Cambridge Massachusetts Building Expert Directory

Court Dismisses Cross Claims Against Utility Based on Construction Anti-Indemnity Statute

August 14, 2018 — David R. Cook - Autry, Hall & Cook, LLP
When a plane crashed and several passengers and crew died or were injured, their representatives sued several defendants, including a nearby plant owner, Milliken & Company (“Plant Owner”), based on claims that transmission lines on Plant Owner’s property were too close to the runways, were too high, and encroached on the airport easements. Plant Owner cross claimed against utility owner, Georgia Power Company (“Utility”). Plant Owner’s claim was based on an easement it granted to Utility, which required Utility to indemnify it for any claims arising out of Utility’s construction or maintenance of the transmission lines. In defense, Utility argued that the easement’s indemnity provision violated Georgia’s construction anti-indemnity statute. Read the court decision
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Reprinted courtesy of David R. Cook, Autry, Hall & Cook, LLP
Mr. Cook may be contacted at cook@ahclaw.com

Ceiling Collapse Attributed to Construction Defect

May 19, 2011 — CDJ STAFF

WSMV, Nashville reports that the ceiling collapse in a Franklin, Tennessee Kohl’s was attributed to a construction defect by fire officials. The officials noted that the ceiling was renovated at the time. No injuries were reported.

The report notes that “inspectors were supposed to look at the renovations next week, but fire officials said that will have to be delayed until another time.”

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Miami's Condo Craze Burns Out on Strong Dollar

June 10, 2015 — Prashant Gopal and John Gittelsohn – Bloomberg
The sales office for condominiums at Miami’s Brickell City Centre attracted more than 100 visitors daily last year, with prospective buyers crowding in and snapping selfies beside a scale model of the $1 billion project. Now, the flow of people has trickled to about a quarter of what it once was. “Buyers are asking really good questions” instead of rushing into deals, said Stephen Owens, president of the U.S. unit of Hong Kong-based Swire Properties Ltd., the developer of the 9-acre (3.6-hectare) condo, hotel, office and shopping complex. “Two years ago, it was, ‘Where can I sign?’” Reprinted courtesy of Prashant Gopal, Bloomberg and John Gittelsohn, Bloomberg Read the court decision
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California Homeowners Can Release Future, Unknown Claims Against Builders

June 10, 2015 — Edward A. Jaeger, Jr. and William L. Doerler – White and Williams LLP
In Belasco v. Wells, 183 Cal. Rptr.3d 840, 234 Cal. App. 4th 409 (2015), the California Court of Appeals for the Second District addressed the question of whether a homeowner, when settling an administrative complaint against a licensed homebuilder, can release future, unknown claims. Despite the presence of a California statute, Cal. Civ. Code § 1542, stating that a general release does not extend to claims that the releasor does not know about, the court held that the homeowner’s express release of future claims was enforceable. Thus, the homeowner’s release - signed as part of a 2006 settlement of the homeowner’s construction defect claims against the defendant, a homebuilder - barred the homeowner’s 2012 claims against the builder based on latent defects in the roof of the home that the homeowner discovered in 2011. Background The plaintiff, David Belasco, a patent attorney, bought a newly-constructed home from the defendant-builder, Gary Wells, in 2004. Wells holds a Class B General Building Contractor license issued by the Contractors State License Board (the Board). In 2006, Belasco filed a complaint against Wells with the Board based on alleged construction defects in the home. As a result of Belasco’s complaint to the Board, the parties engaged in arbitration. At the arbitration, both parties were represented by counsel. Wells offered to settle the dispute for the sum of $25,000 and Belasco accepted Wells’ offer. Reprinted courtesy of Edward A. Jaeger, Jr., White and Williams LLP and William L. Doerler, White and Williams LLP Mr. Jaeger may be contacted at jaegere@whiteandwilliams.com; Mr. Doerler may be contacted at doerlerw@whiteandwilliams.com Read the court decision
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Architects Group Lowers U.S. Construction Forecast

July 30, 2014 — Nadja Brandt – Bloomberg
Spending on non-residential construction in the U.S. will be less than initially projected as state and local governments scale back investments in such properties as schools and health-care buildings, the American Institute of Architects said. Total spending on commercial and institutional development probably will increase 4.9 percent this year, down from an earlier estimate of 5.8 percent, according to a semi-annual survey by the Washington-based group. A slowdown in funding for institutional projects, which include education, health-care, religious and public-safety facilities, has been a drag on the recovery of the wider industry, according to Kermit Baker, the AIA’s chief economist. The group expects institutional-construction spending to fall 0.1 percent this year, compared with January’s projection for an increase of 3.4 percent, Baker said. Read the court decision
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Reprinted courtesy of Nadja Brandt, Bloomberg
Ms. Brandt may be contacted at nbrandt@bloomberg.net

Supreme Court Set to Alter Law on Key Project, Workforce Issues

December 02, 2019 — Mary B. Powers & Debra K. Rubin - Engineering News-Record
With its term now under way, the U.S. Supreme Court could change federal laws with industry impact—from where huge pipelines can be built and new regulation of pollution in groundwater to whether LGBTQ workers have anti-bias rights under the 1964 Civil Rights Act. Reprinted courtesy of Mary B. Powers, Engineering News-Record and Debra K. Rubin, Engineering News-Record Mr. Rubin may be contacted at rubind@enr.com Read the court decision
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The Prompt Payment Rollercoaster

February 23, 2016 — Garret Murai – California Construction Law Blog
This past year we wrote about a case involving California’s prompt payment laws and the current state of confusion with the prompt payment statutes which are scattered throughout the state Code and which are inconsistent in the use of their terminology and, thus importantly, application. In United Riggers & Erectors, Inc. v. Coast Iron & Steel Co., California Court of Appeals for the Second District, Case No. B258860 (December 18, 2015), the Court of Appeals for the Second District addressed whether under one of the prompt payment statutes, Civil Code section 8814, a general contractor may withhold retention without being subject to prompt payment penalties if there is a dispute of any kind between the general contractor and the subcontractor, or only when the dispute relates to the retention itself. Read the court decision
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Reprinted courtesy of Garret Murai, Wendel Rosen Black & Dean LLP
Mr. Murai may be contacted at gmurai@wendel.com

Performing Work with a Suspended CSLB License Costs Big: Subcontractor Faces $18,000,000 Disgorgement

September 17, 2015 — Steven M. Cvitanovic & David A. Harris – Haight Brown & Bonesteel LLP
In what could lead to a draconian result, the Court of Appeal for the First Appellate District held that a contractor who performs work without a valid license can be required to disgorge all payments received, even if the contractor perfectly performed its work. The case, Judicial Council of California v. Jacobs Facilities, Inc. (Ct. of Appeal, 1st App. Dis., Div. One, A140890, A141393), involved an $18,000,000 contract between Jacobs Facilities, Inc. (“Jacobs Facilities”) and the Judicial Council of California (“Judicial Council”). In April 2006, Jacobs Facilities, a wholly owned subsidiary of Jacobs Engineering Group, Inc. (“Jacobs Engineering”) entered into a three year contract with the Judicial Counsel to maintain 121 courthouses and other judicial branch buildings throughout Southern California (the “Contract”). Jacobs Facilities contracted to provide maintenance and oversight services, while retaining subcontractors to perform the actual maintenance and repair work. In December 2006, as part of a corporate reorganization, Jacobs Engineering started winding up Jacobs Facilities and transferred its employees to Jacobs Engineering and then subsequently to another wholly owned subsidiary called Jacobs Project Management Co. (“Jacobs Management”). The work that was performed by Jacobs Facilities was taken over by Jacobs Management. As part of the windup, Jacobs Facilities’ Contractor’s State License Board license was allowed to lapse and the license expired by operation of law in November 2008. Although Jacobs Management was now performing the work, it was not added as a party to the contract. Although it appears Judicial Council was aware of the corporate changes, it was not until November 2009 that the parties assigned the contract to Jacobs Management. Reprinted courtesy of Steven M. Cvitanovic, Haight Brown & Bonesteel LLP and David A. Harris, Haight Brown & Bonesteel LLP Mr. Cvitanovic may be contacted at scvitanovic@hbblaw.com Mr. Harris may be contacted at dharris@hbblaw.com Read the court decision
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