Fairfield Connecticut Building Expert Directory

Bidder Be Thoughtful: The Impacts of Disclaimers in Pre-Bid Reports

August 04, 2021 — Joshua A. Morehouse - ConsensusDocs
When bidding a project, subsurface or latent site conditions that are not immediately apparent can massively impact the costs of performance to general contractors. Were contractors required to bid on projects without any information on pre-existing conditions, they would need either to be assured that any additional costs would be reimbursed by the owner, or to include significant contingencies for subsurface conditions in their bids. For owners, these options result in either increased risk or increased cost—neither of which is particularly palatable. Owners therefore implement several contractual tools to minimize these risks and costs. One of these tools is providing bidders with a report on latent conditions, often called a “geotechnical data report” or “GDR”, but otherwise shifting as much of the subsurface-related risk as possible to the contractor. In theory, these reports permit contractors to appropriately adjust their contingencies for latent conditions, thus saving owners money. However, several independent and thorny issues arise where site reports provided by the owner are either inconsistent with or silent on the actual conditions of a project site. Hence owners often include disclaimers with these reports, such as noting that the report is for “informational purposes only” or that the report is “not part of the contract documents." Read the court decision
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Reprinted courtesy of Joshua A. Morehouse, Peckar & Abramson, P.C.
Mr. Morehouse may be contacted at jmorehouse@pecklaw.com

Potential Pitfalls Under the Contract Disputes Act for Federal Government Contractors

February 28, 2018 — Sarah K. Carpenter – Smith Currie Publications
The Contract Disputes Act (CDA) governs monetary and non-monetary disputes arising out of contracts or implied-in-fact contracts between the federal government and contractors. Because the CDA is an exclusive remedy, it is important that contractors be wary of the many pitfalls that may be encountered by a contractor seeking to assert a claim against the government under the CDA. The pitfalls faced by a contractor under the CDA can arise before a contractor becomes aware of a potential claim. Pursuant to the Federal Acquisition Regulation (FAR) § 43.204(c), a contracting officer should include in any supplemental agreement, including any change order, a Contractor’s Statement of Release which requires a contractor to execute a broad release of the government from any and all liability under the contract. As a result of this FAR provision, in executing a routine change order, a contractor may inadvertently release its right to pursue a potential claim under the CDA. A contractor should always review any release language prior to executing a supplemental agreement or change order with the government. Read the court decision
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Reprinted courtesy of Sarah K. Carpenter, Smith Currie
Ms. Carpenter may be contacted at skcarpenter@smithcurrie.com

Wendel Rosen Attorneys Named as Fellows of the Construction Lawyers Society of America

October 26, 2017 — Wendel Rosen Black & Dean LLP - California Construction Law Blog
Wendel Rosen is proud to announce that two of its attorneys, Garret Murai and Quinlan Tom, have been named as Fellows of the Construction Lawyers Society of America. CLSA, an invitation-only honors society, is limited to 1,200 construction attorneys worldwide. Garret and Quinlan serve as co-chairs of Wendel Rosen’s Construction Practice Group. Read the court decision
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Reprinted courtesy of Wendel Rosen Black & Dean LLP

A Court-Side Seat: Clean Air, Clean Water, Endangered Species and Deliberative Process Privilege

April 19, 2021 — Anthony B. Cavender - Gravel2Gavel
The federal courts have issued some significant environmental law rulings in the past few days. THE U.S. SUPREME COURT U.S. Fish and Wildlife Service v. Sierra Club, Inc. On March 4, 2021, the court held that the deliberative process privilege of the Freedom of Information Act shields from disclosure in-house draft governmental biological opinions that are both “predecisional” and deliberative. According to the court, these opinions, opining on the Endangered Species Act (ESA) effects on aquatic species of a proposed federal rule affecting cooling water intake structures—which was promulgated in 2019—are exempt from disclosure because they do not reflect a “final” agency opinion. Indeed, these ESA-required opinions reflect a preliminary view, and the Services did not treat them as being the final or last word on the project’s desirability. The Sierra Club, invoking the FOIA, sought many records generated by the rulemaking proceeding, and received thousands of pages. However, the Service declined to release the draft biological opinions that were created in connection with the ESA consultative process. Read the court decision
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Reprinted courtesy of Anthony B. Cavender, Pillsbury
Mr. Cavender may be contacted at anthony.cavender@pillsburylaw.com

Insured’s Bad Faith Insurance Claim Evaporates Before its Eyes

August 03, 2020 — Garret Murai - California Construction Law Blog
Sometimes it’s right there before your eyes. Then, poof, it’s gone. This was the experience of one insured, who brought a bad faith insurance denial claim against his insurer thinking that the facts were in his favor, only to discover they were not. The 501 E .51st Street Case The Water Main Break and AGI’s Report The owner of a 10-unit apartment building built in 1963, 501 East 51st Street, Long Beach-10 LLC (just rolls off the tongue doesn’t it?), filed a bad faith action against its insurer Kookmin Best Insurance Co., Ltd., after it denied 501 East’s insurance tender following a water main break that caused the building’s foundation to subside. The water main break occurred sometimes between December 31, 2015 and January 2, 2016 next to the southwest side of the building. 501 East tendered its insurance claim to Kookmin on March 8, 2016, and in April 2016, presented a report prepared by American Geotechnical, Inc. (“AGI”) concerning damage to the building. According to the report prepared by AGI, AGI conducted a “limited geotechnical investigation” to “evaluate site conditions relating to the reported building distress following a waterline breach near the south end of the building.” The scope of AGI’s investigation was limited to “observation, photo documentation of the site conditions, [and[ floor-level survey of the interior of the first level units.” AGI’s investigation did not involve any subsurface investigation or soil testing. Read the court decision
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Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

Construction Defects and Warranties in Maryland

November 27, 2013 — CDJ STAFF
Nicholas D. Cowie, a partner with Cowie & Mott, P.A., has started a blog focusing on construction defect claims in Maryland condominium complexes. In his first post, he writes about the statutory remedies in Maryland law for condominium owners. He notes that “four separate statutory warranties apply to the sale of condominiums.” He further discusses the varying duration of these warranties and when they come into effect, saying that “associations and unit owners are often incorrectly informed that their construction defect-related problems (such as leaks around windows) are ‘out of warranty’ because the problems did not occur during the warranty period.” Read the court decision
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Surfside Condo Collapse Investigators Uncover More Pool Deck Deviations

September 12, 2023 — James Leggate - Engineering News-Record
The investigation into the 2021 collapse of the Champlain Towers South condominium in Surfside, Fla., has uncovered more deviations between the as-built conditions of the pool deck and the building’s design. But investigators emphasize their data are still preliminary as they continue to gather and test evidence from the collapse that killed 98 people. Reprinted courtesy of James Leggate, Engineering News-Record Mr. Leggate may be contacted at leggatej@enr.com Read the full story... Read the court decision
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Construction Contractors Must Understand Retainage In 2021

May 24, 2021 — Ed Williams - Construction Executive
Retainage has become a vital part of the contracting and construction process. If defined precisely, retainage is a practice of withholding a particular percentage of the payment until the project is delivered. However, the practice can turn to be a challenge for small contractors, as it is laid over a lack of trust in the potential and abilities of a contractor, which might cause financial downtime at the later stages of the project when contractors need to pay bills. Since 2020 proved to be a tough year for the entire construction industry, project owners, general contractors and construction firms new to the industry must understand what exactly retainage is. It is equally important for small contractors and subcontractors to understand the right way to manage the retainage. Reprinted courtesy of Ed Williams, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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