2022 California Construction Law Update
December 27, 2021 —
Garret Murai - California Construction Law BlogIt’s been a trying year as we approach the end of 2021. From the pandemic approaching nearly two years to concerns regarding climate change to the impact of inflation on everything from the cost of groceries to housing affordability.
During the first half of the 2021-2022 legislative session, a total of 2,421 bills were introduced in 2021 of which 836 made it to the Governor’s desk and 770 were signed into law. This is up from the 2,223 bills introduced in 2020 of which 428 bills made it to the Governor’s desk and 372 were signed into law, due in large part, to the fact that legislators were not required to shelter-in-place as they were in 2020.
Not surprisingly, for the construction industry, many of the bills were focused on the hot topics of the year including housing affordability and climate change. However, there were also the typical changes to project delivery methods and a few changes to the Licensing Law.
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Garret Murai, Nomos LLPMr. Murai may be contacted at
gmurai@nomosllp.com
Decades of WCC Seminar at the Disneyland Resort
May 03, 2018 —
Beverley BevenFlorez-CDJ STAFFOne of the many perks of attending the West Coast Casualty Construction Defect Seminar each year is its location at the Disneyland Hotel. What better excuse to take an afternoon or day or two to visit the happiest place on Earth? Prior to 2001, attendees only had the Disneyland Park to explore. But the beginning of 2001 brought the addition of the California Adventure Theme Park and Downtown Disney. Now when you want a break you can take a stroll through Downtown Disney and shop, eat, or watch some street performers. While California Adventure still has plenty for children to do, it also caters to the twenty-one-and-over-but-still-child-at heart with wine tasting and craft beers available at the park. Disneyland remains a fixture for nostalgia with the Sleeping Beauty Castle, but has updated itself with its addition of Star Wars and Marvel attractions.
West Coast Casualty has special Disneyland ticket rates for attendees. Please see their
invitation for more details.
If you’re interested in one of Disneyland Resort’s sit-down restaurants, a reservation is highly desirable. You may
make your reservation online or call Disney Dining at (714) 781-DINE. Staying at the Disneyland Resort? Disney provides their hotel guests with preferred access reservations (call Disney Dining for more information). If you’re looking for a fine dining experience, you’ll enjoy Carthay Circle Restaurant at California Adventure, Catal Restaurant at Downtown Disney, Napa Rose at the Grand Californian Hotel, or Steakhouse 55 at the Disneyland Hotel. If you’re a sports fan, check out ESPN Zone in Downtown Disney. For a one-of-a-kind Disney experience, have lunch or dinner at the Blue Bayou at Disneyland, where the dining room is located within the Pirates of the Caribbean ride.
You may also want to check Disneyland Resort’s
Entertainment schedule. For a live musical show (included in the cost of admission to California Adventure Park), check out Frozen – Live at the Hyperion. For an illuminating experience, you’ll want to stay for the Paint the Night Parade at the California Adventure Park, which features one million brilliant lights and many of your favorite Disney characters. If you’re a Pixar lover, you won’t want to miss Disneyland Park’s Together Forever – A Pixar Nighttime Spectacular. It’s a fireworks display like only Disney can create, including dazzling projections, pyrotechnics and music from the movies.
If you wish to skip the crowds and just relax, then
the Madara Spa at Disney’s Grand Californian Hotel may be your choice. The Madara Spa theme is “the mystery of the East meeting the science of the West with boundaries ceasing to exist.”
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Insurer Must Defend Construction Defect Claims
October 07, 2016 —
Tred R. Eyerly – Insurance Law HawaiiThe federal district court found that under New York law, the insurer had a duty to defend construction defect claims where damage to property other than the insured's work product was possible. Am.Home Assur. Co. v. Allan Window Techs., 2016 U.S. Dist. LEXIS 101118 (S.D. N. Y. Aug 2, 2016).
Kent Avenue Property ("Kent") sued Allan Window Technologies, Ltd. ("Allan"), alleging that Allan entered a written contract for the design, manufacture, assembly and installation of the window wall systems for a residential condominium building. Pursuant to the contract, Allan agreed to correct all work rejected as defective and to bear all costs for correcting the work. According to the complaint, the window wall systems and vent windows installed by Allan were not water-tight or air-tight, and therefore did not meet the air and water penetration requirements of the contract.The contract had an indemnification provision under which Allan agreed to indemnify, defend and hold harmless Kent from all losses, claims, lawsuits, etc. arising out of damage or injury to property at the project site. Kent sued for: (1) breach of contract; (2) breach of warranty, and (3) contractual indemnity.
American Home agreed to defend Allan under a full reservation of rights. American Home then sued for a declaratory judgment to establish it had no duty to defend or indemnify.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
Jersey Shore Town Trying Not to Lose the Man vs. Nature Fight on its Eroded Beaches
February 26, 2024 —
Associated Press - BloombergNORTH WILDWOOD, N.J. (AP) — A New Jersey shore town locked in a legal battle with the state over tens of millions of dollars it has spent trying -- mostly in vain -- to hold back the ocean now is more vulnerable than ever.
A recent winter storm destroyed part of the sand dunes in North Wildwood, leaving tiny piles about the size of a child’s sand castle to protect a popular resort town with $2.5 billion worth of private property, and at least that much in government buildings and infrastructure.
New Jersey has
fined the town $12 million for unauthorized beach repairs that it says could worsen erosion, while
the city is suing to recoup the $30 million it has spent trucking sand to the site for over a decade.
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Bloomberg
Contractors Struggle with Cash & Difficult Payment Terms, Could Benefit From Legal Advice, According to New Survey
December 30, 2019 —
Christopher G. Hill - Construction Law MusingsGuest Post Friday is back with a post from my pal Scott Wolfe. Scott is the founder and CEO of Levelset, which is used by thousands of contractors to make payments fast and easy. Scott, previously a construction attorney himself, founded Levelset to even the $1 trillion construction playing field, and is on a mission to make payments less stressful for contractors and suppliers across the globe.
Getting paid in construction is slow, hard, and stressful, according to a survey conducted by Levelset & TSheets by Quickbooks that polled over 500 construction professionals. Half of the contractors surveyed complained that they did not get paid on time, which caused serious cash flow issues that negatively impacted their customer relationships and frequently forced them to dip into personal savings and lines of credit to keep their business afloat.
View the 2019 Construction Payment Report here.
Unfortunately, since the construction industry’s slow payment problems are well-documented, this sad reality isn’t too surprising. The findings, though, do demonstrate a massive cash crunch for the 1.5 million+ contractors in the United States, and underscores the importance of having legal help and counsel from a construction lawyer before, during, and after jobs.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Are Proprietary Specifications Illegal?
April 11, 2018 —
Wally Zimolong – Supplemental Conditions A friend came to me with a question regarding a case he was working: “can a public owner require that bidders use a specific brand name product?” “Of course not,” I said “proprietary specifications are illegal.” Or, at least that’s what I assumed. To my surprise, the law in the Commonwealth of Pennsylvania is not as clear as it is in other jurisdictions.
What is a proprietary specification?
A proprietary specification lists a product by brand name, make, model and/model that a contractor must (shall) utilize in construction. A basic example of a proprietary specification would state:
“Air Handlers shall be “Turbo Max” as manufactured by Chiller Corp.”
There are two problems with a proprietary specification (other than potentially being illegal): (a) they limit competition, and (b) invite steered contract awards. They limit competition because it limits the type of material that can be used on the project. In the example above, there could be equivalent air handlers available at a better price but the contractor could not use that lower priced product in its bid. Thus, the taxpayers end up paying more for tile. Also, contractors may not be able to secure a certain brand name product because of exclusive distribution agreements. Again, using the example above, contractor A’s competitor may have the exclusive distribution agreement with Chiller Corp.
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Wally Zimolong, Zimolong LLCMr. Zimolong may be contacted at
wally@zimolonglaw.com
2016 Updates to CEB’s Mechanics Liens and Retail Leasing Practice Books Now Available
November 10, 2016 —
Garret Murai – California Construction Law BlogFor a number of years we have been honored to be asked by California’s Continuing Education of the Bar (“CEB”) to serve as update authors for several of their well-regarded construction and real estate practice books. Updates to two of those books were published in October and November:
- The 2016 Update to the CEB’s California Mechanics Liens and Related Construction Remedies was published in October. Covering both private and public works, the practice guide details the statutory payment remedies for unpaid work, including, mechanics liens, stop payment notices and construction bonds. Wendel Rosen served as update author for Chapters 2 and 3 which covers private works projects.
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Mr. Murai may be contacted at gmurai@wendel.com
Build Me A Building As Fast As You Can
March 15, 2021 — Jodi Stein & Jennifer Dickson - Sheppard Mullin Construction & Infrastructure Law Blog
Not your average game of patty-cake! Earlier this week, New York’s First Department, Appellate Division issued its decision related to 200 Amsterdam,[1] overturning the lower court’s decision which would have required 200 Amsterdam to remove several floors of its building in order to comply with zoning. The lower court determined that the NYC Zoning Resolution did not permit a developer to utilize a portion of a tax lot to merge with a neighboring zoning lot.
Known as the “gerrymandered zoning lot,” the developer of 200 Amsterdam included portions of neighboring tax lots in its zoning lot in order to transfer air rights from those portions of tax lots to be utilized in 200 Amsterdam’s 55-story development. The inclusion of partial tax lots in a zoning lot is not expressly discussed in the NYC Zoning Resolution, but was permitted by a 1978 Department of Buildings memo. While challenges to 200 Amsterdam started in 2017, the developer moved forward with the construction of its development under lawfully issued building permits.
Reprinted courtesy of Jodi Stein, Sheppard Mullin and Jennifer Dickson, Sheppard Mullin
Ms. Stein may be contacted at jstein@sheppardmullin.com
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