Fairfield Connecticut Building Expert Directory

Largest Per Unit Settlement Ever in California Construction Defect Case?

October 28, 2011 — CDJ STAFF

BusinessWire reports that the Chelsea Court Homeowners Association has settled their construction defect case for $5.4 million. That works out to $169,000 per unit, which BusinessWire describes as “California’s largest per-unit recovery known to be on record to date.”

Most of the money in the settlement is coming from insurance companies for the builder and thirteen subcontractors. Issues included roof and window leaks, deck failures, and unsafe walkways.

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When Is a Project Delay Material and Actionable?

January 11, 2022 — Rick Erickson - Snell & Wilmer Real Estate Litigation Blog
Welcome to 2022! This year, the construction industry will undoubtedly reflect on the last two years as unprecedented times plagued by construction project delays. The COVID-19 pandemic contributed to suspension of work and closure of construction projects worldwide in 2020. The end of 2021 brought additional delays caused by an inexplicable clog in the supply chain of construction materials. The combined impact of these events on project milestones and completion deadlines led our clients to ask, with unusual and particular urgency, who is liable for such delays and how do contracting parties lessen the consequences from such unexpected and uncontrollable delays. Granted that project delays are nothing new or unusual. They were common enough before inflation caused shipping complications and pandemic decimated the construction labor force. All delays, whatever the source, variably cause loss to all players on a construction project. But not all delays matter when it comes to claims and remedies available to the contracting parties in dispute resolution, where the determinative focus is on material delays impacting the entire project and on delays the claimant can credibly prove. Most, if not all, jurisdictions interpret actionable delays from the contract documents for the project. The contract is definitely where you should start before pursuing any delay remedies. Delay remedies may be a time extension only, or a time extension plus your additional general conditions. Some delay remedies may be barred by the contract’s express terms and may be enforced adversely by the courts when such contract terms are indisputable. See Quinn Constr. v. Skanska USA Bldg., Inc., 730 F. Supp. 2d 401, 411 (D.C. Pa. 2010) (enforcing the subcontractor’s contractual waiver of claims for delay and disruption damages). On the other hand, delay damages that are expressly allowed by the contract—like overtime necessitated by the delays—are usually actionable and recoverable. Id. However, not only the contract terms, but applicable law, may affect the outcome. Read the court decision
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Reprinted courtesy of Rick Erickson, Snell & Wilmer
Mr. Erickson may be contacted at rerickson@swlaw.com

Design Immunity of Public Entities: Sometimes Designs, Like Recipes, are Best Left Alone

October 21, 2015 — Garret Murai – California Construction Law Blog
April 23, 1985 will live in infamy. The Coca Cola Company, responding to diminishing sales as its “sweeter” rival Pepsi-Cola gained market share, announced that it was changing its “secret” recipe and introducing a new kind of Coke, referred to by the public simply as, “new Coke.” The reaction was unexpected. People around the world began hoarding “old Coke.” Protest groups, such as the Society for the Preservation of the Real Thing and Old Cola Drinkers of America, sprang up around the county. Angry letters addressed to “Chief Dodo” were sent to Coca-Cola’s chief executive officer. And even Fidel Castro, a longtime Coca-Cola drinker, joined the backlash calling “new Coke” a “sign of American capital decadence.” By July it was over. Coca-Cola announced that it would once again produce “old Coke,” and in a sign (I’m sure Fidel Castro would say) of American arrogance, announced that “old Coke” would be produced under the name “Coca-Cola Classic” alongside “new Coke” which would continue to be called “Coca-Cola” suggesting that “new Coke” would be the Coke of today as well as the future. By 1992, however, “new Coke” whose sales dwindled to 3% of market share was demoted to “Coke II” and by 2002 was discontinued entirely. The moral of the story: Change the recipe at your own risk. Castro v. City of Thousand Oaks In the next case, Castro v. City of Thousand Oaks, Case No. B258649, California Court of Appeals for the Second District (August 31, 2015), the corollary might well be change the recipe design at your own risk. Read the court decision
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Reprinted courtesy of Garret Murai, Wendel Rosen Black & Dean LLP
Mr. Murai may be contacted at gmurai@wendel.com

Construction Executives Expect Improvements in the Year Ahead

November 12, 2019 — Joe Galvin - Construction Executive
Vistage’s recent survey captured responses from 1,463 CEOs of small and mid-sized businesses in a variety of industries across the United States. Included in this national data is 224 responses from CEOs in the construction industry, a reliable base for comparing the sentiment of CEOs in construction to the national base. Each quarter, the survey captures:

CEO sentiment on the current and future state of the national economy;
Expectations for revenue and profitability; and
Expansion plans, specifically hiring and investments.

CONSTRUCTION CEOS ARE OPTIMISTIC ABOUT THE FUTURE When asked about revenue expectations, 65% of CEOs in construction reported projections for increased revenues in the coming year, which is on par with the national results. Additionally, 61% expect their profitability to improve over the next 12 months, notably higher than the national figure of 54%. Reprinted courtesy of Joe Galvin, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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Google Advances Green Goal With AES Deal for Carbon-Free Power

May 17, 2021 — Mark Chediak - Bloomberg
Google’s moving forward with its goal of becoming carbon-free by the end of the decade after AES Corp. agreed to supply the tech giant with renewable energy to power its data centers in Virginia. AES, an international electricity company and power-plant developer, said the deal will result in the construction of 500 megawatts of solar, wind, small-scale hydroelectric and battery storage projects and supply will begin later this year, according to a statement Tuesday. AES and third-party developers will own the facilities. Read the court decision
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Reprinted courtesy of Mark Chediak, Bloomberg

Property Insurance Exclusion for Constant or Repeated Leakage of Water

March 14, 2018 — David Adelstein – Florida Construction Legal Updates
A property insurance policy, no different than any insurance policy, contains exclusions for events that are NOT covered under the terms of the policy. One such common exclusion in a property insurance policy is an exclusion for damages caused by "constant or repeated seepage or leakage of water…over a period of 14 or more days." The application of this exclusion was discussed in the recent opinion of Hicks v. American Integrity Ins. Co. of Florida, 43 Fla. L. Weekly D446a (Fla. 5th DCA 2018). In this case, while the insured was out of town, the water line to his refrigerator started to leak. When the insured return home over a month later, the supply line was discharging almost a thousand gallons of water per day. The insured submitted a property insurance claim. The property insurer engaged a consultant that opined (likely, correctly) that the water line had been leaking for at least five weeks. Based on the above-mentioned exclusion, i.e., that water had been constantly leaking for over a period of 14 days, the insurer denied coverage. This denial led to the inevitable coverage dispute. 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

Nomos LLP Partners Recognized in Super Lawyers and Rising Stars Lists

August 16, 2021 — Garret Murai - California Construction Law Blog
Nomos LLP partners Garret Murai and Jennifer Tang have been recognized in Thompson Reuter’s 2021 Northern California Super Lawyers and 2021 Northern California Rising Start lists in the area of Construction Litigation. This is the eighth consecutive year for Garret on the Super Lawyers list and the fifth consecutive year for Jennifer on the Rising Star list. The Super Lawyers list recognizes no more than 5 percent of attorneys in each state. The Rising Stars list recognizes no more than 2.5 percent of attorneys in each state. To be eligible for inclusion in Rising Stars, a candidate must be either 40 years old or younger, or in practice for 10 years or less. Read the court decision
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Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

Prompt Payment More Likely on Residential Construction Jobs Than Commercial or Public Jobs

May 02, 2022 — Levelset
NEW 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. Read the court decision
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FAIRFIELD CONNECTICUT BUILDING EXPERT DIRECTORY AND CAPABILITIES