Cambridge Massachusetts Building Expert Directory

Prime Contractor & Surety’s Recovery of Attorney’s Fees in Miller Act Lawsuit

February 02, 2017 — David Adelstein - Florida Construction Legal Updates
Can a claimant recover attorney’s fees in a Miller Act payment bond dispute even though the Miller Act does not contain a prevailing party attorney’s fee provision? Yes, if the underlying contract that formed the basis of the suit provided for attorney’s fees. What about a prime contractor and surety—can they recover their attorney’s fees if they prevail in a Miller Act payment bond claim and the underlying contract provides a basis for fees? The Eleventh Circuit Court of Appeals in U.S.A. f/u/b/o RMP Capital Corp. v. Turner Construction Co., 2017 WL 244066 (11th Cir. 2017) seemingly just answered this question in the affirmative when it reversed a lower court’s ruling that precluded a prime contractor and surety that prevailed in a Miller Act claim from recovering their attorney’s fees[.] Read the court decision
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Reprinted courtesy of David Adelstein, Florida Construction Legal Updates
Mr. Adelstein may be contacted at dadelstein@gmail.com

Bought a New Vacation Home? I’m So Sorry

August 13, 2014 — Ben Steverman – Bloomberg
Summer is a time to relax, kick back and make dumb financial decisions. That's how financial advisers see it, when their clients get a hankering for a summer house after returning from an idyllic trip. Sales of vacation homes in the U.S. rose 30 percent last year to 717,000, the National Association of Realtors estimates, based on a survey. But owning a second home is often far more expensive and stressful than buyers, or dreamers, imagine. Start with the dark side to beautiful weather. Sun, salt and wind are cruel to houses. One owner in Virginia Beach was shocked to learn he'd need new windows every six years. That alone wiped out an entire summer of rental income, says David O’Brien, his adviser. Storms take out roofs, docks and sea walls, replaceable only at exorbitant rates. "These properties are for family memories, not capital appreciation," O'Brien says sunnily. Read the court decision
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Reprinted courtesy of Ben Steverman, Bloomberg
Mr. Steverman may be contacted at bsteverman@bloomberg.net

Mind The Appeal Or: A Lesson From Auto-Owners Insurance Co. V. Bolt Factory Lofts Owners Association, Inc. On Timing Insurance Bad Faith And Declaratory Judgment Insurance Claims Following A Nunn-Agreement

August 06, 2019 — Jean Meyer - Colorado Construction Litigation
On May 30, 2019, Judge Richard Brooke Jackson of the United States District Court for the District of Colorado offered an insightful lesson to the parties in Auto-Owners Insurance Co. v. Bolt Factory Lofts Owners Association, Inc.[1] on the importance of ripeness in declaratory judgment insurance actions and bad faith counterclaims. The case arrived in front of Judge Jackson based on the following fact pattern. A homeowner association (Bolt Factory Lofts Owners Association, Inc.) (“Association”) brought construction defect claims against a variety of prime contractors and those contractors subsequently brought third-party construction defect claims against subcontractors. One of the prime contractors assigned their claims against a subcontractor by the name Sierra Glass Co., Inc. (“Sierra”) to the Association and all the other claims between all the parties settled. On the eve of trial involving only the Association’s assigned claims against Sierra, the Association made a settlement demand on Sierra for $1.9 million. Sierra asked its insurance carrier, Auto-Owners Insurance, Co. (“AOIC”), which had been defending Sierra under a reservation of rights letter, to settle the case for that amount, but AOIC refused. This prompted Sierra to enter into a “Nunn-Agreement” with the Association whereby the case would proceed to trial, Sierra would refrain from offering a defense at trial, the Association would not pursue any recovery against Sierra for the judgment, and Sierra would assign any insurance bad faith claims it may have had against AOIC to the Association. (“Nunn-Agreement”) Read the court decision
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Reprinted courtesy of Jean Meyer, Higgins, Hopkins, McLain & Roswell, LLC
Mr. Meyer may be contacted at meyer@hhmrlaw.com

Will Millennial’s Desire for Efficient Spaces Kill the McMansion?

September 10, 2014 — Beverley BevenFlorez-CDJ STAFF
Builder Magazine reported that millennials are currently “inhabiting high-tech, yet cozy student housing and apartments” without having “outsized space expectations,” however, that may change over the next ten years as “their preference for the walkable convenience that often accompanies smaller living spaces will collide head on with their parents’ (and grandparents’) insatiable addiction for square footage.” Regardless, builders may decide to change based upon a younger generation that accepts “efficient spaces.” According to Builder Magazine, Nick Lenhert, executive director at architectural firm KTGY, argued that the young “don’t really want what mom and dad have until they get married. Then all of a sudden things start to revert. They start getting realistic about what they need for the children and what they need for themselves. [Right now,] Gen Y is used to living in small spaces or with roommates because that’s all they can afford.” However, John Thatch, principal and director of design at the architectural and planning firm Dahlin Group, believes that even as millennials get older and conceivably need greater square footage, there is still a possibility that their tendency toward efficient spaces will continue: “I’m hoping this is the generation [that pulls in house size] because our generation went gigantic. It’s a chance for architects to get back to design smaller, more thoughtful spaces that are flexible.” Read the court decision
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Waiving The Right to Arbitrate Under Federal Law

November 08, 2021 — David Adelstein - Florida Construction Legal Updates
If there is an arbitration provision in your contract that you want to enforce, you do not want to take action inconsistent with those rights as this could give rise to a waiver argument, i.e., that you waived your rights to arbitrate, particularly if the other party has been prejudiced. Under federal policy and law, establishing waiver requires the party arguing waiver to “bear a heavy burden of proof.” U.S. f/u/b/o John Wayne Construction, G.S.A. Division, LLC v. Federal Ins. Co., 2021 WL 4526727 (M.D.Fla. 2021) quoting Stone v. E.F. Hutton & Co., 898 F.2d 1542, 1543 (11th Cir. 1990). “To determine whether the right to arbitrate has been waived, courts apply a two part test: i) whether, “‘under the totality of the circumstances,’ the party ‘has acted inconsistently with the arbitration right’”; and ii) “whether, by doing so, that party ‘has in some way prejudiced the other party.’” Id. quoting Ivax Corp. V. B. Braun of Am., Inc., 286 F.3d 1309, 1315-16 (11th Cir. 2002). Substantial participation in litigation prior to invoking the right to arbitrate supports a party acting inconsistent with the right to arbitrate. Id. And, “‘[p]rejudice has been found in situations where the party seeking arbitration allows the opposing party to undergo the types of litigation expenses that arbitration was designed to alleviate.’” Id. quoting Morewitz v. W. of Eng. Ship Owners Mut. Prot. & Indem. Ass’n (Luxembourg), 62 F.3d 1356, 1366 (11th Cir. 1995). Hence the heavy burden for a party to support to prove waiver– establishing both substantial participation in litigation that is inconsistent with the right to arbitrate AND prejudice. Read the court decision
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Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com

Real Estate & Construction News Roundup (10/16/24) – Chevron Ruling’s Impact on Construction Industry, New Kind of Public Housing and Policy Recommendations from Sustainable Building Groups

November 11, 2024 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
In our latest roundup, Hurricane Helene affects infrastructure, California Gov. Gavin Newsom signs bills aimed at renter protections, Federal Reserve kick-off rate-easing cycle, and more!

Hurricane Helene illustrates how communities and infrastructure across the U.S. are unprepared for the extreme weather driven by climate change. (Julie Strupp, Construction Dive)
The Supreme Court’s June Chevron ruling will likely have a seismic impact on laws that pertain to the construction industry. (Julie Strupp, Construction Dive)
California Gov. Gavin Newsom signed three bills changing renter protection practices in the state last month including new requirements for security deposit deductions and restrictions on certain fees. (Mary Salmonsen, Multifamily Dive)

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Reprinted courtesy of Pillsbury's Construction & Real Estate Law Team

Maryland Court Affirms Condo Association’s Right to Sue for Construction Defects

November 27, 2013 — CDJ STAFF
The Maryland Court of Appeals, that state’s highest court, recently reaffirmed that condominium association have broad discretion in suing for construction defects in when they are representing at least two unit owners. Nicholas D. Cowie of the Baltimore-based construction defect legal firm Cowie & Mott, gives his summary of the case on his firm’s web site. Mr. Cowie notes that the Council of Unit Owners of Bentley Place Condominium sued the developer and builder for construction defects in both common areas and within units, representing itself and “two or more” unit owners. A jury awarded $6.6 million; the builder and developer appealed. The court ruled on the appeal that the Council of Unit Owners had a right to pursue these claims, and could recover full damage to common elements, even if some owners are time-barred due to their date of purchase. Mr. Cowie represented the Council of Unit Owners during the lawsuit. Read the court decision
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After Pittsburgh Bridge Collapse, Fast-Rising Replacement Emerges

February 01, 2023 — Jim Parsons - Engineering News-Record
A spirit of celebration was in the air last August as Pittsburgh residents cheered a 155-ft-long bulb-tee beam making its way up a narrow street to the entrance of historic Frick Park, where work was underway on a three-span prestressed concrete replacement for the 50-year-old Fern Hollow Bridge that collapsed in January. Reprinted courtesy of Jim Parsons, Engineering News-Record ENR may be contacted at enr@enr.com Read the full story... Read the court decision
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