Defects, Delays and Change Orders
November 01, 2021 —
Jacob A. Epstein - Construction ExecutiveAs every construction professional is aware, unexpected events and problems are guaranteed on every large project. Defects, delays and change orders are sure to arise, and depending on how they are dealt with and addressed at the time, they can either have minimal effects on the overall project or they can have drastic, long-term and often costly effects, including but not limited to thousands of dollars in legal fees, increases in insurance premiums and/or years of litigation down the road.
There are many reasons why so many large construction projects end up in some type of litigation. Delay claims, construction contract disputes and construction defect lawsuits are so prevalent in certain parts of the country that certain judges designate specific time blocks in their courtrooms for construction cases only—just to deal with the large portions of their case dockets dealing with construction issues at the same time.
Reprinted courtesy of
Jacob A. Epstein, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Mr. Epstein may be contacted at
jepstein@haber.law
Construction Defect Reform Bill Passes Colorado Senate
April 15, 2015 —
Beverley BevenFlorez-CDJ STAFFThe Denver Business Journal reported that a construction defect reform bill has “passed the Colorado Senate by a 24-11 vote Tuesday, with six Democrats joining all 18 Republicans in the chamber in backing the measure.”
The bill now moves to the House. According to the Denver Business Journal, the bill “faces a tougher path in the House, where Speaker Dickey Lee Hullinghorst, D-Gunbarrel, has said she was not going to support a bill that does not include a provision giving aggrieved condominium owners the right to take their disputes with builders to court. No such amendment was added in the Senate.”
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Court Grants Partial Summary Judgment on Conversion Claim Against Insurer
February 01, 2023 —
Tred R. Eyerly - Insurance Law HawaiiAlthough the court was incredulous that the parties were disputing the possession of a gate opener allegedly damaged in a lightning strike, it granted the insured's motion for partial summary judgment finding the insurer had converted the gate opener. Privratsky v. Liberty Mut. Fire Ins Co., 2022 U.S. Dist. LEXIS 196002 (D. Haw. Oct. 27, 2022). (Full disclosure, our office is co-counsel for the insured).
Mr. Privratsky alleged his home on Maui was struck by lightning which caused an electrical surge. The home and personal property were damaged. The alleged cost of repair work at one point was as much as $325,000. A claim was submitted under a homeowner's policy issued by Liberty Mutual. Liberty paid for only some of the damage. Privratsky filed suit alleging three causes of action for: (1) declaratory judgment that the losses were covered by the policy issued by Liberty; (2) bad faith; and (3) conversion of personal property, namely, the damaged gate operator.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
White and Williams Ranked in Top Tiers of "Best Law Firms"
November 08, 2021 —
White and Williams LLPWhite and Williams has achieved national recognition from U.S. News and World Report as a "Best Law Firm" in the practice areas of Insurance Law, Bankruptcy and Creditor Debtor Rights / Insolvency and Reorganization Law and Media Law. Our Boston, Delaware, New Jersey, New York City and Philadelphia offices have also been recognized in their respective metropolitan regions in several practice areas.
National Tier 1
Insurance Law
National Tier 2
Bankruptcy and Creditor Debtor Rights / Insolvency and Reorganization Law
National Tier 3
Media Law
Metropolitan Tier 1
Boston
Insurance Law
Litigation - Insurance
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White and Williams LLP
Comparing Contracts: A Review of the AIA 201 and ConsensusDocs - Part II
March 28, 2018 —
Michael Sams and Amanda Cox – Construction Executive, A publication of Associated Builders and Contractors. All Rights Reserved.Part II of this three-part series compares and analyzes important contract sections in the AIA 201 (2007 and 2017 versions) and ConsensusDocs (2014 and 2017 versions), including Schedule/Time, Consequential Damages/LDs, Claims and Disputes/ADR.
Part I covered Financial Assurances, Design Risk, Project Management and Contract Administration. Part III will cover Insurance and Indemnification and Payment.
SCHEDULE/TIME
Relevant Sections:
- 2007 & 2017 A201: Section 3.10.1
- 2014 & 2017 ConsensusDocs: Section 6.2
AIA:
- Section 3.10.1 of the 2007 A201 requires that the Contractor promptly after being awarded the Contract, prepare and submit a construction schedule providing for Work to be completed within the time limits required in the Contract Documents.
- This schedule shall be revised at appropriate intervals.
- The 2017 edition breaks down the schedule to contain date of commencement, interim milestone dates, date of substantial completion, apportionment of Work by trade or building system, and the time required for completion of each portion of the Work.
- Under section 3.10.2 of the 2007 and 2017 versions, if the Contractor fails to provide a submittal schedule, the Contractor is not entitled to any additional compensation or a time extension based on the Owner’s or the Architect’s slow processing of submittals, regardless of how long they take.
ConsensusDocs 200:
- The 2017 Contract replaces the term Contract Time and instead requires a “Schedule of the Work…formatted in detailed precedence-style critical path method that (a) provides a graphic representation of all activities and events, including float values that will affect the critical path of the Work and (b) identifies dates that are critical to ensure timely and orderly completion of the Work.”
- The Constructor must submit an initial schedule to the Owner only before, “first application for payment” and thereafter on a monthly basis. (Section 6.2.1).
- The Owner is allowed to change the sequences provided in the schedule as long as it does not “unreasonably interfere with the Work.” (Section 6.2.2).
Reprinted courtesy of
Michael Sams , Kenney & Sams and
Amanda Cox, Kenney & Sams
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Jury Could Have Found That Scissor Lift Manufacturer Should Have Included “Better” Safety Features
January 02, 2024 —
Garret Murai - California Construction Law BlogA few years ago I listened to an NPR segment called “
What Can Kids Learn by Doing Dangerous Things?” It was about a summer program called the Tinkering School where kids can learn to build things, using tools of course, including power tools.
The founder of the program, Gever Tulley, also wrote a book entitled
50 Dangerous Things (You Should Let Your Children Do), in which he argued that while well-intentioned, children today are overly protected, and that giving children exposure to “slightly” dangerous things can help foster independence, responsibility, and problem-solving as well as a healthy dose of caution.
The plaintiff in the next case might have benefitted from that program.
In
Camacho v. JLG Industries Inc., 93 Cal.App.5th 809 (2023), the Court of Appeals examined whether the manufacturer of a scissor lift should have incorporated “better” safety features when a construction worker fell from the lift.
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Garret Murai, Nomos LLPMr. Murai may be contacted at
gmurai@nomosllp.com
Key Takeaways For Employers in the Aftermath of the Supreme Court’s Halt to OSHA’s Vax/Testing Mandate
January 24, 2022 —
Laura H. Corvo - White and Williams LLPPolitical pundits and legal scholars have been engaged in frenzied debate trying to decipher the fallout of the United States Supreme Court’s decision that stopped stopped the Occupational Safety and Hazard Administration (OSHA) from enforcing its Emergency Temporary Standard (ETS) which mandated that employers with 100 or more employees require workers to show proof of vaccination against COVID-19 or submit to weekly testing. The Court’s decision prevents OSHA from enforcing its ETS until all legal challenges have been heard. Because the Court concluded that those legal challenges are “likely to succeed on the merits” of their argument that OSHA does not have the statutory authority to issue its vaccine and testing mandates, there is significant doubt that they will ever come to fruition.
While the pundits and scholars have now had their say, employers, who are struggling to manage a highly contagious variant, a tight labor market, and employees with divergent and staunch views on vaccination, are also left wondering what the Court’s decision means for them and what they should be doing. Here are some key takeaways for employers in the aftermath of the Court’s decision.
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Laura H. Corvo, White and Williams LLPMs. Corvo may be contacted at
corvol@whiteandwilliams.com
Breaking News: Connecticut Supreme Court Decides Significant Coverage Issues in R.T. Vanderbilt
December 16, 2019 —
Patricia B. Santelle & Ciaran B. Way - White and Williams LLPOn October 4, 2019 (almost two years after granting certification), the Connecticut Supreme Court affirmed the Appellate Court’s rulings on four key coverage issues in R.T. Vanderbilt Company v. Hartford Accident & Indemnity Company, et al. The coverage dispute in Vanderbilt concerns underlying actions alleging that talc and silica mined and sold by the insured contained asbestos and/or caused asbestos-related disease. The case has been proceeding in phases, two of which have been tried to date, resulting in the matter on appeal.
(1) “Continuous Trigger” Theory of Coverage Applies: The Court affirmed and adopted the Appellate Court’s opinion applying a “continuous trigger” for the underlying claims at issue, and agreed that the trial court properly excluded testimony from medical experts the insurers had proffered to prove that the asbestos disease process did not support a continuous trigger.
(2) The “Unavailability of Insurance” Exception to Time-on-Risk Pro Rata Allocation Applies: The Court affirmed and adopted the Appellate Court’s ruling that (a) damages and defense costs should not be allocated to any period in which insurance was “unavailable” in the market, (b) the insurers bear the burden of proving that coverage for asbestos liabilities was available to the policyholder after the date asbestos exclusions were added to the policies and (c) the insured bears the burden of proving that it was unable to obtain asbestos coverage prior to 1986 (when such insurance was generally available). The Appellate Court recognized that, in certain circumstances, there could be an “equitable exception” to the unavailability rule if the insured continued to manufacture products containing asbestos after 1986 with the knowledge that such products were hazardous and uninsurable (circumstances which the court found were not present in this case).
Reprinted courtesy of
Patricia B. Santelle, White and Williams LLP and
Ciaran B. Way, White and Williams LLP
Ms. Santelle may be contacted at santellep@whiteandwilliams.com
Ms. Way may be contacted at wayc@whiteandwilliams.com
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