News & Analysis as of

Subcontractors Summary Judgment

Venable LLP

The Subcontractor Performed. The Prime Contractor Paid. But a Hacker Ended Up with the Money. Who Is Responsible?

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When hackers gain access to a subcontractor’s information systems and divert the prime contractor’s payment to themselves instead of to the subcontractor, does the prime contractor still have to pay the subcontractor?...more

Foley & Lardner LLP

New NLRB Joint Employer Rule Stayed Until March 11, 2024

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On October 26, 2023, the National Labor Relations Board (the NLRB or the “Board”) issued its heavily-anticipated final rule (the “New Rule”) addressing the standard for determining joint-employer status under the National...more

Goldberg Segalla

Motion for Partial Summary Judgment of Shipyard Subcontractor Granted

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Court: United States District Court for the Eastern District of Louisiana - Defendant Hopeman Brothers Inc. moved for partial summary judgment with respect to plaintiffs’ claims of intentional tort, alter ego, and...more

Saul Ewing LLP

Failure to Provide Contractual Notices Dooms Claims of Subcontractor Impacted by Supply Chain Disruptions

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A recent decision resolving a dispute arising from pre-pandemic supply chain issues that delayed construction of a wind farm in Illinois illustrates the ever-present risks posed by supply chain disruptions and provides a...more

Bradley Arant Boult Cummings LLP

No Written Notice of Delay? Big Problem! Court Sides with Contractor in Termination Dispute

Earlier this week we saw the court in Patriot Construction use the waiver doctrine to excuse a subcontractor’s failure to strictly comply with the documentation requirements of the contract. As a litigant in Illinois federal...more

Rivkin Radler LLP

New York Insurance Coverage Law Update - January 30 2023

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Southern District Refuses To Use Extrinsic Evidence “Bound Up With Merits” Of Underlying Action To Defeat Duty To Defend- 622 Third Avenue LLC filed a declaratory judgment action against Harleysville Worcester Insurance...more

Bradley Arant Boult Cummings LLP

Construction Dust is Pollution?

A recent insurance coverage decision from the United States District Court for the Northern District of Georgia highlights the difficulties of court interpretation of insurance policies and serves as a warning for contractors...more

Goldberg Segalla

Carpentry Subcontractor Not a ‘Manufacturer’; Obtains Partial Summary Judgment

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United States District Court for the Eastern District of Louisiana, September 8, 2022 - Plaintiff Ora Jean Adams alleges she developed lung cancer from secondhand asbestos exposure from laundering the clothing of her...more

Pillsbury Winthrop Shaw Pittman LLP

Contractor Settles Cybersecurity-Related False Claims Act Suit for $9 million

A seven-year long False Claims Act suit comes to an end after Aerojet Rocketdyne reaches a $9 million settlement agreement for its alleged false certification of compliance with cybersecurity requirements. In the settlement...more

McGlinchey Stafford

The Bullet Point: A Commercial Law Bulletin - When can a non-party enforce a forum selection clause?

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The Bullet Point is a biweekly update of recent, unique, and impactful cases in state and federal courts in the area of commercial litigation. We’re pleased to expand the Bullet Point from its previous coverage of Ohio case...more

DirectEmployers Association

OFCCP Week In Review: November 2021

The DE OFCCP Week in Review (WIR) is a simple, fast and direct summary of relevant happenings in the OFCCP regulatory environment, authored by experts John C. Fox, Candee Chambers and Jennifer Polcer. In today’s edition, they...more

Faegre Drinker Biddle & Reath LLP

California Court Enters Summary Judgment Against Plaintiff Who Failed To Prove Vicarious Liability

A court in the Northern District of California recently granted a defense motion for summary judgment, finding that the defendants were not vicariously liable for a subcontractor’s supposed TCPA violations because the record...more

Rivkin Radler LLP

New York Insurance Coverage Law Update- February 2021

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A Manhattan law firm sued Midvale Indemnity Company seeking coverage under the firm’s commercial property insurance policy for losses caused by stay-at-home and social distancing directives issued by New York State in...more

Verrill

Finding Teeth in Massachusetts' Prompt Payment Act

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In Tocci v. IRIV Partners, LLC, Boston Harbor Industrial Development LLC and Hudson Insurance Co. (November 19, 2020, Sup. Ct. 19-405), the Massachusetts Superior Court granted summary judgment on a contractor’s breach of...more

Rivkin Radler LLP

New York Insurance Coverage Law Update - October 2020

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Pierce Management, a general contractor, subcontracted with RJK Electric for electrical work on a drive-thru at a Starbucks. Pierce’s project manager was allegedly injured while walking to his car in the parking lot by a...more

Carlton Fields

Fifth Circuit Holds That Ensuing Loss Provision of Builders’ Risk Policy Requires Two Separate Events to Qualify for the...

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In Balfour Beatty Construction, LLC v. Liberty Mutual Fire Insurance Company, No. 19-20216 (August 3, 2020), the Fifth Circuit determined that Liberty Mutual’s policy does not cover a construction company’s claim for window...more

Bradley Arant Boult Cummings LLP

Notice Your Lien or Kiss it Goodbye

Like many states, Minnesota requires subcontractors and suppliers to send pre-lien notices to owners to perfect mechanic’s lien rights. Failure to comply with the pre-lien notice statute can prove fatal to a lien enforcement...more

Farrell Fritz, P.C.

Think Before You Speak: Words and Actions Can Bind You Beyond The Terms of a Previously Agreed Upon Subcontract Agreement

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In a recent case before Justice Andrea Masley, Corporate Electrical Technologies, Inc. v. Structure Tone, Inc. et al., Plaintiff Corporate Electrical Technologies, Inc. (“CET”), a subcontractor, was hired by Structure Tone,...more

Proskauer - Whistleblower Defense

ARB Affirms Dismissal of SOX Whistleblower Claim Against Non-Public Companies

The ARB recently affirmed the dismissal of a whistleblower retaliation claim under Section 806 of SOX, holding an employer is not a “contractor” covered by SOX simply because it was a party to a contract with a publicly...more

Winstead PC

Court Holds That A Bank’s Employees Cannot Conspire To Breach Fiduciary Duties And That The Bank Did Not Owe Fiduciary Duties To A...

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In Herring v. Am. Paper & Janitorial Prods., the plaintiff was a subcontractor who provided janitorial services for a bank and was also a depositor of the bank. No. H-17-3474, 2018 U.S. Dist. LEXIS 215765 (S.D. Tex. December...more

Bradley Arant Boult Cummings LLP

Statutory Pre-Suit Notice Constitutes an “Action” Under Florida’s Statute of Repose - Construction and Procurement Law News, Q3...

Most states have statutes of repose, which define the date certain for parties to assert any and all claims for construction and design related issues, and provide a final cut-off for liability with respect to a project. For...more

Troutman Pepper

Fifth Circuit Holds Settlement Proceeds Received by General Contractor From Subcontractors Constitute “Other Insurance” Which...

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Satterfield & Pontikes Constr., Inc. v. United States Fire Ins. Co., 2018 U.S. App. LEXIS 21488 (5th Cir. Aug. 2, 2018) - This case arises out of an excess insurance provider’s refusal to cover damages incurred by the...more

Troutman Pepper

Federal Court in Pennsylvania Holds Pay-If-Paid Clause Unenforceable Where Prime Contractor’s Inadvertent Delays Contribute to the...

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Connelly Constr. Corp. v. Travelers Cas. & Surety Co. of Am., 2018 U.S. Dist. LEXIS 123009 (E.D. Pa. July 24, 2018). The Commonwealth of Pennsylvania Department of General Services undertook a project for the construction...more

Maynard Nexsen

The United States District Court Takes Another Look at South Carolina's Statute of Repose

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Several months ago, we addressed the United States District Court’s helpful analysis of selected portions of South Carolina’s statute of repose. That case is back before the court, and there is additional clarification as to...more

Kilpatrick

New Standard in Texas as to When a General Contractor can Assert a Statutory Employer Defense?

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The 13th Court of Appeals in Edinburg, Texas issued an opinion in February 2018 that would eliminate the statutory employer protection for general contractors in certain circumstances if allowed to stand (Halferty v....more

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