Sacramento Army Corps District Projects Get $2.1 Billion in Supplemental Appropriation
September 04, 2018 —
Greg Aragon - Engineering News-RecordThe U.S. Army Corps of Engineers Sacramento District has received supplemental funding for five District projects, totaling an investment of more than $2.1 billion in flood risk management efforts.
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Greg Aragon, ENRENR may be contacted at
ENR.com@bnpmedia.com
California Assembly Bill Proposes an End to Ten Year Statute of Repose
May 09, 2011 —
CDJ STAFFCalifornia Assemblyman Furutani has introduced a bill that if passed would eliminate the ten year statute of repose in certain construction defect cases. The statute of repose would not apply when “an action in tort to recover damages for damage to real or personal property, or for personal injury or wrongful death from exposure to hazardous or toxic materials, pollution, hazardous waste, or associates environmental remediation activities,” according to the latest amended version of AB 1207.
When Furutani first introduced the bill, it was aimed at small businesses only. However, the description of the bill, which read, “An act to amend Section 14010 of the Corporations Code, relating to small businesses” has been stricken from the bill, and it has been amended to read, “An act to amend Section 337.15 of the Code of Civil Procedure, relating to civil actions.”
The change in the bill’s intent has caused some outcry among attorneys in the blogosphere. For instance, Sean Sherlock of Snell & Wilmer stated that “the proposed amendment is unnecessary, and would upset nearly 50 years of deliberative legislation and judicial precedent on construction defects liability and the 10–year statute — all apparently motivated by a decision in a single, isolated Superior Court lawsuit that has not yet been reviewed by the court of appeal.” Sherlock is referring to Acosta v. Shell Oil Company, in which the Superior Court agreed to dismiss the plaintiffs’ claims against the developer based in part on the ten year statute of repose. AB 1207 was amended five days after the ruling in Acosta v. Shell Oil Company.
California AB 1207 has been re-referred to the Judiciary Committee.
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Homeowner Survives Motion to Dismiss Depreciation Claims
September 23, 2024 —
Tred R. Eyerly - Insurance Law HawaiiThe insurer's motion to dismiss claims for improper claims handling when considering implementation of depreciation was denied. Morrison v. Indian Harbor Ins. Co, et al., 2024 U.S. Dist. LEXIS 115664 (S. D. W. Va. July 1, 2024).
Plaintiff's home suffered flood damage. The house was insured by Indian Harbor a surplus lines carrier that offered specialized and high risk property policies in West Virginia. Surplus lines policies were procured in West Virginia through a "surplus lines licensee." Here, Neptune Flood Inc. was the surplus lines licensee broker for Indian Harbor. Peninsula Insurance Bureau, Inc. was an administrator and loss adjuster involved in the claim.
After the flood, Plaintiff notified defendants of the damage and immediately cleaned and repaired the house. Plaintiff asserted that Neptune was given notice of the loss and one of its agents made recommendations regarding the coverage available and conveyed the information to Peninsula and Indian Harbour. Plaintiff claimed that defendants misrepresented his policy coverage and made incorrect adjustments for depreciation based on Neptune's statements and recommendations.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
ABC Chapter President Comments on Miami Condo Collapse
July 11, 2021 —
Rachel O'Connell - Construction ExecutivePeter Dyga, ABC Florida East Coast Chapter president, has been one of the go-to experts in the aftermath of the shocking collapse of the Champlain Towers South condo building in Surfside, Florida.
As of publication, the death toll stands at 46 people and another 94 remain unaccounted for. On July 7, rescue officials announced the search would transition to a recovery operation at midnight on July 8, following the demolition of the remaining building over the July 4 weekend.
Dyga sat down with Construction Executive to discuss the critical nature of this tragedy and to review potential next steps.
Construction Executive: This incident has become national news. Why do you think the building collapse has garnered so much attention?
Peter Dyga: Because of the enormity of the tragedy and because it’s so uncommon for a building to collapse on its own.
Reprinted courtesy of
Rachel O'Connell, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Reminder: Just Being Incorporated Isn’t Enough
June 29, 2020 —
Christopher G. Hill - Construction Law MusingsI have discussed why contractors need to incorporate previously here at Construction Law Musings. Among the many reasons to incorporate are possible tax benefits and the protection of personal assets (like your house and your dog) from judgement and collection actions. This latter reason is key in the construction world in which Murphy can look like an optimist and projects have so many moving parts that something is likely to go wrong.
The reason incorporation works as at least a partial shield is that the company and the owners are separate “people” or entities from a legal perspective and a contract with one “person” cannot be enforced against another. This same logic applies in the context of corporate versus individual actions, i. e. the actions of one person cannot be legally attributed to another person. By extension the assets of an individual cannot be collected to satisfy a purely corporate debt or judgment.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Court of Appeal Opens Pandora’s Box on Definition of “Contractor” for Forum Selection Clauses
October 02, 2015 —
David A. Harris & Abigail E. Lighthart – Haight Brown & Bonesteel LLPIn Vita Planning and Landscape Architecture, Inc. v. HKS Architects, Inc. (“Vita Planning”), the First Appellate District held California’s Code of Civil Procedure section 410.42 (“Section 410.42”) which prohibits an out-of-state contractor from requiring a California subcontractor to litigate disputes in a state other than California, applies not only to traditional “contractors” and “subcontractors” but also to design professionals and architects.
In Vita Planning, a dispute arose when HKS, a Texas based architectural firm, refused to pay Vita Planning and Architecture (“Vita”), a landscape design firm, for work on a luxury hotel in Mammoth Lakes, California (“Project”). HKS contended it was not required to pay Vita until it was paid by the owner of the Project, and any claims regarding the work needed to be filed in Texas pursuant to a forum selection clause contained in a Prime Contract between HKS and the Owner. The forum clause was “incorporated by reference” into an unsigned “standard form” agreement between HKS and Vita. Despite the forum clause, Vita filed a Complaint against HKS in Marin County Superior Court.
Reprinted courtesy of
Abigail E. Lighthart, Haight Brown & Bonesteel LLP and
David A. Harris, Haight Brown & Bonesteel LLP
Mr. Harris may be contacted at dharris@hbblaw.com
Ms. Lighthart may be contacted at alighthart@hbblaw.com
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Court Confirms No Duty to Reimburse for Prophylactic Repairs Prior to Actual Collapse
October 28, 2015 —
Christopher Kendrick & Valerie A. Moore – Haight Brown & Bonesteel LLPIn Grebow v. Mercury Insurance Company (No. B261172, filed 10/21/15), a California appeals court held that coverage for collapse in a homeowners policy does not extend to prophylactic repairs undertaken to mitigate damage before actual collapse of the structure.
In Grebow, the insureds had a general contractor inspect the rear deck of their house because of recurring watermarks. The contractor discovered severe decay in the steel beams and poles supporting the second floor of the house. He opined that they could not support the upper portion of the house, and that a large portion of the house would fall. A structural engineer agreed, blaming decay and corrosion. The insureds were advised not to enter the top part of the house, and they contracted for repairs. They also made a claim to Mercury, which denied coverage. The insureds ultimately spent $91,000 out of pocket having the home remediated.
Reprinted courtesy of
Christopher Kendrick, Haight Brown & Bonesteel LLP and
Valerie A. Moore, Haight Brown & Bonesteel LLP
Mr. Kendrick may be contacted at ckendrick@hbblaw.com
Ms. Moore may be contacted at vmoore@hbblaw.com
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ASCE Statement on Hurricane Milton and Environmental Threats
October 15, 2024 —
Feniosky Peña-Mora, P.E., President - American Society of Civil EngineersWASHINGTON, DC. – On the heels of the tragic damage caused by Hurricane Helene throughout the Southeast, Floridians were struck by another major hurricane, Milton, less than two weeks later. Our hearts go out to those impacted again by this storm through property damage, lack of water access, power outages, or worse, loss of life, all before getting a chance to recover from Helene. Civil engineers are dedicated to protecting the public with projects that can lessen the impacts of these storms, and we are eager to help communities rebuild as quickly as possible following events like Milton and Helene.
Although we do not yet know the full scope of destruction caused by Hurricane Milton, severe weather, including compound flooding events, are increasing regularly and pose a great risk to our safety and economic vitality. While so many eyes are fixated on hurricanes impacting the Southeast, wildfires are burning across several western states, including the Elk Fire in Wyoming, the largest wildfire the Bighorn National Forest has experienced in more than a century, now spanning over 75,000 acres as the region is experiencing unusually hot and dry weather and strong winds that are helping this fire to spread rapidly. The climate impacts we are accustomed to – wildfires in the West and hurricanes in the Southeast – are getting stronger, and now environmental challenges are occurring in areas we wouldn't suspect, such as Hurricane Helene striking mountain communities in Western North Carolina that have been labeled as "climate safe-havens," and Texas dealing with annual winter storms.
ASCE is a leader in codes and standards development and has created an
easy-to-understand toolkit for legislators and the public to learn the benefits of these up-to-date standards and determine when and how to adopt them, making our built environment more resilient to natural catastrophes. ASCE's flagship standard,
ASCE/SEI 7-22, recently underwent the most significant update to its
flooding chapter to ensure structures following this standard are prepared for 500-year flood events.
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