Seattle Washington Building Expert Directory

2018 Legislative Changes Affecting the Construction Industry

June 06, 2018 — Melinda S. Gentile - Peckar & Abramson
The 2018 Florida Legislative Session recently concluded and a number of important construction-related House Bills (HB) and Senate Bills (SB) were presented during the Session. Florida Governor Rick Scott has 15 days to act on the legislation once each Bill has passed the House and Senate. Bills signed by the Governor go into effect on July 1, 2018, unless indicated otherwise. These Bills may impact General Contractors and Construction Managers in a number of ways, not the least of which is the period of time that a cause of action may be initiated for the design, planning or construction of an improvement. Read the court decision
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Reprinted courtesy of Melinda Gentile, Peckar & Abramson
Ms. Gentile may be contacted at mgentile@pecklaw.com

California Supreme Court Finds that When it Comes to Intentional Interference Claims, Public Works Projects are Just Different, Special Even

April 20, 2017 — Garret Murai - California Construction Law Blog
Earlier, we reported on a California Court of Appeals decision – Roy Allan Slurry Seal, Inc. v. American Asphalt South, Inc. – which held for the first time that a second-place bidder on a public works contract could sue a winning bidder who failed to pay its workers prevailing wages, under the business tort of intentional interference with prospective economic advantage. Fast forward nearly two years, several amicus briefs, and “one doghouse”* later and the California Supreme Court has . . . reversed. The Roy Allan Slurry Seal Case To catch you up, or rather, refresh your recollection . . . Between 2009 and 2012, American Asphalt South, Inc. was awarded 23 public works contracts totaling more than $14.6 million throughout Los Angeles, Orange, San Bernardino and San Diego counties. Two of the losing bidders on those projects – Roy Allan Slurry Seal, Inc. and Doug Martin Contracting, Inc. – sued American in each of these counties for intentional interference with prospective economic advantage as well as under the Unfair Practices Act (“UPA”) (Bus. & Prof. Code §§ 17000 et seq.) and the Unfair Competition Law (“UCL”) (Bus. & Prof. Code §17200). 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

Eight Things You Need to Know About the AAA’s New Construction Arbitration Rules

August 19, 2015 — Garret Murai – California Construction Law Blog
I just finished a construction arbitration this past week, which also explains my sporadic posts as of late, sorry. Coincidentally, on July 1, 2015, the American Arbitration Association (“AAA”) implemented their newly revised Construction Industry Arbitration and Mediation Procedures. For those of you who follow our blog, you know I’m not a big fan of arbitration, which, from my experience, doesn’t deliver on its promise of better, faster, or cheaper, and ends up being pretty much the same thing as trial without the benefit of discovery, the rules of evidence, or appealability. The AAA is trying to change all of that though and in a news release announced that its new “Rules” “directly address preferences of users for a more streamlined, cost-effective, and tightly managed arbitration process that avoids the high costs of litigation.” Which makes you wonder whether they had to survey their “users” to come to this realization. But I digress. With the AAA’s new Rules come eight new changes, as follows: 1.Fast Track Procedures: Newly revised Rule F-1 now applies to two-party cases where no party’s claim or counterclaim exceeds $100,000. Under old Rule F-1 the monetary cap was $75,000. 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

‘I’m a Scapegoat,’ Says Former CEO of Dubai Construction Firm

September 30, 2019 — Layan Odeh & Zainab Fattah - Bloomberg
The former chief executive officer of Drake & Scull International PJSC said the company’s accusations of financial violations against him are an attempt to find a “scapegoat” for rising losses. Khaldoun Tabari said the Dubai-based contractor has filed 15 complaints against him to the public prosecutor last year. He said the allegations prompted authorities in the United Arab Emirates to order banks to freeze his bank accounts in June 2018. He denies any wrongdoing. Read the court decision
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Reprinted courtesy of Layan Odeh & Zainab Fattah, Bloomberg

Invest In America Act Offers 494 Billion In Funding to U.S. Infrastructure and Millions of New Jobs

July 20, 2020 — Stefanie A. Salomon - Peckar & Abramson
The Investing in a New Vision for the Environment and Surface Transportation in America (INVEST in America) Act was approved by the House Transportation and Infrastructure Committee on June 18, 2020 and is making its way up to Congress. The bill will create millions of jobs and provide substantial investment in the nation’s deteriorating highways, bridges and public transit systems. The bill also endeavors to leave behind a smaller carbon footprint, a major improvement for the nation’s biggest source of carbon pollution. Investing in a New Vision for the Environment and Surface Transportation in America Act According to the American Society of Civil Engineers, the current condition of the nation’s infrastructure earns a grade of D+, and there exists an estimated $2 trillion funding gap to bring it into a state of good repair by 2025. While Americans have benefited from a century of infrastructure building, neglect has befallen our once greatest achievements – the roadways and arteries that led to the explosive growth of our nation. In the 1930s, 4.2 percent of the country’s GDP was spent on infrastructure investment. Unfortunately, by 2016 that number fell to 1.5 percent resulting in the substandard conditions that now confront us. Stated more bluntly, our nation’s infrastructure is crumbling and immediate investment in required to bring it up to par. The INVEST in America Act is our “immediate” opportunity to start replacing the outdated systems of the past with smarter, safer, and more resilient infrastructure. Read the court decision
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Reprinted courtesy of Stefanie A. Salomon, Peckar & Abramson
Ms. Salomon may be contacted at ssalomon@pecklaw.com

Texas Supreme Court Rules That Subsequent Purchaser of Home Is Bound by Original Homeowner’s Arbitration Agreement With Builder

May 29, 2023 — Kim Altsuler - Peckar & Abramson, P.C.
In a new opinion Lennar Homes of Texas Land and Construction, Ltd., et al. v. Kara Whiteley, Cause No. 21-0783, 66 Tex. Sup. Ct. J. 8740, issued May 12, 2023, the Texas Supreme Court partially reversed two lower court decisions and held that an arbitration provision contained in the original homeowner’s contract with the builder was binding on a subsequent homeowner. In the decision, the court found that Kara Whiteley—the second owner of the home in Galveston, Texas—was bound to arbitrate her construction defect claims with Lennar by virtue of the doctrine of “direct-benefits estoppel.” The rationale was based on the fact that Whitely was seeking benefits emanating from Lennar’s contract with the original homeowner. The residence in question was first purchased from Lennar in May 2014. Whiteley purchased the home in July 2015. The original contract documents included several arbitration provisions—one in the Purchase and Sale Agreement, one in the Limited Warranty issued by Lennar, and one in the general warranty deed. Whiteley sued Lennar in Galveston County District Court alleging mold growth and other defects at the property. Lennar moved for arbitration and its motion was granted. The parties arbitrated the case and Lennar received an award in its favor. Lennar then moved the District Court to confirm the arbitration award, and Whiteley filed a cross-motion to vacate the award, arguing that Lennar’s original motion to compel arbitration should not have been granted. The District Court agreed with Whiteley, vacating the arbitration award. Lennar appealed. The Court of Appeals affirmed the District Court’s vacatur, and Lennar appealed to the Texas Supreme Court. Read the court decision
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Reprinted courtesy of Kim Altsuler - Peckar & Abramson, P.C.
Ms. Altsuler may be contacted at kaltsuler@pecklaw.com

Suit Limitation Provisions in New York

January 28, 2025 — Bill Wilson - Construction Law Zone
New York law generally enforces a contractual suit limitation that specifies a “reasonable” period of time (usually shorter than the applicable statute of limitations) within which an action must be commenced. The contractual suit limitation needs to be fair and reasonable, given the circumstances of each particular case. The New York Court of Appeals recently examined this precedent in the context of an insurance policy enforcing an insurance contract’s two-year suit limitation period in Farage v. Associated Insurance Management Corp., 2024 N.Y. Slip Op. 05875 (Nov. 26, 2024). In Farage, a Staten Island multi-unit apartment building was damaged in a fire. The plaintiff owner filed its full repair claim for damages with its insurer six years after the fire and four years after the expiration of the contractual limitation period. The insurer denied the claim. The plaintiff filed suit for breach of contract and breach of the covenant of good faith fair dealing. The insurer moved to dismiss the action based on the two-year limitation provision in the insurance contract. Read the court decision
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Reprinted courtesy of Bill Wilson, Robinson & Cole LLP
Mr. Wilson may be contacted at wwilson@rc.com

Technology and the Environment Lead Construction Trends That Will Continue Through 2019

June 03, 2019 — Ryan Gould - Construction Executive
There are common factors that have always defined trends in the construction industry. Elements such as labor (be it shortages or surpluses), the economy and technology determine what gets built where, when and how. These elements have led to the rise of entire philosophies to boost profits and maximize value, such as the lean construction movement. Often these trends appear in the form of answers that help construction companies eliminate waste, curb overproduction, use talent properly, manage inventory more effectively, boost process workflow, reduce defects, and help to plan and schedule projects more efficiently. In 2019, two factors are driving trends that are overtaking the industry: technology and the environment. They’re not only informing construction industry trends today, but they’re going to last and evolve into the foreseeable future. Offsite construction becomes standard Obviously, this isn’t a new trend. The earliest origins of this method, at least in North America, date to colonists importing pre-packaged construction materials from Europe to the New World in the 17th century. Then there were the kit homes sold by Sears, Roebuck, and Co. at the turn of the 20th century. And of course, the trend reached its zenith in the World War II construction boom with pre-fab companies selling ready-to-go homebuilding components to builders. Reprinted courtesy of Ryan Gould, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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