Seattle Washington Building Expert Directory

Microsoft Urges the Construction Industry to Deliver Lifecycle Value

June 25, 2019 — Aarni Heiskanen - AEC Business
Digitalization is changing the way that we operate and use buildings. Salla Palos is directing Microsoft towards a future that inspires innovative changes in both the mindset and the business models of AECO industry stakeholders. Salla Palos moved from Finland to the United States in July 2015 and settled down in Seattle, one of the fastest growing areas in the USA. She was versed in digitalization of construction industry in Finland as well as Europe and sought the opportunity to bring that knowledge into the US market. As the Director of Emerging Technology and Innovation for Sellen Construction, one of the largest general contractor companies in the Pacific Northwest United States, Salla started developing digital building lifecycle as a strategy to solve number of industry problems. “I zeroed in on developing digital construction strategy, re-engineering processes, and innovating how emerging technology supports digital construction. My approach was open innovation, pulling the industry along with our own digital transformation. I set up collaboration with both local and international partners to be successful in driving change and transforming AEC,” Salla recalls. Read the court decision
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Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

Measures Landlords and Property Managers Can Take in Response to a Reported COVID-19 Infection

May 18, 2020 — Kyle Janecek & Jason Morris - Newmeyer Dillion
Most landlords and property managers are now familiar with steps they should be taking to reduce the spread of COVID-19. But what if a tenant or employee has tested positive with COVID-19? Unfortunately, many landlords and property managers are grappling with this very question. While there’s some clarity as it pertains to evictions in the landlord-tenant context, other considerations like disinfection, required notices, and maintenance, are evolving or unclear. Here are steps landlords and property managers can take in response to an employee or tenant testing positive with COVID-19. Measures Landlords Can Take for Employees For workplaces, there is a large variety of guidelines and procedures that are generally available to review. The Centers for Disease Control and Prevention (CDC) has valuable guidance available online here and here. The Occupational and Safety Health Administration (OSHA) has valuable guidance available online here. In short, if there is an incident where one employee may have exposed others to COVID-19, here are five steps employers should take:

Send the affected employee home and instruct them not to return to work until the criteria to discontinue home isolation are met in consultation with healthcare providers, and state and local health departments. Make sure to maintain all information about employee illnesses as a confidential medical record.
Ask the affected employee whether they have had close contact with any other workers.

Reprinted courtesy of J. Kyle Janecek, Newmeyer Dillion and Jason L. Morris, Newmeyer Dillion Mr. Janecek may be contacted at kyle.janecek@ndlf.com Mr. Morris may be contacted at jason.morris@ndlf.com Read the court decision
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Ensuring Efficient Arbitration of Construction Disputes Involving Mechanic’s Liens

February 18, 2020 — Robert G. Campbell & Trevor B. Potter - Construction Executive
There may be tension between the enforcement of statutory mechanic’s lien claims when a contractual dispute resolution provision calls for arbitration. Once the parties are in arbitration, it may not be clear whether the arbitrator has authority to make factual determinations regarding amount and validity of mechanic’s liens, and whether courts are bound by these determinations. This uncertainty stems from the fact that in most states a mechanic’s lien can only be enforced by a court of competent jurisdiction. Indeed, many mechanic’s liens statutes define foreclosure as a “judicial process,” and courts generally have exclusive jurisdiction to issue orders foreclosing on real property1. The risk for contractors and owners is that they will spend time and money re-litigating factual issues related to proving elements of a mechanic’s lien claim, including the proper lien amount, timeliness and other prerequisites. Without a clear understanding of what issues and elements are arbitrable, the parties run the risk that an arbitrator will rule on certain elements only to find out during post-arbitration lien foreclosure proceedings that the arbitrator lacked authority to make determinations on those elements. Questions therefore arise whether a court will enforce the arbitrator’s determinations and whether the parties must relitigate mechanic’s lien issues creating a further risk of inconsistent rulings. These risks can be minimized through arbitration provisions which address these issues, express requests in arbitration demands and by ensuring that arbitration awards contain explicit determinations of mechanic’s liens issues. Reprinted courtesy of Robert G. Campbell & Trevor B. Potter, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Mr. Potter may be contacted at tpotter@coxcastle.com Mr. Campbell may be contacted at rcampbell@coxcastle.com Read the court decision
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Even Where Fraud and Contract Mix, Be Careful With Timing

April 12, 2021 — Christopher G. Hill - Construction Law Musings
I have often discussed the limited circumstances under which a construction contract claim and a fraud claim can coexist. A recent case from the Western District of Virginia federal court demonstrates that care is necessary even in those limited circumstances. In Fluor Fed. Sols., LLC v. Bae Sys. Ordinance Sys., the Court examined the question of a fraud statute of limitations under Virginia law. The basic facts found in the Complaint are these: In 2011, the United States Army awarded BAE Systems Ordinance Systems Inc. a basic ordering agreement under which BAE was responsible for modernization projects at the Radford Army Ammunition Plant. This action stems from a subcontract between Fluor Federal Solutions LLC and BAE, under which Fluor agreed to design and construct a new natural gas boiler at the plant. Fluor has completed work on the project, and BAE has accepted that work. Nonetheless, Fluor claims that BAE has refused or failed to pay for the balance of the project costs. Fluor alleges that BAE received several changes to its prime contract from the Army but did not pass those changes along to Fluor until after BAE solicited a bid from Fluor and entered a contract with Fluor to build a temporary facility. Instead, BAE continued to misrepresent the scope of the project. Fluor alleges that the change in plans increased costs substantially, but that BAE withheld information about those changes so that it could solicit lower bids. Fluor alleges that it requested a copy of BAE’s prime contract on numerous occasions, but BAE failed to provide a copy of it. Instead, Fluor submitted a request under the Freedom of Information Act. It received a copy of BAE’s prime contract on Oct. 3, 2018. Read the court decision
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

Port Authority Reaches Deal on Silverstein 3 World Trade

June 26, 2014 — David M. Levitt – Bloomberg
The Port Authority of New York and New Jersey approved a financing agreement for Larry Silverstein’s 3 World Trade Center that allows him to use $159 million of insurance proceeds to expedite construction. The agreement, which alters a 2010 deal on the project, follows about a year of negotiations and provides Silverstein with far less than the $1.2 billion of loan guarantees he sought under a previous plan that had been opposed by some board members. Silverstein plans to seek private financing to complete construction on the tower, which is stalled at eight floors. The Port Authority, which owns the Trade Center site, unanimously approved the alterations to the agreement at a meeting today. The new deal meets the criteria of not creating additional debt for the agency, said Commissioner Kenneth Lipper, who led opposition to the loan guarantee, viewing it as too risky and a threat to the authority’s credit rating. Read the court decision
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Reprinted courtesy of David M. Levitt, Bloomberg
Mr. Levitt may be contacted at dlevitt@bloomberg.net

Approaches to Managing Job Site Inventory

January 04, 2018 — Jessica Stark - Construction Informer
Originally Published by CDJ on August 30, 2017 There is no question that organization on the job site can mean the difference between efficient performance and costly errors. A simple mistake can cost a company thousands, which is why details are carefully articulated and supervisors become better scrutinizers than magazine editors. But for some reason, many companies don’t consider managing job site inventory under this same attentive category, or perhaps they don’t know about the technology available to help them do it. For contractors, keeping track of every piece of material and equipment lowers losses and keeps crews busy. This is especially true for contractors in the trades who often have specialized equipment in inventory such as power supplies, HVAC “smart energy” components or inspection equipment. Once everything is accounted for, the possibility of loss is decreased and there’s a chance to evaluate the use of all materials and equipment. This can show the efficiency of allotted resources. Is there enough equipment on the site to get tasks completed? Is there a need for more? Less? Having excess equipment can sometimes prepare a crew for problem scenarios. But it can also mean the construction company is overpaying for unneeded resources. However, the only way to know is by effectively managing job site inventory. That includes all equipment and materials Read the court decision
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Reprinted courtesy of Jessica Stark, Construction Informer

Bankruptcy on a Construction Project: Coronavirus Edition

May 25, 2020 — Garret Murai - California Construction Law Blog
Experts are warning of a wave of bankruptcies in the wake of the coronavirus pandemic. In some industries, such as the hard hit retail sector, that rising tide has already begun as J. Crew and Neiman Marcus filed for bankruptcy protection this past week. While the federal government’s stimulus package, including the $660 billion Paycheck Protection Program which is part of the larger 2.2 trillion CARES Act, may help to stem the tide of bankruptcies, Chapter 11 bankruptcy filings increased 26% in April over the same period last year. How the pandemic will impact the construction industry is uncertain. Anecdotally, we’ve been hearing from clients that some project owners are stalling projects that are still in the planning stages as they evaluate the situation, which suggests long term impacts that can be ridden out rather than short term impacts that can devastate on-going construction projects. Nevertheless, with 24-7 coverage of the pandemic, project owners, contractors, material suppliers, and equipment lessors are understandably concerned with the impact a bankruptcy might have on a construction project. So, here’s a primer on bankruptcies on a construction project. Read the court decision
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Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

Senior Housing Surplus Seen as Boomers Spur Building Boom

May 19, 2014 — Brian Louis – Bloomberg
Real estate developers are betting big on U.S. housing for the elderly, preparing for a surge in demand as the population of senior citizens almost doubles in the next 35 years. They may be building too fast. A jump in supply is forecast to cut growth in senior-housing net operating income to 1.8 percent in 2015 and 1.4 percent in 2016 from 3.3 percent this year, according to Green Street Advisors Inc. The increase may hurt health-care real estate investment trusts and companies including Brookdale Senior Living Inc. (BKD), which is buying competitor Emeritus Corp. (ESC) for about $1.4 billion to become the biggest owner of senior properties, the research firm said. “Increased supply is always worrisome in any type of commercial real estate,” said Jim Sullivan, a managing director at Newport Beach, California-based Green Street. “In senior housing, new construction has ramped up considerably over the last two years.” Read the court decision
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Reprinted courtesy of Brian Louis, Bloomberg
Mr. Louis may be contacted at blouis1@bloomberg.net

SEATTLE WASHINGTON BUILDING EXPERT DIRECTORY AND CAPABILITIES