Trump, Infrastructure and the Construction Industry
March 01, 2017 —
Garret Murai – California Construction Law BlogIt’s been a whirlwind since Donald Trump became President. Some might even say a tornado.
Many believed (including myself) that he couldn’t win. I was wrong. Some also believed (again, including myself) that he wouldn’t make good on his campaign promises. So far, he has.
While I usually don’t like being wrong, if there’s one thing I couldn’t be happier being wrong about, it’s President Trump’s promises to rebuild the nation’s infrastructure.
So, what can the construction industry expect under our first developer-turned-POTUS, Donald Trump, who is arguably the most exciting President for the construction industry since FDR?
Where We Are Today
The American Society of Engineers, in its oft-cited infrastructure “Report Card,” gave nation’s infrastructure an overall grade of D+, with an estimated investment infusion of $3.6 trillion needed by 2020 just to keep the nation’s infrastructure in “good” (note, not “great”) repair.
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Garret Murai, Wendel Rosen Black & Dean LLPMr. Murai may be contacted at
gmurai@wendel.com
California Supreme Court Holds “Notice-Prejudice” Rule is “Fundamental Public Policy” of California, May Override Choice of Law Provisions in Policies
November 12, 2019 —
Anthony L. Miscioscia & Timothy A. Carroll - White and Williams LLPOn August 29, 2019, in Pitzer College v. Indian Harbor Insurance Company, 2019 Cal. LEXIS 6240, the California Supreme Court held that, in the insurance context, the common law “notice-prejudice” rule is a “fundamental public policy” of the State of California for purposes of choice of law analysis. Thus, even though the policy in Pitzer had a choice of law provision requiring application of New York law – which does not require an insurer to prove prejudice for late notice of claims under policies delivered outside of New York – that provision can be overridden by California’s public policy of requiring insurers to prove prejudice after late notice of a claim. The Supreme Court in Pitzer also held that the notice-prejudice rule “generally applies to consent provisions in the context of first party liability policy coverage,” but not to consent provisions in the third-party liability policy context.
The Pitzer case arose from a discovery of polluted soil at Pitzer College during a dormitory construction project. Facing pressure to finish the project by the start of the next school term, Pitzer officials took steps to remediate the polluted soil at a cost of $2 million. When Pitzer notified its insurer of the remediation, and made a claim for the attendant costs, the insurer “denied coverage based on Pitzer’s failure to give notice as soon as practicable and its failure to obtain [the insurer’s] consent before commencing the remediation process.” The Supreme Court observed that Pitzer did not inform its insurer of the remediation until “three months after it completed remediation and six months after it discovered the darkened soils.” In response to the denial of coverage, Pitzer sued the insurer in California state court, the insurer removed the action to federal court and the insurer moved for summary judgment “claiming that it had no obligation to indemnify Pitzer for remediation costs because Pitzer had violated the Policy’s notice and consent provisions.”
Reprinted courtesy of
Timothy Carroll, White and Williams and
Anthony Miscioscia, White and Williams
Mr. Carroll may be contacted at carrollt@whiteandwilliams.com
Mr. Miscioscia may be contacted at misciosciaa@whiteandwilliams.com
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White and Williams Selected in the 2024 Best Law Firms ranked by Best Lawyers®
December 04, 2023 —
White and Williams LLPWhite and Williams LLP is proud to be selected in the 2024 Best Law Firms ranked by Best Lawyers®.
The firm was recognized in the National Rankings in four practice areas including both Bankruptcy and Creditor Debtor Rights/Insolvency and Reorganization Law and Insurance Law (Tier 1). In addition, the firm’s office locations in Philadelphia, New York City, Boston, Baltimore, Delaware and New Jersey were recognized for 30 practice areas in the Metropolitan rankings.
Achieving a tiered ranking in Best Law Firms signals a unique combination of quality law practice and breadth of legal expertise. The Best Law Firms research methodology includes the collection of client and lawyer evaluations, peer review from leading attorneys in their field and review of additional information provided by law firms as part of the formal submission process.
The 2024 Best Law Firms rankings can be accessed at www.bestlawfirms.com.
2024 Best Law Firms
National Tier 1
- Bankruptcy and Creditor Debtor Rights / Insolvency and Reorganization Law
- Insurance Law
National Tier 3
- Construction Law
- Litigation – Construction
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White and Williams LLP
Paycheck Protection Flexibility Act Of 2020: What You Need to Know
July 20, 2020 —
Amy R. Patton & Rana Ayazi - Payne & FearsOn June 5, 2020, President Trump signed into legislation the bipartisan bill titled the Paycheck Protection Program Flexibility Act of 2020 (PPPFA). The PPPFA modifies the Paycheck Protection Program, which was first introduced under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). The modifications provide borrowers more control over the use of funds and make it easier to obtain forgiveness. The following is a summary of the key changes.
1. Extended Maturity Date From 2 Years to 5 Years
Under the CARES Act, the minimum maturity date for loan amounts after the forgiveness period was not defined. The Small Business Administration (SBA) then released an Interim Final Rule clarifying that the minimum maturity date was two years. The PPPFA has extended the term to five years: “The covered loan shall have a minimum maturity of 5 years and a maximum maturity of 10 years from the date on which the borrower applies for loan forgiveness under that section.”
2. Extension of Covered Period From Eight Weeks to a Maximum of 24 Weeks
Under the CARES Act, the covered period of the loan (i.e., the time period in which you may spend the loan funds) was February 15, 2020 to June 30, 2020, an eight-week period. The PPPFA extended the covered period to 24 weeks from the origination date of the loan, or December 31, 2020, whichever is earlier.
Reprinted courtesy of
Amy R. Patton, Payne & Fears and
Rana Ayazi, Payne & Fears
Ms. Patton may be contacted at arp@paynefears.com
Ms. Ayazi may be contacted at ra@paynefears.com
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Construction Law Alert: Appellate Court Lets Broad General Release Stand in SB 800 Case
February 26, 2015 —
Steven M. Cvitanovic and Colin T. Murphy – Haight Brown & Bonesteel LLPUnder California's SB 800 "Right to Repair Act," a builder may obtain a "reasonable release" to resolve a construction defect claim in exchange for a cash payment. So, what's a "reasonable release" under SB 800? This question was answered by the Second Appellate District in the case of Belasco v. Wells (filed 2/17/2015, No. B254525).
Plaintiff David Belasco ("Plaintiff") purchased a newly constructed residence in 2004 from the builder defendant Gary Loren Wells ("Wells"). In 2006, Plaintiff filed a complaint against Wells with the Contractors' State License Board (the "Board") regarding certain alleged construction defects. The parties settled the 2006 action through written agreement that required Wells to pay Plaintiff $25,000 in consideration for Plaintiff executing a release and a Civil Code §1524 waiver of all known or unknown claims. In 2012, Plaintiff filed a subsequent action against Wells and Wells’ surety, American Contractors Indemnity Company ("American Contractors") (collectively "Defendants"), alleging a defect in the roof that was discovered by Plaintiff in 2011.
Reprinted courtesy of
Steven M. Cvitanovic, Haight Brown & Bonesteel LLP and
Colin T. Murphy, Haight Brown & Bonesteel LLP
Mr. Cvitanovic may be contacted at scvitanovic@hbblaw.com
Mr. Murphy may be contacted at cmurphy@hbblaw.com
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Traub Lieberman Partner Jonathan Harwood Obtains Summary Judgment Determining Insurer Has No Duty to Defend or Indemnify
February 27, 2023 —
Jonathan R. Harwood - Traub LiebermanTraub Lieberman Partner Jonathan Harwood obtained summary judgment in favor of the Plaintiff determining that it had no duty to defend or indemnify an insured in a personal injury action, in a case brought in the Eastern District of New York.
The Plaintiff, an insurance provider (“the Insurer”), issued a General Commercial Policy (the “Policy”) to the Defendant, a commercial property owner (the “Property Owner”). In the underlying action, a former employee (the “Employee”) of a concrete vendor sued the Property Owner, and others, in New York Supreme Court, Queens County, for an injury that occurred on the street in front of the Property Owner’s premises during the course of repairs of sewer pipes that serviced the Property Owner’s premises.
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Jonathan R. Harwood, Traub LiebermanMr. Harwood may be contacted at
jharwood@tlsslaw.com
Mortgage Bonds Stare Down End of Fed Easing as Gains Persist
October 29, 2014 —
Jody Shenn – BloombergThe end of the Federal Reserve’s third round of bond purchases is proving to be a non-event for mortgage-backed debt.
That’s partly because even though the U.S. central bank won’t be adding more home-loan securities to its balance sheet, policy makers will still be buying enough to prevent its holdings from shrinking. Those purchases are having a greater impact as the pace of net issuance slows to a quarter of the amount last year amid a weaker property market.
The $5.4 trillion market for government-backed mortgage bonds is defying predictions for a slump tied to the wind-down of the Fed stimulus program, whose completion economists predict will be announced today. Yields on benchmark Fannie Mae (FNMA) notes have shrunk 0.14 percentage point this year relative to government debt, narrowing to within 1.09 percentage points of an average of five- and 10-year Treasury rates.
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Jody Shenn, BloombergMs. Shenn may be contacted at
jshenn@bloomberg.net
‘Like a War Zone’: Malibu Fire Ravages Multimillion-Dollar Homes
December 04, 2018 —
John Gittelsohn, Anousha Sakoui, & Christopher Palmeri - BloombergMalibu resident Lance Schultz was jolted awake at 2 a.m. Friday with word that he needed to evacuate. With a roaring fire approaching the coastal community, he gathered his girlfriend, dog and 8-month-old son and headed to nearby Zuma Beach.
He returned Sunday to survey the damage. His home was saved after his girlfriend’s 82-year-old father returned to hose down the property he had built years before. But Schultz estimates about one-fifth of the houses in the neighborhood are gone, including a mansion down the block that was on sale for $16 million. Much of the rest of the area is covered in black soot.
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John Gittelsohn, Anousha Sakoui, & Christopher Palmeri, Bloomberg