Construction General Business

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How To Track Increased Construction Costs For Proving Claims

I previously blogged about the importance of using daily reports to prove construction claims. In addition to daily reports, the following records should be prepared and maintained in the normal course of business to...more

Building a future: addressing the Brexit challenge

"Brexit means Brexit" according to Theresa May. But although the Government has now indicated that it is committed to Brexit and achieving the best possible outcome for the UK, no-one knows what form this will take or how...more

New Jersey Supreme Court Affirms General Contractor’s Insurance Coverage for Consequential Damages Caused by a Subcontractor’s...

In an important recent decision, New Jersey joined a growing number of states holding that Insurance Services Office’s (ISO) 1986 comprehensive general liability (CGL) policy extends coverage to a property developer faced...more

Smith v. D.R. Horton, Inc.: The End of Arbitration for Residential Developers and Builders in South Carolina?

Mark Twain famously wrote that the reports of his death were exaggerated. Following the South Carolina Supreme Court’s decision in Smith v. D.R. Horton, Inc. last month, you may have heard arbitration is dead for South...more

Missouri Western District Court of Appeals Reminds Us to Pay No Attention to the Headings for the Revised Statutes

The Missouri Western District Court of Appeals recently affirmed a trial court’s issuance of summary judgment and, in the process, reminded practitioners that the bold faced headings in the Revised Statutes are not part of...more

Eastern District of Pennsylvania Distinguishes Bilt-Rite in Dispute Involving Information Provided to Designers by Remedial...

Elliott-Lewis Corp. v. Skanksa USA Bldg., Inc., 2016 U.S. Dist. LEXIS 59406 (E.D.Pa. May 4, 2016) - The Federal District Court for the Eastern District of Pennsylvania held that the narrow exception to the economic loss...more

Is it the End of Lease-Leasebacks as We Know it?

TEOTWAWKI. The end of the world as we know it. For K-12 school construction contractors it could well be. Although their acronym would likely be TEOLLAWKI. The end of lease-leasebacks as we know it....more

Tenth Circuit Holds that the False Claims Act’s Materiality Requirement Has Teeth in Granting Summary Judgment to Government...

On April 22, 2016, in a decision issued before the Supreme Court’s Escobar opinion, the Tenth Circuit addressed the question of what a relator must show to meet the materiality requirement in an implied false...more

Promissory Estoppel and Public Works Bid Disputes in California. Sooo You’re Telling Me There’s a Chance!

Sometimes we hear what we want to hear (or just ignore what the other person is saying). Sometimes this can lead to broken hearts. And, at other times . . . to empty pocketbooks . . ....more

New Jersey Supreme Court Holds CGL Policies Cover Developer/General Contractor for Damage Caused by Subcontractor’s Faulty...

The New Jersey Supreme Court recently considered whether damage caused by a subcontractor’s faulty workmanship constitutes property damage caused by an occurrence under a developer/general contractor’s commercial general...more

Separation Panes: Emerging Litigation Over Window Sealant

Relatively few people in the commercial construction industry are kept up at night by polyisobutylene (PIB) — the synthetic rubber sealant commonly used to provide a long term and durable moisture barrier for insulated glass...more

Court of Appeals of Michigan Holds Contractor Cannot Recover Eichleay Damages from Supplier Absent Contractual Right and Proof...

ITT Water & Wastewater USA, Inc. v. L. D’Agostini & Sons, Inc., 2016 Mich. App. LEXIS 579 (March 17, 2016) - This action arises out of a contract dispute between plaintiff, ITT Water & Wastewater USA, Inc. (“ITT”), and...more

Penalties for OSHA Non-Compliance Just Got Stiffer

On November 2, 2015, President Obama signed into law the Federal Civil Penalties Inflation Adjustment Improvements Act of 2015. The Act requires numerous federal enforcement agencies, including OSHA, to substantially...more

Are Your Services at Risk of Being Subject to North Carolina's New Sales and Use Tax?

The North Carolina General Assembly recently enacted a significant change to the state's sales and use tax that may require you to collect and remit additional tax if you are a service provider. Effective March 1, 2016, the...more

Broad “Assumption of Liability” Clause in Subcontract Likely Trumps “Waiver of Subrogation” Clause in Prime Contract

In a recent case handled by Bradley, a federal court in Maryland issued a decision attempting to reconcile inconsistent contract provisions. The general contractor said that its fire sprinkler subcontractor was...more

Looking Forward: A workman’s view of the construction business and the practice of construction law

A few weeks back my colleague, mentor and friend Greg Faulkner wrote a post here that looked back on his 25 years as a construction lawyer.  It was a very thoughtful piece and frankly I think it was one of the best legal blog...more

Can You Change the Scope of Work? Not in a bidding situation! (reader comment)

Setting the Right Expectations for Owner Clients is a must, as I recently wrote in my post discussing Scope of Work clauses. According to construction consultant Tony Frisby,* scope of work issues are more important than...more

“Rip and Tear” Damage Remains Covered Under CGL Policy as “Accident”—for Now.

The Colorado Supreme Court has approved a settlement between the parties to an appeal of the 2012 Colorado Pool Systems v. Scottsdale Insurance Company Court of Appeals case, leaving that ruling intact. The ruling parses a...more

Tennessee Federal District Court Holds That Contractor May Pursue Both Breach of Contract Action in Federal Court and Lien...

Summit Contracting Grp., Inc. v. Ashland Heights, LP, 2016 U.S. Dist. LEXIS 60662 (M.D. Tenn. May 6, 2016) - Ashland Heights, LP (“Owner”) contracted with Summit Contracting Group, Inc. (“Contractor”) to construct an...more

Discretion in Procurement: The GAO Finds for the Government

The Government Accountability Office (“GAO”) issued a decision that could be used by government agencies to support “all encompassing” RFPs, or RFPs that require one bidder to provide several products and services even if, in...more

Real Estate Market Intelligence: Multifamily Development Quarterly Report - Q2 2016

Key Findings - The multifamily asset sector saw nearly $35.4 billion of investment sales activity for the first-quarter of 2016. This figure represents an 8.6% increase compared to the first-quarter of 2015 and...more

Contractor’s Failure to “Strictly Comply” With Notice Provision Precludes Contract Damages Award

In the New York case of Schindler Elevator Corporation v. Tully Construction Co., Inc., 139 A.D.3d 930 (2d Dep’t 2016), the plaintiff sought recovery of additional expenses and costs it allegedly incurred as a result of...more

California Court Limits Recovery for General Contractors Relying on Subcontractor Bids

The court’s decision allows subcontractors to place unforgiving terms in their bids and gives them an ultimate out if general contractors do not agree to those terms. General contractors should pay attention to a...more

Brexit: Construction issues for consideration

Summary – the key things you need to know - - The construction industry relies on a steady flow of investment to keep the cash flow wheels turning. Uncertainty about how the mechanics of a Brexit will work and the...more

Preventing Limitation of Liability End-Runs

Owners who are dissatisfied with their contractors’ performance increasingly assert fraud-based claims in addition to breach of contract claims because fraud-based claims are not typically barred by contractual waivers and...more

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