Construction of New U.S. Homes Declines on Plunge in South
July 23, 2014 —
Victoria Stilwell – BloombergHousing starts unexpectedly declined in June to a nine-month low, led by a record plunge in the South that shows the construction industry must still overcome hurdles before it can contribute more strongly to U.S. economic growth.
Work began on 893,000 homes at an annualized rate, down 9.3 percent from a 985,000 pace in May that was weaker than previously estimated, according to figures from the Commerce Department issued today in Washington. Other reports showed manufacturing was gaining steam this month and fewer Americans filed claims for jobless benefits last week as consumer sentiment hovered near this year’s high.
A shortage of buildable lots and experienced construction workers, higher prices and mortgage rates that have climbed from record lows mean residential real estate will struggle to help the world’s largest economy. The figures, along with a decline in building permits, corroborate Federal Reserve Chair Janet Yellen’s view that progress in the housing market has been “disappointing.”
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Victoria Stilwell, BloombergMs. Stilwell may be contacted at
vstilwell1@bloomberg.net
Avoid Delay or Get Ready to Pay: The Risks of “Time-Is-of-The-Essence” Clauses
August 29, 2018 —
Stephen Orlando - Gordon & Rees Construction Law BlogLike death and taxes, construction delays are inevitable. Even the most cautious, diligent contractor may face subcontractor disputes, supply shortages, or inclement weather which slows down a project. Even if the contractor avoids unexpected problems, the sheer complexity of a job may cause a contractor to exceed the deadlines proposed in a contract.
Fortunately, courts recognize the practical reality of construction projects and the unavoidable delays which may arise. Therefore, as a general rule, a contractor is only liable for delayed completion of a project if the delay resulted from the contractor’s unreasonable performance of his or her work. Reasonable performance will typically serve as a defense to a claim of delayed completion. This defense is a vital asset when a contractor surpasses the project’s expected timeframe.
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Stephen Orlando, Gordon & Rees Scully Mansukhani
New Standard Addresses Wind Turbine Construction Safety Requirements and Identifies Hazards
October 09, 2018 —
Christopher Daniels - Construction ExecutiveAmerican Society of Safety Professionals’ industry consensus standard, ANSI/ASSP A10.21 – 2018 Safety Requirements for Safe Construction and Demolition of Wind Generation/Turbine Facilities, is the first standard to identify and address hazards specific to wind turbine construction. It includes nearly a dozen appendices that provide additional consideration and guidance for hazards that vary between projects, turbines and geographical areas.
The new A10.21 standard starts by requiring a site hazard identification prior to construction commencing. It establishes the general contractor as the responsible party for site hazard identification assessment. This is because the general contractor is usually one of the first entities on site able to assess the various challenges/concerns such as: geography, utilities, environmental, etc. This assessment is usually done by driving the project site and identifying GPS coordinates of specific challenges.
Reprinted courtesy of
Christopher Daniels, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Mr. Daniels may be contacted at
chris.daniels@mortenson.com
Granting of Lodestar Multiplier in Coverage Case Affirmed
November 14, 2018 —
Tred R. Eyerly - Insurance Law HawaiiThe trial court's use of a multiplier in awarding fees to the insured was affirmed by the Florida Court of Appeal. Citizens Prop. Ins. Corp. v. Laguerre, 2018 Fla. App. LEXIS 11794 (Fla. Ct. App. Aug. 22, 2018).
Following Hurricane Wilma, the insured made a claim for wind damage to her insurer, Citizens. Citizens investigated the claim and paid $8,400.77. The insured then demanded an appraisal and submitted an appraisal estimate in the amount of $60,256.79. There was no response to the appraisal demand.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
OSHA Investigating Bridge Accident Resulting in Construction Worker Fatality
October 29, 2014 —
Beverley BevenFlorez-CDJ STAFFSI Live reported that “[t]he federal Occupational Safety and Health Administration has opened a probe into an early-morning truck accident at the Verrazano-Narrows Bridge that left a construction worker dead Wednesday.” The accident occurred in New York “when a truck laying asphalt backed into [the worker] and crushed him.”
Ted Fitzgerald, OSHA spokesman, stated, “OSHA did respond and has opened an inspection to determine whether or not there were violations of workplace safety standards in connection with this fatality,” as quoted by SI Live.
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Harsh New Time Limits on Construction Defect Claims
April 26, 2011 —
Scott F. Sullan, Esq., Mari K. Perczak, Esq., and Leslie A. Tuft, Esq.A recent Colorado Supreme Court decision, Smith v. Executive Custom Homes, Inc., 230 P.3d 1186 (Colo. 2010), considerably shortens the time limit for bringing many construction defect lawsuits. Homeowners and homeowner associations risk losing the right to seek reimbursement from builders, developers and other construction professionals unless they carefully and quickly act upon discovery of evidence of any potential construction defect.
The Statute of Limitations for Construction Defect Claims
Colorado’s construction defect statute of limitations limits the time for homeowners and homeowners associations to bring lawsuits for construction defects against “construction professionals,” including developers, general contractors, builders, engineers, architects, other design professionals, inspectors and subcontractors. The statute requires homeowners and associations to file suit within two years “after the claim for relief arises.” A claim for relief “arises” when a homeowner or association discovers or reasonably should have discovered the physical manifestation of a construction defect.
The two-year time limitation applies to each construction defect separately, and will begin to run upon the appearance of a “manifestation” of a construction defect (which may include, for example, a condition as simple as a roof leak or drywall cracks), even if the homeowner or association does not know the cause of the apparent problem.
The Smith Opinion and its Effect on the Statute of Limitations
In Smith v. Executive Custom Homes, Inc., the plaintiff homeowner, Mrs. Smith, slipped on ice that had accumulated on her sidewalk because of a leaking gutter and suffered injury. When she first noticed the leak, she reported it to her property manager, who reported it to the builder. The builder attempted to repair the gutter, unbeknownst to Mrs. Smith, and she did not notice further problems until approximately one year after she first observed the leak, when she fell and suffered serious injury. She sued the builder within two years of her injury, but nearly three years after she first learned of the leak.
The Colorado Supreme Court dismissed Mrs. Smith’s claims as untimely and held that under the construction defect statute of limitations, the two-year period for suing for injuries due to construction defects begins when the homeowner first observes the physical manifestation of the defect, even if the resulting injury has not yet occurred. The court acknowledged that this ruling could result in “unfair results,” especially if a serious and unforeseeable injury occurs more than two years after the first time the homeowner noticed the problem, and as a result the victim is unable to seek redress from those responsible for the defect.
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Reprinted courtesy of Scott F. Sullan, Esq., Mari K. Perczak, Esq., and Leslie A. Tuft, Esq. of Sullan2, Sandgrund, Smith & Perczak, P.C., and they can be contacted through their web site.
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Amada Family Limited Partnership v. Pomeroy: Colorado Court of Appeals Expressly Affirms the Continuing Viability of the Common-Law After-Acquired Title Doctrine and Expressly Recognizes Utility Easements by Necessity
June 28, 2021 —
Luke Mecklenburg - Snell & Wilmer Real Estate Litigation BlogOn May 27, 2021, a division of the Colorado Court of Appeals issued its opinion in Amada Family Limited Partnership v. Pomeroy, 2021 COA 73. In that case, the court decided two significant issues that apparently had never been expressly ruled on by a Colorado appellate court before: (1) that Colorado’s common-law after-acquired title doctrine was not abrogated by adoption of the after-acquired interest statute; and (2) that utility easements may be implied by necessity.
As is often the case in matters involving access and implied property rights, the facts and history underlying Amada are complicated, but the case’s two most significant rulings are not. Instead, the basic legal principles established (or confirmed) in Amada appear to be broadly applicable, and real property practitioners should take note of these significant developments (or clarifications) in the law.
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Luke Mecklenburg, Snell & WilmerMr. Mecklenburg may be contacted at
lmecklenburg@swlaw.com
Angela Cooner Receives Prestigious ASA State Advocate Award
April 12, 2021 —
Angela Cooner - Lewis BrisboisPhoenix Partner Angela L. Cooner recently received the American Subcontractors Association, Inc. (ASA) 2020 State Advocate award during ASA’s Virtual Awards Presentation, which took place on February 25. ASA selected Ms. Cooner as the recipient of this honor based upon the significant time that she spent and value she added to subcontractor advocacy in Arizona over the last year.
In nominating Ms. Cooner for this award, ASA of Arizona stated, “Angie’s dedication and track record are second to none. However, it is her leadership in managing the recent merger between the Arizona State Contractors’ Coalition (AZSCC) and Arizonans for Fair Contracting (AFC) where she has distinguished herself most notably.” Moreover, ASA explained that Ms. Cooner’s dedication “has allowed ASA of Arizona to renegotiate a new contract with a government affairs firm that helped secure victory on a critical proportional liability bill and begin the upcoming legislative session on the right foot.” According to ASA, Ms. Cooner has donated the equivalent of $120,000 in billable hours to the organization through her work for AFC and as legal counsel for ASA of Arizona’s Board of Directors.
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Angela Cooner, Lewis BrisboisMs. Cooner may be contacted at
Angela.Cooner@lewisbrisbois.com