Construction Disputes

News & Analysis as of

DRM Legislative Update - February 2015

In This Issue: - Determination First, Details to Follow - Committee Approves State False Claims Act - Rent-to-Own Legislation Substantially Modified - Senate Judiciary Considers Limit on Building...more

Coffee Beans, Mars and the 50 States: Civil Code 1542 Waivers and Latent Defects

A few years ago, Pulitzer Prize-winning reporter Charles Duhigg wrote a book that was on the New York Times bestseller list for over 60 weeks, The Power of Habit: Why We Do What We Do in Life and Business. As its title...more

The New Jersey Supreme Court has reopened the doors to Affordable Housing Litigation

The New Jersey Supreme Court has unanimously held that the administrative process run by COAH in which municipalities show compliance with affordable housing obligations is no longer working and municipalities are no longer...more

Arbitration’s Diamond in the Rough: Lessons from the Dichele Superior Court Ruling

In construction law, contracts are at the heart of our business; contracts between: owners and architects; owners and general contractors; contractors and subcontractors; and subcontractors and sub-subcontractors....more

The Advantages and Disadvantages of Arbitration vs. Court Litigation

Many business owners and construction industry entities prefer, as a matter of course, that construction disputes be submitted to binding arbitration. Others maintain that, because arbitration lacks facets of the procedural...more

Utah Federal Court Stays Proceedings Under Miller Act Pending Arbitration

The core issue facing a federal court in Utah was whether it should stay the proceedings pending resolution of related arbitration proceedings involving sureties which issued payment bonds under the Miller Act. A dispute...more

California Court of Appeals Determines Subcontractor is Unable to Maintain Cross-Claims for Equitable Indemnity and Contribution...

In State Ready Mix, Inc. v. Moffatt & Nichol, 232 Cal. App. 4th 1227 (2015), the California Court of Appeals considered whether a subcontractor could maintain cross-claims for equitable indemnity and contribution against the...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

Sometimes it Depends on “Whose” Hand is in the Cookie Jar

In a lengthy and somewhat detailed decision, the California Court of Appeal for First District, in Pittsburg Unified School District v. S.J. Amoroso Construction Company, Inc., Case No. A138825 (December 22, 2014), held that...more

Rhode Island Supreme Court Bars Second Arbitration Based On The Doctrine Of Res Judicata

An architectural firm contracted to provide architectural, engineering and design services for a state veterans home for a “not to exceed fee” of $61,500, which was calculated as a percentage of overall expected construction...more

What’s in that Contract Again? Reflections on the Recent Recession

During and immediately after the most recent recession, construction litigation seemed to hit an apex. New pre-litigation matters to resolve monetary disputes from recession-era construction projects continue to keep many...more

It's Not the Crime, It's the Cover-Up: Equitable Estoppel in Construction Defect Claims

More than 20 years ago, the Watergate scandal taught us “it’s not the crime, it’s the cover-up” that does the damage. The ensuing decades have brought a steady stream of individuals and companies that had to learn the truth...more

To Require Arbitration or Not To Require Arbitration

Thoughts on mandatory arbitration in construction dispute resolution at Construction Law Musings. Be sure to draft your arbitration clauses carefully in your construction contracts in order to avoid unnecessary headaches and...more

New Jersey’s New Complex Business Litigation Program Offers Potential Advantages

After a year of considering the needs of parties to business-related litigation, the Supreme Court of New Jersey has announced that the Judiciary will implement a “Complex Business Litigation Program” effective January 1,...more

Choosing Your Defense Counsel Before a Claim Ever Arises

If your company has ever been sued, then you know how important it is to have qualified and experienced counsel handling your case. Besides experience and qualifications, knowledge of your industry and your company can be...more

The Construction Advantage – Issue 11

Welcome to the first Thanksgiving edition of The Construction Advantage! In this issue, we bring you yet another tale of a mechanics lien case and a priority between an engineer and a lender in a failed golf course project....more

Expo 2020 - part 5: Managing and resolving construction disputes

Introduction - Since Dubai’s successful 2020 Expo bid, development of new and re-invigorated construction projects has increased significantly. Tenders and new contracts are once more being awarded for a wide range of...more

New Jersey Supreme Court Approves Complex Business Litigation Program

The State Judiciary has recently announced the commencement of a Complex Business Litigation Program, which will begin accepting cases January 1, 2015. The new program will further the Judiciary’s goals of streamlining...more

Statutory Limit on Change Orders Bars Contractor Claim in Virginia

A recent Virginia case strictly construing a statutory limit on the amount of contract change orders has raised concerns among contractors doing business with Virginia state and local agencies. In Carnell Construction Corp....more

Guardrail Ends – Open and Obvious Court Ends Liability for Contractor and Engineer Based Upon Slavin Doctrine

The Slavin Doctrine has been on the books for more than fifty years and is a favorite defense used by contractors, architects and engineers defending against personal injury and wrongful death claims. Generally, the Slavin...more

10 Answers to Those Nagging Mechanics Lien Questions Keeping You Up at Night. Kind of

Construction lawyers may not ponder the great questions in life. We leave that to the estate planning attorneys. But ponder we do. And the next case, as I’ll explain below, “kind of” answers 10 important...more

Is that Covered? Insurance and Indemnity Clauses

Many contracts contain clauses requiring parties to carry insurance and to agree to indemnify one party or another in the event of a lawsuit. Such language is typical in lease agreements, distribution contracts, and...more

Construction Case Law Update - October 2014 #3

Insurance, Sinkhole litigation -- Neither “Concealment or Fraud” nor “Duties After Loss” provision in homeowner’s insurance policy required insured to provide insurer with expert’s sinkhole damage analysis solicited by...more

Constitutional Default Interest Rate of 7% Rather Than 10% Default for Breach of Contract, Applies to Prejudgment Interest on a...

Addressing an issue of first impression, the Fourth Appellate District has determined that in a mechanic's lien foreclosure action against an innocent property owner who did not contract with the mechanic's lien claimant, the...more

Bankruptcy by the Developer/Owner: Mechanics Lien Rights May Still Prevail!

The rate of bankruptcies among construction industry participants is higher than some think. The bankruptcy of a developer creates an “automatic stay” under federal law preventing almost all collection activities, including...more

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