CAMBRIDGE MASSACHUSETTS BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Subcontract Requiring Arbitration Outside of Florida

August 07, 2018 — David Adelstein - Florida Construction Legal Updates
Have you entered into a subcontract that requires you to arbitrate disputes? If so, does the arbitration provision require you to arbitrate your dispute outside of Florida? If so, the case of Sachse Construction and Development Corp. v. Affirmed Drywall, Corp., 43 Fla. L. Weekly D1622e (Fla. 2d DCA 2018) applies and reinforces the notion: Read and consider what you sign! In Sachse Construction, a drywall subcontractor entered into a subcontract for a construction project in Miami with an arbitration provision. The subcontract provided that it shall be construed in accordance with Michigan law and required that arbitration shall take pace in Michigan per the Construction Industry Rules of the American Arbitration Association. Read the court decision
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Reprinted courtesy of David Adelstein, Kirwin Norris
Mr. Adelstein may be contacted at dma@kirwinnorris.com

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South Carolina Contractors Regain General Liability Coverage

May 20, 2011 — CDJ STAFF

PR Newswire reports that the Carolinas Associated General Contractors (CAGC) have successfully persuaded the South Carolina legislature to pass a bill restoring commercial general liability (CGL) coverage. Governor Nikki Hartley signed the legislation on May 17.



A South Carolina Supreme Court decision given on January 7, 2011, had ended commercial general liability coverage in the state. Senate Bill 431 addressed this decision, restoring the ability of home builders to obtain CGL coverage.



PR Newswire quotes South Carolina homebuilder, Allen Amsler: “We have seen a lot of legislation with substantial impact to our business over the years. However, I would place this in the same level of importance with the original tort reform legislation. The effects of the Supreme Court’s ruling could have been catastrophic to our industry in South Carolina had it not been for this bill. Thanks to all those in the House, Senate and the Governor’s office who assisted us.”



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Federal Magistrate Judge Recommends Rescission of Policies

February 12, 2024 — Craig Rokuson - Traub Lieberman
In the recent case of Union Mut. Fire Ins. Co. v. 142 Driggs LLC, 2023 U.S. Dist. LEXIS 220393, Magistrate Judge Lois Bloom of the United States District Court for the Eastern District of New York recommended granting the insurer's default judgment and holding that of three policies issued to 142 Driggs LLC ("Driggs") be rescinded ab initio. Driggs had represented on its insurance applications that it did not provide parking to anyone other than itself, tenants, and its guests at the subject insured premises. However, Union Mutual learned that Driggs had been renting out three garages to non-tenants. Second, Driggs represented that the mercantile square footage was around 1,000 square feet, when in actuality, it was larger than allowed under the policies. Union Mutual provided underwriting guidelines in connection with its default motion, which state that "parking provided for anyone other than the insured, tenants and their guests," presents an "unacceptable risk." The guidelines also state that answering yes to any "preliminary application questions (which presumably included those regarding mercantile square footage and parking) is an "unacceptable risk." The court held that these guidelines supported a finding that Driggs made material misrepresentation and that Union Mutual relied on these misrepresentations in issuing the policies. The court, as such, recommended that the policies at issue be rescinded from inception. Read the court decision
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Reprinted courtesy of Craig Rokuson, Traub Lieberman
Mr. Rokuson may be contacted at crokuson@tlsslaw.com

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ASCE Report Calls for Sweeping Changes to Texas Grid Infrastructure

March 28, 2022 — C.J. Schexnayder - Engineering News-Record
A just-released detailed analysis of the catastrophic 2021 Texas winter storm finds systemic flaws in the state's electric sector contributed to a “cascade of failures” that overwhelmed its power grid and left millions freezing in the dark. Reprinted courtesy of C.J. Schexnayder, Engineering News-Record ENR may be contacted at enr@enr.com Read the full story... Read the court decision
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“Families First Coronavirus Response Act”: Emergency Paid Leave for Construction Employers with Fewer Than 500 Employees

March 30, 2020 — Sidney Lewis & Alex Glaser, Jones Walker LLP - ConsensusDocs
COVID-19 has already taken a toll on construction projects across the nation. Construction industry participants, including general contractors, now face risks and challenges that are exceedingly difficult to anticipate and plan for. The spread of this virus has and will continue to create new labor force issues and amplify existing ones. On March 18, 2020, the House of Representatives passed H.R. 6021, the “Families First Coronavirus Response Act,” which, contains provisions related to mandatory paid leave for employers with fewer than 500 employees. This legislation and the substantial obligations it imposes apply to the overwhelming number of general contractors in the nation—those with less than 500 full-time employees! The bill mandates up to 80 hours of “emergency paid leave” related to COVID-19, and not just for those who contract the illness. However, contractors with less than 50 employees may seek exemption. Reprinted courtesy of Sidney Lewis, Jones Walker LLP and Alex Glaser, Jones Walker LLP Mr. Lewis may be contacted at slewis@joneswalker.com Mr. Glaser may be contacted at aglaser@joneswalker.com Read the court decision
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Homebuilding on the Rise in Nation’s Capitol

November 07, 2012 — CDJ STAFF
Is the homebuilding crunch over in DC? The Washington Post has reported that while new home construction is up throughout the country, in the DC area, construction has reached levels last seen in 2006. From January to August 2012, there were more than 19,000 building permits issued in the area, nearly doubling the number issued by that point in 2011. While building is on a quicker pace, what’s being built has changed. As compared to 2006, there are more townhomes, condos, and smaller homes being built. The article notes that 11 percent of new construction is condos, while in 2006, it was only 5 percent. Read the court decision
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Texas Supreme Court Defines ‘Plaintiff’ in 3rd-Party Claims Against Design Professionals

September 10, 2014 — Beverley BevenFlorez-CDJ STAFF
According to attorney Matthew J. Mussalli, writing in Texas Lawyer, “In Jaster v. Comet II Construction on July 3, the Texas Supreme Court ruled how to construe the term ‘plaintiff’ in the context of claims against design professionals and under what circumstances a Certificate of Merit (COM) is required.” Mussalli explained that “the court narrowly construed the relevant statute contained in Chapter 150 of the Texas Civil Practice & Remedies Code and held that the plaintiff is just that—the plaintiff; not a defendant/third-party plaintiff nor a cross-claimant. Accordingly, builders, contractors and others who find themselves in the position of defending breach of contract, negligence or other claims and who seek to implead design professionals, need not file a COM with their third-party petitions or cross-claims against architects, engineers or other design professionals.” Read the court decision
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Zell Says Homeownership Rate to Fall as Marriages Delayed

April 30, 2014 — John Gittelsohn – Bloomberg
The U.S. homeownership rate may fall to as low as 55 percent because more Americans are choosing to rent as they postpone getting married and having children, said Sam Zell, chairman of landlord Equity Residential. Demographic and lifestyle changes, more than economic factors, are driving down the ownership rate over the long term, Zell said yesterday at the Milken Institute Global Conference in Beverly Hills, California. As of 2010, about 54 percent of adults were married, down from 57 percent a decade earlier, according to the U.S. Census Bureau. “The deferral of marriage has such a staggering impact on real estate and I just don’t think people focus on it,” said Zell, 72, whose Chicago-based Equity Residential is the largest U.S. apartment landlord. “I don’t think the multifamily market has ever had a better set of future demographics.” Read the court decision
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Reprinted courtesy of John Gittelsohn, Bloomberg
Mr. Gittelsohn may be contacted at johngitt@bloomberg.net

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