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
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Part of the Whole: Idaho District Court Holds Economic Loss Rule Bars Tort Claims Related to Water Supply Line that was Part of Home Purchase
October 03, 2022 —
Gus Sara - The Subrogation StrategistIn Safeco Ins. Co. of Ill. v. LSP Prods. Grp., 2022 U.S. Dist. LEXIS 139566, the United States District Court for the District of Idaho (District Court) considered whether the plaintiff’s tort claims against the manufacturer of an allegedly defective toilet water supply line were barred by the economic loss rule. The defendant filed a motion for summary judgment arguing that, since the supply line was a part of the home when the plaintiff’s insureds purchased it, the plaintiff was barred by the economic loss rule from bringing tort claims against the manufacturer. The District Court granted the defendant’s summary judgment motion, ruling that the supply line was a part of the home, which was the subject of the transaction, at the time it was purchased. Thus, the District Court held that the economic loss rule barred the plaintiff’s tort claims.
In 2012, Melissa Norris and Richard Meyers (collectively, the Homeowners) purchased a newly built home in Eagle, Idaho. In 2016, a toilet supply line in one of the bathrooms began leaking, causing water damage to the home as well as to window blinds, an oven and dishwasher. The Homeowners also incurred a loss of rental income. The Homeowners submitted a claim to Safeco Insurance Company (Insurer), their property insurance carrier, who ultimately covered the Homeowners’ losses.
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Gus Sara, White and WilliamsMr. Sara may be contacted at
sarag@whiteandwilliams.com
Appraisal Ordered After Carrier Finds Loss Even if Cause Disputed
April 04, 2022 —
Tred R. Eyerly - Insurance Law HawaiiThe court ordered an appraisal when the parties differed on the amount of loss to the dwelling even when the carrier contended the dispute was over the cause of the loss. Khaleel v Amguard Ins. Co., No. 21 C 992, Memorandum Opinion and Order (N.D. Ill. Feb. 11, 2022). The order is here.
Plaintiffs home was damaged by wind and hail. A claim was submitted to Amguard for damage to the roof. Amguard found there was hail damage to the soft metal vents on the roof and estimated repair costs to be $3,815.16. Amguard found no damage to the roof itself. Plaintiffs contended there was additional damage to the roof. Plaintiffs demanded an appraisal. Amguard rejected the appraisal demand, claiming that the damage to the roof was due to wear and tear, and therefore constituted an excluded cause under the Policy.
Plaintiff filed suit. After Amguard answered, plaintiffs moved for judgment on the pleadings.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
AI AEC Show: Augmenta Gives Designers Superpowers
December 31, 2024 —
Aarni Heiskanen - AEC BusinessIn
this episode of the AI AEC Show, host
Aarni Heiskanen interviews
Aaron Szymanski and
Francesco Iorio, the visionary founders of
Augmenta, to explore how generative AI is revolutionizing design. Augmenta’s platform gives designers superpowers by automating complex workflows, doubling productivity, and enabling better, faster decision-making.
Discover the fascinating origin story of Augmenta, born from the intersection of industrial design frustration and cutting-edge AI research.
Aaron and Francesco share how their backgrounds in manufacturing, design, and technology led them to tackle inefficiencies in the construction industry—starting with electrical raceway design. They reveal how their AI-powered tools save time and optimize designs for cost, sustainability, and constructability.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
Prompt Payment More Likely on Residential Construction Jobs Than Commercial or Public Jobs
May 02, 2022 —
LevelsetNEW ORLEANS, May 02, 2022 (GLOBE NEWSWIRE) -- In construction, no line of work guarantees prompt and in-full payments, but contractors working on residential jobs say their rate of prompt payment is significantly better than commercial or public jobs, according to the
2022 Levelset Cash Flow and Payment Report. However, the report revealed that residential construction jobs require increased communication to improve the chance of prompt payment when compared to commercial or public jobs.
Contractors working on residential projects are more than twice as likely as those working on public projects to report getting paid within 30 days, with residential construction contractors saying they are paid in 30 days or less 48% of the time and public construction contractors saying that only happens 21% of the time.
Significantly slow payments of 60 days or more are three times more likely on public construction projects than on residential construction projects, according to the survey participants. Residential contractors say it happens rarely, just 6% of the time, while public project contractors say it happens nearly one out of five times (18%).
For more information about the report and a detailed summary of findings, please visit: www.levelset.com/survey
About Levelset
Levelset's mission is to empower contractors to always get what they earn. Levelset's products help millions in the construction industry each year to make payment paperwork and compliance easier, get cash faster, monitor the risk on jobs and contractors, and better understand payment processes and rules. The results are faster payments, access to capital, and fewer surprises. Founded in 2012, Levelset is based in New Orleans, Louisiana, with offices in Austin, Texas, and Cairo, Egypt, and is owned and operated by Procore Technologies, Inc. For more information, visit www.levelset.com.
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Subcontractor Exception to Your Work Exclusion Paves the Way for Coverage
April 03, 2013 —
CDJ STAFFIn a brief opinion, the Second Circuit vacated the district court's denial of coverage for construction defects. Scottsdale Ins. Co. v. R.I. Pools Inc., 2013 U.S. App. LEXIS 5680 (2nd Cir. March 21, 2013).
The insured, R.I. Pools, employed outside companies to supply concrete and to shoot the concrete into the ground. During the summer of 2006, it obtained its concrete from one subcontractor and used another to shoot the concrete. In 2009, nineteen customers of R.I. Pools from 2006 complained damage to their pools, including cracking, flaking, and deteriorating concrete.
Scottsdale sought a declaratory judgment against R.I. Pools that it had no obligations under the policy to defend or indemnify for claims related to cracks in the pools.
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Tred EyerlyTred Eyerly can be contacted at
te@hawaiilawyer.com
A Court-Side Seat: NWP 12 and the Dakota Access Pipeline Easement Get Forced Vacations, while a Potential Violation of the Eighth Amendment Isn’t Going Anywhere
August 10, 2020 —
Anthony B. Cavender - Gravel2GavelHere’s a report on several new decisions made over the past few days.
U.S. SUPREME COURT
U.S. Army Corps of Engineers v. Northern Plains Resources Council
On July 8, 2020, the Court has issued a partial stay of the decision of the U.S. District Court for Montana, which had held that the nationwide use by the Corps of Engineers of its Nationwide Permit 12 to permit oil and gas pipelines must be vacated because the Corps, when it reissued these permits in 2012, failed to follow the requirements of the Endangered Species Act. The breadth of this ruling seems to have surprised and alarmed many past and perspective permittees of the Corps. The stay will not apply to the ongoing Ninth Circuit litigation.
FEDERAL COURTS OF APPEAL
Vega, et al. v. Semple (The U.S. Court of Appeals for the Second Circuit)
On June 29, 2020, the court refused to dismiss a putative class action by past and present inmates of Connecticut’s Garner Correctional Institution who alleged that state correctional officials exposed them to excessive amounts of radon gas in violation of the Eighth Amendment. These officials are alleged to have been “deliberately indifferent” to inmate safety. A 1993 Supreme Court decision, Helling v. McKiney, clearly established the law in this area, and the Garner facility opened in 1992. The defense clams of limited immunity as to federal law violations were rejected.
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Anthony B. Cavender, PillsburyMr. Cavender may be contacted at
anthony.cavender@pillsburylaw.com
Massachusetts Federal Court Rejects Adria Towers, Finds Construction Defects Not an “Occurrence”
July 03, 2022 —
Eric B. Hermanson & Austin D. Moody - White and WilliamsIn an important ruling for insurers, U.S. District Court Judge Patti Saris found that Massachusetts does not follow the position taken in Cypress Point Condo Association v. Adria Towers, LLC, 226 N.J. 403, 418 (2016), i.e., it does not hold that "faulty workmanship claims [should be recognized] as ... an 'occurrence,' thus triggering coverage, 'so long as the allegedly defective work [was] performed by a subcontractor rather than the policyholder itself."
[1]
Instead, Judge Saris reaffirmed earlier Massachusetts authority holding faulty work is not an "occurrence" for coverage purposes,
[2] and found this authority applied whether or not the work in question was subcontracted.
In the alternative, Judge Saris found, even if a contractor's faulty work could be deemed an an "occurrence," such work did not constitute covered "property damage," because none of the alleged damage was "outside the scope of the work that Tocci was contractually required to fulfill as general contractor."
[3]
Reprinted courtesy of
Eric B. Hermanson, White and Williams and
Austin D. Moody, White and Williams
Mr. Hermanson may be contacted at hermansone@whiteandwilliams.com
Mr. Moody may be contacted at moodya@whiteandwilliams.com
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