Construction Civil Remedies

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Chapter 40 Reform Provides Relief for Nevada Homebuilding Industry

Nevada Gov. Brian Sandoval signed into law AB 125 (2015) ushering in critical reforms for Nevada’s construction defect laws. The law, which the Nevada Legislature passed this past Friday, Feb. 20, 2015, provides crucial...more

Is Your Liquidated Damages Provision Sufficient to Make You Whole?

The obvious purpose of a liquidated damages provision is to make your client whole in the event that your business partner breaches the agreement. Nevertheless, K.G.M. Custom Homes. v. Prosky highlights that simply having a...more

Beware of Citizen Suits for Storm Water Violations

In recent months several private organizations have sent letters to California businesses informing them that they are in violation of their storm water permits and threatening to sue them under the citizen suit provision of...more

Letters of the Law: 'D' is for Decennia

Sometimes the greatest risk lies in what a contract does not say. Construction contracts usually state a length of time during which the contractor is liable to return to the handed-over project to complete outstanding...more

School District Gets Expensive Lesson on Prompt Payment Law. But Did the Court Get it Right?

My kids don’t like riding in my car. I urge them to look outside the window (I don’t have DVD), suggest that they roll down their windows to get some fresh air (rather than have me turn on the A/C) and persist on...more

Mixing Concrete, Like Baking a Cake, is Fraught with Problems When the Recipe is Not Followed

“Mixing concrete, like baking a cake, is fraught with problems when the recipe is not followed.” – Justice Kenneth Yegan, State Ready Mix, Inc. v. Moffatt & Nichol, California Court of Appeal for the Second District, Case No....more

Homeowners Beware!! You May Not Recover For Subsequently Discovered Construction Claims After Signing Construction Claim Releases

Homeowner, David Belasco (“Belasco”) [1] bought a newly constructed Manhattan Beach residence in 2004 from the builder defendant Gary Loren Wells (“Wells”). In 2006, Belasco filed a complaint against Wells with the...more

Connecticut Supreme Court Determines that Commercial General Liability Insurers Have Right to Obtain Declaratory Ruling as to...

Many construction professionals in Connecticut, and in particular those who do business with the State, are well aware of the Connecticut Supreme Court’s decision in State v. Lombardo Bros. Mason Contractors, Inc., 307 Conn....more

Fourth District Reverses Lower Court Ruling in Construction Defect Litigation

On January 22, 2015, the Fourth District Court of Appeals issued for publication its decision in McMillin Companies LLC v. American Safety Indemnity Company, 4th Dist. Div. 1, D063586. The case is significant in...more

Letters of the Law: 'B' is for Breach

No project is truly complete before one party accuses the other of “breach of contract”. Often the initial accusation is an attempt to scare the other party into action, to compel it to perform to the word of the...more

Todd Construction v. United States: Navigating Performance Evaluation Claims in the Court of Federal Claims

A default termination can be a nightmare for a contractor that bids on federal projects, but a negative performance evaluation can prove just as troublesome for a contractor that finishes the job. The Federal Acquisition...more

Construction Alert: School District Flunks Public Contract Code Exam on Withholding Retention

On January 27, 2015, the Court of Appeal, Second Appellate District, affirmed, in part, a hefty trial judgment against the Rio School District for improperly withholding retention funds in the case of FTR International, Inc....more

January 2015 Independent Contractor Compliance and Misclassification Update

JANITORIAL FRANCHISE COMPANY SETTLES ITS APPEAL OF $4.8 MILLION JUDGMENT IN FAVOR OF MISCLASSIFIED CUSTODIANS. Coverall North America Inc. settled the independent contractor misclassification case filed against it by a class...more

Careful What You Wish For: Court Affirms Award of Attorney’s Fees Based Upon Arbitration Rules

Most lawyers are fully aware of the “American Rule” – a generally universal rule of law (in the United States anyway) which provides that, absent specific authority granted by statute or a contractual agreement, a litigant is...more

Appellate Court Reverses Jury Award To Golf Course Contractor

The Second District Court of Appeal recently reversed a jury verdict that awarded a contractor nearly $300,000 after determining that the amount had already been paid by another entity. The dispute in Tern Bay Community...more

Construction Law Alert: Concrete Supplier Botches Concrete Mix, Gets Thrashed By Court of Appeal for Trying to Blame Third Party

On January 8, 2015, the Second Appellate district affirmed judgment of the lower court in State Ready Mix Inc. v. Moffatt & Nichol, and barred a concrete supplier from blaming a third party consultant for the concrete...more

A New Year and a New Arizona Anti-Deficiency Statute

In 2014, the Arizona Legislature enacted significant changes to the anti-deficiency statutes, which protect certain residential borrowers from a deficiency judgment following foreclosure. These statutory changes, which apply...more

Transfer of Property Title to a Holding Company Did Not Divest Landowner of Owner-Occupant Status Under A.R.S. § 33-1002(B)

Recently, in Marco Crane & Rigging Co. v. Masaryk, 703 Ariz. Adv. Rep. 29 (Dec. 30, 2014), the Arizona Court of Appeals established that a subcontractor on a residential project has no lien rights against an owner-occupant,...more

Construction Case Law Update - January, 2015

FLORIDA STATE CASES - Slavin Doctrine; Design Contracts - Under the Slavin doctrine, a subcontractor design company was not liable despite negligently designing intersection traffic lights that resulted in a fatal car...more

New York State Court Dismisses Construction Manager’s Third Party Claims Against Subcontracting Geotechnical Engineer

In Board of Mgrs. of the A Bldg. Condo. v. 13th & 14th St. Realty, LLC, 2014 N.Y. Misc. LEXIS 5632; 2014 NY Slip Op 33353(U) (New York Cty. Sup. Ct. Dec. 18, 2014), Hudson Meridian Construction Group, LLC, s/h/a Hudson...more

The Demise of the Economic Loss Rule in Construction Defect Litigation

The Massachusetts Supreme Court recently held in Wyman v. Ayer Properties, LLC, that the “economic loss rule is not applicable to the damage caused to the common areas of a condominium building as a result of the builder’s...more

Virginia Public Contractors Beware: Fourth Circuit Upholds Cap on Contractor Recovery for Changed Work

Recently, in Carnell Constr. Corp. v. Danville Redevelopment & Housing Auth., the federal appellate court covering West Virginia, Virginia and the Carolinas upheld a trial court’s determination that a Virginia statute places...more

Construction And Engineering Briefing - December 2014: Holiday Pay - Counting The Cost This Christmas

It's that time of year again. The decorations are out, Christmas parties are in full swing and the construction industry is gearing up for its annual shut down period. With the holiday season fast approaching, employers will...more

Copyright in House Plans

A couple, the Ecklunds, approached Oakcraft Homes, a custom home-builder. Based on their discussions, Oakcraft prepared a house plan and gave a copy of the plan to the Ecklunds. The couple later took that plan to a rival home...more

The Construction Advantage – Issue 12

Welcome to the twelfth edition of The Construction Advantage! In this issue, we bring you issues of competitive bidding, more mechanics lien case law, and a Maine case of a dismissed appeal. We hope that you enjoy our...more

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