OSHA Penalties—What Happened with International Nutrition
April 15, 2015 —
Craig Martin – Construction Contractor AdvisorFor those of you in and around Omaha, you recall the tragic collapse of International Nutrition’s plant in early 2014, killing two workers and injuring several others. OSHA swept onto the scene and issued citations. Surprisingly, the penalties totaled only $120,000. While a large sum, one would think two deaths and a score of injuries would generate a larger fine. International Nutrition appealed the penalties and they have now been reduced to $78,000, about a 1/3 reduction. Below, I’ll set forth what happened.
The Original Penalties
International Nutrition was originally fined $120,650.00 for citations ranging from willful, serious, to other-than-serious.
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Craig Martin, Lamson, Dugan and Murray, LLPMr. Martin may be contacted at
cmartin@ldmlaw.com
Sometimes a Reminder is in Order. . .
February 18, 2020 —
Christopher G. Hill - Construction Law MusingsRecently, I was talking with my friend Matt Hundley about a recent case he had in the Charlottesville, VA Circuit Court. It was a relatively straightforward (or so he and I would have thought) breach of contract matter involving a fixed price contract between his (and an associate of his Laura Hooe) client James River Stucco and the Montecello Overlook Owners’ Association. I believe that you will see the reason for the title of the post once you hear the facts and read the opinion.
In James River Stucco, Inc. v. Monticello Overlook Owners’ Ass’n, the Court considered Janes River Stucco’s Motion for Summary Judgment countering two arguments made by the Association. The first Association argument was that the word “employ” in the contract meant that James River Stucco was required to use its own forces (as opposed to subcontractors) to perform the work. The second argument was that James River overcharged for the work. This second argument was made without any allegation of fraud or that the work was not 100% performed.
Needless to say, the Court rejected both arguments. The Court rejected the first argument stating:
In its plain meaning, “employ” means to hire, use, utilize, or make arrangements for. A plain reading of the contractual provisions cited–“shall employ” and references to “employees”–and relied on by Defendant does not require that the persons performing the labor, arranged by Plaintiff, be actual employees of the company or on the company’s payroll. It did not matter how the plaintiff accomplished the work so long as it was done correctly. The purpose of those provisions was to allocate to Plaintiff responsibility for supplying a sufficient workforce to get the work done, not to impose HR duties or require the company to use only “in house” workers. So I find that use of contracted work does not constitute a breach of the contract or these contractual provisions.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Paul Tetzloff Elected As Newmeyer & Dillion Managing Partner
June 03, 2019 —
Newmeyer & Dillion LLPNewmeyer & Dillion LLP, a prominent business and real estate law firm, selected Paul Tetzloff as the firm's Managing Partner. His term began on January 1, 2019. A business litigator, Tetzloff will now oversee the firm's strategic plan and manage the firm's day-to-day business affairs.
"The Firm is incredibly fortunate to have Paul stepping into the role as Managing Partner. His energy, intelligence, leadership, and drive make him uniquely qualified to lead this Firm for years to come," said former Managing Partner Jeff Dennis. "I am excited to watch where the Firm is headed – we have such an amazing opportunity to continue to develop to even greater heights, and Paul will be a huge part of making that happen."
Active in his community, Tetzloff sits on the board for HomeAid Orange County and the Marine Raider Association.
Tetzloff is succeeding Dennis, who served in the role from 2012 to 2018. "Jeff was our managing partner for seven years and he did an outstanding job. We owe Jeff a debt of gratitude for his service," said Tetzloff of his predecessor. "I'm looking forward to continuing to build on the groundwork laid to help the firm reach new levels in the years to come."
Dennis' leadership allowed the firm to grow substantially under his tenure, including opening a Las Vegas, Nevada office and establishing thriving practice areas throughout various industries. Dennis will focus his energy on overseeing the firm's growing Privacy and Data Security practice.
Paul Tetzloff
paul.tetzloff@ndlf.com
Practice Areas
Business Litigation
Construction Litigation
Real Estate Litigation
About Newmeyer & Dillion
For almost 35 years, Newmeyer & Dillion has delivered creative and outstanding legal solutions and trial results for a wide array of clients. With over 70 attorneys practicing in all aspects of business, employment, real estate, privacy & data security and insurance law, Newmeyer & Dillion delivers legal services tailored to meet each client's needs. Headquartered in Newport Beach, California, with offices in Walnut Creek, California and Las Vegas, Nevada, Newmeyer & Dillion attorneys are recognized by The Best Lawyers in America©, and Super Lawyers as top tier and some of the best lawyers in California, and have been given Martindale-Hubbell Peer Review's AV Preeminent® highest rating. For additional information, call 949.854.7000 or visit www.ndlf.com.
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Contractors Struggle with Cash & Difficult Payment Terms, Could Benefit From Legal Advice, According to New Survey
December 30, 2019 —
Christopher G. Hill - Construction Law MusingsGuest Post Friday is back with a post from my pal Scott Wolfe. Scott is the founder and CEO of Levelset, which is used by thousands of contractors to make payments fast and easy. Scott, previously a construction attorney himself, founded Levelset to even the $1 trillion construction playing field, and is on a mission to make payments less stressful for contractors and suppliers across the globe.
Getting paid in construction is slow, hard, and stressful, according to a survey conducted by Levelset & TSheets by Quickbooks that polled over 500 construction professionals. Half of the contractors surveyed complained that they did not get paid on time, which caused serious cash flow issues that negatively impacted their customer relationships and frequently forced them to dip into personal savings and lines of credit to keep their business afloat.
View the 2019 Construction Payment Report here.
Unfortunately, since the construction industry’s slow payment problems are well-documented, this sad reality isn’t too surprising. The findings, though, do demonstrate a massive cash crunch for the 1.5 million+ contractors in the United States, and underscores the importance of having legal help and counsel from a construction lawyer before, during, and after jobs.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Faulty Workmanship an Occurrence in Iowa – as Long as Other Property Damage is Involved
November 30, 2016 —
Austin D. Moody – Saxe Doernberger & Vita, P.C.The Eighth Circuit recently weighed in on one of the more contentious issues in insurance coverage litigation: is faulty workmanship an occurrence? In Decker Plastics Inc. v. West Bend Mut. Ins. Co., the Eighth Circuit ruled that, under Iowa law, faulty workmanship is an occurrence – as long as it leads to other property damage.
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Austin D. Moody, Saxe Doernberger & Vita, P.C.Mr. Moody may be contacted at
adm@sdvlaw.com
Illinois Insureds are Contesting One Carrier's Universal Denial to Covid-19 Losses
May 11, 2020 —
Anna M. Perry - Saxe Doernberger & VitaIn response to the large number of COVID-19-related losses that businesses are experiencing, insurers have begun issuing statements informing their insureds of whether their policies will respond to the losses, and if so, what coverage will be afforded. Insurers cannot take a “one-size-fits-all” approach to the COVID-19 losses because, besides factual differences, the losses are occurring within all fifty states which means 50 different state law interpretations will apply.
Recently, on March 27, 2020, a number of restaurants and movie theaters located in and around Chicago (the “Insureds”) filed a declaratory judgement action, titled Big Onion Tavern Group, LLC et al. v. Society Insurance, Inc., against their property insurance carrier, Society Insurance, Inc. (“Society”), seeking coverage for business interruption resulting from the shutdown order issued by the governor of Illinois. The suit alleges that Society improperly denied their business interruption claims by using a boiler plate denial. The denial issued by Society is allegedly used for all COVID-19 losses regardless of the applicable jurisdiction’s interpretation of the policy language and the specific coverage purchased by the insured. Further, in its denial, Society takes the position that any loss related to a government-issued closure order is uncovered, even though the Insureds specifically purchased business interruption coverage and their policies did not contain an exclusion for losses caused by viruses.
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Anna M. Perry, Saxe Doernberger & VitaMs. Perry may be contacted at
amp@sdvlaw.com
Bad Faith Jury Verdict Upheld After Insurer's Failure to Settle Within Policy Limits
June 30, 2016 —
Tred R. Eyerly – Insurance Law HawaiiThe Eighth Circuit affirmed the jury verdict which determined that the insurer acted in bad faith for failing to settle within policy limits. Bamford, Inc. v. Regent Ins. Co., 2016 U.S. App. LEXIS 8787 (8th Cir. May 13, 2016).
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Negligent Inspection Claim Against Supervising Design Professional / Consultant
August 07, 2023 —
David Adelstein - Florida Construction Legal UpdatesCan a negligence argument be created against consulting design professionals or entities that are involved in the inspection of a trade’s work? The recent opinion in Bautech USA, Inc. v. Resolve Equipment, Inc., 2023 WL 4186395 (S.D.Fla. 2023) contains an interesting fact pattern that touches upon this issue. While the case dealt with a motion to dismiss, it contains a number of issues that may be discussed in follow-up postings.
Here, a prime contractor was hired by Broward County, Florida to install offshore reef mitigation units. The contractor entered into a subcontract with a concrete fabricator to fabricate the reef mitigation units. The contractor also separately hired consultants to inspect the units. The contractor and its consultants rejected the units even after the fabricator implemented design revisions. The fabricator was then terminated and not paid for contract work plus revisions it implemented to finished units. The fabricator sued the contractor and the contractor’s consultants for non-payment under many (ten) different theories of liability claiming it was damaged to the tune of millions of dollars.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com