FAIRFIELD CONNECTICUT BUILDING EXPERT
DIRECTORY AND CAPABILITIES

Embracing Generative Risk Mitigation in Construction

February 12, 2024 — Georgia Stillwell - Construction Executive
Project delays have long plagued the construction industry, with risk often identified as the primary culprit. However, finding effective solutions to mitigate risk on complex projects has remained daunting. Traditional methods for simulating risk primarily focus on extending project timelines, overlooking the diverse range of opportunities available for risk mitigation. With the construction industry’s digital transformation, generative methodologies have emerged to handle complex decision-making in uncertain situations. This article aims to shed light on the limitations of existing risk modeling and introduce a novel approach known as generative risk mitigation to enhance decision-making under deep uncertainty. According to McKinsey, 98% of megaprojects experience cost overruns exceeding 30%. Project delays have become so pervasive that the industry has grown accustomed to them. For example, in 2022, the UK government issued ‘The Green Book,’ which requires contingency funds in projects, such as a 44% contingency budget for standard civil projects. This implies that for a $100 million project, you should allocate $144 million to manage expected risks. There is no denying significant academic literature on the root cause of these delays: it is ‘risk,’ and there is an entire industry based on it. Conversations with project directors and risk experts reveal the same issue, different project. And that issue is that we cannot easily forecast risk, qualify the impacts or fully understand the opportunities that exist to mitigate risks and make timely decisions. A method that will finally help us overcome this has emerged within the industry. Reprinted courtesy of Georgia Stillwell, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the court decision
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The Business of Engineering: An Interview with Matthew Loos

July 15, 2019 — Aarni Heiskanen - AEC Business
Matthew Loos is an experienced project manager in the civil engineering industry. He works as a project engineer at Jones|Carter in Fort Worth, Texas. In this interview, we discuss Matt’s new book, The Business of Engineering. It is not very common that an engineer writes a non-technical book. What inspired you to do so? Have you ever gotten an idea stuck in your head that you just couldn’t let go of? A time when you couldn’t go to sleep because the idea was consistently begging for your attention? That’s what happened to me. The idea for this book hits me right before bed, as most good ideas do. I couldn’t go to sleep after the idea struck me. I spent half of the night writing the chapters of this book in my mind. I had been thinking about the idea of engineering and how it relates to other career fields, even the non-technical ones. I was disenchanted with the trifling number of classes I took that prepared me for the business world. These were the initial thoughts that eventually led me down the road into thinking about engineering as a profession going forward. Read the court decision
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Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

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Alabama Court Determines No Coverage For Insured's Faulty Workmanship

June 28, 2013 — Tred Eyerly
The Alabama Supreme Court found there was no coverage for the insured cabinet maker for claims arising from alleged faulty workmanship. Shane Traylor Cabinetmaker, L.L.C. v. Am. Resources Ins. Co., Inc., 2013 Ala. LEXIS 42 (May 3, 2013). The insured was sued by a homeowner for property damage caused by faulty workmanship. The insurer refused to defend, contending there was no "occurrence." The trial court granted summary judgment to the insurer. Read the court decision
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Reprinted courtesy of Tred Eyerly
Tred Eyerly can be contacted at te@hawaiilawyer.com

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The Show Must Go On: Shuttered Venues Operators Grant Provides Lifeline for Live Music and Theater Venues

March 29, 2021 — David Rao - Snell & Wilmer Real Estate Litigation Blog
Although it’s been a tough twelve months for many live music venues, movie theaters, and performing arts organizations, help may finally be around the corner. On December 27, 2020, the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act was signed into law, creating a $15 billion fund for grants to shuttered venues to be administered by the Small Business Administration’s (“SBA”) Office of Disaster Assistance. The law states that Shuttered Venues Operator Grants (“SVOGs”) will be made available to the following entities and individuals:

1. Live venue operators or promoters;
2. Theatrical producers;
3. Live performing arts organization operators;
4. Relevant museum operators, zoos, and aquariums which meet specific criteria;
5. Movie theater operators;
6. Talent representatives; and
7. Each business entity owned by an eligible entity that also meets the eligibility requirements.

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Reprinted courtesy of David Rao, Snell & Wilmer
Mr. Rao may be contacted at drao@swlaw.com

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Around the State

March 27, 2019 — Richard Glucksman & Chelsea Zwart – Construction Claims Magazine
In late 2018, Governor Jerry Brown signed two potentially impactful Senate bills relating to the construction of apartment buildings. These bills, discussed further below, were introduced, in part, in response to the Berkeley balcony collapse in June 2015, which was determined by the California Contractors State License Board to have been caused by the failure of severely rotted structural support joists—the repairs of which were deferred by the property manager despite indications of water damage. In addition, 2018 saw the passage of California’s updated 2019 Building Energy Efficiency Standards. The new standards, which take effect in 2020, require, in part, the installation of solar systems on certain homes. The goal of the standards is to significantly decrease the energy usage in new homes while contributing to California’s greenhouse gas emissions reduction plans. Relatedly, new legislation, effective in 2019, aims to increase consumer protections for homeowners purchasing solar energy systems. Reprinted courtesy of Richard H. Glucksman, Chapman, Glucksman, Dean, Roeb & Barger and Chelsea Zwart, Chapman, Glucksman, Dean, Roeb & Barger Mr. Glucksman may be contacted at rglucksman@cgdrblaw.com Ms. Zwart may be contacted at czwart@cgdrblaw.com Read the court decision
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Third Circuit Court of Appeals Concludes “Soup to Nuts” Policy Does Not Include Faulty Workmanship Coverage

December 11, 2018 — Timothy Carroll - White and Williams LLP
Earlier this month, in Frederick Mutual Insurance Company v. Hall, the U.S. Court of Appeals for the Third Circuit concluded that coverage for faulty workmanship claims is “simply not the kind of coverage insurance agents and insurance companies expect to provide” to construction industry professionals “unless the insured explicitly requests such coverage.” 2018 U.S. App. LEXIS 31666, at *9 (3d Cir. Nov. 8, 2018). In Hall, a stone masonry contractor was sued by its customer for causing over $350,000 in property damage resulting from “substandard and defective work” performed on the customer’s residence. The insurer sought a declaration that it owed neither a defense nor indemnity for those damages because, under Pennsylvania law, the policy did not cover property damage caused by faulty workmanship. Read the court decision
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Reprinted courtesy of Timothy Carroll, White and Williams LLP
Mr. Carroll may be contacted at carrollt@whiteandwilliams.com

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Workarounds for Workers' Comp Immunity: How to Obtain Additional Insured Coverage when the Named Insured is Immune from Suit

May 25, 2020 — Bethany L. Barrese - Saxe Doernberger & Vita, P.C.
Construction is an inherently risky business, fraught with the potential for human error. Despite best efforts to ensure safety, accidents involving construction workers are common, with consequences ranging from your run-of-the-mill trip and fall to much more serious and debilitating injuries. A worker who is injured on the job generally receives workers’ compensation benefits through their employer. Most states have enacted statutes stating that this is the exclusive remedy available from the employer, effectively making employers immune against civil lawsuits that might otherwise be brought by their injured employees. However, workers’ compensation benefits do not always fully compensate the employee for their injuries. In the construction industry, this often leads to lawsuits against upstream parties, such as a general contractor or project owner. Read the court decision
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Reprinted courtesy of Bethany L. Barrese, Saxe Doernberger & Vita, P.C.
Ms. Barrese may be contacted at blb@sdvlaw.com

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Prejudice to Insurer After Late Notice of Hurricane Damage Raises Issue of Fact

January 03, 2022 — Tred R. Eyerly - Insurance Law Hawaii
The court denied the insurer's motion for summary judgment on admittedly late notice because prejudice to the insured remained an issue of fact. Guzman v. Scottsdale Ins. Co., 2021 U.S. Dist. LEXIS 219625 (S.D. Fla. Nov. 15, 2021). The insured first noticed water leaking into his kitchen from the roof during Hurricane Irma on September 10, 2017. Various attempts were made by the insured to fix the leak, but none were successful. After the hurricane, the roof continued to leak whenever it rained. Notice was finally given to Scottsdale, the insurer, on April 19, 2020. Scottsdale retained structural engineer Nazario Ramirez, who inspected the property twice. He also had photographs of the rapids. Ramirez denied being prejudiced during his inspections. Based on the pictures aerial photography and weather research, he determined that the damage was caused by underlayment failing, which could have resulted from age and deterioration or poor construction. When Scottsdale's corporate representative was deposed, he testified that Ramirez was able to determine the cause of the damage to the roof. Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Damon Key Leong Kupchak Hastert
Mr. Eyerly may be contacted at te@hawaiilawyer.com

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