Construction Executives Expect Improvements in the Year Ahead
November 12, 2019 —
Joe Galvin - Construction ExecutiveVistage’s recent survey captured responses from 1,463 CEOs of small and mid-sized businesses in a variety of industries across the United States. Included in this national data is 224 responses from CEOs in the construction industry, a reliable base for comparing the sentiment of CEOs in construction to the national base.
Each quarter, the survey captures:
- CEO sentiment on the current and future state of the national economy;
- Expectations for revenue and profitability; and
- Expansion plans, specifically hiring and investments.
CONSTRUCTION CEOS ARE OPTIMISTIC ABOUT THE FUTURE
When asked about revenue expectations, 65% of CEOs in construction reported projections for increased revenues in the coming year, which is on par with the national results. Additionally, 61% expect their profitability to improve over the next 12 months, notably higher than the national figure of 54%.
Reprinted courtesy of
Joe Galvin, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Will They Blow It Up?
March 28, 2012 —
CDJ STAFFThe issues concerning the Harmon Towers building in Las Vegas continue to make their way through the courts. As we noted in a previous piece, Cook County building officials stated that the building could be a hazard if Las Vegas were struck by an earthquake. The question of whether the building will continue to stand is just one of the issues in front of a judge.
MGM Resorts International argued at a March 13 hearing for permission to implode the Harmon hotel building. They claim that more than 1,700 defects have been discovered in the building and that the building is a public safety hazard. Arguing against demolition, Perini Building Company, the general contractor for the hotel, and its subcontractors are claiming that imploding the building would destroy evidence and prejudice juries in the ongoing construction defect claims. They claim that MGM Resorts wishes to abandon the building due to the economic slowdown. Perini Corp, the contractor for the project, claims that the building can be fixed. Perini claims that MGM’s position in the construction trial would be improved if the building is demolished.
After Judge Elizabeth Gonzalez heard the four days of testimony on the Harmon Towers building and whether it should be demolished, she scheduled more testimony, with two days in April and an entire week in July. Judge Gonzalez will be deciding whether the building will be torn down, imploded, or left in place.
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Connecticut Crumbling Concrete Cases Not Covered Under "Collapse" Provision in Homeowner's Policy
July 01, 2019 —
Kerianne E. Kane - Saxe Doernberger & Vita, P.C.What do you do when your house falls out from underneath you? Over the last few years, homeowners in northeastern Connecticut have been suing their insurers for denying coverage for claims based on deteriorating foundations in their homes. The lawsuits, which have come to be known as the “crumbling concrete cases,” stem from the use of faulty concrete to pour foundations of approximately 35,000 homes built during the 1980s and 1990s. In order to save their homes, thousands of homeowners have been left with no other choice but to lift their homes off the crumbling foundations, tear out the defective concrete and replace it. The process typically costs between $150,000 to $350,000 per home, and homeowner’s insurers are refusing to cover the costs. As a result, dozens of lawsuits have been filed by Connecticut homeowners in both state and federal court.
Of those cases, three related lawsuits against Allstate Insurance Company were the first to make it to the federal appellate level.1 The Second Circuit Court of Appeals was tasked with deciding one common issue: whether the “collapse” provision in the Allstate homeowner’s policy affords coverage for gradually deteriorating basement walls that remain standing.
The Allstate policies at issue were “all-risk” policies, meaning they covered “sudden and accidental direct physical losses” to residential properties. While “collapse” losses were generally excluded, the policies did provide coverage for a limited class of “sudden and accidental” collapses, including those caused by “hidden decay,” and/or “defective methods or materials used in construction, repair or renovations.” Covered collapses did not include instances of “settling, cracking, shrinking, bulging or expansion.”
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Kerianne E. Kane, Saxe Doernberger & Vita, P.C.Ms. Kane may be contacted at
kek@sdvlaw.com
Strangers in a Strange Land: Revisiting Arbitration Provisions to Account for Increasing International Influences
July 16, 2023 —
William Underwood - ConsensusDocsArbitration is nothing new. Neither is globalization. But the two are coming together in ways that have incrementally influenced the manner in which many arbitrations are now conducted. And this merits a re-examination of old arbitration clauses to account for some of these new influences. With that in mind, this article will examine some basic considerations when examining arbitration agreements within a construction industry that continues to see the increasing participation of foreign companies in domestic projects. Although this is not a comprehensive review of best drafting practices, nor is it a full survey of the differences between domestic and international arbitration, this article will nonetheless highlight a few basic concepts to keep in mind when reviewing arbitration clauses.
As a basic starting point, the continuing globalization of the construction industry has led to distinct impacts on the ways in which parties conduct arbitrations in the United States. The increased participation of international companies in domestic construction projects has naturally led to the application of international legal concepts to domestic alternative dispute resolution. And the increasing prevalence of these international concepts has led to a number of important trends that can impact the way arbitrations are handled.
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William Underwood, Jones & Walker (ConsensusDocs)Mr. Underwood may be contacted at
wunderwood@joneswalker.com
Obtaining Temporary Injunction to Enforce Non-Compete Agreement
June 09, 2016 —
David Adelstein – Florida Construction Legal UpdatesWhen a party breaches a
non-compete agreement (with a
non-solicitation clause), the non-breaching party typically moves for a
temporary injunction. The breaching party is the party that signed the
non-compete agreement, such as a former employee or consultant that agreed not to solicit its employer’s customer lists or
referral sources upon leaving. The non-breaching party or the party moving for the
temporary injunction is the party that is looking to protect its trade secret customer lists or referral sources, such as the employer.
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David M. Adelstein, Kirwin NorrisMr. Adelstein may be contacted at
dma@kirwinnorris.com
Dispute Review Boards for Real-Time Dispute Avoidance and Resolution
August 20, 2019 —
Neal J. Sweeney, Esq. - ConsensusDocsThe use of dispute tribunals generally referred to as Dispute Review Boards or DRBs on major projects has matured. Use of a DRB cannot guarantee elimination of post-project litigation, but when used properly, a DRB can be an enormously effective tool to avoid and resolve disputes rapidly and during construction.
The modest out-of-pocket costs of a DRB can pay big dividends. DRBs offer the opportunity to shorten the life cycle of a dispute by requiring the principals to confront and address the merits of their dispute, rather than simply hunkering down and focusing on posturing and preparing for arbitration or litigation. Even when a DRB cannot immediately resolve a dispute, the process can still facilitate subsequent settlement and cost-effectively prepare both parties for formal adjudication. DRBs can also enhance communications and help the parties avoid and resolve problems before they spiral into disputes.
DRBs were first and are most widely used on big civil and infrastructure projects, but the benefits of a DRB extend equally to major building projects, particularly hospitals, and industrial projects and should be used in those sectors.
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Neal J. Sweeney, Esq., Jones Walker LLPMr. Sweeney may be contacted at
nsweeney@joneswalker.com
Lewis Brisbois Listed as Top 10 Firm of 2022 on Leopard Solutions Law Firm Index
March 27, 2023 —
Lewis Brisbois NewsroomLos Angeles, Calif. (March 17, 2023) – Lewis Brisbois has been listed among the top 10 law firms on the 2022 Leopard Law Firm Index. Billed as "the legal industry's most inclusive and up-to-date firm rating system," the index, published by Leopard Solutions, is a dynamic rating system that is updated twice weekly and focuses on law firms' profitability, viability, growth, and potential opportunity. Each year, Leopard Solutions compiles a list of the index firms' overall scores for the previous year. For 2022, Lewis Brisbois ranked 8th, with an aggregate score of 446 out of a possible 500. Other firms in the top 10 include Kirkland & Ellis, Ropes & Gray, and DLA Piper.
The Leopard Law Firm Index provides insights into law firm health and stability, using a robust list of criteria. This includes growth in attorney headcount, average attorney tenure, increases in revenue per lawyer (RPL) over a five-year period, relative success in lateral recruiting, and general retention of partners and associates, as well as the overall diversity within a firm. In an interview with Law360 Pulse, Leopard Solutions VP of Sales & Marketing Phil Flora noted that the top 10 firms are some of the largest firms with above average ethnic diversity.
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Lewis Brisbois
Intricacies of Business Interruption Claim Considered
January 07, 2015 —
Tred R. Eyerly – Insurance Law HawaiiReaching into the weeds to analyze a business interruption claim, the Massachusetts Court of Appeals determined the cost of ordinary payroll could be included in the calculation of net profit or loss in determining business loss income when business is resumed quickly after a fire. Verrill Farms, LLC v. Farm Family Cas. Ins. Co., 2014 Mass. App. LEXIS 145 (Mass. App. Ct. Nov. 4, 2014).
The insured suffered a fire loss at its farm store. Within two days, the business was reopened at alternate locations at reduced capacity. Within a month, the business had resumed nearly full capacity in temporary locations. No employees were laid off. This allowed the insured to maintain its business and generate income.
The insured submitted a claim for loss of business income, based on its loss of net income in the year after the fire. The insurer paid a sum considerably less than the claim based upon its interpretation of what expenses could be included in a calculation of net profit or loss in order to determine loss of business income. The trial court held that the insurer did not have to pay the cost of ordinary payroll beyond the sixty-day limit, and granted summary judgment in the insurer's favor.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com