Certain Private Projects Now Fall Under Prevailing Wage Laws. Is Yours One of Them?
November 21, 2022 —
Nancy Cox - Construction ExecutiveFor the last few years, New York State Labor Law has required that all contractors overseeing public development projects pay their workers the prevailing wage rate, which includes a regulated hourly rate for wage and benefits. Fast forward to 2022, the requirements of Section 224-A are extending to private projects costing more than $5 million where 30% or more of the financing for the construction costs was obtained from public sources like state or local funding.
There are a number of forms of financing that qualify as public funding, and its important for developers to understand exactly how these are defined under the new law. Public funding includes any indirect or direct payment from government authorities, savings from fees, tax credits or payments in lieu of taxes, loans from public entities and more.
In order to provide further clarity, the law also clearly defined certain project exemptions to the new rule. First, affordable housing projects will not be affected, along with historic rehabilitation projects or small renewable energy projects. Also, projects for established non-profit companies receive an exemption as long as the company reports gross annual revenues less than $5 million. Other exemptions include projects for schools under 60,000 square feet and those funded by the Urban Development Corporation’s Restore New York's Communities Initiative.
Reprinted courtesy of
Nancy Cox, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
Read the court decisionRead the full story...Reprinted courtesy of
Serial ADA Lawsuits Targeting Small Business Owners
February 04, 2014 —
Beverley BevenFlorez-CDJ STAFFJennifer Wadsworth reports in the San Jose Inside that small business owners in the South Bay area of California have been targeted for ADA Compliance lawsuits. Specifically, John Ho, “a wheelchair-bound paraplegic from the Southern California town of Rosemead” has hit close to “80 businesses in San Jose and more throughout South Bay” with ADA complaints. Another resident, Cecil Shaw has also “filed hundreds of lawsuits in federal court through a San Jose-based law firm alleging similar violations.”
According to Wadsworth, these lawsuits have “become a multimillion-dollar industry.” Communities are often hit with “a hundred or more” lawsuits at a time: “Law firms team up with disabled clients to inspect businesses for compliance issues, and then sue in droves, expecting half or more defendants to settle out of court.”
Niccandro Barrita, owner of one of four La Victoria Mexican Restaurants in South Bay, lost an ADA lawsuit. “I thought because when the building was remodeled in 1996 and the city waived the lift requirement that I was in the clear. But that wasn’t the case,” he told San Jose Inside. Barrita claims to have paid $900,000 in attorney fees. His advice to other owners is to be proactive: “Don’t rely on someone to point out a deficiency to you. Find out for yourself if you’re compliant.”
Read the court decisionRead the full story...Reprinted courtesy of
Contractor’s Coverage For Additional Insured Established by Unilateral Contract
November 18, 2011 —
Tred R. Eyerly - Insurance Law HawaiiThe contractor was covered as an additional insured under the subcontractor’s policy even though the parties had never actually signed an agreement to add the contractor to the policy. Evanston Ins. Co. v. Westchester Surplus Lines Ins. Co., 2011 U.S. App. LEXIS 20081 (9th Cir. Oct. 3, 2011).
The policies held by Bellevue Master, the general contractor, required it to be an additional insured under any subcontractor’s liability policy. Northwest Tower Crane Services was a subcontractor. Bellevue Master LLC, faxed a message that Northwest could continue to be a subcontractor on the project if it complied with Bellevue Master’s insurance requirements. Northwest contacted its insurance broker and requested an insurance certificate be issued to Bellevue Master so that it would be an additional insured under Northwest’s policy.
Read the full story…
Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii. Mr. Eyerly can be contacted at te@hawaiilawyer.com
Read the court decisionRead the full story...Reprinted courtesy of
How Will Today’s Pandemic Impact Tomorrow’s Construction Contracts?
October 26, 2020 —
Levi W. Barrett, Nathan A. Cohen & Mark A. Snyder - Peckar & AbramsonThe emergence of COVID-19 has created a new set of challenges in the already complex world of negotiating construction contracts. In the pre-COVID-19 era, general contractors, construction managers and those negotiating on their behalf, needed to balance a variety of fairly well-established legal risks and exposures and commercial realities with the need to maintain a positive relationship with their counterparty. While many are rightfully concerned with addressing the impacts of COVID-19 to their on-going projects, those negotiating new contracts now are undoubtedly cognizant that they are negotiating in the midst of an unpredictable future that is tipping the historical negotiating balance. The following presents some crucial areas to focus on when negotiating and drafting your contracts in this new era.
Contract Terms Through the COVID-19 Lens
Contractors should examine proposed new contracts carefully to identify rights that afford COVID-19 protections and identify contractual obligations that create COVID-19 commercial risks.
Specific attention should be paid to those sections relating to force majeure/excusable delay, emergencies, changes (including changes in law), contingency, suspension and termination, site investigation as well as all representations and warranties. The paramount concern in examining these provisions is to ensure that they not only entitle the contractor to relief for those unknown events, emergencies and changes, but that they also contain sufficient entitlement for the contractor to obtain both time extensions and financial compensation for unknown impacts of a known event – the COVID-19 pandemic.
Reprinted courtesy of
Levi W. Barrett, Peckar & Abramson, P.C.,
Nathan A. Cohen, Peckar & Abramson, P.C.and
Mark A. Snyder, Peckar & Abramson, P.C.
Mr. Barrett may be contacted at lbarrett@pecklaw.com
Mr. Cohen may be contacted at ncohen@pecklaw.com
Mr. Snyder may be contacted at msnyder@pecklaw.com
Read the court decisionRead the full story...Reprinted courtesy of
Quick Note: Lis Pendens Bond When Lis Pendens Not Founded On Recorded Instrument Or Statute
May 20, 2019 —
David Adelstein - Florida Construction Legal UpdatesIf a lis pendens is recorded and the lis pendens is NOT founded on a duly recorded instrument (e.g., mortgage) or a statute (e.g., construction lien), a lis pendens bond should be recorded. The lis pendens bond should cover prospective damages associated with the wrongful / unjustified recording of a lis pendens that were suffered by the property owner. The reason being is that the lis pendens has an effect on the title to the property as long as the lis pendens is recorded. Damages could stem from a decline in the market value of the property, continued upkeep and maintenance of the property, and there may also be (and, really, should be) consideration for loss of investment return associated with the equity in that property.
Read the court decisionRead the full story...Reprinted courtesy of
David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Insurers' Motion to Knock Out Bad Faith, Negligent Misrepresentation Claims in Construction Defect Case Denied
August 27, 2013 —
Tred Eyerly - Insurance Law HawaiiHaving previously decided that construction defect claims did not arise from an occurrence and were consequently not covered under Hawaii law, the Hawaii Federal District Court refused to dismiss the insured's second amended counterclaim alleging various claims for relief. Ill. Nat'l Ins. Co. v. Nordic PCL Construc., Inc., 2013 U.S. Dist. LEXIS 108932 (D. Haw. July 31, 2013).
In earlier proceedings, the court determined that the Nordic's allegedly deficient performance on construction contracts was not an "occurrence." The court also rejected Nordic's argument that the Hawaii legislature's Act 83 required the court to deviate from the Ninth Circuit's opinion in Burlington Ins. Co. v. Oceanic Design & Constr., Inc., 383 F.3d 940 (9th Cir. 2004) or the Hawaii Intermediate Court of Appeals' decision in Group Builders, Inc. v. Admiral Ins. Co., 123 Haw. 142, 231 P.3d 67 (Haw. Ct. App. 2010).
Admiral now moved for summary judgment on its complaint and for dismissal of Nordic's second amended counterclaim, alleging bad faith and negligent misrepresentation, among other counts. Summary judgment as to the Safeway claim was denied.
Read the court decisionRead the full story...Reprinted courtesy of
Tred EyerlyTred Eyerly can be contacted at
te@hawaiilawyer.com
Sanibel Causeway Repair: Contractors Flooded Site With Crews, Resources
November 15, 2022 —
Derek Lacey - Engineering News-RecordAfter Hurricane Ian slammed into southwest Florida, washing out the Sanibel Causeway and cutting off thousands of Sanibel Island residents, another flood hit the area: construction crews and resources that swarmed the area to rebuild two roadway sections and five washed-out approaches to restore access.
Reprinted courtesy of
Derek Lacey, Engineering News-Record
Mr. Lacey may be contacted at laceyd@enr.com
Read the full story... Read the court decisionRead the full story...Reprinted courtesy of
Future Environmental Rulemaking Proceedings Listed in the Spring 2019 Unified Federal Agenda
July 15, 2019 —
Anthony B. Cavender - Gravel2GavelThe latest federal regulatory agenda has been released, which, among other matters, lists proposed and projected environmental regulatory proceedings being considered by different departments and agencies. Here are some selected items.
EPA
1. The Water Office
- EPA plans to issue in December 2019 a Notice of Proposed Rulemaking (NPRM) to consider making a regulatory determination as a prelude to listing as drinking water contaminants PFOA and PFOS pursuant to the Safe Drinking Water Act.
- EPA (along with the Corps of Engineers) plans to issue an NPRM in December 2019 that will propose to revise and update its 2008 mitigation banks and in-lieu fee programs, with a final rule scheduled for September 2020.
- An NPRM to revise the 2015 effluent limitations guidelines and standards for the Steam Electric Power Generating Point Source Category will be released in June 2019.
Read the court decision
Read the full story...
Reprinted courtesy of Anthony B. Cavender, Pillsbury
Mr. Cavender may be contacted at anthony.cavender@pillsburylaw.com