Superintendent’s On-Site Supervision Compensable as Labor Under Miller Act
March 13, 2023 —
David Adelstein - Florida Construction Legal UpdatesA recent Miller Act payment bond decision out of the District of Columbia Circuit Court of Appeals, U.S. f/u/b/o Civil Construction, LLC v. Hirani Engineering & Land Surveying, PC, 58 F.4th 1250 (D.C. Circ. 2023), dealt with the issue of whether a subcontractor’s superintendent constitutes recoverable “labor” within the meaning of the Miller Act and compensable as a cost under the Miller Act that typically views labor as on-site physical labor.
The issue is that the Miller Act covers “[e]very person that has furnished labor or material in carrying out work provided for in a contract.” Civil Construction, supra, at 1253 quoting 40 U.S.C. s. 3133(b)(1). The Miller Act does not define labor. The subcontractor claimed labor includes actual superintending at the job site. The surety disagreed that a superintendent’s presence on a job site constitutes labor as the superintendent has to actually perform physical labor on the job site to constitute compensable labor under the Miller Act.
The subcontractor argued its subcontract and the government’s quality control standards required detailed daily reports that verified manpower, equipment, and work performed at the job site. It further claimed its superintendent had to continuously supervise and inspect construction activities on-site: “[the] superintendent had to be on-site to account for, among other things, hours worked by crew members, usage and standby hours for each piece of equipment, materials delivered, weather throughout the day, and all work performed. These on-site responsibilities reflected the government’s quality control standards, under which the superintendent as ‘the most senior site manager at the project, is responsible for the overall construction activities at the site…includ[ing] all quality, workmanship, and production of crews and equipment.” Civil Construction, supra, at 1253-54.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
The Future of Construction Tech Is Decision Tech
August 06, 2019 —
Bassem Hamdy - Construction ExecutiveIt doesn’t take much to be catastrophically wrong in construction; some bad information, a touch of misleading intel, a few biased opinions mixed with human error and perhaps a little bad luck to top it off. A poor decision early in a project plants itself like a weed—it grows benignly at first, and becomes gravely pervasive at the end.
Being wrong in construction is dangerous. Error leads to leaning towers and broken buildings. Poorly-built structures can hinder economic growth and deprive communities of good infrastructure. For the enterprise, bad decisions can lead to massive financial loss and—worse—human loss on a jobsite.
Despite knowing all the dangers, it seems that flawed data, misleading intel and human error have become traits the industry can’t shake. To be clear, construction is one of—if not the most—complex industry in today’s economy. Companies walk a tight rope between a 2% margin on one side and ruinous loss on the other. Under such conditions, it’s easy to see why sustained good judgement is difficult.
Reprinted courtesy of
Bassem Hamdy, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Pennsylvania: Searching Questions Ahead of Oral Argument in Domtar
October 08, 2014 —
Robert Caplan – White and Williams LLPIf you have been following our coverage of Liberty Mutual Insurance Company v. Domtar Paper Co., you will recall that the Supreme Court of Pennsylvania decided on May 29, 2014 to hear the subrogated insurer’s appeal,1 despite the Superior Court’s holding against the subrogated insurer—based primarily on its own defective case law2 —and its denial of reargument, presumably due to the insurer’s briefing follies.3
The parties in Domtar, as well as numerous amici curiae (friends of the court),4 have submitted their respective briefs over the last few months, and the Supreme Court has scheduled oral argument to take place on October 8, 2014 in Pittsburgh, Pa. The Court has framed the issue as: “Does Section 319 of the Pennsylvania Workers’ Compensation Act, 77 P.S. § 671, allow the employer/insurer to step into the shoes of the insured employee to subrogate against the tortfeasor?”5
There are three possible outcomes in Domtar.
The first (and easiest) possible outcome for the Supreme Court would be to punt to the Pennsylvania General Assembly for a decision on the issue. Workers’ compensation legislation, perhaps more than any other type of legislation, “creates a highly structured balancing of competing interests.”6 It is basic civics that the legislature has a “superior ability to examine social policy issues and determine legal standards so as to balance competing concerns.”7
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Robert Caplan, White and Williams LLPMr. Caplan may be contacted at
caplanr@whiteandwilliams.com
Billionaire Behind Victoria’s Secret Built His Version of the American Heartland
June 25, 2019 —
Sophie Alexander - BloombergBeyond emerald-green golf links, over snow-white fences, and past tree-lined cul-de-sacs rises the American fantasyland of billionaire Les Wexner.
Here in the middle of Ohio, of all places, Wexner—the man behind Victoria’s Secret and its push-up-bra notions of female beauty—has brought to life his singular vision of the heartland.
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Sophie Alexander, Bloomberg
Shifting the Risk of Delay by Having Float Go Your Way
July 05, 2021 —
Christopher J. Brasco & Matthew D. Baker - ConsensusDocsCritical path delay plays a central role in allocating responsibility for project delay. The interrelated concept of concurrency is also frequently determinative of entitlement on a range of claims including by owners for liquidated damages and by contractors for delay damages. What constitutes critical/concurrent delay, however, is hotly debated by scheduling experts. The lack of real consensus regarding how critical/concurrent delay should be determined and analyzed has created significant uncertainty in scheduling disputes. Indeed, courts have adopted differing and at times conflicting theories of concurrency that can produce divergent outcomes for the parties. In an effort to reduce uncertainty, stakeholders have increasingly adopted specialized contractual provisions and scheduling techniques which have significant implications for the evaluation of the companion concepts of criticality and concurrency. One such mechanism is float sequestration. Regardless of whether float sequestration is ultimately in the construction industry’s broader interest, stakeholders must be able to recognize its use and appreciate the implications for delay disputes on their projects.
Simply defined, float is the number of days an activity can be delayed before affecting the project’s critical path (i.e., the longest chain of activities which determines the project’s minimal duration). Typically, only delays affecting the critical path can produce concurrent delay. Consequently, the concept of float is integral to understanding and resolving issues of both criticality and concurrency.
Reprinted courtesy of
Christopher J. Brasco, Watt, Tieder, Hoffar & Fitzgerald, LLP and
Matthew D. Baker, Watt, Tieder, Hoffar & Fitzgerald, LLP
Mr. Brasco may be contacted at cbrasco@watttieder.com
Mr. Baker may be contacted at mbaker@watttieder.com
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Claim for Consequential Damages Survives Motion to Dismiss
November 14, 2018 —
Tred R. Eyerly - Insurance Law HawaiiThe insured's claim for consequential damages survived the insurer's motion to dismiss. Tiffany Tower Condominium, LLC v. Ins. Co. of the Greater N.Y., 2018 N.Y. App. Div. LEXIS 5783 (N.Y. App. Div. Aug. 22, 2018).
Tiffany Tower submitted a claim in November 2012 with Insurance Company of the Great New York for damages sustained by its building during Superstorm Sandy. The insurer paid the original claim in December 2012. Then, in September 2014, Tiffany Tower submitted a supplemental claim for additional losses which it asserted were caused by the storm. The insurer denied the supplemental claim.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Co-Founding Partner Jason Feld Named Finalist for CLM’s Outside Defense Counsel Professional of the Year
March 19, 2024 —
Linda Carter - Kahana FeldKahana Feld congratulates Co-Founding Partner Jason Daniel Feld, Esq., for being named one of three finalists for Claims & Litigation Management Alliance (CLM) Outside Defense Counsel Professional of the Year.
Mr. Feld is a nationwide leader in construction claims and an active industry speaker, serving as panel counsel for many prominent insurance carriers, and personal counsel to multiple national and regional homebuilders, developers, and general contractors.
Co-Founding Partner, Amir Kahana, states, “Jason is incredibly deserving of this recognition. When he joined our firm, we were 3 lawyers in one city, and seven years later, we are a national firm with over 65 attorneys in 10 cities and 6 states. Jason is a natural leader who is highly respected. He has earned the trust of his carrier clients, as well as his colleagues in the industry. In addition to everything he does for Kahana Feld, he also works tirelessly on behalf of CLM and has been a great leader in the Orange County Chapter. I am thrilled to see Jason receive the recognition he richly deserves.”
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Linda Carter, Kahana FeldMs. Carter may be contacted at
lcarter@kahanafeld.com
The Cost of Overlooking Jury Fees
February 07, 2022 —
Nicholas B. Brummel, Arezoo Jamshidi & Lawrence S. Zucker II - Haight Brown & BonesteelOn January 21, 2022, the Court of Appeal, Second Appellate District, Division Two (Los Angeles), certified for publication a 2-1 decision that serves as an important reminder to California attorneys to post jury fees in a timely manner and to use appropriate channels and consult with appellate counsel in seeking appellate relief from contested rulings.
In TriCoast Builders, Inc. v. Nathaniel Fonnegra, (B303300, Jan. 21, 2022), a construction defect dispute, the trial court set a jury trial at defendant’s request. However, on the day trial was set, defendant waived jury trial. Plaintiff objected and made an oral request for jury trial. The trial court denied the request finding that plaintiff waived its right to a jury trial by failing to timely post jury fees. The matter proceeded to a bench trial, and the court ruled in favor of defendant. Plaintiff appealed, having failed to seek a writ of mandate, which the appellate court noted “is the proper remedy to secure a jury trial allegedly wrongfully withheld.”
Reprinted courtesy of
Nicholas B. Brummel, Haight Brown & Bonesteel,
Arezoo Jamshidi, Haight Brown & Bonesteel and
Lawrence S. Zucker II, Haight Brown & Bonesteel
Mr. Brummel may be contacted at nbrummel@hbblaw.com
Ms. Jamshidi may be contacted at ajamshidi@hbblaw.com
Mr. Zucker may be contacted at lzucker@hbblaw.com
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