News & Analysis as of

Construction Contracts Appeals

Construction Defect – Right to Repair Act

by Low, Ball & Lynch on

Ann. E. Gillotti v. Eugene W. Stewart, et al. - Court of Appeal, Third Appellate District (April 26, 2017) - In Gillotti v. Stewart, the California Court of Appeals held that the Right to Repair Act, Civil Code § 895 (the...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

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

Ninth Circuit Upholds Owners Rights to Seek Contribution From Third Parties for ADA Violations

In a victory for owners of facilities covered by the Americans with Disabilities Act (ADA), the U.S. Court of Appeals for the Ninth Circuit has upheld a property owner’s right to seek contribution from third parties who fail...more

Contractor May Receive Indemnity Despite Alleged Active Negligence or Willful Misconduct

by Low, Ball & Lynch on

Oltmans Construction Co. v. Bayside Interiors, Inc. - Court of Appeal, First Appellate District, 10 Cal.App.5th 355 (March 30, 2017) - Civil Code § 2782.05 renders an indemnity provision in a contract void and...more

Under Construction - March 2017

by Snell & Wilmer on

Letter from the Editor - Welcome to the spring 2017 edition of our Under Construction newsletter. We hope 2017 is off to a good start for you and your company. An issue that seems to commonly come up in cost-plus...more

Construction Defect – Application of the Right to Repair Statute to Material Suppliers

by Low, Ball & Lynch on

The Right to Repair Statute in California requires a homeowner show a breach of contract or negligence to succeed. Acqua Vista Homeowners Association v. MWI, Inc. - California Court of Appeals, Fourth Appellate...more

Texas Court of Appeals Holds That Owner’s Change to Contractor’s Means and Methods Resulted in a “Breach,” Instead of a “Change”...

by Pepper Hamilton LLP on

Port of Houston Auth. of Harris Cnty. v. Zachry Constr. Corp., 2016 Tex. App. LEXIS 13306 (Tex. App. Houston 14th Dist. Dec. 15, 2016) - This contract dispute dates back to 2004, when the Port of Houston Authority...more

Significant Government Contract Litigation: A Year in Review

Last year provided a number of important claims and cases that further developed various aspects of litigation regarding the Contract Disputes Act (CDA). The major issues raised in some of the more notable claims include...more

Picerne Construction Corp. v. Castellino Villas (Feb. 18, 2016, C071197)

The Third District Court of Appeal recently held that completion under the mechanics lien statute requires actual completion of the work of improvement, meaning completion of the entire structure or scheme of improvement as a...more

Illinois Court Addresses Contractual "Pay-If-Paid" Provisions - Appellate Ruling: Strict Standard is Required for Forfeiture of...

by Holland & Knight LLP on

The Illinois First District Appellate Court recently addressed the longstanding principle in A.A. Conte Inc. v. Campbell-Lowrie-Lautermilch Corp., 132 Ill. App. 3d 325 (1st Dist. 1985), of barring payments by general...more

Reversal of Fortune: AB 219 is Back!

PREVAILING WAGE LAW is California's "other" minimum wage. It requires workers to be paid union wages on publicly funded construction projects. But in recent years, the law in California has EXPANDED well beyond its initial...more

Court rejects contractor’s mechanic’s lien because of ‘intent’

by Thompson Coburn LLP on

The Illinois Court of Appeals’ recent decision in AUI Construction Group, LLC v. Vaessen highlights the need for careful planning in structuring development agreements, construction contracts, and the use of an easement as...more

Overpayments in Construction Projects: Getting Repaid (Or Not)

by White & Case LLP on

Construction and engineering contracts usually contemplate interim payments being made "on account", meaning that any overpayments or underpayments can be redressed in later payment claims, or in the final account. However,...more

Unpaid Subcontractors Beware

by Bennett Jones LLP on

Alberta Court of Appeal confirms no duty to disclose existence of labour and material bond unless asked - Labour and material payment bonds (L&M Bonds) serve an important purpose on a construction project by providing...more

Subcontractor Required to Strictly Comply with General Contractor’s Contractual Claim Provisions

by Farrell Fritz, P.C. on

In construction, incorporating a “prime contract” by reference into a subcontract is commonplace. Recently the Courts have broadly construed such “incorporation” provisions, often to the detriment of subcontractors....more

Limitations of Liability Clause Does Not Violate Ohio's Consumer Sales Practices Act

by Reminger Co., LPA on

Contractors often attempt to limit their liability by including a limitations of liability clause in the contract. Plaintiffs attempt to avoid the limitations of liability by asserting that the clause is unconscionable under...more

California Court Limits Recovery for General Contractors Relying on Subcontractor Bids

by Pepper Hamilton LLP on

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

Defence & Indemnity - June 2016: V. SURETY AND BOND ISSUES

by Field Law on

Obligee's claim against surety can survive despite Obligee's claim against principal being unenforceable as a result of wording of completion agreement - HOOPP Realty Inc. v. The Guarantee Company of North America, 2015...more

Transmission Planning and Construction Right of First Refusal Ruled Unduly Discriminatory, Not Mobile-Sierra Protected

by McDermott Will & Emery on

The provision contained in incumbent electric utility tariffs—conferring on the holder the right of first refusal (ROFR) to construct additions to the high-voltage electrical grid, regardless of who conceived of and proposed...more

Homeowners Who Purchase Directly from Homebuilders May Seek Recovery of Attorneys’ Fees on Claims for Breach of the Implied...

by Dickinson Wright on

Three things have long been settled law in Arizona regarding residential construction: (1) a homebuilder owes a homeowner an implied warranty of workmanship and habitability with regard to the construction of the home; (2)...more

Fed. Circ. Further Dulls CDA's Statute Of Limitations

by Morrison & Foerster LLP on

A few years back, a string of decisions at the Armed Services Board of Contract Appeals and the Court of Federal Claims invoked the Contract Disputes Act’s six-year statute of limitations to dispose of several long-pending...more

Defence & Indemnity - April 2016: V. SURETY AND BOND ISSUES

by Field Law on

Liability of surety in Quebec under a labour and material payment bond consistent with common law principles L’Unique Assurances Générales inc., Appelante, c Échafauds Plus (Laval) inc., Intimée, 2015 QCCA 1725 [4174]...more

Financial information and set-off requirements under the FIDIC Red Book

by King & Spalding on

The Privy Council’s recent judgment in NH International (Caribbean) Limited v National Insurance Property Development Company Limited (Trinidad and Tobago) provides a rare example of a common law court interpreting specific...more

Subcontractor Performing Services may be Liable in Strict Liability For Purchasing and Installing Defective Products in Fulfilling...

by Low, Ball & Lynch on

Jovana Hernandezcueva v. E. F. Brady Company, Inc. - Court of Appeal, Second Appellate District, Division Four (December 22, 2015) - The doctrine of strict liability is ordinarily inapplicable to transactions...more

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