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General Business Construction

Read need-to-know updates, commentary, and analysis on General Business issues written by leading professionals.

Small Business Payment For Performance Act Unanimously Leaves Committee – Will SBC Construction Contractors Be Able To Reduce...

Currently pending in the House of Representatives is H.R. 2594, the “Small Business Payment for Performance Act of 2017” (the “Bill”). This Bill unanimously passed the House Committee on Small Business earlier today. While...more

Ninth Circuit Holds That Despite ‘Known Damage’ Exclusion Insurer Had Duty Under Oregon Law to Indemnify and Defend Contractor...

by Pepper Hamilton LLP on

Alkemade v. Quanta Indem. Co., 2017 U.S. App. LEXIS 6896 (9th Cir. Apr. 20, 2017) - In 1994, Adrianus and Rachelle Alkemade (the “Alkemades”) bought a house from Meltebeke Built Paradise Homes (“Meltebeke”). The home was...more

Do Minnesota Municipalities Have the Authority to Source Public Works Contracts Using the Construction Manager at Risk Delivery...

by Dorsey & Whitney LLP on

Recently, at least two experienced attorneys, one who represents contractors and the other who primarily represents public authorities, have published position papers opining whether Minnesota municipalities have the power...more

Amendment Adds Clarity to Florida's Construction Statutes of Limitations and Repose

by Rumberger Kirk & Caldwell on

On June 14, 2017, Florida’s Governor signed into law House Bill 377, which seeks to provide clarity to when Florida’s construction statutes of limitations and repose begin to run. The existing version of the statute, §...more

A reminder why certainty in contracts is so important

by Dentons on

In the recent New South Wales Court of Appeal decision Port Macquarie-Hasting Council v Diveva, the Court considered the contractual interpretation of a renewal clause. The clause was phrased in general terms and did not...more

A strict enforcement of time bar provisions

by White & Case LLP on

Time bar provisions are a relatively common feature of construction contracts, but often arouse concern because they are seen to be "harsh". A recent case from Northern Ireland confirms that notwithstanding any "harsh"...more

A License to Sue: Appellate Court Upholds Condition of Statute that a Contracting Party Must Hold a Valid Contractor’s License to...

California Business & Professions Code section 7031(a) requires a party to have contractor’s license in order to maintain an action for compensation for services performed for which a contractor’s license is needed. In...more

Projects Disputes in Australia: Recent Cases

by Jones Day on

Since late last year, there have been several major decisions from Australia's highest courts on important issues for stakeholders in the construction, mining and infrastructure industries. Below, we provide a summary. Some...more

Owners Beware: Washington Appellate Court Holds Playing ‘Gotcha’ With Project Submittal Review Could Breach the Duty of Good Faith...

by Pepper Hamilton LLP on

Nova Contr., Inc. v. City of Olympia, No. 48644-0-II, 2017 Wash. App. LEXIS 913 (Ct. App. Apr. 18, 2017) - This case arose out of a public project in which the City of Olympia (“City”) hired Nova Contracting, Inc. (“Nova”)...more

Developer bonds and defect inspection regime postponed again

by Dentons on

The NSW Government has again postponed the commencement of the new developer bond and defect inspection regime under Part 11 of the Strata Schemes Management Act 2015 (Act). The regime was proclaimed to commence on 1 July...more

Construction Advisory: Colorado Supreme Court Affirms Developer’s Right to Consent to Removal of Mandatory Arbitration Provision...

by Sherman & Howard L.L.C. on

On June 5, 2017, the Colorado Supreme Court gave developers and contractors another reason to consider jumping back into the condominium construction market. By upholding the Colorado Court of Appeals decision in the Vallagio...more

When completion is not quite complete - Thabula Trade & Invest 3 (Pty) Ltd v. Ruwacon (Pty) Ltd and Others

by Dentons on

The High Court of South Africa considered a dispute on the interpretation of retention clauses in two subcontracts. The court provided much needed guidance on the approach to be taken where subcontracts do not contain time...more

Access to Site Denied

by Dentons on

Can a contractor rely on a mandament van spolie to regain access to the site? Simply put, yes, but under careful advice. The mandament van spolie is a common-law remedy manifested by the deprivation of a right to...more

Interpreting clause 10.1 of the NEC to escape a time bar clause

by Dentons on

Relying on the role of “mutual trust”, “co-operation” and “good faith” to permit fair and equitable judgments is dangerous. It leads to uncertainty and opens the floodgates to pointless litigation....more

Vallagio Ruling Favorable for Condominium and Planned Community Developers

On June 5, 2017, the Colorado Supreme Court issued its eagerly anticipated ruling in Vallagio at Inverness Residential Condominium Association, Inc. v. Metropolitan Homes, Inc., et.al. (217 CO 69) (“Vallagio”). In its 5-2...more

New Requirements Under MCIOA: Preventative Maintenance Plans and Construction Defect Claims

by Hellmuth & Johnson PLLC on

Important changes to Minnesota law were recently made that will affect real estate developers, builders, associations and unit owners. Minnesota Statutes Chapter 515B, the Minnesota Common Interest Ownership Act (“MCIOA”),...more

Courts Misunderstand the Meaning of “That Particular Part”

This is part one of a two-part series looking at how court decisions in recent years have thwarted general contractors’ reasonable expectation of coverage under their general liability policies....more

CAR Insurance: Insuring the Works vs Insuring the Owner's Property

by White & Case LLP on

For the purposes of insuring construction and engineering projects, there is a critical and sometimes overlooked distinction between insuring the works carried out under the contract, and insuring the underlying property of...more

Qatar crisis highlights question of force majeure

by Dentons on

Imports of construction materials needed for the State of Qatar to deliver its World Cup and Vision 2030 infrastructure schemes are being severely impacted by the recent closing of borders by key neighbours Saudi Arabia and...more

Under Construction - June 2017

by Snell & Wilmer on

Welcome to the summer 2017 edition of our Under Construction newsletter. In this issue, to accompany the summer heat, we highlight several hot topic items affecting the construction industry, such as the recent revisions to...more

Indemnitor Owes Indemnity Even Where Indemnitee is Actively Negligent, California Court Holds

Indemnity provisions are one of the most fought over provisions in design and construction contracts. But while parties generally understand the intent behind indemnity provisions — that one party (the “indemnitor”) agrees to...more

Three Things to Consider Before Terminating Your Construction Contract

by Faegre Baker Daniels on

The design and construction process is extraordinarily complex, and it rarely proceeds as planned and almost never conforms strictly to the contract documents. These documents often include hundreds of pages of general and...more

Absolute Pollution Exclusion—Not So Absolute

by Perkins Coie on

Slapping insurers with breach of contract and bad faith, Washington state’s highest court recently found that a general liability policy’s so-called “absolute” pollution exclusion may not be so absolute. In Xia et al. v....more

Top Five Strategies for Managing Construction Risks

Construction is a risky business. During construction, claims for personal injury, property damage and economic losses are foreseeable and must be managed. After completion of construction, warranty claims and claims for...more

Top Ten International Anti-Corruption Developments for April 2017

by Morrison & Foerster LLP on

In order to provide an overview for busy in-house counsel and compliance professionals, we summarize below some of the most important international anti-corruption developments from the past month, with links to primary...more

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