Useful Life: A Valuable Theory for Reducing Damages
March 29, 2017 —
Brooke E. Beebe, Esq. - Florida Construction Law NewsThe situation is one all too familiar to construction defect litigants. A homeowner contracts with a roofing contractor to install a new roof with a life expectancy of ten years.[1] After only five years, the homeowner brings a claim for construction defects in the roof alleging that the roof requires complete replacement due to water intrusion. The homeowner seeks damages for the full replacement cost of the roof. However, under a “useful life” theory, the homeowner would not be entitled to damages for the full amount of the replacement cost. Instead, the homeowner would be entitled to one-half of the cost of the replacement roof, taking into account the fact that he or she had been deprived of only five, rather than ten, years of use. “Useful life” is best understood as the expected length of time that a newly built construction element can be reasonably anticipated to last, subject to routine maintenance and ordinary wear and tear. The “useful life” theory holds that granting the homeowner damages for the full replacement cost of the roof would result in unjust enrichment to the homeowner, who had contracted for a roof with a ten-year, rather than a fifteen-year, useful life.
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Brooke E. Beebe, Cole, Scott & Kissane, P.A.Ms. Beebe may be contacted at
brooke.beebe@csklegal.com
Search in Florida Collapse to Take Weeks; Deaths Reach 90
July 25, 2021 —
The Associated Press (Freida Frisaro & Bobby Caina Calvan) - BloombergAuthorities searching for victims of a deadly collapse in Florida said Sunday they hope to conclude their painstaking work in the coming weeks as a team of first responders from Israel departed the site.
Miami-Dade County Mayor Daniella Levine Cava said 90 deaths have now been confirmed in last month's collapse of the 12-story Champlain Towers South in Surfside, up from 86 a day before. Among them are 71 bodies that have been identified, and their families have been notified, she said. Some 31 people remain listed as missing.
The Miami-Dade Police Department said three young children were among those recently identified.
Crews continued to search the remaining pile of rubble, peeling layer after layer of debris in search of bodies. The unrelenting search has resulted in the recovery of over 14 million pounds (about 6.4 million kilograms) of concrete and debris, Levine Cava said.
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Bloomberg
Roof Mounted Solar Panels: Lower Your Risk of Fire
September 25, 2023 —
The Hartford Staff - The Hartford InsightsAs the federal government, individual states, businesses and consumers take steps to address climate change, the use of renewable energy – including roof-mounted solar panels – has steadily increased. Over the past decade, the use of solar energy solutions has grown by 33% annually. This is driven by tax-based incentives for clean energy, combined with installation costs that are down more than 50% from 10 years ago.1
As more companies execute climate-focused goals to limit greenhouse emissions, reduce their carbon-footprint and lower energy costs, the use of solar power for commercial buildings is likely to increase. Currently, it's estimated that only 3.5% of commercial buildings have rooftop solar panels, but 70% are potential targets for solar.2
We know the use of solar power can have positive impacts on the environment and generate long-term energy cost savings. However, there are several considerations and potential risks that commercial property owners and facilities managers should consider prior to investing in solar, says Tracey Greene, underwriting director for Middle and Large Commercial Real Estate at The Hartford.
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The Hartford Staff, The Hartford Insights
Court Dismisses Coverage Action In Lieu of Pending State Case
July 25, 2021 —
Tred R. Eyerly - Insurance Law HawaiiThe insurer's coverage action was dismissed by the federal court in favor of the pending case in state court. Southern-Owners Ins. Co. v Marquez, 2021 U.S. Dist. LEXIS 108125 (S.D. Fla. May 4, 2021).
The underlying lawsuit was filed because of of an incident involving a golf cart on a sidewalk owned by the AOAO. The Marquezes owned the golf cart that injured the Murphy's child.
Southern-Owners issued a CGL policy to the AOAO. The Marquezes submitted a claim to Souther-Owners for coverage in the underlying lawsuit as additional insureds under the policy. Southern-Owners defended the AOAO and the Marquezes in the underlying lawsuit pursuant to a reservation of rights. The underlying complaint alleged that the Marquezes negligently permitted their daughter to operate the golf cart on the AOAO's pedestrian walkway. Further, the AOAO negligently failed to reasonably maintain the premises.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Pending Sales of U.S. Existing Homes Rise Most in Four Years
July 01, 2014 —
Jeanna Smialek – BloombergThe number of contracts to purchase previously owned U.S. homes jumped in May by the most in more than four years, a sign the residential-real estate market is rebounding after a slow start to the year.
The pending home sales index climbed 6.1 percent, the biggest advance since April 2010, after a revised 0.5 percent increase in April, the National Association of Realtors said today in Washington. The gain exceeded the most optimistic estimate in a Bloomberg survey of economists, whose median forecast called for a 1.5 percent gain.
Housing demand is benefiting from cheaper borrowing costs, a stronger employment outlook and easier access to credit for some households. At the same time, higher prices and limited income gains are keeping the improvement in the residential real estate from becoming more broad-based.
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Jeanna Smialek, BloombergMs. Smialek may be contacted at
jsmialek1@bloomberg.net
The OFCCP’s November 2019 Updated Technical Assistance Guide: What Every Federal Construction Contractor Should Know
March 23, 2020 —
Sarah K. Carpenter - Smith CurrieThe Department of Labor (“DOL”) Office of Federal Contract Compliance Programs (“OFCCP”) issued its 148-page Updated Construction Contractor Technical Assistance Guide (the “Guide”) on November 13, 2019. A complete copy of the Guide can be found
here, but the below provides a summary of what every Federal Construction Contractor should know regarding the OFCCP’s November 2019 update to its prior 2006 publication.
The DOL has identified the Guide as a “self-assessment tool” to assist contractors in meeting “their legal requirements and responsibilities for equal employment opportunity by preventing violations before they occur.” However, the Guide does not create or impose new requirements for Federal Construction Contractors. Instead, the Guide provides an overview of anti-discrimination and affirmative action requirements and obligations under existing laws and regulations, and suggests best practices and guidance. Specifically, the Guide provides:
- A concise summary of Federal Construction Contractors’ legal obligations under the three main laws enforced by the OFCCP: Executive Order 11246, Section 503 of the Rehabilitation Act of 1973, and the Vietnam Era Veterans’ Readjustment Assistance Act of 1974;
- A detailed explanation of requirements for written Affirmative Action Plans;
- A clear schedule of Standard Federal Equal Employment Opportunity Construction Contract Specifications;
- A reorganized recap of the sixteen affirmative action steps Federal Construction Contractors are required to implement in good-faith; and
- A user-friendly roadmap of what to expect during an OFCCP audit, including a discussion of record keeping requirements.
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Sarah K. Carpenter, Smith CurrieMs. Carpenter may be contacted at
skcarpenter@smithcurrie.com
Rulemaking to Modernize, Expand DOI’s “Type A” Natural Resource Damage Assessment Rules Expected Fall 2023
December 23, 2023 —
Amanda G. Halter, Jillian Marullo & Ashleigh Myers - Gravel2Gavel Construction & Real Estate Law BlogThe U.S. Department of the Interior (DOI) anticipates proposing a new rule that would revise its “Type A” Natural Resource Damage Assessment (NRDA) regulations under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) in Fall 2023. The proposed rule would modernize DOI’s rarely used simplified Type A procedures for assessing damages for natural resource injuries tailored at sites involving minor releases of hazardous substances, with a smaller scale and scope of natural resource injury occurring in either coastal and marine areas or Great Lakes environments (the “Type A Rule”). (See 88 Fed. Reg. 3373; see 43 C.F.R. Pt. 11 Subpt. D.) The Type A Rule was last updated in 1997.
DOI previewed the proposal in January 2023 in its Office of Restoration and Damage Assessment’s (ORDA)
Advanced Notice of Proposed Rulemaking (ANPR). In the ANPR, the ORDA surmised that the Type A Rule was rarely used in part because of its restricted scope, but also because “the model equation for each Type A environment is the functional part of the rule itself—with no provisions to reflect evolving toxicology, ecology, technology, or other scientific understanding without a formal amendment to the Type A Rule each time a parameter is modified.” Calling the existing rule “inefficient and inflexible,” the ORDA stated that its proposal to reformulate the rule “as a procedural structure” would “modernize the Type A process and develop a more flexible and enduring rule than what is provided by the two existing static models” (88 Fed. Reg. 3373).
Reprinted courtesy of
Amanda G. Halter, Pillsbury,
Jillian Marullo, Pillsbury and
Ashleigh Myers, Pillsbury
Ms. Halter may be contacted at amanda.halter@pillsburylaw.com
Ms. Marullo may be contacted at jillian.marullo@pillsburylaw.com
Ms. Myers may be contacted at ashleigh.myers@pillsburylaw.com
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Construction Employers Beware: New, Easier Union Representation Process
October 17, 2023 —
Natale V. DiNatale - Robinson+ColeThis week we are pleased to have a guest post by Robinson+Cole Labor Relations Group chair Natale V. DiNatale.
The NLRB has reversed decades of precedent and made it far easier for unions to represent employees, including construction employers, without a secret ballot election. Initially, it is important to understand that this new standard applies to traditional “9(a)” relationships, not prehire agreements under 8(f) of the NLRA. While both types of relationships exist in the construction industry, 9(a) relationships require support from a majority of employees, while prehire agreements do not and tend to be project specific. The NLRB’s new standard (announced in Cemex Construction Materials Pacific, LLC, 372 NLRB No. 130 (2023)) emphasizes union authorization cards that are gathered by union officials and union activists who often employ high-pressure tactics to obtain a signature. Employees often sign authorization cards without the benefit of understanding the significance of the cards. Even if they don’t want a union, they may sign because they feel pressured by a coworker, don’t want to offend a colleague, or want to avoid being bothered.
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Natale V. DiNatale, Robinson+ColeMr. DiNatale may be contacted at
ndinatale@rc.com