SEATTLE WASHINGTON BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Confidence Among U.S. Homebuilders Little Changed in January

January 28, 2015 — Bloomberg News
(Bloomberg) -- Confidence among U.S. homebuilders hovered in January close to a nine-year high, indicating the residential real estate market is poised to expand this year. While the National Association of Home Builders/Wells Fargo builder sentiment gauge fell to 57 this month from 58 in December, readings greater than 50 mean more respondents report good market conditions, according to figures issued from the Washington-based group Tuesday. The median forecast in a Bloomberg survey called for 58. Read the court decision
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Reprinted courtesy of Bloomberg News

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Corporate Formalities: A Necessary Part of Business

February 18, 2020 — Hannah Kreuser - Porter Law Group
Many benefits exist in choosing to create a corporation or limited liability company (“LLC”) as your business entity. However, what attracts most people to these entities is the protection they afford the business owner(s) against personal liability for the business’ obligations, debts, and other liabilities. Whatever reason prompts your decision to form a corporation or LLC, if you are like many smaller businesses, once the formation process is over its back to business as usual. However, in order to keep the protection against personal liability associated with a corporation or LLC, the business must engage in, what are known as corporate formalities. Corporate formalities are formal actions that must be taken by a corporation or LLC in order to maintain the benefits associated with that business entity. These corporate formalities may be required under California law, by the bylaws, and/or by the operating agreement of your business. When your business is formed as a corporation, many of the corporate formalities exist as part of California’s Corporations Code (“CCC”). These formalities include: (1) holding annual meetings (CCC § 600); (2) regularly electing directors (CCC § 301); (3) keeping meeting minutes (CCC § 1500); and (4) maintaining accurate corporate records (CCC § 1500). While these are only a few of the corporate formalities existing for corporations in the State of California, these formalities are often overlooked or put off by smaller businesses because they are either unknown to the business or are intended to be complied with later, as the actual running of the business takes priority. Read the court decision
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Reprinted courtesy of Hannah Kreuser, Porter Law Group
Ms. Kreuser may be contacted at hkreuser@porterlaw.com

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Locating Construction Equipment with IoT and Mobile Technology

May 13, 2019 — Aarni Heiskanen - AEC Business
It can take hours, or even days, to find a specific scissor lift on a large construction site – multiply that with hundreds of machines on the site and, then, you grasp the scale of the dilemma. Three companies joined forces to test an IoT solution that could fix the problem, cost-efficiently. Ramirent is a construction equipment rental and service firm that operates in nine European countries. It uses digital tools and services to add value to its customers and improve the efficiency of construction operations. In November 2018, Ramirent, SRV, and Kaltiot completed a test on promising technology that is used to locate construction equipment indoors. The experiment took place in Helsinki and was partly funded by the national KIRA-digi digitalization project. Setting up the Test Tomi Anttila, Development Manager at Ramirent Finland Oy, explained that they chose scissor lifts as a test subject for a particular reason: “They are an essential tool in construction. Whenever you have to work flexibly above the floor level – doing HVACE installations, for example – you need a movable lift. On our test site, REDI, there were over 150 lifts at any moment.” Read the court decision
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Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

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Is Performance Bond Liable for Delay Damages?

October 20, 2016 — David Adelstein – Florida Construction Legal Updates
There is an argument that a performance bond is not liable for delay damages UNLESS the bond specifically allows for the recovery of such damages. Keep this in mind when requiring a performance bond so that the bond covers the associated risks (and damages) you contemplate when requiring the bond. This argument is supported by the Florida Supreme Court’s 1992 decision in American Home Assur. Co. v. Larkin General Hosp., Ltd., 593 So.2d 195, 198 (Fla. 1992):

The language in the performance bond, construed together with the purpose of the bond, clearly explains that the performance bond merely guaranteed the completion of the construction contract and nothing more. Upon default, the terms of the performance bond required American [performance bond surety] to step in and either complete construction or pay Larkin [obligee] the reasonable costs of completion. Because the terms of the performance bond control the liability of the surety, American’s liability will not be extended beyond the terms of the performance bond. Therefore, American cannot be held liable for delay damages.

However, the Eleventh Circuit in National Fire Ins. Co. of Hartford v. Fortune Const. Co., 320 F.3d 1260(11th Cir. 2003), also analyzing an issue relating to the recoverability of delay-type damages against a performance bond, did not narrowly interpret the Florida Supreme Court’s decision in Larkin General Hospital. Read the court decision
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Reprinted courtesy of David Adelstein, Katz, Barron, Squitero, Faust, Friedberg, English & Allen, P.A.
Mr. Adelstein may be contacted at dma@katzbarron.com

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Contractual Indemnification Limitation on Florida Public Projects

July 28, 2016 — David Adelstein – Florida Construction Legal Updates
Construction contract indemnification provisions are governed under Florida Statute s. 725.06. This is a very important statute to know if you are drafting indemnification provisions for any type of construction contract. (There is also Florida Statute s. 725.08 that discusses indemnification provisions applicable to design professionals that is also worth knowing.) Read the court decision
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Reprinted courtesy of David Adelstein, Kirwin Norris
Mr. Adelstein may be contacted at dma@kirwinnorris.com

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Appellate Attorney’s Fees and the Significant Issues Test

June 29, 2017 — David Adelstein - Florida Construction Legal Updates
The significant issues test to determine the prevailing party in construction lien actions (which, by the way, also applies to breach of contract actions) applies to appellate attorney’s fees too! Under this test, the trial court has discretion to determine which party prevailed on the significant issues of the case for purposes of attorney’s fees. The trial court also has discretion to determine that neither party was the prevailing party for purposes of attorney’s fees. In a recent decision, Bauer v. Ready Windows Sales & Service Corp., 42 Fla. L. Weekly D1417a (Fla. 3d DCA 2017), there were competing motions for appellate attorney’s fees. Both parties believed they should be deemed the prevailing party under Florida Statute s. 713.29 (statute that authorizes prevailing party attorney’s fees under Florida’s Construction Lien Law). The appellate court held that neither party was the prevailing party under the significant issues test: “[W]e conclude that each party lost on their appeal, while each party successfully defended that part of the judgment in their favor on the other party’s cross-appeal. Because both parties prevailed on significant issues, this Court finds that appellate fees are not warranted for either party.” Bauer, supra. Read the court decision
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Reprinted courtesy of David Adelstein, Florida Construction Legal Updates
Mr. Adelstein may be contacted at Dadelstein@gmail.com

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Will Millennial’s Desire for Efficient Spaces Kill the McMansion?

September 10, 2014 — Beverley BevenFlorez-CDJ STAFF
Builder Magazine reported that millennials are currently “inhabiting high-tech, yet cozy student housing and apartments” without having “outsized space expectations,” however, that may change over the next ten years as “their preference for the walkable convenience that often accompanies smaller living spaces will collide head on with their parents’ (and grandparents’) insatiable addiction for square footage.” Regardless, builders may decide to change based upon a younger generation that accepts “efficient spaces.” According to Builder Magazine, Nick Lenhert, executive director at architectural firm KTGY, argued that the young “don’t really want what mom and dad have until they get married. Then all of a sudden things start to revert. They start getting realistic about what they need for the children and what they need for themselves. [Right now,] Gen Y is used to living in small spaces or with roommates because that’s all they can afford.” However, John Thatch, principal and director of design at the architectural and planning firm Dahlin Group, believes that even as millennials get older and conceivably need greater square footage, there is still a possibility that their tendency toward efficient spaces will continue: “I’m hoping this is the generation [that pulls in house size] because our generation went gigantic. It’s a chance for architects to get back to design smaller, more thoughtful spaces that are flexible.” Read the court decision
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Traub Lieberman Partners Dana Rice and Jason Taylor Obtain Summary Judgment For Insurance Carrier Client in Missouri Federal Court Coverage Action

April 19, 2022 — Dana A. Rice & Jason Taylor - Traub Lieberman
Traub Lieberman Partners Dana Rice and Jason Taylor were recently successful in obtaining summary judgment for a national insurance carrier client in a federal court declaratory judgment action pending in Missouri. The underlying lawsuit involved two wrongful death actions brought against an insured responsible for performing demolition work on a freight elevator shaft as part of a larger demolition project. The two decedents were operating a motorized wire rope pulley inside the shaft when the system failed, causing the work basket occupied by the decedents to fall and resulting in fatal injuries to the workers. Two state court actions followed against the general contractor on the project, the insured, and various other product suppliers and manufacturers of the freight elevator equipment. The firm’s client issued commercial general liability insurance policy, which included an “Injury to Employees, Contractors, Volunteers and Other Workers” exclusion that precluded coverage for bodily injury to a broad variety of workers. As respects the insured, the underlying plaintiffs alleged that the decedent-workers were “employed by” the insured, such that the carrier argued the “Injury to Workers” exclusion barred coverage. The carrier filed a declaratory judgment action in the U.S. District Court for the Eastern District of Missouri seeking a declaration that the insurer had no duty to defend or indemnify its insured for the underlying state court actions under the exclusion, and moved for judgment on the pleadings. The carrier also claimed a related “Contractors and Subcontractors” exclusion barred coverage. Reprinted courtesy of Dana A. Rice, Traub Lieberman and Jason Taylor, Traub Lieberman Mr. Rice may be contacted at drice@tlsslaw.com Mr. Taylor may be contacted at jtaylor@tlsslaw.com Read the court decision
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