U.S. Home Prices Rose More Than Estimated in February
May 07, 2015 —
Kathleen M. Howley – BloombergU.S. house prices rose more than economists estimated in February as the strongest labor market in seven years gives Americans the confidence to bid on property.
Prices climbed 0.7 percent on a seasonally adjusted basis from January, the Federal Housing Finance Agency said in a report Wednesday. The average economist estimate was for a 0.5 percent increase, according to data compiled by Bloomberg.
Housing demand is climbing as consumer confidence hovers close to an eight-year high. Sales of existing homes rose in March by the most in four years, the National Association of Realtors reported today. The number of U.S. households jumped by almost 2 million in 2014, according to data compiled by Bloomberg.
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Kathleen M. Howley, BloombergMs. Howley may be contacted at
kmhowley@bloomberg.net
Construction Contracts Need Amending Post COVID-19 Shutdowns
October 19, 2020 —
Richard P. Higgins - Construction ExecutiveNo one could have expected the coronavirus pandemic in the beginning of 2020. True, there were rumblings about a sickness in China that was highly contagious and infecting many people. Death tolls began rising as the world watched in disbelieve. After all, this is 2020. This is not supposed to happen. We should have been able to control the spread of the virus, but we could not. COVID-19 quickly spread throughout the world causing havoc and economic despair.
While some sectors of the construction industry are not as impacted as others, contractors industry-wide need to consider how COVID-19 will impact their contractual obligations. Depending on what happens and what the government decides to do to stop the spread of the coronavirus, project delays, supply chain distributions, lost productivity and work stoppages may continue for months. All of this will impact the contracts that contractors have with owners. Contractors may not be able to preform according to the terms of the contract through no fault of their own. Owners may no longer qualify for the financing needed to pay for the project.
FORCE MAJEURE
According to Investopedia, “force majeure refers to a clause that is included in contracts to remove liability for natural and unavoidable catastrophes that interrupt the expected course of events and prevent participants from fulfilling obligations.”
Reprinted courtesy of
Richard P. Higgins, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Mr. Higgins may be contacted at
Richard.Higgins@MCC-CPAs.com
The Choice Is Yours – Or Is It? Anti-Choice-of-Laws Statutes Applicable to Construction Contracts
October 03, 2022 —
Tiffany Raush & Tanya McGill - ConsensusDocsDuring contract negotiations and review, the parties make choices about what risks they are willing to accept and at what cost. But one often overlooked choice—the choice of law applicable to the contract—can undermine carefully negotiated construction contracts and expose contractors to risks they never intended to accept.
Choice-of-law provisions are standard provisions in most contracts. These provisions allow the parties to the contract to decide which state’s laws will apply to their contract. Often, choice-of-law in the construction contract is the law of the state where the project is located and there will be no issue. But, if the project is located in an unfamiliar, the owner or prime contractor may prefer the laws of the state where the owner or prime contractor is primarily located over the laws of the state where the project is located.
Generally, most states will enforce the parties’ choice of law in a contract. But that may not be the case for construction contracts. States like Texas, California, New York, Florida, Louisiana, and others may prohibit parties from agreeing to the application of another state’s law for construction projects in their states.
Reprinted courtesy of
Tiffany Raush, Jones Walker LLP (ConsensusDocs) and Tanya McGill, University of Mississippi School of Law Student, 2023 Graduate (ConsensusDocs)
Ms. Raush may be contacted at traush@joneswalker.com
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Outcry Over Peru’s Vast Graft Probe Prompts Top Lawyer to Quit
January 15, 2019 —
John Quigley - BloombergPeru’s Attorney General Pedro Chavarry quit his post amid allegations he sought to sabotage a plea deal with a major construction company and derail the country’s biggest corruption probe.
The board of supreme prosecutors accepted his resignation Tuesday and appointed Zoraida Avalos as his replacement, according to a post on the account of the attorney general’s office. Chavarry will continue to sit on the five-member board.
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John Quigley, Bloomberg
Traub Lieberman Attorneys Recognized in the 2022 Edition of The Best Lawyers in America®
September 13, 2021 —
Traub LiebermanTraub Lieberman is pleased to announce that three Partners have been selected by their peers for inclusion in the 2022 edition of The Best Lawyers in America®. In addition, five attorneys have been included in the 2022 Best Lawyers®: Ones to Watch list. These recognitions include attorneys from the firm’s Chicago, IL; Palm Beach Gardens, FL; and St. Petersburg, FL offices.
2022 Best Lawyers®
Chicago, IL
- Brian C. Bassett – Insurance Law
Palm Beach Gardens, FL
- Rina Clemens – Personal Injury Litigation – Defendants
St. Petersburg, FL
- Scot E. Samis – Appellate Practice
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Traub Lieberman
Construction Managers, Are You Exposing Yourselves to Labor Law Liability?
February 22, 2021 —
Timothy P. Welch - Hurwitz & Fine, P.C.When dealing with construction site accidents, who a party is matters. Under Labor Law sections 200, 240(1) and 241(6) owners, contractors,
and their agents have a non-delegable duty to provide reasonable and adequate protection to workers from risks inherent at work sites, with a specific emphasis placed on elevation-related hazards. Given the near strict liability nature of Labor Law section 240(1), it is critical to identify whether a party is a proper Labor Law defendant from the get-go.
While identifying the owner (and usually the contractor) may be relatively straightforward, identifying “their agents” has proven to be a more complex undertaking. It should be noted that the requirements set forth in the Labor Law are non-delegable from the standpoint of the owner or contractor, however, the duties themselves can be assigned to “agents” of an owner or “agents” of a contractor. When such an assignment occurs, the same non-delegable duty held by the owner or contractor is imposed on the agents as well. Moreover, “once an entity becomes an agent under the Labor Law it cannot escape liability to an injured plaintiff by delegating the work to another entity.[1]”
An entity that often skirts the line between being an agent and not, is the Construction Manager. Traditionally, the Construction Manager has been found to be outside the purview of the Labor Law when its scope of work is narrowly focused on scheduling and general coordination of the construction process. However, when a Construction Manager’s scope expands, so does its risk that it may, in fact, become a proper Labor Law defendant.
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Timothy P. Welch, Hurwitz & Fine, P.C.Mr. Welch may be contacted at
tpw@hurwitzfine.com
Texas Allows Wide Scope for Certificate of Merit
January 07, 2025 —
Lian Skaf - The Subrogation StrategistThe purpose of certificate of merit (sometimes referred to as affidavit of merit) statutes is to identify frivolous claims before the court wastes time and resources during litigation. More common in medical malpractice cases, several states have enacted similar requirements for professional negligence claims dealing with construction-related issues. While a subrogation attorney should not be bringing a frivolous case to suit anyway, the requirement adds another step in the process that plaintiffs need to properly navigate.
Chapter 150 of the Texas Civil Practice and Remedies Code requires that in an action arising out of professional services by a licensed or registered professional, claimants must file an affidavit from a qualified expert attesting to the theories of recovery, the negligence and the factual basis for the claims. The expert must be competent, have the same professional license or registration as the defendant and practice in the area of practice of the defendant.
In Janis Smith Consulting, LLC v. Rosenberg, No. 03-23-00370-CV, 2024 Tex. App. LEXIS 7961, the Court of Appeals of Texas, Third District (Court of Appeals) addressed a challenge from the defendant as to the sufficiency of the plaintiff’s certificate of merit in an interlocutory appeal. The Court of Appeals affirmed the lower court’s dismissal of the defendant’s motion to dismiss based on the allegedly improper certificate of merit, holding that the plaintiff’s expert was sufficiently qualified to certify the legitimacy of the case.
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Lian Skaf, White and Williams LLPMr. Skaf may be contacted at
skafl@whiteandwilliams.com
Is There a Conflict of Interest When a CD Defense Attorney Becomes Coverage Counsel Post-Litigation?
September 01, 2011 —
Chad Johnson of Higgins, Hopkins, McLain & Roswell, LLCIn Weitz Co., LLC v. Ohio Cas. Ins. Co., the U.S. District Court for the District of Colorado was asked to rule on a motion to disqualify counsel in an insurance coverage action. 11-CV-00694-REB-BNB, 2011 WL 2535040 (D. Colo. June 27, 2011). Motions to disqualify counsel are viewed with suspicion, as courts “must guard against the possibility that disqualification is sought to ‘secure a tactical advantage in the proceedings.’” Id. at *2 (citing Religious Technology Center v. F.A.C.T. Net, Inc., 945 F. Supp. 1470, 1473 (D. Colo. 1996).
Weitz Company, LLC (“Weitz”) is a general contractor and defendant in an underlying construction defect suit which had concluded before the action bringing rise to this order. In the underlying action, Weitz made third-party claims against subcontractors, including NPW Contracting (“NPW”). Weitz was listed as an additional insured under NPW’s policies with both Ohio Casualty Insurance Company and Mountain States Mutual Casualty Company (collectively “the Carriers”). The Carriers accepted Weitz’s tender of defense under a reservation of rights. However, neither insurance carrier actually contributed to Weitz’s defense costs in the underlying action. At the conclusion of the construction defect action, the parties unsuccessfully attempted to apportion the attorney’s fees and costs. Eventually, Weitz brought suit against the recalcitrant carriers. The Lottner firm, which had previously represented Weitz in the underlying construction defect action, continued to represent Weitz in this coverage action.
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Reprinted courtesy of Higgins, Hopkins, McLain & Roswell, LLC. Mr. Johnson can be contacted at johnson@hhmrlaw.com
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