have been impacted. (Lance Lambert, Fortune)

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Reprinted courtesy of Pillsbury's Construction & Real Estate Law Team

Is A Miller Act Payment Bond Surety Bound by A Default or Default Judgment Against Its Principal?

February 08, 2021 — David Adelstein - Florida Construction Legal Updates
Maguire-O’Hara Construction, Inc. v. Cool Roofing Systems, Inc., 2020 WL 6532852 (W.D. Oklahoma 2020) is an interesting case dealing with suretyship law and the subject of whether a Miller Act payment bond surety is bound by a default or default judgment against its prime contractor (bond principal). In this case, a subcontractor sued a prime contractor for breach of contract and the contractor’s Miller Act payment bond surety for a breach of the payment bond. The prime contractor did not respond to the lawsuit and the subcontractor obtained a default against the contractor. The Miller Act payment bond surety did engage counsel to defend itself in the dispute. Prior to trial, the subcontractor moved in limine to preclude the surety from raising defenses at trial under the subcontract because a default was entered against the prime contractor. The subcontractor argued that the surety should be bound by the default and, therefore, precluded from raising liability defenses under the subcontract. Such a ruling would leave the surety no defenses disputing liability at trial.

[A] suretys’ liability under the Miller Act coincides with that of the general contractor, its principal. Accordingly, a surety [can] plead any defenses available to its principal but [can]not make a defense that could not be made by its principal. Maguire-O’Hara Construction, supra, at *2 (internal citations and quotations omitted).

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Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

Contractor Beware: Design-Build Firms Must Review Washington’s Licensing Requirements

October 16, 2018 — John Krawczyk - Ahlers Cressman & Sleight PLLC
Design-build contracting is a method of project delivery where the contractor provides both architectural/design and building services to the owner. Yet rarely do firms perform both design and building work in equal measure. Rather, in many instances, firms perform the vast majority of their work on the building side while advertising and providing design services for smaller projects using in-house architects. Regardless of the volume of design-build contracting a firm performs, any firms practicing this method of project delivery must be aware of Washington State’s registration requirement under RCW 18.08.420(1), and specifically the condition that a “designated architect” must serve as a partner, manager or director of the firm’s governing structure. Read the court decision
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Reprinted courtesy of John Krawczyk, Ahlers Cressman & Sleight PLLC
Mr. Krawczyk may be contacted at john.krawczyk@acslawyers.com

Brooklyn Atlantic Yards Yields Dueling Suits on Tower

September 03, 2014 — Erik Larson – Bloomberg
Forest City Ratner Cos., the initial developer of Brooklyn’s $4.9 billion Atlantic Yards project surrounding Barclays Center arena, exchanged lawsuits with the Swedish construction firm Skanska AB (SKAB) over claims of design flaws and delays in building a stalled residential tower. The lawsuits, filed today in Manhattan state court, focus on a contract for the 34-floor “modular” residential high-rise building under construction next to the arena for the National Basketball Association’s Brooklyn Nets that opened in 2012 as the centerpiece of the former rail yard and a symbol of the New York borough’s resurgence. Skanska, a Stockholm-based firm that has grown to become New York’s second-largest building contractor, seeks at least $50 million in damages for changes to the building that were made without consultation, according to its complaint. Brooklyn-based Forest City Ratner blames Skanska for the project’s problems, citing “tens of millions of dollars” in cost overruns caused by a lack of skill and a failure to adhere to terms of the 2012 contract. Read the court decision
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Reprinted courtesy of Erik Larson, Bloomberg
Mr. Larson may be contacted at elarson4@bloomberg.net

Corvette museum likely to keep part of sinkhole

June 26, 2014 — Bruce Schreiner – Bloomberg
A massive sinkhole that swallowed eight prized sports cars at the National Corvette Museum has become such a popular attraction that officials want to preserve it — and may even put one or two of the crumpled cars back inside the hole. The board of the museum in Bowling Green, Kentucky, said Wednesday it is in favor of preserving a large section of the sinkhole that opened up beneath the museum in February. It happened when the museum was closed, and no one was injured. What started as a tragedy has turned into an opportunity to lure more people off a nearby interstate to visit the museum, which struggled in prior years to keep its doors open, museum officials said. Read the court decision
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Reprinted courtesy of Bruce Schreiner, Bloomberg

Floating Crane on Job in NYC's East River Has a Storied Past of Cold War Intrigue

January 04, 2018 — Nadine M. Post - Engineering News-Record
Originally Published by CDJ on March 22, 2017 The complex maneuver of lifting heavy prefabricated modules out of New York City's East River to build a university laboratory took careful planning and the work of one particular floating crane with a complicated past. Read the court decision
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Reprinted courtesy of Nadine M. Post, ENR
Ms. Post may be contacted at postn@enr.com

New York Philharmonic Will Open Geffen Hall Two Years Ahead of Schedule

April 11, 2022 — James Tarmy - Bloomberg
After decades of setbacks, the New York Philharmonic will finally perform in a gut-renovated concert hall in October. “The key is—two years early—on budget and on schedule,” says a triumphant Deborah Borda, the president and chief executive officer of the New York Philharmonic, standing under a scaffold in what will be the completely revamped concert hall. A happy ending was by no means guaranteed. The venue, set at New York’s Lincoln Center, had problems almost as soon as its doors opened in 1962. Concertgoers and performers complained that the sound was muddy and deadening. Read the court decision
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Reprinted courtesy of James Tarmy, Bloomberg

U.S. Homebuilder Confidence Rises Most in Almost a Year

June 18, 2014 — Shobhana Chandra – Bloomberg
Confidence among U.S. homebuilders rose in June by the most in almost a year, a sign the residential real estate market is stabilizing after reeling from severe winter weather earlier this year. The National Association of Home Builders/Wells Fargo sentiment gauge climbed to 49 this month from 45 in May, the biggest gain since July 2013, figures from the Washington-based group showed today. Readings greater than 50 mean more respondents report good market conditions. The median forecast in a Bloomberg survey called for 47. Current sales, the outlook for future purchases and prospective buyer traffic all improved this month, today’s figures showed, indicating mortgage rates close to historically low levels and a strengthening job market are sustaining demand. Improving sentiment comes as the world’s largest economy picks up this quarter following a contraction in the first three months of 2014. Read the court decision
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Reprinted courtesy of Shobhana Chandra – Bloomberg
Ms. Chandra may be contacted at schandra1@bloomberg.net

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