Is the Removal and Replacement of Nonconforming Work Economically Wasteful?
September 19, 2022 —
David Adelstein - Florida Construction Legal UpdatesThere are times a contractor installs the wrong material or system contrary to the plans and specifications. A nonconformity. The owner wants the already-installed material or system to be replaced in conformity with the plans and specifications. However, what was installed is functionally equivalent to what the plans and specifications required and would be cost prohibitive, i.e., economically wasteful. If the contractor elects to remove and replace the nonconforming work, it may seek a change order because it is economically wasteful. Or, the contractor may refuse (typically, not the best approach) in furtherance of taking on the fight based on the economic wastefulness associated with the removal and replacement. A recent case, David Boland, Inc. v. U.S., 2022 WL 3440349 (Fed.Cl. 2022), talks about this exaction situation and the economic waste doctrine. This is an important doctrine for contractors to understand when faced with a similar predicament.
Here, a contractor was hired by the government to construct a wastewater collection system that was to be owned and operated by a private company. The contractor’s work was going to be incorporated into a larger sewer system that the private company already operated. The contractor was required to install sewer manholes reinforced with steel in accordance with an ASTM standard. The manholes could be rejected if they did not conform to the ASTM standard. Compliance with this ASTM standard was also required by the private company’s construction protocol for the infrastructure, which was incorporated into the contractor’s contract with the government. The contractor was required to strictly comply with the contract.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Best Practices After Receiving Notice of a Construction Claim
July 18, 2022 —
Lauren Meadows - Construction ExecutiveBeing served with a lawsuit is typically not a welcomed experience. However, a construction professional that has been proactive in an early investigation of the claim will be better equipped to defend the case. The following best practices should be used by construction professionals as soon as a potential claim becomes evident.
Notify
Immediately after the receipt of a claim or notice of an incident, efforts should be made to notify all essential parties. This includes any potential insurers that may provide coverage for the claim as well as any parties to whom notice may be required or warranted under the project contract and/or scope of work. Some construction contracts contain an insurance clause that requires one party to provide additional insured coverage under its liability policy to another party. Notice should be given to any insurer that potentially provides additional insured coverage as soon as possible. The failure to provide an insurance company with prompt notice of a potential claim could result in the denial of the claim.
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Lauren Meadows, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Western Specialty Contractors Branches in San Francisco and Cleveland Take Home Top Industry Honors
January 03, 2022 —
Western Specialty Contractors(St. Louis, MO, Dec. 21, 2021) Western Specialty Contractors Branches in San Francisco, CA and Cleveland, OH are ending the year's fourth quarter on a high note, with each receiving a top industry award.
In October, Western's San Francisco Branch was named a 2021 International Concrete Repair Institute (ICRI) Project of the Year Award Finalist (Historic Category) for renovation and repurposing of the SMUD Museum of Science and Curiosity in Sacramento, CA. Western's Cleveland Branch was honored in December with the Institute of Real Estate Management (IREM) Northern Ohio Chapter's Industry Partner of the Year Award.
About Western Specialty Contractors
Family-owned and operated for more than 100 years, Western Specialty Contractors is the nation's largest specialty contractor in masonry and concrete restoration, waterproofing and specialty roofing. Western offers a nationwide network of expertise that building owners, engineers, architects, and property managers can count on to develop cost-effective, corrective measures that can add years of useful life to a variety of structures including industrial, commercial, healthcare, historic, educational and government buildings, parking structures, and sports stadiums. Western is headquartered in St. Louis, MO with 30 branch offices nationwide and employs more than 1,200 salaried and hourly professionals who offer the best, time-tested techniques and innovative technology. For more information about Western Specialty Contractors, visit www.westernspecialtycontractors.com.
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How Tech Is Transforming the Construction Industry in 2019
July 08, 2019 —
Ginger Butz - Construction ExecutiveThe immediate applications and benefits of Industrial Internet of Things technologies are obvious in industries like manufacturing and computing, but these digital transformation technologies may not be top of mind for construction managers.
It’s time for that mindset to change. Worldwide spending on IIoT is expected to reach nearly $2 trillion in 2022, proving that these technologies hold a significant amount of value to the industries using them. That rings especially true in construction, where IIoT stands to bolster an already significant commitment to safety and communication. Construction managers should keep these technologies firmly on the radar when making investments in 2019.
Smart equipment
With sensors and radio-frequency identification (RFID) tags, even legacy construction equipment can become part of a construction company’s IIoT fleet. The data collected from these machines provides construction managers with a wealth of knowledge around downtime, safety, labor, efficiency and more.
Additionally, the next era of smart construction equipment will feature more autonomous vehicles and automatic equipment shutdown, both of which promote worker safety. Autonomous vehicles, which self-correct based on feedback and environmental factors, also free up human engineers to move from maintenance tasks into more complex roles that leverage the feedback data reported by IIoT machinery.
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Ginger Butz, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Ms. Butz may be contacted at
info@moreycorp.com
43% of U.S. Homes in High Natural Disaster Risk Areas
September 03, 2015 —
Beverley BevenFlorez-CDJ STAFFRealtyTrac released data that declared that “35.8 million U.S. single family homes and condos with a combined estimated market value of $6.6 trillion are in counties with high or very high natural hazard risk.” Each county was assigned one of five risk catagories for overall risk of natural disaster: Very High, High, Moderate, Low, and Very Low. States whose scores fell into the “Very High” category included California, Florida, New York, New Jersey, and North Carolina.
“The weather is beautiful in SoCal, but we are statistically more susceptible to the risk of fire, floods and earthquakes than most areas. Our agents must be articulate in explaining the higher risks to buyers. People have to be able trust their agent to fully disclose the risks of natural disasters and homeownership to allow buyers to make the most informed decisions,” Mark Hughes, chief operating officer with First Team Real Estate, covering the Southern California market, told RealtyTrac. “A well-informed knowledgeable buyer is best prepared to take on the potential risks associated with SoCal homeownership.”
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Amazon HQ2 Puts Concrete on an Embodied Carbon Diet
January 17, 2022 —
Nadine M. Post - Engineering News-RecordBefore the ground-breaking for Amazon’s 2.1-million-sq-ft Metropolitan Park office development across the Potomac River from the nation’s capital, Clark Construction Group’s John Swagart and Jeff King walked door to door, introducing themselves to shopkeepers near the MetPark site. The good-will ambassadors were pounding the pavement to inform MetPark’s neighbors of the plan to dig a 50-ft-deep hole—710 ft x 310 ft—and create two 22-story buildings.
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Nadine M. Post, Engineering News-Record
Ms. Post may be contacted at postn@enr.com
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Notes from the Nordic Smart Building Convention
June 29, 2017 —
Aarni Heiskanen - AEC BusinessThe first Nordic Smart Building Convention took place in Helsinki on June 14 and 15, 2017. It was an inspiring event with great keynotes, tech talks, and an exhibition of smart building products and services.
The event was organized by HUB13, a leading co-working space provider in Finland. I had met with the producer of the convention, Sjoerd Postema, when he was planning the event. He asked for my ideas on possible topics and presenters. Later, he invited me to host a workshop and a roundtable at the convention.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
info@aepartners.fi
That’s What I have Insurance For, Right?
December 31, 2014 —
Craig Martin – Construction Contractor AdvisorAh, the age old question, What does my insurance really cover? A federal court in Georgia recently weighed in on this issue in Standard Contractors, Inc. v. National Trust Insurance Company, and ruled that a contractor’s commercial general liability insurer did not have to pay for damage caused by a subcontractor.
Standard Contractors was hired to renovate the pool on an army base. Standard hired a subcontractor to for design and installation work. The subcontractor’s work was subpar in that the subcontractor omitted a number of parts, installed the wrong parts, and caused more than $400,000 in damage to the pool. Standard submitted a claim to its insurer seeking coverage for the loss under its commercial general liability policy.
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Craig Martin, Lamson, Dugan and Murray, LLPMr. Martin may be contacted at
cmartin@ldmlaw.com