The Benefits of Trash Talking: A Cautionary Tale of Demolition Gone Wrong
September 02, 2024 —
Joshua Levy, Anne O'Meara & Kimberly Gutierrez - Construction ExecutiveThat sinking feeling has crossed everyone’s mind at some point: "Did I accidentally throw out...?” It can happen to anyone, from valuable jewelry to uncashed checks or even (in the case of one contractor) to fire-pump control cabinets.
Demolishing the wrong equipment is a concern construction and demolition contractors should review before beginning any project. Recently, one general contractor and its demolition subcontractor would have benefitted from a more detailed “trash” talking session, which could have helped them avoid a dumpster-fire of a legal dispute.
In this case, the general contractor was contracted to renovate a hangar for a military base. The company subcontracted the demolition work to a local, family-owned contractor to demolish aspects of the hangar’s fire-suppression room. The two companies met many times, from planning to daily field walk-downs. They discussed that any equipment that was tagged with bright orange tags would remain in the fire-suppression room. The contractor also reviewed the demolition plans with the demolition company, detailing what should and should not be removed.
Reprinted courtesy of
Joshua Levy, Anne O'Meara & Kimberly Gutierrez, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Insurer Must Defend General Contractor
April 03, 2023 —
Tred R. Eyerly - Insurance Law HawaiiInterpreting Massachusetts law, the federal district court determined consequential damage resulting from the insured's faulty work triggered a duty to defend. Capitol Spec. Ins. Corp. v. Dello Russo Enter. LLC, 2023 U.S. Dist. LEXIS 11627 (D. Mass. Jan. 24, 2023).
Peta-Gay and Michael Print sued the insured, Dello Russo, who they hired as the general contractor for extensive remodelling and renovation of their building. During the demolition work, certain structural load-bearing walls were removed, including a portion of an exterior bricked masonry wall. Shoring of other parts of the building was inadequate and removal of the masonry wall reduced the structural integrity of the building. Cracks began to appear in the remaining portion of the masonry wall and increased over the next few days. Soon thereafter, the City of Boston determined the building was dangerous and that salvage of the undamaged portions was not feasible. Therefore, the building was demolished.
Certain Underwriters at Lloyd's, London, filed suit against Dello Russo as subrogee of the Prinns. Dello Russo tendered the complaint to its insurer, Capitol Specialty Insurance Corporation, who defended under a reservation of rights,. Capitol then filed a suit seeking a declaratory judgment that it had no duty to defend or to indemnify. The parties cross-claimed for summary judgment.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Ex-Ironworkers Local President Sentenced to Prison Term for Extortion
November 02, 2020 —
Jeff Yoders - Engineering News-RecordA federal judge has sentenced Jeffrey Veach, former president of an ironworkers' union local in Indiana, to 42 months in federal prison for his role in organizing a 2016 assault by members of his local—using fists and pieces of hardwood—on non-union ironworkers at a school project, the U.S. Dept. of Justice
says.
Jeff Yoders, Engineering News-Record
Mr. Yoders may be contacted at yodersj@enr.com
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Surety Bond Now a Valid Performance Guarantee for NC Developers (guest post)
June 09, 2016 —
Melissa Dewey Brumback – Construction Law in North CarolinaWelcome summer days! Today we have a guest post by Todd Bryant, president and founder of
Bryant Surety Bonds. He is a surety bonds expert with years of experience in helping contractors get bonded and start their business. While design professionals generally don’t have to deal with performance bonds directly, they are often at the front lines of advising owners as to various Requests for Proposals submitted by hopeful contractors. In that spirit, be sure to read how the new law changes security requirements. Take it away, Todd!
Last year wrapped up with some good news for North Carolina subdivision developers:
House Bill 721 confirmed that construction bonds are, in fact, a viable form of performance guarantee. Previous legislation was ambiguous on this point, but the new bill– which took effect last October– sought to clear up the confusion. Although the new rules have been in effect for eight months, there’s been scant coverage of the changes, and what they mean for developers.
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Melissa Dewey Brumback, Ragsdale Liggett PLLCMs. Brumback may be contacted at
mbrumback@rl-law.com
Construction Defects not Creating Problems for Bay Bridge
July 31, 2013 —
CDJ STAFFThere might have been a number of problems with San Francisco’s new Bay Bridge, but despite all that, the Contra-Costa Times says that the experts say that there is no reason for panic. And although the chair of the Senate Transportation Committee, Mark DeSaulnier, has been a critic of the bridge, he says that he is “convinced the old bridge is unsafe.”
Although DeSaulnier wants an independent review, construction of the bridge has been investigated by what the Times refers to as “dozens of internationally renowned bridge engineers and other experts.” According to the experts, the problems with the bridge fall in to three categories, ranging from the fixable, through the fixed, to those that were never actual problems.
Of the last category, the Oakland Tribune reported in 2005 that construction workers claimed they were told to “conceal shoddy welds to speed up construction,” but the Federal Highway Administration outside experts found no evidence of bad welds. In another case, bad welds were discovered at the factory where a span was being constructed. The process was changed and the bad welds repaired.
Caltrans has delayed the opening of the Bay Bridge to December 10. Earlier plans were to open the bridge in September.
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Public Housing Takes Priority in Biden Spending Bill
November 15, 2021 —
Kriston Capps - BloombergThe White House narrowed its housing agenda with the latest compromise version of President Joe Biden’s social spending bill, lowering funding levels by half while also shifting the bill’s priorities.
Representative Maxine Waters and her allies had pushed for $327 billion for rental assistance, affordable housing and other progressive priorities in the reconciliation bill. The most recent White House framework for the Build Back Better Act shows that this figure has been cut in half: The new target is $150 billion, with funding for many of the same programs intact.
As a result, the balance of the housing investment has shifted from rental aid to public housing, according to the text of the bill. Funds to repair, replace or build public housing amount to $65 billion, down from a proposed $80 billion yet close to half the total housing package.
The White House describes the housing bill as “the single largest and most comprehensive investment in affordable housing in history.” A fact sheet states that it will build or preserve more than 1 million affordable apartments and homes. Biden’s bill also includes a soft repeal of the Faircloth Amendment, a provision that has banned any net new federal public housing units since 1999. Yet the latest version of the bill will not go as far to fulfill Biden’s promise to expand housing vouchers as a federal entitlement program.
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Kriston Capps, Bloomberg
Client Alert: Naming of Known and Unknown Defendants in Initial Complaints: A Cautionary Tale
September 24, 2014 —
R. Bryan Martin & Whitney L. Stefko – Haight Brown & Bonesteel LLPOn September 12, 2014, the Ninth Circuit Court of Appeals, in Butler v. National Community Renaissance of California, upheld a district court's dismissal of certain defendants named in amended complaints, affirming the necessity of naming those known and unknown defendants in Plaintiff's original complaint.
In April 2009, Plaintiff Zina Butler filed an action in federal district court, naming a single defendant, National Community Renaissance Corporation ("National"), for an alleged warrantless search of Plaintiff's apartment on April 18, 2007. The single page complaint asserted that the apartment manager provided a Section 8 investigator, a City employee and Sherriff deputies keys to Plaintiff's apartment and conducted a search in violation of her Fourth Amendment rights. Shortly after, Plaintiff filed a first amended complaint, with the only change being the addition of defendant, the Housing Authority of the County of Los Angeles ("HACoLA") in the caption. In May 2009, the court (on its own accord) dismissed the first amended complaint with leave to amend as "it [was] unclear whom Plaintiff intend[ed] to sue."
In June 2009, Plaintiff filed a second amended complaint, identifying National and HACoLA in the caption as defendants, but separately identifying several other individuals and entities allegedly involved in the incident occurring in April of 2007 in the complaint's statement of facts. The Court, once again, dismissed the second amended complaint with leave to amend for the same reasons it dismissed Plaintiff's first amended complaint.
Reprinted courtesy of
R. Bryan Martin, Haight Brown & Bonesteel LLP and
Whitney L. Stefco, Haight Brown & Bonesteel LLP
Mr. Martin may be contacted at bmartin@hbblaw.com; Ms. Stefko may be contacted at wstefko@hbblaw.com
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Look Out! Texas Building Shedding Marble Panels
November 13, 2013 —
CDJ STAFFThe streets around the Omni Building in Lubbock, Texas have been barricaded for an indefinite period, since the marble panels have been falling off the building. The panels weight about 300 pounds each.
The building’s owners attempted to remedy the problem by replacing the marble with stucco, but that too came loose in the wind and fell to the ground. The city issued a stop work order preventing the installation of any more stucco. The city “told them that all needed to come down, both the old and the new,” according to Steve O’Neil, the city’s chief building official.
The city has filed a lawsuit to compel the owners to fix the building. Glen Robertson, Lubbock’s mayor, sees another possible solution, “or demolish it because, as it stands right now, it is truly a health and safety hazard to our citizens.
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