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Williams Mullen Construction Industry Newsletter - Winter/Spring 2015

In this Issue: - Welcome - Williams Mullen Announces Coastal Flooding Practice - Federal Government Contracts - New Challenges - Green Certification - Bankruptcy and Virginia...more

Broad-Based Expansion for the Construction Industry Expected in 2015 - Construction Practice Newsletter

According to USA Today, construction hiring is surging and is at a nine-year high. And if you look around, the evidence of that seems to be in abundance, as billboards advertising idyllic residential communities seem to be...more

Court of Federal Claims Holds that Contractor’s Defense of Defective Specifications Is Not an Independent Claim Requiring...

Total Eng’g, Inc. v. United States, 2015 U.S. Claims LEXIS 30 (Fed. Cl. Jan. 26, 2015) - The United States Army Corps of Engineers (the “Government”) awarded a contract to Total Engineering, Inc. (“Total”) for preliminary...more

Anatomy of an Indemnity Provision - Construction Practice Newsletter

Indemnity clauses are one of the most negotiated (and litigated) provisions in a construction contract. - They’re also one of the least understood. - But we’re here to dissect it for you, so to speak. ...more

Pennsylvania Court Holds Faulty Workmanship Not an Occurrence

In its recent decision in Nat’l Fire Ins. Co. v. Gabe’s Constr. Co., 2015 U.S. Dist. LEXIS 37533 (M.D. Pa. Mar. 25, 2015), the United States District Court for the Middle District of Pennsylvania, applying Wisconsin law, had...more

2015 Construction Law Update - Construction Practice Newsletter

Over 2,200 bills were introduced during the second and final year of the 2013-2014 legislative session, of which 931 were signed into law. For the design and construction industry the end of the second session, like...more

A Beacon for Homeowners and HOAs. Not So Much for Design Professionals - Construction Practice Newsletter

Earlier we wrote about a case that made architects none too happy – Beacon Residential Community Association v. Skidmore, Owings & Merrill LLP, Case No. A134542 (December 13, 2012) – in which the California Court of Appeals...more

7th Circuit Rules That Title Insurer Is Not Liable for Construction Liens Resulting From Lender’s Failure to Fund

The 7th Circuit has ruled that a lender is not insured by a title company for liens that arise after a construction loan became significantly out of balance and the lender stopped funding. In BB Syndication Services, Inc v....more

Condominium Unit Sales Exemptions and Compliance under ILSA Requirements

As discussed in Ballard Spahr’s previous alert sent on September 24, 2014, effective March 25, 2015, the sale of condominium units will no longer be subject to the registration requirements of the Interstate Land Sales Full...more

Climate Change Adaptation: Massachusetts Releases New Policies to Address

In one of our prior posts, we reported on efforts by Boston and New York City, in the wake of Hurricane Sandy, to undertake comprehensive climate change preparedness planning to review the vulnerabilities of each city’s built...more

Dallas Appeals Court Renders Take-Nothing Judgment for Insurer in Construction Defect Case

In Dallas National Insurance Co. v. Calitex Corp., —S.W.3d—, 2015 WL 968308 (Tex. App.—Dallas Mar. 3, 2015, no pet. h.), the Dallas Court of Appeals reversed a trial court judgment finding coverage for almost $700,000 in...more

TOP TEN Construction Clauses - The “Work” Clause

This clause defines the scope of work in a construction project and the definition varies by source. For instance, American Institute of Architects Document A201-2007 defines "Work" as "construction and services required by...more

If You Can’t Stand the Heat…

Are you a developer or landlord of commercial or residential multi-let premises? Are those premises supplied with heat by either a communal heating system or a district heating system?...more

Construction Law Developments in 2015 Colorado Legislative Session

In the first two months of its 2015 session, the Colorado General Assembly has introduced two bills that could have a significant impact on construction law in Colorado....more

Construction E-Note - March 2015

In This E-Note: - What Should Parties Do With Unusually Severe Weather on a Construction Project? - Excerpt from What Should Parties Do With Unusually Severe Weather on a Construction Project?: Rain....more

They Can’t Take That Away From Me. Well, At Least Not At First

Some of you may recall the George and Ira Gershwin song, They Can’t Take That Away From Me made famous by Fred Astaire and Ginger Rogers in the film, Shall We Dance. A recent amendment to a mechanic’s lien statute will limit...more

2014 A Busy Year for Pennsylvania Mechanics' Lien Law: More New Changes Take Effect

When it comes to the Pennsylvania Mechanics’ Lien Law (Lien Statute), the Pennsylvania legislature was quite active in 2014. In July, Governor Corbett signed into law certain changes to the Lien Statute affecting residential...more

New Retainage Law Takes Effect in Massachusetts

The Commonwealth of Massachusetts has a new retainage law applicable to most private construction projects that took effect on Nov. 6, 2014. The Retainage Law limits retainage to 5 percent of each payment and regulates the...more

Delay and Disruption Claims: Big Impacts on Your Bottom Line

“Time is money” in construction. Owners, design professionals and contractors use time to calculate the impact of lost performance. Yet delay and disruption can be commonplace in construction projects. The reasons for the...more

Construction Case Law Update - March 2015 #2

Sinkholes; “Structural Damage” – When undefined in a homeowner’s insurance policy, “structural damage” caused by a sinkhole is best defined as “damage that impairs the structural integrity of the building.” Homeowners argued...more

Payment Clauses In Construction Contracts - The Importance Of Serving Notices

An employer's failure to serve the correct payment notices (a payment notice or pay less notice) under a construction contract can result in the contractor being entitled to all sums being claimed by him in his application...more

To Fund or Not to Fund – that is the Question

On Friday the 13th (3/13/2015), the Court of Appeals for the 7th Circuit decided that a title insurer did not have to provide coverage to its insured – the perfected, first lien lender – for priming mechanics’ liens that –...more

Florida Court Addresses Classification Limitation Endorsement

In its recent decision in Dumbacher v. Landmark Am. Ins. Co., 2015 U.S. Dist. LEXIS 29106 (M.D. Fla. Mar. 10, 2015), the United States District Court for the Middle District of Florida had occasion to consider the application...more

Seventh Circuit Court of Appeals: No Coverage under Title Insurance for Mechanics’ Liens Arising after Construction Lender Stops...

On March 12, 2015, the United States Court of Appeals for the Seventh Circuit entered an opinion interpreting “the most litigated provision in the standard-form title-insurance policy purchased by real-estate lenders to...more

Texas Court Upholds Engineer’s Tort Duty to Third Parties

The Texas appellate decision recently confirmed that state’s general rules regarding the outer limits of common law tort liability arising from alleged construction defects. USA Walnut Creek, DST v. Terracon Consultants,...more

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