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General Business Construction

Read need-to-know updates, commentary, and analysis on General Business issues written by leading professionals.

Defence & Indemnity - October 2017: V. SURETY AND BOND ISSUES

by Field Law on

V. SURETY AND BOND ISSUES - A. The Alberta Court of Queen’s Bench holds surety liable under a performance bond for consequential damages suffered by an obligee as result of defaulting contractor. Vermilion & District...more

Spilman Alert - Breaking Insights: Shutting Another Door on Suing Insurance Companies in West Virginia

The West Virginia Supreme Court of Appeals recently closed an avenue for bad faith claims. In this case, the insured, CMD, sued its own liability insurance company, State Auto, for not settling the claims asserted against it...more

Federal Court in New Jersey Holds That Failure to Timely File an Affidavit of Merit Dooms Owner’s Claim for Breach of Contract...

by Pepper Hamilton LLP on

Frontier Dev. LLC v. Craig Test Boring Co., 2017 U.S. Dist. Lexis 149950 (D.N.J. Sept. 15, 2017) - On September 15, 2017, the Federal District Court for the District of New Jersey dismissed plaintiff’s, Frontier...more

AIG Must Defend Additional Insureds

by Nossaman LLP on

That it took an appellate court to order AIG’s Lexington Insurance to honor its additional insured obligations is a measure of how frequently insurers attempt to dodge this important contractual obligation. The case of...more

Overview of the Revisions to AIA Owner-Contractor Construction Documents

by King, Krebs & Jurgens, PLLC on

Just as it did in 2007, when it issued a new set of construction contract documents to replace the existing 1997 set, the American Institute of Architects (“AIA”) recently issued its series of revised construction contracts....more

A Frustrating Exercise: Federal District Court In Iowa Declines To Grant Summary Judgment On Frustration Of Purpose Doctrine In A...

by Pepper Hamilton LLP on

Rembrandt Enters., Inc. v. Dahmes Stainless, Inc., No. C15-4248-LTS, 2017 U.S. Dist. LEXIS 144636 (N.D. Iowa Sept. 7, 2017) - On September 7, 2017, the Federal District Court for the Northern District of Iowa denied a...more

A Myth About Delay – Revisited

by Gray Reed & McGraw on

Construction lawyers routinely deal with delay claims. I have presented or defended more of them than I can remember. That is why I was curious when, earlier this year, I received a series of email invitations to...more

Ownership is Not a Conclusive Factor for Ongoing Operations Additional Insured Coverage

In McMillin Management Services v. Financial Pacific Ins. Co. (No. D069814, filed 11/14/17), a California appeals court held that an insurer had a duty to defend a general contractor under an “ongoing operations” additional...more

Client Alert: The New AIA (2017) Documents

The American Institute of Architects (“AIA”) revises its standard contract forms every ten (10) years and, in April 2017, released some of the revised documents for 2017. An additional 18 forms will be released later in...more

Contractors, Know Your Contracts!

by Cole Schotz on

Last week, New Jersey’s Appellate Division re-affirmed the principle that a court must strictly apply the terms of a construction contract when determining a dispute between contracting parties. Where the contract terms...more

2017 Standard AIA forms: A Summary of the Important Changes

by Reed Smith on

The American Institute of Architects (AIA) contracts, the most commonly used set of construction contract forms on commercial projects in the United States, recently released the second part of its once-in-a-decade updates to...more

In Dismissing Homebuyer’s Defective Construction Suit Against Contractor for Lack of Privity, Supreme Court of Utah Cautions...

by Pepper Hamilton LLP on

Tomlinson v. Douglas Knight Constr., Inc., 2017 Utah Lexis 132 (August 29, 2017) - This case arises out of the construction of a residential property. Lot 84 Deer Crossing (“Lot 84”) purchased the property and contracted...more

Best in Law: Sole-Source Construction Contracts - Property Owners Whose Projects Require a Specific Brand or Proprietary Product...

by Best Best & Krieger LLP on

Commercial and residential property owners and managers engage in many projects to construct and maintain their properties. From interior and exterior painting, flooring and lighting to paving and asphalt coatings, such...more

Allocation of Risk in Construction Contracts

by White & Case LLP on

Risk in construction contracts - ‘Risk’, in a project delivery context, can be defined as ‘an event or set of circumstances that,should it occur, will have an effect on the achievement of the project’s objectives’. Risk...more

Introduction to the FIDIC Suite of Contracts

by White & Case LLP on

The history of the FIDIC suite - Fédération Internationale Des Ingénieurs-Conseils1 (FIDIC) was founded in Belgium in 1913. Since then, it has become the foremost representative body for the world’s consulting engineers,...more

China-Pakistan Economic Corridor: A New Frontier for Investment Treaty Disputes?

by Dechert LLP on

China’s One Belt One Road initiative (“OBOR Initiative”) provides promising and lucrative opportunities for foreign investors to invest in large-scale infrastructure projects across Asia, the Middle East, Africa, and Europe....more

Michigan Court Of Appeals Holds That Contractor Who Failed To Timely Seek A Time Extension Is Barred From Contesting Liquidated...

by Pepper Hamilton LLP on

Abhe & Svboda, Inc. v. State of Michigan Department of Transportation, 2017 Mich. App. Lexis 1387 (August 29, 2017) - Contractor Abhe & Svboda, Inc. (“A&B”) entered into a contract with the Michigan Department of...more

Contractors on Private Works Now Liable for Unpaid Wages Owed by its Subcontractors

by Snell & Wilmer on

California enacted Assembly Bill 1701 on October 14, 2017, which adds section 218.7 to the California Labor Code. It applies to contracts entered into after January 1, 2018 for private construction projects....more

The 2017 AIA Changes that Matter to Owners

Last time, we discussed how some of the 2017 revisions to the American Institute of Architects (AIA) form design and construction contracts benefit general contractors. Such revisions added clarity to provisions concerning...more

Bound by your bargain

by Dentons on

During April 2015, the Court of Appeals (Civil Division) delivered its judgment in MT Hojgaard A/S v. E.ON Climate and Renewables UK Robin Rigg East Limited [2015] EWCA Civ 407....more

Disputing a Final Certificate: Does the Contractor Still Need to Pay?

by Jones Day on

The Situation: Most construction contracts, including AS4000 and AS2124, stipulate that a final certificate is issued following completion of the work, stating the final amount payable between the parties. The Development:...more

Is it wrong to confuse an arbitrator's failure to give reasons with the conduct of proceedings?

by Dentons on

Construction disputes in South Africa are typically subject to dispute resolution by arbitration. This is usually regulated by the Arbitration Act (the Act). Under the common law and section 28 of the Act, an arbitration...more

Bankruptcy Court Holds That “Economic Waste” Doctrine, As Adopted In Wisconsin, Prevented Owner From Recovering Costs To Repair...

by Pepper Hamilton LLP on

WTE-S&S AG Enters., LLC v. GHD, Inc., 2017 Bankr. LEXIS 2343 (Bankr. N. D. Ill. August 18, 2017) - This breach of contract dispute arises out of a contract to design and build a cow-manure digester on a farm in Wisconsin. ...more

Pennsylvania Superior Court Widens the Net for Negligent Misrepresentation Claims Against Professionals

by Wilson Elser on

A recent ruling by Pennsylvania’s intermediate appellate court has expanded the scope of liability for negligent misrepresentation to include a class of potential defendants far beyond those expressly exposed under a prior...more

For Government Contractors: Unsigned Claim Certification Is an Incurable Defect

In September, the Armed Services Board of Contract Appeals (ASBCA) addressed the certification requirements under the Contract Disputes Act (CDA). A motion to dismiss by the U.S. Government prompted the ASBCA to consider...more

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