Seattle Washington Building Expert Directory

America’s Infrastructure Gets a C-. It’s an Improvement Though

April 05, 2021 — Garret Murai - California Construction Law Blog
Every four years the American Society of Civil Engineers (ASCE) issues a report card assigning a letter grade to the nation’s infrastructure. ASCE issued their 2021 Infrastructure Report Card earlier this month. Our country’s grade in 2021? A disappointing C-. It’s an improvement though. When ASCE issued their 2017 Infrastructure Report Card we didn’t even pass the class with a grade of D+. In short, there’s room for improvement. A lot of room for improvement. C- is just the cumulative grade however. ASCE’s Report Card is divided into industry segments with grades assigned to each segment. Individual grades for some, but not all, of the segments include the following:

Aviation: The nation’s airports received a grade of D+. According to the Report Card, terminal, gate and ramp availability are not meeting the needs of a growing passenger base which has increased from 964.7 million to 1.2 billion per year and a has a 10-year shortfall of $111 billion.

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Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

Foundation Arbitration Doesn’t Preclude Suing Over Cracks

March 28, 2012 — CDJ STAFF

The Louisiana Court of Appeals has reversed the decision of a lower court, allowing a construction defect case to go through. In Greer v. Town Construction Company, the Greers hired Town Construction to build a home in Baton Rouge. The business relationship went sour, with disputes over “costs, change orders, workmanship, and timeliness issues.”

Town Construction filed an arbitration claim for the unpaid contract balance. In the counterclaim, the Greers made claims of mold and mildew problems, and wall cracks that they attributed to a “structural defect in the foundation.” In arbitration, Town Construction was awarded the full contract balance plus extra costs and interest, while the Greers were awarded for their structural claims.

Three years later, the Greers found additional cracks and filed a suit against Town Construction. Town Construction argued that the Greer’s lawsuit should be dismissed, as the claims had already been through the arbitration process. The district court agreed with Town Construction and dismissed the suit.

The appeals court noted that the Greers would have no ground for a suit if the arbitration was a “valid and final judgment,” and went on to note that there was no evidence in the trial record that the arbitration met this qualification. The court noted that although it was clear that both parties had agreed to the decisions of the arbiter, under Louisiana law, arbitration is not final until it has been “rendered by a court with jurisdiction over subject mater and over parties.”

The court remanded the case to the lower court, noting that “the district court is obligated to first determine whether a valid arbitration award is in existence and had been confirmed before considering the merits of the exception. The court noted that their decision “should not be read to express any opinion as to the merits of the claims or as to the propriety of damages sought in the Greer’s lawsuit.”

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Turning Back the Clock: DOL Proposes Previous Davis-Bacon Prevailing Wage Definition

April 19, 2022 — David Chidlaw & Carina Novell - Sheppard Mullin Construction & Infrastructure Law Blog
On March 11, 2022, the Department of Labor (“DOL”) proposed reverting the definition of “prevailing wage” under the Davis-Bacon Act to a definition used over 40 years ago. According to the DOL, the proposal is meant to modernize the law and “reflect better the needs of workers in the construction industry and planned federal construction investments.”[1] Brief History Lesson The Davis-Bacon Act was enacted in 1931 and requires the payment of locally prevailing wages and fringe benefits on federal construction contracts. The law applies to workers on contracts in excess of $2,000 entered into by federal agencies and the District of Columbia for the construction, alteration, or repair of public buildings or public works.[2] From the 1930s to the early 1980s, the DOL used the following three-step process to define prevailing wage:

Any wage rate paid to a majority of workers.
If there was no wage rate paid to a majority of workers, then the wage rate paid to the greatest number of workers, provided it was paid to at least 30 percent of workers (i.e., the “30 percent rule”).
If the 30 percent rule was not met, the weighted average rate.

Reprinted courtesy of David Chidlaw, Sheppard Mullin and Carina Novell, Sheppard Mullin Mr. Chidlaw may be contacted at dchidlaw@sheppardmullin.com Ms. Novell may be contacted at cnovell@sheppardmullin.com Read the court decision
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Tokyo Building Flaws May Open Pandora's Box for Asahi Kasei

October 28, 2015 — Kathleen Chu, Joji Mochida & Katsuyo Kuwako – Bloomberg
Japanese real estate investment trusts are joining apartment owners and regulators in pushing Asahi Kasei Corp. for answers on an apartment building sagging sideways on the outskirts of Tokyo, as concerns are mounting that it may not be an isolated case. REITs including Advance Residence Investment, Nippon Accommodation Fund Inc., Daiwa House Residential Investment Corp. and Japan Rental Housing Investment Inc. have all asked Asahi Kasei for details on what other buildings might be flawed, according to the trusts. Asahi Kasei disclosed on Thursday the names of prefectures where the company has undertaken work in the past 10 years on more than 3,000 buildings, after the land ministry requested the data. The sites include 342 schools, 257 medical and health-care facilities, 696 housing complexes and 217 office buildings, the firm said. Asahi Kasei, the subcontractor of the project, said a unit didn’t properly install foundation piles at an apartment building in Yokohama, and the division falsified data on the work. The scandal has sent Asahi Kasei’s shares down more than 21 percent since Oct. 13, when news of the flawed building first emerged. Shares of Sumitomo Mitsui Construction Co., the contractor, plunged 25 percent and those of Mitsui Fudosan Co., which sold units at the Yokohama project in 2006, have tumbled 5 percent since then. All three companies said that the impact of the incident on their earnings is not yet clear. Reprinted courtesy of Bloomberg reporters Kathleen Chu, Joji Mochida and Katsuyo Kuwako Read the court decision
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The G2G Year in Review: 2019

February 03, 2020 — Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law Blog
As we kick off the new decade, we wanted to share the top five most-read articles of 2019 from Gravel2Gavel. The most-read blog posts covered 2019 real estate and construction industry trends ranging from affordable housing to the new State Bill 35 (SB 35) to sustainability in modern real estate. Our posts provided deep insight and detailed case studies, and summarized hot topics that addressed the legal implications and exciting disruptions that are affecting the industry. We hope you enjoy the roundup:

Assessing SB 35—Success or Failure? by Robert Howard, Alexander Walker and Matt Olhausen Robert, Alex and Matt examined the newly implemented SB 35 and highlighted real examples of SB 35 in action.
Update Your California Release Provisions to Include Amended Section 1542 Language by William S. Hale, P.E. Bill Hale encouraged readers to update their California release provisions to include Amended Section 1542 Language, which ensures that the releasing party is consciously releasing both known and unknown claims that may be later discovered.

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

Congratulations to Las Vegas Team on Their Successful Motion for Summary Judgment!

May 06, 2024 — Dolores Montoya - Bremer Whyte Brown & O'Meara LLP
This case arose from an alleged trip and fall on an uneven surface in a parking lot outside of BWBO’s client’s restaurant. Plaintiff alleged more than $385,000 in past medical specials (with high potential for future care and treatment) with exposure in excess of $1,000,000.00. The Plaintiff named as Defendants BWBO’s client as well as several entities related to their landlord. Early in the case, Las Vegas Partner Jeffrey W. Saab and Senior Associate D. Ryan Efros moved for summary judgment based on terms of the restaurant’s lease. They argued that based on the lease, the duty to maintain the surface of the parking lot fell exclusively to the landlord, rather than the restaurant’s client. Plaintiff opposed the motion arguing that the prevailing case law held that any agreement between a tenant and its landlord does not preclude a plaintiff from asserting either or both defendants breached their duties of care. Jeff and Ryan distinguished that case and successfully persuaded the Court that there could be no contractual duty and no common law duty to maintain the parking surface, clearing the way for the court to grant summary judgment. Read the court decision
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Reprinted courtesy of Dolores Montoya, Bremer Whyte Brown & O'Meara LLP

Ninth Circuit Construes Known Loss Provision

August 19, 2015 — Tred R. Eyerly – Insurance Law Hawaii
The Ninth Circuit reversed the district court's award of summary judgment to the insurer after analyzing the known loss provision in the insured subcontractor's policy. Kaady v. Mid-Continent Cas. Co., 2015 U.S. App. LEXIS 10754 (9th Cir. June 25, 2015). The insured was awarded a subcontract to install manufactured stone at the residential project. The stone was affixed to the wall sheathing. The insured also wrapped deck posts with manufactured stone and installed masonry caps on the toe of the stone that was wrapped around the deck posts. After construction was completed, the insured was called back to the project to inspect cracks in the manufactured stone and masonry caps he installed. The insured told the general contractor that the cracks were likely due to settling. Three months after inspecting the cracks, the insured purchased a CGL policy from Mid-Continent. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Contractor Prevailing Against Subcontractor On Common Law Indemnity Claim

June 29, 2020 — David Adelstein - Florida Construction Legal Updates
Common law indemnity is not an easy claim to prove as the one seeking common law indemnity MUST be without fault: Indemnity is a right which inures to one who discharges a duty owed by him, but which, as between himself and another, should have been discharged by the other and is allowable only where the whole fault is in the one against whom indemnity is sought. It shifts the entire loss from one who, although without active negligence or fault, has been obligated to pay, because of some vicarious, constructive, derivative, or technical liability, to another who should bear the costs because it was the latter’s wrongdoing for which the former is held liable. Brother’s Painting & Pressure Cleaning Corp. v. Curry-Dixon Construction, LLC, 45 Fla. L. Weekly D259b (Fla. 3d DCA 2020) quoting Houdaille Industries, Inc. v. Edwards, 374 So.2d 490, 492-93 (Fla. 1979). Not only must the one seeking common law indemnity be without fault, but there also needs to be a special relationship between the parties (indemnitee and common law indemnitor) for common law indemnification to exist. Brother’s Painting & Pressure Cleaning Corp., supra (citation omitted). A special relationship has been found to exist between a general contractor and its subcontractors. Id. at n.2. 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

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