Fairfield Connecticut Building Expert Directory

Sureties and Bond Producers May Be Liable For a Contractor’s False Claims Action Violation

October 26, 2017 — Michael C. Zisa & Susan Elliot – Peckar & Abramson, P.C.
Two recent decisions from the United States District Court for the District of Columbia and the United States Court of Federal Claims highlight that sureties and bond producers are not immune to the potentially severe consequences of the False Claims Act (“FCA”) and related federal fraud statutes. In each case, the Court determined that sureties and bond producers can face potential liability under these fraud statutes for direct and indirect submission of false claims to the federal government Reprinted courtesy of Michael C. Zisa, Peckar & Abramson, P.C. and Susan Elliott, Peckar & Abramson, P.C. Mr. Zisa may be contacted at mzisa@pecklaw.com Ms. Elliott may be contacted at selliott@pecklaw.com Read the court decision
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New Jersey Court Upholds Registration Requirement for Joint Ventures Bidding on Public Works Contracts

December 16, 2023 — Nicholas J. Zaita & Brian Glicos - Peckar & Abramson, P.C.
Introduction In a matter of “first impression,” on November 30, 2023, the Appellate Division affirmed the New Jersey Superior Court decision in Ernest Bock & Sons-Dobco Pennsauken Joint Venture v. Township of Pennsauken and Terminal Construction Corp., finding that the New Jersey Public Works Contractor Registration Act, N.J.S.A. 34:11-56.48 to -56.57 (“PWCRA” or the “Act”), applies to a joint venture formed for the sole purpose of bidding on a public works contract. Therefore, the Court held that the PWCRA requires any joint venture bidding on public works projects in New Jersey to be registered under the Act at the time of bid submission. Accordingly, the Township of Pennsauken acted within its authority and properly rejected the bid submission of the Ernest Bock & Sons-Dobco Joint Venture which was not registered under the Act in the name of the joint venture at the time of its bid submission, despite the individual members of the joint venture being registered. Reprinted courtesy of Nicholas J. Zaita, Peckar & Abramson, P.C. and Brian Glicos, Peckar & Abramson, P.C. Mr. Zaita may be contacted at nzaita@pecklaw.com Mr. Glicos may be contacted at bglicos@pecklaw.com Read the court decision
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CSLB Releases New Forms and Announces New Fees!

April 05, 2017 — Garret Murai – California Construction Law Blog
The California Contractors State License Board (CSLB”) has issued new application forms. Effective May 1, 2017, the CSLB will only accept forms with a revision date of October 2017 (Pro tip: see bottom of form to verify it indicates a revision date of “10/16” or later). Read the court decision
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Reprinted courtesy of Garret Murai, Wendel Rosen Black & Dean LLP
Mr. Murai may be contacted at gmurai@wendel.com

EPA Rejects Most of N.Y.’s $511 Million Tappan Zee Loan

September 17, 2014 — Freeman Klopott – Bloomberg
A $511 million loan approved by a New York environmental agency to help fund the construction of a new $4 billion Tappan Zee Bridge was rejected almost entirely by the U.S. Environmental Protection Agency. The loan was intended to drive down borrowing costs for the replacement span being built across the Hudson River, with half of it being provided at zero interest. The agency, the Environmental Facilities Corp., approved the borrowing in June, saying it could use the funds from a program that targets clean-water projects. The EPA said today in a letter to state officials that building a new bridge doesn’t fit the intention of the program, which is backed by federal dollars. The agency, citing the U.S. Clean Water Act, said only $29.1 million could be allowed. Read the court decision
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Reprinted courtesy of Freeman Klopott, Bloomberg
Mr. Klopott may be contacted at fklopott@bloomberg.net

Ex-Pemex CEO Denies Allegations of Involvement in Brazil Scandal

April 13, 2017 — Carlos M Rodriguez & Juan Pablo Spinetto - Bloomberg
ormer Petroleos Mexicanos Chief Executive Officer Emilio Lozoya denied participating in an alleged bribery scheme involving Brazilian construction company Odebrecht SA in Mexico, after Veja magazine reported the executive was mentioned in connection with an ongoing corruption probe. "I haven’t requested nor have I received illegal money," Lozoya said in an emailed response to questions by Bloomberg News on Wednesday. "I reiterate my interest in having this matter investigated and penalties issued, but without dishonoring and defaming without proof along the way." In a report this week, Brazilian magazine Veja cited court documents suggesting the former Pemex CEO allegedly requested a $5 million illegal payment to Odebrecht, Latin America’s biggest construction company, to obtain benefits in Mexico. Veja says it based its reporting on portions of a plea-bargain agreement between prosecutors and a former top executive at Odebrecht. The allegations are part of a three-year, sweeping corruption probe in Brazil known as Operation Carwash. Reprinted courtesy of Carlos M Rodriguez, Bloomberg and Juan Pablo Spinetto, Bloomberg Read the court decision
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Don’t Just Document- Document Right!

February 06, 2019 — Christopher G. Hill - Construction Law Musings
I have stated to clients on many occasions that paper is a lawyer’s best friend. Because of a recent case from the Virginia Supreme Court, I should modify that to the correct paper is a lawyer’s best friend. In Commonwealth v. AMEC Civil, LLC, AMEC sued the Virginia Department of Transportation (“VDOT”) seeking more than $21 million in damages. The Mecklenburg County Circuit Court granted AMEC almost all of its damages and found that AMEC’s notice of intent to make a claim was proper under the Virginia Code even if it was not in the proper form. Read the court decision
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

More Musings on Why I Mediate

November 18, 2024 — Christopher G. Hill - Construction Law Musings
Whew! I’m back. And yes, I know it’s been a while (it has been a busy year, both personally and professionally). Hopefully, this will be the first of at least a few more consistent posts here at Construction Law Musings. Now, on with the post: Over the last few weeks, I’ve had a surge in mediation, both in my capacity as a mediator and as counsel for construction industry clients. These recent events have reaffirmed what I have always believed to be true, namely that no construction case is impossible to settle and avoid the cost and expense of litigation. I was also reminded of why I became a certified mediator and of the satisfaction that I get from helping individuals and construction companies find a business solution and closure. Read the court decision
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

California Expands on Scope of Coverage for Soft Cost Claims

February 14, 2023 — Caitlin N. Rabiyan - Saxe Doernberger & Vita, P.C.
The California federal district court case of KB Home v. Illinois Union Insurance Co., No. 8:20-cv-00278-JLS-JDE, (C.D. Cal. August 23, 2022), provides much needed guidance for cases involving builder's risk insurance claims for soft cost coverage. The case stems from damage to several of KB Home’s residential building sites caused by a severe rainstorm in January 2017. Each home site was a smaller part of a large housing development project. The damage caused significant delay in the completion of some individual home sites, although there was limited evidence of delay to the overall housing development project. As a result, KB Home sought coverage under a builder’s risk policy purchased from Illinois Union for both hard costs and soft costs. “Hard costs” are the costs directly associated with repairing property damage to the sites. Conversely, “soft costs” are indirect expenses associated with project delays caused by such property damage and repair efforts. For example, hard costs would include labor and materials, whereas the soft costs claimed by KB Home included additional real estate taxes, construction loan interest, and advertising and promotional expenses incurred because of the delays. Illinois Union paid the claim for the hard costs, but denied the soft costs claim. KB Home filed suit and Illinois Union eventually filed a motion for summary judgment. Read the court decision
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Reprinted courtesy of Caitlin N. Rabiyan, Saxe Doernberger & Vita, P.C.
Ms. Rabiyan may be contacted at CRabiyan@sdvlaw.com

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