Construction Disputes

News & Analysis as of

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

High Court Clarifies Duties To Subsequent Purchasers – Brookfield Multiplex v Owners Corporation

The duty of care owed by a builder to subsequent purchasers of a building has long been a source of contention. In a decision handed down on 8 October 2014, the High Court in Brookfield Multiplex Limited v Owners Corporation...more

Construction Case Law Update - October 2014 #2

Disputes over a mediation agreement’s validity must be resolved prior to a court ruling on discovery requests regarding matters potentially settled by the agreement. A dispute arose after Jilco, Inc. (“Jilco”) subleased a...more

When Your General Contractor Files Bankruptcy

The case is Branch Banking & Trust Co. v. Construction Supervision Services Inc. (In re Construction Supervision Services Inc.), 753 F.3d 124 (4th Cir. 2014). After a general contractor filed bankruptcy, several of its...more

Certificates of Insurance: What’s in Your Portfolio?

On September 24, 2014, a New Jersey appellate court decided Selective Ins. Co. v. Hospicomm, Inc., 2014 WL 4722776 (N.J. Super., September 24, 2014). The dispute in that case arose out of a nursing home construction project...more

Texas Supreme Court Orders 10/14 (Six Petitions Granted)

Because there are no opinions and no grants in the Supreme Court's order list this morning, this is a good opportunity for me to do the promised post on the petitions granted in the October 3, 2014 order list. ...more

Pennsylvania Supreme Court Determines Implied Warranty of Habitability Does Not Extend to Subsequent Purchasers

The Pennsylvania Supreme Court is now the latest state court to weigh in on the issue of whether a subsequent purchaser of a previously inhabited residence can recover contract damages from a builder or general contractor for...more

Construction Case Law Update - September #2 2014

FLORIDA FEDERAL CASES - - Contribution, Equitable Subrogation, and Breach of Contract – Insurer adequately alleged elements of contribution, equitable subrogation, and breach of contract claims in construction defect...more

Connecticut Court Again Holds That Certificates of Insurance Do Not Confer Rights

A Connecticut Superior Court has further clarified the construction industry whether a certificate of insurance naming a party as an additional insured confers any rights on that party. In Hobbs, Inc. v. Charter Oak Fire...more

Connecticut Supreme Court Construes “Active Interference” Exception to “No-Damage-for-Delay” Clause

C&H Electric, Inc. v. Town of Bethel, 312 Conn. 843, 2014 Conn. LEXIS 263 (Aug. 5, 2014) - This dispute arose out of a project to renovate and build an addition at a high school in the Town of Bethel, Connecticut. The...more

The Jury is Still Out On The Effectiveness Of The “Calderon Process”

The State of California implemented the “Calderon Process” almost two decades ago. The hope was this pre-litigation “mediation” process would lower the cost, and increase the likelihood of early settlement, of construction...more

Construction Alert: "Texas Supreme Court Sinks Port Authority's Ship - Port Authority's No Damages for Delay Clause Held...

The Texas Supreme Court recently issued an important decision regarding “no damages for delay” clauses in construction contracts. In Zachry Construction v. Port of Houston Authority, the Court found that the owner, the Port...more

Public Offering Statement Disclosure Limits Developer's Liability

A New Jersey judge earlier this year dismissed a construction defect complaint by a condominium association against the developer and contractor, finding that the lawsuit was filed outside the state’s six-year statute of...more

In California, Looks Really Do Matter: Visual Appearance and Internal Consistency of Policy Language Supports Application of...

In Yu v. Landmark American Ins. Co., 2014 WL 4162365 (Cal. Ct. App. Aug. 22, 2014)*, the California Court of Appeals relied on the visual appearance and internal consistency of an endorsement entitled “EXCLUSION – YOUR PRIOR...more

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