Fairfield Connecticut Building Expert Directory

One Way Arbitration Provisions are Enforceable in Virginia

October 07, 2019 — Christopher G. Hill - Construction Law Musings
Here at Construction Law Musings, I’ve discussed arbitration clauses (pros and cons) as well as the fact that in our fair Commonwealth, contracts are enforced as written (for better or worse). A case out of the Eastern District of Virginia takes both of these observations and uses them to make it’s decision. In United States ex rel. Harbor Constr. Co. v. T.H.R. Enters., the Newport News Division of the Eastern District of Virginia federal court considered the following provision and it’s enforceability:

At CONTRACTOR’s sole election, any and all disputes arising in any way or related in any way or manner to this Agreement may be decided by mediation, arbitration or other alternative dispute resolution proceedings as chosen by CONTRACTOR…. The remedy shall be SUBCONTRACTOR’s sole and exclusive remedy in lieu of any claim against CONTRACTOR’s bonding company pursuant to the terms of any bond or any other procedure or law, regardless of the outcome of the claim. The parties further agree that all disputes under this Subcontract shall be determined and interpreted pursuant to the laws of the Commonwealth of Virginia….

This provision was the crux of the argument made by T. H. R., the Defendant, in making a motion to dismiss or stay the lawsuit for payment filed by Harbor Construction. As background, Harbor Construction contracted with T. H. R. to perform work at Langley Air Force Base. Alleging non-payment of approximately $250,000.00, Harbor filed a complaint with three counts, one under the Federal Miller Act, one for breach of contract, and a third for unjust enrichment. 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

United States Supreme Court Backtracks on Recent Trajectory Away from Assertions of General Jurisdiction in Mallory v. Norfolk Southern

August 01, 2023 — Charles S. Anderson - Lewis Brisbois
Washington, D.C. (June 28, 2023) – On June 27, 2023, the U.S. Supreme Court issued a sharply divided opinion that appears to backtrack on the Court’s steady trajectory away from assertions of general jurisdiction in recent years, e.g. Goodyear Dunlop Tires Operations, S.A. v. Brown, 564 U.S. 915, 919 (2011), Daimler AG v. Bauman, 134 S. Ct. 746 (2014), BNSF Railway Co. v. Tyrrell, 2017, 137 S. Ct. 1549 (2017). Relying on a case from 1917, Pennsylvania Fire Ins. Co. of Philadelphia v. Gold Issue Mining & Milling Co., 243 U. S. 93 (1917), Justice Gorsuch, writing on behalf of the plurality, (Justices Gorsuch, Thomas, Sotomayor, and Jackson) (Justice Alito concurring) found that Norfolk Southern “consented” to jurisdiction in Mallory via 42 Pa. Cons. Stat. §5301(a)(2)(i),(b) by registering to do business in Pennsylvania. This statute, 42 Pa. Cons. Stat. §5301, specifically permits jurisdiction over a corporation “incorporat[ed] under or qualifi[ed]as a foreign corporation under the laws of this Commonwealth … for any cause of action that may asserted against him, whether or not arising from acts enumerated in this section.” In Pennsylvania Fire, the U.S. Supreme Court addressed the Due Process Clause of the U.S. Constitution in connection with a Missouri law that required an out-of-state insurance company desiring to transact any business in the state to file paperwork agreeing to (1) appoint a state official to serve as the company’s agent for service of process and (2) accept service on that official as valid in any suit. After more than a decade of complying with the law, Pennsylvania Fire was served with process and argued that the Missouri law violated due process. The Court unanimously found that there was “no doubt” that Pennsylvania Fire could be sued in Missouri because it had agreed to accept service of process in Missouri on any suit as a condition of doing business there. Read the court decision
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Reprinted courtesy of Charles S. Anderson, Lewis Brisbois
Mr. Anderson may be contacted at Charles.Anderson@lewisbrisbois.com

URGENT: 'Catching Some Hell': Hurricane Michael Slams Into Florida

October 16, 2018 — Associated Press (Jay Reeves & Brendan Farrington) - Bloomberg
Panama City, Fla. (AP) -- Powerful Hurricane Michael slammed into the Florida Panhandle with terrifying winds of 155 mph Wednesday, splintering homes and submerging neighborhoods before continuing its destructive march inland across the Southeast. It was the most powerful hurricane to hit the continental U.S. in nearly 50 years and at least one death was reported during its passage. Supercharged by abnormally warm waters of the Gulf of Mexico, the Category 4 storm crashed ashore in the early afternoon near Mexico Beach, a tourist town about midway along the Panhandle, a 200-mile (320-kilometer) stretch of white-sand beach resorts, fishing towns and military bases. After it ravaged the Panhandle, Michael entered south Georgia as a Category 3 hurricane — the most powerful in recorded history for that part of the neighboring state. Read the court decision
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Reprinted courtesy of Bloomberg

New York Regulator Issues Cyber Insurance Guidelines

March 29, 2021 — Anne Kelley - Newmeyer Dillion
From the rise of ransomware attacks to the recent SolarWinds-based cyber espionage campaign that struck at the very heart of the U.S. Government, it is apparent that cybersecurity is more critical than ever. COVID-19 and the remote workplace has only served to embolden cyber criminals, and cyber risk now permeates nearly every aspect of modern life from health care data to national security. Cyber insurance plays a critical role in managing cyber risk, and businesses increasingly rely on such coverage to minimize cyber losses. Because of surging cybercrime, it is estimated that the cyber insurance market will increase from $3.15 billion in 2019 to $20 billion by 2025. Having a robust cyber insurance market and ample available coverage is vital to U.S. businesses. In recognition of this reality, the New York Department of Financial Services recently issued the first guidance by a U.S. regulator on cyber insurance—a Cyber Insurance Risk Framework. A key premise of the Framework is to drive improved cybersecurity and cyber risk management, thereby reducing cyberattacks and ensuring that cyber insurance premiums do not spiral out of control. The Framework recognizes the importance of ensuring a healthy cyber insurance market, and applies to all property/casualty insurers that write cyber insurance. Read the court decision
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Reprinted courtesy of Anne Kelley, Newmeyer Dillion
Ms. Kelley may be contacted at anne.kelley@ndlf.com

Unpaid Hurricane Maria Insurance Claims, New Laws in Puerto Rico, and the Lesson for all Policyholders

January 09, 2019 — Walter J. Andrews & Cary D. Steklof - Hunton Andrews Kurth
Puerto Rico’s dire insurance situation more than a year after Hurricane Maria remains a constant reminder of why policyholders must diligently pursue their property and business interruption claims in the immediate aftermath of a storm. The numbers are staggering. On an island the approximate size of Connecticut, Hurricane Maria caused an estimated $100 billion in damage. According to the Office of the Insurance Commissioner of Puerto Rico, the hurricane resulted in more than 287,000 insurance claims. Roughly 11,000 of those claims, representing an estimated $2 billion in losses, remain unresolved. Reprinted courtesy of Walter J. Andrews , Hunton Andrews Kurth and Cary D. Steklof , Hunton Andrews Kurth Mr. Andrews may be contacted at wandrews@HuntonAK.com Mr. Steklof may be contacted at csteklof@HuntonAK.com Read the court decision
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Reprinted courtesy of

Netflix Plans $900M Facility At Former New Jersey Army Base

January 23, 2023 — The Associated Press (Wayne Parry) - Bloomberg
(AP) -- Netflix said Wednesday it plans to build a state-of-the-art production facility at a former Army base at the Jersey Shore that will cost more than $900 million, and create thousands of jobs. The subscription video streaming company will pay $55 million for a 292-acre site on the former Fort Monmouth military base in Eatontown and Oceanport. The California-based company plans an additional $848 million worth of investments in 12 sound stages and for other uses related to the film industry. “We’re thrilled to continue and expand our significant investment in New Jersey and North America,” said Ted Sarandos, the company's co-CEO and chief content officer. “We believe a Netflix studio can boost the local and state economy with thousands of new jobs and billions in economic output, while sparking a vibrant production ecosystem in New Jersey.” Read the court decision
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Reprinted courtesy of Bloomberg

Insurer Entitled to Reimbursement of Defense Costs Under Unjust Enrichment Theory

May 04, 2020 — Tred R. Eyerly - Insurance Law Hawaii
The federal district court for the district of Hawaii determined that the insurer could recover defense costs from an additional insured consistent with its Reservation of Rights letter under an unjust enrichment theory. Giga, Inc. v. Kiewit Infrastructure W. Co., 2020 U.S. Dist. LEXIS 10151 (D. Haw. Jan. 22, 2020). This case was related fall-out from the Arthur case. Arthur v. Dept. of Hawaiian Homelands, 185 Haw. 149 (Haw. Ct. App. 2015). A prior post on the case is here. In Arthur, a resident, Mona Arthur, of the Kalawahine Streamside Housing Development, was killed when she apparently slipped and fell from a hillside adjacent to the project. She was on the hillside tending to her garden there. At the bottom of the hill was a two foot fence in front of a drainage ditch, where Mona allegedly hit her head. Mona's husband, William Arthur, sued a variety of defendants including the land owner, designer, developer, civil engineer and others. William alleged the defendants were negligent in the design, construction and supervision of the construction of the hillside area. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Contractors Prepare for a Strong 2021 Despite Unpredictability

April 05, 2021 — Kenny Ingram - Construction Executive
A recent IFS study found many construction and engineering companies are reimagining their business models to ensure a secure future, using the pandemic-induced lull in business to prepare themselves to get back to operations on a strong footing. The research shows 70% of businesses have increased or maintained digital transformation spend, despite the COVID-19 pandemic. In the infrastructure, engineering and construction sectors the figure is more than 75%. There are many challenges the industry will face in the new year following the unpredictability of 2020, but there are also many opportunities. Despite the uncertainties that lay ahead, here are the few trends predicted to impact the sector 2021 and beyond. Reprinted courtesy of Kenny Ingram, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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