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In a matter of first impression, a California Court of Appeal upheld and enforced standard AIA contract language effectively shortening to four years the ten-year time limit for bringing claims for latent construction...more
A new case from Oregon deals with a recurring problem in construction defect litigation—the absence of clear dates in the complaint regarding when damage is alleged to have occurred. ...more
Increasing construction activity and the general improvement in the real estate market means that more owners and developers will be starting new construction projects, and it is important to review some of the obligations...more
Over the past fourteen years, third parties have been able to maintain a direct negligence cause of action against an individual design professional, such as an architect or engineer, arising out a construction project,...more
As many contractors and lawyers know, filing a proper mechanic’s lien in Virginia is quite difficult. Virginia law provides that a mechanic’s lien must strictly comply with all of the provisions of the code. Because the...more
You waited a long time to find the right building plans and property for your California dream home. It’s been less than a year since you moved in and now you find that your basement has a serious moisture problem. You’ve...more
There has been a lot of news lately on the costs of CEQA litigation, as well as the potential for the statute to be used as a tool to stop development, good or bad, or exact concessions or pay-offs. What is CEQA? CEQA, or...more
If you are renovating your existing property, it is important to understand your obligations under the Construction Lien Act. This legislation creates a “pyramid”, with the home-owner at the top. The renovator takes the next...more
It is common in the construction industry for residential owners to use consultants, including construction managers, to oversee and manage work performed by the direct contractor, subcontractors and material suppliers. The...more
For several years, the District of Columbia has been working toward regulations designed to prevent and eliminate lead hazards. It came one step closer on April 26, 2013, when the District's Department of the Environment...more
Historically, subcontractors and suppliers were compelled to sign onerous and overreaching lien waivers and releases in order to receive payment. In addition, many subcontracts contain lien waivers lurking in the boiler...more
Legislation signed into law this week will have meaningful impacts on contractors asserting liens against property owners for non-payment. On Tuesday, May 7, 2013, Georgia Governor Nathan Deal signed into law House Bill 434,...more
In two previous LEED tips, Part 1 and Part 2, we explored how taking steps that result in LEED certification may yield little if any improvement in energy efficiency. Another efficiency-neutral LEED concern is clean on-site...more
Two federal courts in Denver recently addressed a fundamental question that exists in almost every construction defect case - when did the property damage that gives rise to liability, and the insurer's obligation, occur? ...more
On April 1, 2013, the changes to North Carolina’s construction lien laws enacted in July 2012 became effective. For a general overview of the pertinent changes, please review the articles written by Brian Corbett and Tom...more
In Forrest Construction, Inc. v. The Cincinnati Insurance Co., No. 11-6262, 2013 U.S. App. LEXIS 722 (6th Cir.), the United States Court of Appeals for the Sixth Circuit held that an insurer breached its policy with an...more
Two recent cases highlight the pitfalls facing construction parties -- owners, contractors and subcontractors -- when they use fairly common contract clauses that address how they want disputes decided. In one case, the...more
The amount of a mechanic’s lien in California is generally the lesser of: 1) the reasonable value of the work; or 2) the price agreed upon in the lien claimant’s contract. But does the same measure apply if a lien defendant...more
Lenders in Illinois might want to take note of pending Illinois House Bill 2804. The bill would amend the Mechanics Lien Act, so as to allow “bonding off” of mechanic liens for the first time in Illinois. Nearly every state...more
In Appel v. Superior Court (No. B244590, 3/11/13), California’s Second District Court of Appeal held that the proper measure of a mechanic’s lien claim is the lesser of the reasonable value of the services and materials...more
I have previously discussed the ABCs of Lien Laws for those making claims on a project (that is, architects, engineers, contractors, subcontractors, and suppliers) and the 123s of Lien Laws for project owners. Now, time to...more
One of the most frustrating events for a residential homeowner, or a commercial property owner, is the day that they find construction defects on their property. From that time forward, the steps that are taken by the...more
A mechanic's lien is a very powerful tool for prime contractors, subcontractors, suppliers, and laborers to seek compensation for work provided on construction projects. This tool, however, becomes excessive, invalid, and...more
There are significant changes to North Carolina’s mechanics’ lien statute that take effect on Monday, April 1, 2013. These changes impose new duties on property owners regarding the designation of a private lien agent on...more
As I have discussed in the past, North Carolina’s General Assembly recently introduced the concept of Mechanic’s Lien Agent (MLA) into our state’s lien laws to address so-called “hidden liens” that have long been a thorn in...more
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