Contractors

News & Analysis as of

Chapter 40 Reform Provides Relief for Nevada Homebuilding Industry

Nevada Gov. Brian Sandoval signed into law AB 125 (2015) ushering in critical reforms for Nevada’s construction defect laws. The law, which the Nevada Legislature passed this past Friday, Feb. 20, 2015, provides crucial...more

Senate Bills Tackle Construction Defect Litigation Reform

Two bills recently introduced in the Colorado Senate propose to change Colorado’s construction defect claims process. If passed, Senate Bill 15-177 would amend Colorado’s Common Interest Ownership Act, C.R.S. §...more

Appellate Court Lets Broad General Release Stand in SB 800 Case

Under California's SB 800 "Right to Repair Act," a builder may obtain a "reasonable release" to resolve a construction defect claim in exchange for a cash payment. ...more

Reminder for N.Y. Employers: Significant Labor Law Amendments Take Effect February 27

As we previously reported, the New York State Legislature last June passed a Bill, intended to revitalize the Wage Theft Prevention Act (WTPA), that proposed significant changes to the state’s labor laws. Among other things,...more

Florida Court Holds That Engineering Company Cannot be Held Liable for Third Party Injury Despite Open and Obvious Design Defect

Vanessa Cruz was tragically killed on July 15, 2008, in a single vehicle accident on the Florida Turnpike. Vanessa was the front seat passenger in a vehicle when the driver lost control, left the roadway, and struck the end...more

School District Gets Expensive Lesson on Prompt Payment Law. But Did the Court Get it Right?

My kids don’t like riding in my car. I urge them to look outside the window (I don’t have DVD), suggest that they roll down their windows to get some fresh air (rather than have me turn on the A/C) and persist on...more

Mixing Concrete, Like Baking a Cake, is Fraught with Problems When the Recipe is Not Followed

“Mixing concrete, like baking a cake, is fraught with problems when the recipe is not followed.” – Justice Kenneth Yegan, State Ready Mix, Inc. v. Moffatt & Nichol, California Court of Appeal for the Second District, Case No....more

Failure to Describe Project Changes Results in 180-Day Statute of Limitations for CEQA Challenge (Ventura Foothills Neighbors v....

Why it matters: When a project’s subsequent CEQA documents fail to clearly provide public notice of material changes to a project, CEQA’s short statutes of limitation may not apply....more

Homeowners Beware!! You May Not Recover For Subsequently Discovered Construction Claims After Signing Construction Claim Releases

Homeowner, David Belasco (“Belasco”) [1] bought a newly constructed Manhattan Beach residence in 2004 from the builder defendant Gary Loren Wells (“Wells”). In 2006, Belasco filed a complaint against Wells with the...more

Fourth District Reverses Lower Court Ruling in Construction Defect Litigation

On January 22, 2015, the Fourth District Court of Appeals issued for publication its decision in McMillin Companies LLC v. American Safety Indemnity Company, 4th Dist. Div. 1, D063586. The case is significant in...more

Homebuilder Series Webinar: Fiduciary Duties & Auditor Liability [Video]

Watch an in-depth Homebuilder Series webinar that discusses auditor liability and fiduciary duties. Two issues of recurring interest to company officers and directors are the potential liabilities of outside...more

Managing Retail Employer Risk and the Janitorial Services Contractor-Subcontractor Relationship

Discount retailer Ross Stores, Inc.'s ("Ross") recent proposed settlement of a California labor law class action filed by immigrant and low wage subcontractors related to janitorial services performed in its Ross Dress for...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

Court Confirms Insurer Permitted to Choose Counsel in Discharging Duty to Defend

An insurer’s duty to defend and how that duty gets discharged may be one of the most frequently litigated coverage issues. Although typical policies afford insurers the right to control their insureds’ defense, insureds...more

Florida Appeals Court Holds Contractor and Engineering Firm Entitled to Summary Judgment on Personal Injury Claim Where Owner...

The Florida Department of Transportation (“DOT”) hired Transportation Engineering, Inc. (“TEI”) to design, and D.A.B. Constructors, Inc. (“DAB”) to install, median guardrails along the Florida Turnpike. After the...more

Surety Bonds: Direct Claims v Derivative Claims – Who Knew?

New Bern Riverfront Dev., LLC v Weaver Cooke Constr., LLC (In re New Bern Riverfront Dev. LLC), 521 B.R. 718 (Bankr. E.D.N.C. 2014) – The debtor made claims against a surety that issued a performance bond in connection with a...more

Broader Regulation of Offshore Contractors on Horizon

On November 12, 2014 the Bureau of Safety and Environmental Enforcement (BSEE) strongly signaled a forthcoming review of its offshore facility decommissioning regulations and regulatory authority over contactors. While the...more

Public Entity May Seek to Recover All Proceeds Derived From a Tainted Contract

Private contractors who provide financial benefits to government employees of agencies with whom they contract will face forfeiture of all proceeds and profits derived from such tainted contracts, an appellate court recently...more

SBA Proposes Subcontracting Reforms and Other Changes

In this presentation: - Hot off the presses: SBA’s proposed rule for the new mentor-protégé program for all small businesses - How the limitations on subcontracting currently work - Changes to the...more

When a Construction Lender Steps into the Shoes of the Developer, the Door is Open for Claims by the General Contractor

Thank you to my partner Garret Murai for giving me the opportunity to post again on his excellent California Construction Law Blog. I am the author/editor of the Money and Dirt Blog, where I focus on issues relating to...more

Letters of the Law: 'C' is for Completion

When does “complete” not necessarily mean “complete”? Answer: In a construction project. A common feature of construction contracts is that they include a mechanism for the contractor’s works to be handed over...more

Florida’s Public Records Law: What Your Private Company Should Know

Does your private company contract with government agencies? If so, your company may have records that must be disclosed to the public under Florida’s Public Records Law. Florida’s Public Records Law can be found in Chapter...more

Letters of the Law: 'B' is for Breach

No project is truly complete before one party accuses the other of “breach of contract”. Often the initial accusation is an attempt to scare the other party into action, to compel it to perform to the word of the...more

Waive Not, Want Not: Waivers and Releases on California Construction Projects

California is one of a handful of states (12 to be exact) which have statutory mandated waiver and release forms for construction projects. So, here’s what you need to know before you sign one. California has four statutory...more

High-Speed Rail Authority Under Fire for Disrupting San Joaquin Kit Fox Habitat

On January 26, the U.S. Fish and Wildlife Service (“USFWS”) issued a letter to the California High-Speed Rail Authority (the “Authority”) that found that the Authority’s contractors are not in compliance with the Authority’s...more

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