Direct Contractors In California Should Take Steps Now To Reduce Exposure For Unpaid Wages By Subcontractors
February 07, 2018 —
Nora Stilestein, Candace Matson , and Mercedes Cook - Construction & Infrastructure Law BlogAs of January 1, 2018, direct contractors in California who make or take a contract “for the erection, construction, alteration, or repair of a building, structure, or other private work” are jointly and severally liable with their subcontractors for any unpaid wages, fringe benefits and other benefit payments or contributions owed to wage claimants. Governor Brown approved
AB 1701 on October 14, 2017. The new law puts the onus on direct contractors to not only monitor their own payroll practices, but to ensure that their subcontractors and lower tier subcontractors are engaging in proper payroll practices.
Reprinted courtesy of Sheppard Mullin attorneys
Nora Stilestein,
Candace Matson and
Mercedes Cook
Ms. Stilestein may be contacted at nstilestein@sheppardmullin.com
Ms. Matson may be contacted at cmatson@sheppardmullin.com
Ms. Cook may be contacted at mcook@sheppardmullin.com
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MetLife Takes Majority Stake in New San Francisco Office Tower
October 21, 2015 —
Hui-Yong Yu – BloombergMetLife Inc. is taking a majority stake in a 43-story office tower being built next to San Francisco’s Transbay Transit Center, expanding the biggest U.S. life insurer’s holdings in one of the country’s most expensive office markets.
MetLife formed a joint venture with Chicago-based John Buck Co. and Golub & Co. for the property, called Park Tower at Transbay, the companies said in a statement before the building’s groundbreaking Tuesday. The tower, which doesn’t yet have a tenant, is scheduled for completion in 2018.
Financial terms of the venture weren’t disclosed. Fred Pieretti, a spokesman for MetLife, said the company will own a majority interest in the building.
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Hui-Yong Yu, Bloomberg
Eleventh Circuit Finds Professional Services Exclusion Applies to Construction Management Activities
April 29, 2024 —
Ashley Kellgren - Traub Lieberman Insurance Law BlogIn Colony Ins. Co. v. Coastal Constr. Mgmt., LLC, 2024 U.S. App. LEXIS 4809 (11th Cir. Feb. 29, 2024), the Eleventh Circuit found the insurer had no duty to defend or indemnify its insured based on a professional services exclusion. In that case, the underlying claims arose out of the construction of a four-story apartment complex. The owner and project developer contracted with the insured to provide construction management services as a construction manager and construction consultant. Several years after the project was completed, the owner filed suit against the architect, general contractor, and the insured alleging numerous defects and deficiencies with respect to the project. The owner asserted claims against the insured for breach of contract and negligence, alleging various failures by the insured in connection with its supervision of construction and failures to properly and timely complete the project, and correct inadequate, defective, and noncomplying work.
Colony issued two commercial general liability policies to the insured, both of which contained a professional services exclusion. Although the policy did not expressly define “professional services,” the professional services exclusion provided a non-exhaustive list of examples, including:
(2) preparing, approving, or failing to prepare or approve maps, drawings, opinions, reports, surveys, change orders, designs or specifications;
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Ashley Kellgren, Traub LiebermanMs. Kellgren may be contacted at
akellgren@tlsslaw.com
Chambers USA 2021 Ranks White and Williams as a Leading Law Firm
June 07, 2021 —
White and Williams LLPWhite and Williams is once again recognized by Chambers USA as a leading law firm in Pennsylvania for achievements and client service in the areas of insurance law, real estate finance and banking and finance law. The firm has also been recognized for achievements and client service in banking and finance law in Philadelphia and the surrounding area. In addition, five lawyers received individual honors – two for their work in insurance, one for his work in real estate finance, another for her work in bankruptcy and restructuring and one for his work in commercial litigation.
White and Williams is acknowledged for our renowned practice offering exceptional representation to insurers and reinsurers across an impressive range of areas including coverage, bad faith litigation and excess liability. The firm is recognized for notable strength in transactional and regulatory matters, complemented by the team's adroit handling of complex alternative dispute resolution proceedings. Chambers USA also acknowledged the firm's broad trial capabilities, including handling data privacy, professional liability, toxic tort coverage claims, and experience in substantial claims arising from bodily injury and wrongful death suits. White and Williams' cross-disciplinary team is also highlighted, as one source commented that "all advice was reasoned and respectful. They worked well together and provided exceptional representation."
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White and Williams LLP
Building Down in November, Even While Home Sales Rise
January 17, 2013 —
CDJ STAFFThe Chicago Sun-Times reports that construction saw a small decline in November, the first since the spring. Happily, though this was the first dip in eight months, construction spending dropped only 0.3 percent, compared to October. The Sun-Times noted that the level of construction is well below what is considered healthy for the economy, while still being above the low of February 2011.
While fewer homes (and other buildings) were built, sales of new homes were up 4.4 percent in November. Home purchases were at their highest rate in more than two years.
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Colorado Court of Appeals holds that insurance companies owe duty of prompt and effective communication to claimants and repair subcontractors
March 01, 2011 —
Colorado Construction LitigationIn Dunn v. American Family Insurance, 09CA2173, 2010 WL 4791948 (Colo. App. Nov. 24, 2010), the Dunns reported a claim to American Family on their homeowners insurance policy after sewer and water backup caused sewage to flood their basement. American Family gave the Dunns contact information for a contractor (ICA) to remediate the flooding. However, ICA was unsuccessful and sewage began to infiltrate the Dunns’ HVAC system. Subsequently, black mold was detected in the HVAC system, the Dunns suffered health and respiratory problems, and they soon after vacated the home. The Dunns hired and fired two more contractors for unsatisfactory work throughout the winter before hiring a fourth to finish the job. Because the home remained vacant and unheated throughout the winter, the water pipes ruptured. The mold spread throughout the entire home and all of the contents needed to be replaced, which amounted to a claim of $340,000 on the policy.
American Family agreed to pay the full $340,000. However, the Dunns brought suit claiming that American Family breached the implied duty of good faith and fair dealing by: 1) failing to screen ICA for expertise; 2) failing to screen ICA for liability insurance coverage; 3) failing to monitor ICA’s work; 4) failing to advise them that flooding can cause further damage, including freezing pipes and mold; and, 5) failing to adequately and promptly communicate with them and remediation subcontractors in the course of investigating and handling their claim.The trial court found no duty owed by American Family beyond adjustment and timely payment of claims. Because American Family paid timely and in full, they dismissed all of the Dunns’ claims. However, the Court of Appeals reversed in part.
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Reprinted courtesy of Chad Johnson, Higgins, Hopkins, McLain & Roswell, LLC. Mr. Johnson can be contacted at johnson@hhmrlaw.com
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Ninth Circuit: Speculative Injuries Do Not Confer Article III Standing
February 28, 2018 —
Omar Parra and Lawrence S. Zucker II – Publications & InsightsAs Dwight Schrute of hit NBC show “The Office” said, “identity theft is not a joke, Jim! Millions of families suffer every year!” In response, Congress has passed a variety of legislation over the years aimed at curbing identity theft. One such piece of legislation, the Fair Credit Reporting Act (“FCRA”), as amended by corollary acts, prohibits the printing of more than the last 5 digits of the credit card number or the credit card number’s expiration date on any sales receipt. Anyone who “willfully fails to comply with [the requirements] is liable to that consumer” for statutory or actual damages, attorney’s fees and costs, and potential punitive damages. But is a statutory violation of the FCRA alone a sufficient injury to confer Article III standing? No, says the Ninth Circuit.
Reprinted courtesy of
Omar Parra, Haight, Brown & Bonesteel LLP and
Lawrence S. Zucker II , Haight, Brown & Bonesteel LLP
Mr. Parra may be contacted at oparra@hbblaw.com
Mr. Zucker may be contacted at lzucker@hbblaw.com
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Three Firm Members Are Top 100 Super Lawyers & Ten Are Recognized As Super Lawyers Or Rising Stars In 2018
July 28, 2018 —
Scott MacDonald - Ahlers Cressman & Sleight PLLCWith the Fourth of July festivities still ringing in our collective ears, we are having our own celebration at Ahlers Cressman & Sleight PLLC. We avoid using this blog as a platform for self-promotion as we want to keep relevant construction industry news and notes hitting your inboxes. Longtime readers will know, however, that we make an exception to recognize the Super Lawyers of the firm, who are each humbled to receive this peer-voted award. We also share this news in recognition of our clients and industry-partners who have put their trust and confidence in us. Without these relationships, these industry acknowledgments would have no significance.
Super Lawyers is a wholly independent company that identifies outstanding lawyers in the profession. It selects attorneys using a patented multiphase selection process based on legal excellence, industry involvement, and civic leadership. Super Lawyers’ initial pool of candidates is based on peer nominations and evaluations from outside the firm, which is then combined with Super Lawyers’ own third-party research. Only five percent of all lawyers in Washington State are selected for the honor of Super Lawyers and no more than 2.5 percent are selected for the honor of Super Lawyers Rising Stars. What makes this award meaningful is it is based upon evaluation of individual merit—as opposed to a “pay-to-win” award.
John P. Ahlers, one of the firm’s founding partners, is again recognized as one of the 10-Best Lawyers in the State of Washington across all practicing industries.
Founding partner Paul R. Cressman, Jr. and partner Brett M. Hill are also recognized as two of the 100-Best Lawyers across all practicing industries in Washington State.
In addition, three other firm members are also recognized as Super Lawyers: Founding partner Scott R. Sleight, Bruce A. Cohen (of counsel), and Lawrence S. Glosser (partner). In addition, Ryan W. Sternoff (partner), Lindsay (Taft) Watkins (partner), Ceslie A. Blass (associate), and Scott D. MacDonald (associate) were selected as Super Lawyers Rising Stars. Well over half of the firm’s lawyers received Super Lawyers distinction.
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Scott MacDonald, Ahlers Cressman & Sleight PLLCMr. MacDonald may be contacted at
scott.macdonald@acslawyers.com