Latin America’s Biggest Corporate Crime Gets a Worthy Epic
January 04, 2021 —
Mac Margolis - BloombergAs much as pouring cement and building towers, Brazilian construction dynasty Odebrecht was famed for its political panache. “I get down in the mud with the pigs but come out the other side clean in my white suit,” Norberto Odebrecht, founder of the legacy contractor, liked to boast back in the 1970s and 1980s. The catchphrase was shorthand for what became a patently Brazilian way of doing business – the art of buying influence and coming away unsoiled, or at least unincarcerated – among porcine politicians and bribe-truffling officials.
In half a century and over three generations, the family firm from northeast Brazil grew into a multinational engineering colossus, hurling up grand public works from the Andes to Angola. Shady pacts with political grifters and bagmen were just part of the deal behind the build-up and seemingly nothing a little Brazilian bonhomie and contract skimming couldn’t tidy up. Until it didn’t.
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Mac Margolis, BloombergMr. Margolis may be contacted at
mmargolis14@bloomberg.net
General Contractor Gets Fired [Upon] for Subcontractor’s Failure to Hire Apprentices
September 23, 2024 —
Garret Murai - California Construction Law BlogAs most public works contractors know, Labor Code section 1777.5 requires the hiring of apprentices on public works projects and, under Labor Code section 1777.7, violations are subject to civil penalties of up $100/day and up to $300/day days for repeated violations within a three-year period.
In
Lusardi Construction Co. v. Dept. of Industrial Relations, 102 Cal.App.5th (2024), a prime contractor learned the hard way that not only could it be penalized for its failure to hire apprentices but that it could also be liable for its subcontractor’s failure to hire apprentices. Forewarned is to be forearmed.
The Lusardi Construction Case
In 2014, general contractor Lusardi Construction Company hired subcontractor Pro Works Contracting to perform iron reinforcing work on a public works project owned by the San Marcos Unified School District.
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Garret Murai, Nomos LLPMr. Murai may be contacted at
gmurai@nomosllp.com
July 1, 2015 Statutory Changes Affecting Virginia Contractors and Subcontractors
June 10, 2015 —
Christopher G. Hill – Construction Law MusingsAs always seems to be the case, this year, as in others, the Virginia General Assembly has seen fit to “tweak” a few construction related statutes. All of these changes will go into effect on July 1, 2015.
The big one, and one that I posted about a while back is the change to the Virginia mechanic’s lien statute to prohibit contractual waiver of lien, payment bond or claims for additional costs prior to the furnishing of labor or materials. This one is big because it relieves a bit of the angst in the pre-contract negotiations between subcontractors and general contractors.
Another significant change, this one to the wording of Virginia Code 2.2-4309, found in House Bill 1628, clarifies the fact that this Virginia statute does not limit the amount a government contractor may claim or recover against a public body under a contract dispute. This is a big one considering the ruling in the Carnell Construction Corp. v. Danville Redevelopment Housing Authority LLC limiting such claims.
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Christopher G. Hill, Law Office of Christopher G. Hill, PCMr. Hill may be contacted at
chrisghill@constructionlawva.com
Automated Weather Insurance Could Offer Help in an Increasingly Hot World
July 10, 2023 —
Michelle Ma - BloombergCarlos José Báez experienced the full brunt of Hurricane Maria when it made landfall in Puerto Rico as a catastrophic storm in 2017.
The auto paint shop owner, who lives in Aguas Buenas, Puerto Rico, saw his home badly damaged by Maria’s ferocious winds and rain. Despite submitting claims to his homeowner’s insurance policy for over $25,000, Báez ultimately received a payout of $11,000.
“We had a lot of property damage and insurance, but they didn’t want to pay,” Báez said in an interview in Spanish.
More than
$1.6 billion in insurance claims remained unresolved more than two years after Maria while others were denied completely. The latter happened to Jonathan González’s mother, who waited nearly a year for an adjuster to come take photos of water damage and a broken wheelchair ramp only for the claim to be denied six months later.
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Michelle Ma, Bloomberg
Happenings in and around the 2015 West Coast Casualty Seminar
May 07, 2015 —
Beverley BevenFlorez-CDJ STAFFWest Coast Casualty Construction Defect Seminar returns to the Disneyland Hotel next week (May 14th and 15th), and the Construction Defect Journal has compiled a list of concerts, sporting events, and museum exhibitions taking place in and around Anaheim. Whether you like to spend your personal time checking out a new band, or watching your favorite Angel slide into home, or perusing the local art museum, there is something to spark your interest.
CONCERT VENUES
THE HOUSE OF BLUES IN ANAHEIM
Located in Downtown Disney, The House of Blues in Anaheim is a short walk from the convention hall.
Live Band Karaoke
Wednesday, May 13th Starting at 10pm
No Cover
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Rockin’ The Blues with Griff Hamlin
Thursday, May 14th at 10pm
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Tyrone Wells
Saturday, May 16th at 7pm
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THE GROVE OF ANAHEIM
Near Angel Stadium, the Grove of Anaheim is just a few miles away from the seminar location.
Ministry
Monday, May 11th Doors Open at 7pm / Show Begins at 8pm
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Kamelot plus Special Guest Dragonforce
Friday, May 15th Doors Open at 7pm / Show Begins at 8pm
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CHAIN REACTION
Attendees can escape to this all-ages club that’s just a ten minute drive from the Disneyland Hotel.
Ice Nine Kills
Wednesday, May 13th at 7pm
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Warped Tour Battle of the Bands
Thursday, May 14th at 7pm
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Manifest Presents
Saturday, May 16th at 7pm
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SPORTING EVENTS
ANGEL’S STADIUM – BASEBALL
Take care of your popcorn-and-peanuts-and-cracker-jacks fix while cheering for the Angel’s—conveniently just a few miles from the Disneyland Hotel.
Angels v. Colorado Rockies
Tuesday, May 12th at 7:05pm
Wednesday, May 13th at 7:05pm
For More Information and to Purchase Tickets...
MUSEUM EXHIBITIONS
MUZEO
This local museum and cultural center is a short drive from the convention hall.
Cougars and Grizzlies: Sharing their Path
April 18, 2015-September 13th, 2015
Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 5 pm
For More Information and to Purchase Tickets...
BOWERS MUSEUM (Santa Ana)
Voted “The Best Museum in Orange County” by OC Register Readers for 16 consecutive years, this arts and cultural center is worth the fifteen minute drive.
Qi Baishi: China’s Modern Master
April 11th, 2015-July 11th, 2015
Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 4 pm
For More Information and to Purchase Tickets...
Where Ends Meet: A Retrospective of Works by Nancy Ravenhall Johnson
March 13th, 2015-August 16th, 2015
Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 4 pm
For More Information and to Purchase Tickets...
Exhibition: Adams, Curtis, and Weston: Photographers of the American West
May 16th, 2015-November 29th, 2015
Museum Days/Hours: Tuesday – Sunday (Closed Mondays) / 10 am to 4 pm
For More Information and to Purchase Tickets...
Lecture: Adams, Curtis, and Weston: Photographers of the American West
Saturday, May 16th from 1:30pm to 2:30pm
For More Information and to Purchase Tickets...
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Mississippi exclusions j(5) and j(6) “that particular part”
June 07, 2011 —
CDCoverage.comIn Lafayete Ins. Co. v. Peerboom, No. 3:10cv336 (S.D. Miss. June 2, 2011), claimant homeowner Peerboom hired insured contractor Absolute to raise Peerboom’s house two feet to avoid future flooding. While Absolute was raising the house, it fell, resulting in physical injury to the home. Peerboom sued Absolute for negligence, breach of contract, and fraud, seeking damages for the destruction of the home. Absolute’s CGL insurer Lafayette defended under a reservation of rights and filed a declaratory judgment action.
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Render Unto Caesar: Considerations for Returning Withheld Sums
January 18, 2021 —
William E. Underwood Partner, Jones Walker LLP - ConsensusDocsWithholding sums during a dispute can be an effective and perfectly legitimate means to protect against the harms caused by another party’s breach. However, withholding too much money during a dispute can turn a position of strength into one of weakness.
“Why should I fund the other side’s litigation war chest?” and “Isn’t this just a display of weakness?” are common questions raised by contractors when this issue is discussed. Often, the contractor is well within its contractual or legal rights to withhold money from a breaching subcontractor (another topic for another day). But it may not always be in a contractor’s best interest to withhold every single penny available.
This article addresses some of the long-term implications for failing to return withheld sums, including the potential to recover attorneys’ fees, possible bad faith, accruing interest, and overall litigation costs. Admittedly, it can be hard to give money back in the middle of a dispute. But sometimes it can positively impact the overall outcome of the case.
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William E. Underwood, Jones Walker LLP (ConsensusDocs)Mr. Underwood may be contacted at
wunderwood@joneswalker.com
Texas Jury Finds Presence of SARS-CoV-2 Virus Causes “Physical Loss or Damage” to Property, Awards Over $48 Million to Baylor College of Medicine
September 26, 2022 —
Michael S. Levine & Kevin V. Small - Hunton Insurance Recovery BlogA Texas jury has found that the presence of SARS-CoV-2 virus on the property of Baylor College of Medicine (BCM) caused “physical loss or damage” and resulting economic loss, triggering coverage under BCM’s commercial property insurance program. The jury awarded BCM over $48 million following a three-day trial; the award consisted of $42.8 million in business interruption, $3.3 million in extra expense, and $2.3 million in damage to research projects.
The verdict came after the court denied the insurers’ pre-trial motion for summary judgment, rejecting the insurers’ contention that a virus cannot—as a matter of law—cause physical loss or damage to property. In denying the motion, the court held that whether the presence of the virus causes physical loss or damage presents a question of fact for the jury to resolve; a copy of the order rejecting the insurers’ summary judgment argument can be found
here.
Reprinted courtesy of
Michael S. Levine, Hunton Andrews Kurth and
Kevin V. Small, Hunton Andrews Kurth
Mr. Levine may be contacted at mlevine@HuntonAK.com
Mr. Small may be contacted at ksmall@HuntonAK.com
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