COVID-19 Likely No Longer Covered Under Force Majeure
February 01, 2023 —
Rachel E. Pelovitz - Construction ExecutiveA recent decision by the U.S. Government Accountability Office (GAO) has shaken up construction contracts. While companies could claim “force majeure” to exempt themselves from contractual obligations during much of the pandemic, this decision challenges ongoing validity of those claims.
The decision was based on the Army Corps of Engineers deeming a bid from Boulder, Colorado–based American Mine Services (AMS) as nonresponsive because it included a COVID-19 force majeure clause. In reviewing the Corps’ decision, GAO—referencing the Federal Acquisition Regulation—found that “epidemics” and “quarantine restrictions” were already included in the contract between the Corps and AMS. Although AMS claimed that “COVID-19 is considered a force majeure event along with any other similar disease, epidemic or pandemic event,” the GAO concluded that this interpretation limited the rights of the government too much.
Reprinted courtesy of
Rachel E. Pelovitz, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Ms. Pelovitz may be contacted at
pelovitz@abc.org
A Court-Side Seat: Flint Failures, Missed Deadlines, Toad Work and a Game of Chicken
October 05, 2020 —
Anthony B. Cavender - Gravel2GavelThe last few weeks have yielded a number of interesting developments in the Federal courts.
FEDERAL COURTS OF APPEAL
In re Flint Water Cases
Several local and State of Michigan officials, including the former governor, requested dismissal from the civil litigation seeking damages for the massive failure of Flint, Michigan’s public drinking water system. On August 5, 2020, the U.S. Court of Appeals for the Sixth Circuit agreed that the plaintiffs, residents of Flint, have successfully pled a case that the conduct of the defendants so “shocked the conscience” that a claim for a violation of their substantive due process rights was appropriately alleged. The defendants, including the former governor, argued that they were entitled to a qualified immunity defense. The court rejected this argument on the basis of the earlier decisions made by the court in this matter. Judge Sutton concurred because he was bound by this precedent, but remarked that the evidence for the governor’s culpability was very thin; he was not intimately connected to the extraordinary error in judgment. The majority was very upset with this concurrence as indicted by their own opinion.
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Anthony B. Cavender, PillsburyMr. Cavender may be contacted at
anthony.cavender@pillsburylaw.com
Meet BWBO’s 2024 San Diego Super Lawyers Rising Stars!
April 29, 2024 —
Bremer Whyte Brown & O'Meara LLPBWB&O is proud to announce San Diego Partner
Johnpaul Salem, and Associates
Christina Matian and
Angelo Perillo have been selected in the 2024 San Diego Super Lawyers list as Rising Stars for their work in Civil and Personal Injury Litigation. To read Super Lawyers’ digital publication, please click
here.
SELECTED AS RISING STARS
Johnpaul Salem: 2023-2024
Christina Matian: 2024
Angelo Perillo: 2024
Super Lawyers is a rating service of outstanding lawyers from more than 70 practice areas who have attained a high degree of peer recognition and professional achievement. The objective of Super Lawyers’ patented multiphase selection process is to create a credible, comprehensive, and diverse listing of outstanding attorneys that can be used as a resource for attorneys and consumers searching for legal counsel.
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Bremer Whyte Brown & O'Meara LLP
Partner Bradley T. Guldalian Secures Summary Judgment Win for National Hotel Chain
August 26, 2019 —
Bradley T. Guldalian - Traub LiebermanOn June 26, 2019, Traub Lieberman Straus & Shrewsberry LLP Partner Bradley T. Guldalian secured summary judgment on behalf of a national hotel chain in a slip and fall accident filed in Osceola County Circuit Court in Kissimmee, Florida. The underlying loss occurred when the Plaintiff slipped and fell in a puddle of water allegedly existing in the hotel’s laundry room and suffered a partial thickness rotator cuff tear involving the distal infraspinatus tendon for which he underwent surgery and incurred over $70,000 in medical bills. The Plaintiff filed a premises liability action against the hotel claiming the hotel had failed to maintain its premises in a reasonably safe condition proximately causing the Plaintiff’s fall and resulting injuries.
After discovery closed, Mr. Guldalian filed a motion for summary judgment on behalf of the hotel arguing that to prevail in a negligence claim involving a “transitory foreign substance”, such as water on a floor, an injured party must plead and prove pursuant to Florida Statute 768.0755 that the business establishment had actual or constructive knowledge of the dangerous condition and should have taken action to remedy it prior to the time of the alleged fall. Constructive knowledge may be proven by circumstantial evidence showing that (1) the dangerous condition existed for such a length of time that, in the exercise of ordinary care, the business establishment should have known of the condition or (2) that the condition occurred with such regularity that it was foreseeable that the condition would be present on the day the injury occurred.
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Bradley T. Guldalian, Traub LiebermanMr. Guldalian may be contacted at
bguldalian@tlsslaw.com
Protecting Your Business From Liability Claims Stemming From COVID-19 Exposure
June 01, 2020 —
Andrew Hamelsky, Jenifer Scarcella & Joshua Tumen - White and WilliamsBusinesses of every nature – including grocery stores, banks, daycares, gyms and restaurants – may face increasing liability claims from customers and third parties claiming to have been exposed to the novel coronavirus, or COVID-19, while at their location. The novel virus raises issues as to whether businesses have a heightened duty of care to their customers, and what type of exposure businesses face if a customer claims to have been exposed to COVID-19 while at their premises.
Recently, a lawsuit was filed against Princess Cruise lines for gross negligence in allowing passengers to be exposed to COVID-19 on a cruise ship. The lawsuit alleges that the cruise ship was allowed to go out to sea knowing that it was infected from two previous passengers who came down with symptoms of COVID-19. It further claims that the passengers were not warned of the potential exposure either before or after they boarded the ship.
In other news reports around the country, business owners have reported taking extraordinary precautions to prevent customers’ risk of contracting COVID-19. For example, one grocery store recently reported that it discarded $35,000 worth of food after a customer coughed on fresh produce.
Reprinted courtesy of White and Williams LLP attorneys
Andrew Hamelsky,
Jenifer Scarcella and
Joshua Tumen
Mr. Hamelsky may be contacted at hamelskya@whiteandwilliams.com
Ms. Scarcella may be contacted at scarcellaj@whiteandwilliams.com
Mr. Tumen may be contacted at tumenj@whiteandwilliams.com
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Alabama Limits Duty to Defend for Construction Defects
October 10, 2013 —
CDJ STAFFWhile supreme courts in several states have expanded what is covered under a commercial general liability policy, Alabama has bucked the trend. Martha P. Brown and David L. Brown discuss this in a post on the site of their firm, Nelson Levine de Luca & Hamilton. They note that in a recent case, Owners Insurance Company v. Jim Carr Homebuilders, “the court held that liability for defective construction resulting in water intrusion damage to otherwise properly constructed component parts is not covered under a general contractor’s commercial general liability (CGL) policy because such damages are not caused by an ‘occurrence.’”
The background of Owners v. Jim Carr was that the work of the subcontractors was found not only to be defective, but responsible for damage to correctly performed work. The court held, however, that it was all part of the same project. The court “distinguished the present case from a situation where the insured’s work results in damages to other property outside the scope of the insured’s work,” which they noted could be covered under a CGL policy.
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Albert Reichmann, Builder of NY, London Finance Hubs, Dies at 93
January 17, 2023 —
Laurence Arnold - BloombergAlbert Reichmann, the longtime president of his family’s Olympia & York Developments Ltd., builder of the World Financial Center in New York and the first phase of Canary Wharf in London, has died. He was 93.
He died on Dec. 17, according to the National Post and a notice on the website of Steeles Memorial Chapel, a Toronto-area funeral home.
As the eldest of the three Orthodox Jewish brothers behind Olympia & York, Reichmann held the title of president. In practice, his brother Paul — who died in 2013 — was the company’s “idea man and deal-doer,” in the words of Anthony Bianco, a former Businessweek writer whose book on the family called Olympia & York “the greatest property development company in Western history.”
Before its 1992 bankruptcy, it was the largest private owner of commercial property in New York City.
Forbes magazine calculated the brothers’ cumulative net worth at $9.2 billion at its height in 1988, making them among the world’s richest people.
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Laurence Arnold, Bloomberg
More on Fraud, Opinions and Contracts
February 06, 2019 —
Christopher G. Hill - Construction Law MusingsHere at Construction Law Musings, I have discussed the interaction between fraud and contracts on many occasions. Recently, I got to put my advice into action. I am counsel for the plaintiff in the matter of Environmental Staffing Acquisition Corp. v. Beamon, et. al. in the Portsmouth, VA Circuit Court and recently got a great opinion (.pdf) right on point that was recently featured in Virginia Lawyers Weekly.
The basic facts are these. My client, Environmental Staffing (En-Staff) filed a Little Miller Act claim and a claim for breach of contract for Beamon’s failure to pay for temporary staffing that En-Staff provided it at the Jeffry Wilson housing project demolition in Portsmouth, VA. Beamon then counterclaimed for fraud and breach of contract claiming that some statements to the effect that a particular supervisor was qualified along with presentation of the individual’s resume constituted fraud. My client demurred to the two fraud counts (actual and constructive).
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com