Cambridge Massachusetts Building Expert Directory

Rising Construction Disputes Require Improved Legal Finance

November 15, 2022 — Apoorva Patel - Construction Executive
Construction disputes are famously high stakes, and the industry is currently experiencing an uptick in the value and number of disputes resulting from contractual obligations and third-party or force majeure incidents. While this is not entirely surprising given COVID-19’s disruption of global markets and supply chains, the numbers are noteworthy. For example, in 2020 alone, the International Chamber of Commerce (ICC)—the leading institution for construction disputes, partly because its clauses feature in many FIDIC standard form contracts—registered 194 construction arbitrations, and construction disputes now comprise over 20% of the ICC caseload. In addition to the damage to business outcomes that the underlying disputes may present, parties can quickly spend many millions on legal fees and expenses, as well as technical experts and consultants, if and when those disputes progress through the courts or arbitration. According to Norton Rose’s 2020 Global Construction Disputes Report, the average construction dispute value rose sharply from $30.7 million in 2019 to $54.26 million in 2020. Reprinted courtesy of Apoorva Patel, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Seventh Circuit Confirms Additional Insured's Coverage for Alleged Construction Defects

August 10, 2017 — Tred R. Eyerly - Insurance Law Hawaii
The Seventh Circuit held that the underlying complaint alleged an occurrence by asserting that the painting subcontractor was negligent in causing damage to the building. Westfield Ins. Co. v. Nat'l Decorating Serv., Inc., 2017 U.S. App. LEXIS 12516 (7th Cir. July 13, 2017). McHugh Construction, the general contractor for construction of a 24 story condominium building in Chicago, retained National Decorating Service, Inc. as a subcontractor to perform all of the painting work. This meant National Decorating would paint the exterior of the building with a protective coating that was a waterproof sealant. After completion, the building's board of managers sued McHugh, National Decorating, and others for damages resulting from faulty workmanship. The third amended complaint alleged: (1) significant cracking of the exterior concrete walls, interior walls, and ceilings; (2) significant leakage through the exterior concrete walls, balconies, and windows; (3) defects to the common elements of the building; and (4) damage to the interior ceilings, floors, interior painting, drywall, and furniture in the units. Read the court decision
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Reprinted courtesy of Tred R. Eyerly - Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

San Diego County Considering Updates to Green Building Code

August 06, 2014 — Beverley BevenFlorez-CDJ STAFF
The San Diego County Board of Supervisors is meeting today to discuss “proposed building code amendments designed to promote energy efficiency in new homes,” according to Times of San Diego. Possible recommendations include “install electrical panels large enough to accommodate future improvements; put in a conduit that could be used for future roof-mounted solar panels; reserve space on south-facing roofs where solar panels might be added later;” and others. If the recommendations are approved, the “staff would draft detailed building code amendments and return early next year to get them adopted.” Read the court decision
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Construction Is Holding Back the Economy

February 28, 2018 — Noah Smith - Bloomberg
Changes in contracts and rules could make the sector a lot more efficient. The question of whether to prioritize jobs or economic efficiency is always difficult. Nowhere is this more of a dilemma than in the construction industry. In a world of rapid technological disruption, construction is a rock of solidity to which many blue-collar workers can cling. The industry still employs about 7 million workers in the U.S. The job doesn’t change that much from decade to decade. It’s a big broad occupation, unlike social-media marketing or other new niche jobs, so it allows working-class people to minimize the time and effort they spend building for a career. And workers get trained on the job, without years of college. What’s more, construction workers are mostly male. To the degree this is a result of sexism, that’s bad. But it also means that the construction industry employs lots of men, at a time when they haven’t been doing so well in the jobs department. Read the court decision
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Reprinted courtesy of Noah Smith, Bloomberg

South Carolina Supreme Court Finds that Consequential Damage Arise From "Occurrence"

October 10, 2013 — Tred Eyerly — Insurance Law Hawaii
The South Carolina Supreme Court held that continuing damage that was part of a continuum of property damage constituted an "occurrence." Auto-Owners Ins. Co. v. Rhodes, 2013 S.C. LEXIS 248 (Sept. 25, 2013). Rhodes hired Eadon to design, fabricate, and erect three outdoor advertising signs on Rhodes' property bordering an interstate highway. After the signs were erected, one fell across the highway, blocking both lanes of southbound traffic. The state Department of Transportation ordered Rhodes to remove the remaining two signs and revoked Rhodes' permit to maintain signs on the property. Rhodes sued Eaton. Eaton's insurer, Auto-Owners, filed a declaratory judgment action to determine whether there was coverage under the CGL policy. The trial court found the sign falling on the interstate constituted an "occurrence" that resulted in damages beyond the defective work to property other than the defective work itself. Read the court decision
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Reprinted courtesy of Tred Eyerly
Tred Eyerly can be contacted at te@hawaiilawyer.com

Texas Approves Law Ensuring Fair and Open Competition

August 20, 2019 — Nick Steingart - Construction Executive
Gov. Greg Abbott signed into law Neutrality in State Government Contracting (H.B. 985), which ensures Texas’ entire skilled construction workforce--96% of which does not belong to a labor union--can compete on a level playing field for public works contracts to build projects utilizing state funding or credit. The law, introduced by Rep. Tan Parker and sponsored by Sen. Kelly Hancock, prohibits project labor agreements from being mandated on certain taxpayer-funded construction projects. Based on the latest data available from the Census Bureau, state and local governments in Texas spent more money on public construction projects than any other state in 2017. Reprinted courtesy of Nick Steingart, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Mr. Steingart may be contacted at steingart@abc.org

Texas Supreme Court Declines to Waive Sovereign Immunity in Premises Defect Case

April 10, 2023 — Starr M. Forster - Lewis Brisbois
Houston, Texas (March 30, 2023) – The Supreme Court of Texas recently upheld a Thirteenth Court of Appeals’ judgment finding that the plaintiffs in a premises defect case brought against the Texas Department of Transportation (TxDOT) had failed to raise a fact issue regarding the creation of a dangerous condition and, consequently, failed to establish waiver of the defendant’s sovereign immunity. Daniel K. Christ and Nicole D. Salinas v. Tex. DOT, et al., No. 21-0728, 66 Tex. Sup. Ct. J. 306, 2023 Tex. LEXIS 128, at *1 (Feb 10, 2023). Background Plaintiffs Daniel Christ and his wife, Nicole Salinas (the Christs), were riding their motorcycle through a construction zone when they collided with a vehicle that crossed into their lane. TxDOT’s traffic control plan for the related construction project called for the placement of concrete barriers between opposing travel lanes; however, once construction on the project began, TxDOT’s contractor determined there was not enough space for the concrete barriers and revised the traffic control plan to substitute yellow stripes and buttons for the concrete barriers. TxDOT never approved the revised traffic control plan in writing; however, TxDOT’s contractor contended TxDOT orally approved of the change. The Christs sued the driver of the other vehicle, TxDOT, and TxDOT’s contractor. Read the court decision
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Reprinted courtesy of Starr M. Forster, Lewis Brisbois
Ms. Forster may be contacted at Starr.Forster@lewisbrisbois.com

Congratulations Bryan Stofferahn, August Hotchkin, and Eileen Gaisford on Their Promotion to Partner!

April 19, 2021 — Bremer Whyte Brown & O’Meara
Bryan Stofferahn has been with BWB&O’s Oakland office since 2016 and has been practicing law since 2002. Mr. Stofferahn focuses his practice on insurance defense matters and was lead counsel on the Millennium Tower construction defect case in San Francisco, which was the largest construction defect action in the country. Outside of work, Bryan is passionate about traveling the world with his wife Claire and has finished in last place in two separate chili cook-offs (pre-COVID, of course). August Hotchkin has been with BWB&O since 2013 and helped open the Reno office located in Northern Nevada in 2016. He is duly licensed in both Nevada and California, handling various legal matters, especially complex litigation, throughout Northern Nevada and Northern California. Mr. Hotchkin has taken several cases to trial, including a successful defense verdict on a wrongful death matter. He has also argued countless dispositive motions as well as having cases heard at the Appellate level. During his free time, Mr. Hotchkin enjoys golfing, snowboarding, and spending time with his family and friends, especially up at Lake Tahoe. Eileen Gaisford has been with BWB&O’s Woodland Hill’s office for almost a decade and is licensed to practice law in California. Read the court decision
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Reprinted courtesy of Bremer Whyte Brown & O'Meara LLP

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