Cambridge Massachusetts Building Expert Directory

Truck Hits Warning Beam That Falls, Kills Motorist at Las Vegas Bridge Project

July 11, 2022 — Doug Puppel - Engineering News-Record
A truck carrying an oversized load in northwest Las Vegas on Friday struck a steel beam near a bridge construction site, sending the beam crashing onto a following vehicle and killing its driver, according to the Nevada Dept. of Transportation. Reprinted courtesy of Doug Puppel, Engineering News-Record ENR may be contacted at enr@enr.com Read the full story... Read the court decision
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Business Solutions Alert: Homeowners' Complaint for Breach of Loan Modification Agreement Can Proceed Past Pleading Stage

October 08, 2014 — Krsto Mijanovic, Annette Mijanovic, Blythe Golay - Haight Brown & Bonesteel LLP
In Fleet v. Bank of America, N.A. (No. G050049, published 9/23/14, filed 8/25/14), a California Court of Appeal held that the trial court erred in sustaining the demurrer of a lender, where the homeowners had adequately alleged causes of action for breach of contract, fraud, and promissory estoppel. The homeowners alleged that they made timely payments during the trial period plan under the modification program, but before the last payment was due, the lender foreclosed and their house was sold. The homeowners had applied for a loan modification and were approved for a trial period plan under the modification program. They were required to make three monthly payments and verify financial hardship to permanently modify their loan. The homeowners made two payments and were told that foreclosure proceedings had been suspended. But before the third payment was due, the lender foreclosed. The trial court found that the trial period plan was not a binding loan modification agreement, so the homeowners had no right to any guaranteed loan modification. Reprinted courtesy of Haight Brown & Bonesteel LLP attorneys Krsto Mijanovic, Annette Mijanovic and Blythe Golay Mr. Mijanovic may be contacted at kmijanovic@hbblaw.com Ms. Mijanovic may be contacted at amijanovic@hbblaw.com Ms. Golay may be contacted at bgolay@hbblaw.com Read the court decision
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Playing Hot Potato: Indemnity Strikes Again

September 17, 2015 — Garret Murai – California Construction Law Blog
Indemnity can be like playing hot potato (for those of you closer to the Minecraft generation, in the game of hot potato, a metaphoric “hot potato” is tossed between (ahem amongst) players while music is playing, and when the music stops, the player holding the hot potato is out. It’s a barrel of monkeys, trust me.). Anyway, like hot potato, with indemnity an owner typically requires its general contractor to indemnify the owner (sometimes the property owner in TI projects and occasionally design professionals) from and against any and all claims arising out of, related to . . . blah, blah, blah . . . the general contractor’s scope of work . A general contractor in turn will usually require indemnity from its subcontractors. And subcontractors will require indemnity from their sub-subcontractors. And down the line it goes with each party pointing their finger at the next party down the proverbial “food chain.” But it doesn’t always happen that way as the next case, American Title Insurance Company v. Spanish Inn, Case No D067137, California Court of Appeals for the Fourth District (August 14, 2015), illustrates. Read the court decision
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Reprinted courtesy of Garret Murai, Wendel Rosen Black & Dean LLP
Mr. Murai may be contacted at gmurai@wendel.com

Infrastructure Money Comes With Labor Law Strings Attached

July 25, 2022 — Cheryl Behymer, Patrick M. Dalin & Collin Cook - Construction Executive
The federal government has committed to spending $1 trillion under the Infrastructure Investment and Jobs Act on nationwide construction, alteration and repair projects. Billions of dollars have already been deployed on projects to improve highways, bridges, airports, electrical infrastructure and drinking water distribution, and the government is poised to spend the remaining funds on a massive infrastructure build-out over the next five years. While federal government contracts may provide a lucrative and reliable stream of revenue for construction companies, contractors must be prepared to comply with special requirements, particularly under the labor and employment laws enforced by the U.S. Department of Labor (USDOL). 1. The Davis Bacon Act Requires Payment of Prevailing Wages and Fringe Benefits The Davis Bacon Act (DBA) applies to most federally funded and federally assisted projects for construction, alteration or repair work. This law requires all contractors and subcontractors on a covered project to pay all “laborers or mechanics” the wages and fringe benefits that “prevail” in the locality where the work is being performed. The USDOL determines what the prevailing wages and fringe benefits are for each trade and publishes them in wage determinations that should be issued to all contractors on the project. Reprinted courtesy of Cheryl Behymer, Patrick M. Dalin & Collin Cook, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Anti-Fracking Win in N.Y. Court May Deal Blow to Industry

July 01, 2014 — Chris Dolmetsch, Freeman Klopott and Jim Efstathiou Jr. – Bloomberg
New York’s cities and towns can block hydraulic fracturing within their borders, the state’s highest court ruled, dealing a blow to an industry awaiting Governor Andrew Cuomo’s decision on whether to lift a six-year-old statewide moratorium. The case, closely watched by the energy industry, may invigorate local challenges to fracking in other states and convince the industry to stay out of New York even if Cuomo allows drilling. Pennsylvania’s highest court issued a similar ruling last year, striking down portions of a state law limiting localities’ ability to regulate drillers. “This sends a really strong and clear message to the gas companies who have tried to buy their way into the state that these community concerns have to be addressed,” Katherine Nadeau, policy director for Environmental Advocates of New York, an anti-fracking group, said in a phone interview. “This will empower more communities nationwide.” Mr. Dolmetsch may be contacted at cdolmetsch@bloomberg.net; Mr. Klopott may be contacted at fklopott@bloomberg.net; and Mr. Efstathiou Jr. may be contacted at jefstathiou@bloomberg.net Read the court decision
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Reprinted courtesy of Chris Dolmetsch, Freeman Klopott and Jim Efstathiou Jr., Bloomberg

Banks Loosening U.S. Mortgage Standards: Chart of the Day

August 13, 2014 — Jody Shenn – Bloomberg
Perhaps more U.S. banks than at any time in two decades are making it easier to qualify for a mortgage. The CHART OF THE DAY shows the net share of banks telling the Federal Reserve that they’re tightening standards in the home-loan market. In the central bank’s July survey of senior loan officers released last week, the net percentage for prime mortgages was negative 18.3 percent, by far the most loosening since it started asking the question by loan-quality category in 2007. It was also greater than the highest net share of banks easing in “all” mortgages in the 1990s or 2000s. Still, lenders have a long way to go before they unwind the restrictions they imposed in the wake of the global financial crisis that risky home loans helped to create. The current trend is mainly about “small tweaks around the edges,” according to JPMorgan Chase & Co. mortgage-bond analysts. Read the court decision
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Reprinted courtesy of Jody Shenn, Bloomberg
Ms. Shenn may be contacted at jshenn@bloomberg.net

Update Coverage for Construction Defect Claims in Colorado

February 11, 2013 — Tred R. Eyerly
Whether construction defect claims against an insured contractor or subcontractor are covered is undergoing an intense debate in Colorado that is reminiscent of the current coverage battle in Hawaii. Although I missed the case until recently, the decision in Colo. Pool Sys. v. Scottsdale Ins Co., 2012 Colo. App. LEXIS 1732 (Colo. Ct. App. Oct. 25, 2012), appears to divert from a prior case from the Colorado Court of Appeals, Gen. Sec. Indem. Co. v. Mountain States Mut. Cas. Co., 205 P.3d 529 (Colo. App. 2009). Gen. Security held that faulty workmanship, standing alone, was not an "accident." Gen. Security was heavily relied upon by the Hawaii Intermediate Court of Appeals when it found construction defects arose from breach of contract and were not covered under a liability policy. See Group Builders v. Admiral Insurance Co., 123 Haw. 142, 231 P.3d 67 (Haw. Ct. App. 2010). In Colo. Pool Sys., Colorado Pool hired subcontractors to construct a poll's concrete shell. After the shell was poured, an inspection noticed that some re-bar was too close to the surface. The owner turned to its general contractor, White Construction Group, and demanded that the pool be removed and replaced. White turned to Colorado Pool, who notified its carrier, Scottsdale. Read the court decision
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Reprinted courtesy of Insurance Law Hawaii
Mr. Eyerly can be contacted at te@hawaiilawyer.com

Joint Venture Dispute Over Profits

January 28, 2019 — David R. Cook, Jr. - Autry, Hall, & Cook, LLP
A recent Georgia Court of Appeals case demonstrates the risk of joint ventures failing to carefully define accounting rules in their joint venture agreement. Two trade contractors teamed up to accomplish certain tasks on a job at a wastewater lift station at Fort Gordon. A joint venture agreement provided for an equal split of the profits and losses. Unfortunately, the parties did not define “profit,” and particularly did not define what cost would be deducted in calculating profit. They disputed in particular whether certain large payments to individuals and 15% overhead charges should be deducted in calculating profits. One party presented the expert testimony of an accountant while the other did not. The party presenting expert testimony asked the court to dismiss the other party’s claim because it was not supported by expert testimony of an accountant. The trial court granted the motion and dismissed the claim. Read the court decision
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Reprinted courtesy of David R. Cook, Jr., Autry, Hall, & Cook, LLP
Mr. Cook may be contacted at cook@ahclaw.com

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