No Subrogation, Contribution Rights for Carrier Defending Construction Defect Claim
December 23, 2023 —
Tred R. Eyerly - Insurance Law HawaiiThe Court held that the insurer defending the additional insured general contractor had no right to equitable subrogation or equitable contribution from a separate carrier who also insured the general contractor as an additional insured. Old Republic Gen. Ins. Co. v. Amerisure Ins. Co., 2023 U.S. Dist. LEXIS 170293 (N.D. Ill. Sept. 25, 2023).
Tanger Grand Rapids, LLC hired Rockford Construction Company to build the Tanger Outlet Center. Rockford subcontracted with Kamminga & Roodvoeis, Inc. (K&R) to work on the pavement for the outlet mall. Under the subcontract, K&R agreed to maintain primary commercial general liability insurance for itself, with Rockford as an additionial insured. K&R obtained a policy from Amerisure. For additional paving work, Rockford subcontracted with Michigan Paving & Materials, CP. The subcontract also required Michigan Paving to maintain primary coverage, with Rockford as an additional insured. Michigan Paving obtained a policy from Liberty Mutual.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Residential Contractors, Be Sure to Have these Clauses in Your Contracts
December 23, 2023 —
Christopher G. Hill - Construction Law MusingsI have often “mused” on the need to have a good solid construction contract at the beginning of a project. While this is always true, it is particularly true in residential contracting where a homeowner may or may not know the construction process or have experience with large scale construction. Often you, as a construction general contractor, are providing the first large scale construction that the homeowner has experienced. For this reason, through meetings and the construction contract, setting expectations early and often is key.
As a side note to this need to set expectations, the Virginia Department of Professional and Occupational Regulation (DPOR) and the Virginia General Assembly require certain clauses to be in every residential construction contract. DPOR strictly enforces these contractual items and failure to put them in your contracts can lead to fines, penalties and possibly even revocation of a contractor’s license.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Carbon Sequestration Can Combat Global Warming, Sometimes in Unexpected Ways
April 02, 2024 —
Michael S. McDonough, Robert A. James & Amanda G. Halter - Gravel2Gavel Construction & Real Estate Law BlogWhether by land, by sea or through human innovation, carbon sequestration is likely coming to (or already happening in) a destination near you. As our planet, overdosed on greenhouse gases, battles climate disasters, a logical solution is to simply stop pumping carbon dioxide into the air. Legislation worldwide is aimed at that target, but reducing output alone may not be enough. There are still billions of tons of extra CO2 already in the atmosphere—this crossroads is where sequestration comes into play.
Carbon sequestration is exactly what it sounds like—the storage of CO2. Once carbon is sucked out of the air, or in some cases pulled directly from industrial smokestacks, sequestration can be undertaken in a lot of different ways. Carbon storage happens naturally, when forests and oceans absorb and convert CO2 into organic matter, but carbon dioxide can also be artificially injected into deep underground rock formations (or wells), or in some cases technological approaches repurpose carbon into a resource like concrete, or as a catalyst in a closed-loop industrial system. However it’s accomplished, the point of sequestration is to stabilize carbon and ensure it doesn’t creep back into our atmosphere. Researchers, like those at the United Nations’ Intergovernmental Panel on Climate Change, now say that CO2 removal is vital to keeping global warming to 1.5 degrees Celsius (past that threshold, climate change could reach catastrophic levels). A 2023 University of Oxford study estimated that, currently, about two billion metric tons of carbon dioxide are being removed each year, primarily through land management (i.e., planting trees), and suggested that we need to double that amount to avoid dangerous global warming levels.
Reprinted courtesy of
Michael S. McDonough, Pillsbury,
Robert A. James, Pillsbury and
Amanda G. Halter, Pillsbury
Mr. McDonough may be contacted at michael.mcdonough@pillsburylaw.com
Mr. James may be contacted at rob.james@pillsburylaw.com
Ms. Halter may be contacted at amanda.halter@pillsburylaw.com
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Top 10 OSHA Violations For The Construction Industry In 2023
February 26, 2024 —
Dominic Donato & Jeff Miragliotta - Kahana FeldEvery year, the Occupational Safety and Health Administration (OSHA) publishes their top violations in the construction industry. And typically, the most common violations are consistent year after year. What separates 2023 is the number of citations involving Fall Protection, Scaffolding, Ladders, and the failure to use personal protective equipment (PPE) or other life safety equipment (LSE). The following is the list of the Top Ten OSHA violations for 2023:
(10) Toxic and Hazardous Substances. There were 382 citations issued for “hazardous communication” and improper warnings issued to construction employees.
(9) Excavations. There were 395 citations issued for failure to provide proper and specific excavation requirements and instructions.
(8) Scaffolding – Aerial Lifts. There were 481 citations issued for improper lifting equipment and supports for building scaffolding.
Reprinted courtesy of
Dominic Donato, Kahana Feld and
Jeff Miragliotta, Kahana Feld
Mr. Donato may be contacted at ddonato@kahanafeld.com
Mr. Miragliotta may be contacted at jmiragliotta@kahanafeld.com
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What Should Business Owners Do If a Customer Won’t Pay
January 02, 2024 —
Scott L. Baker - Los Angeles Litigation BlogIt should be simple: you provide a service, and your customer pays you for that service. Unfortunately, it is not always so simple.
Not getting paid for your work can be one of the most frustrating issues, especially for small businesses. It also does not take much for money matters to
lead to larger disputes. So, what should small business owners do in these cases?
1. Start with a reminder notice
Most sources, including the
U.S. Chamber of Commerce, agree that business owners should not begin by escalating the situation. Take time to review and fully understand the circumstances of this individual case. Then, begin with resending the invoice or sending reminders to pay.
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Scott L. Baker, Baker & AssociatesMr. Baker may be contacted at
slb@bakerslaw.com
Your Construction Contract
April 08, 2024 —
David Adelstein - Florida Construction Legal UpdatesYour construction contract is an important topic. What’s even more important is YOUR process for reviewing and negotiating construction contracts.
Are you simply acting as a riverboat gambler willing to assume undue risk because you don’t value the investment in understanding what you are signing? If so, it becomes hard to complain about what you agreed to and signed when you chose NOT to invest in the process. Investing in the process means you are working with a construction attorney, you have an insurance broker that understands your industry, you have resources in place to ensure risk is negotiated and allocated, and you understand what risk you are assuming to make sure you are properly protecting and perfecting your rights, and transferring risk downstream.
When it comes to construction contracts, there are really three approaches:
1. Riverboat Gambler. This is the “I’ll sign whatever you give me because I don’t want to lose the contract / revenue.” Under this approach, you are not worried about undue risk because you don’t value the investment in the next two approaches. Your thought process is that you’ll care about the risk when an issue pops up, i.e., the riverboat gambler. This is not an approach I’d recommend because it is contrary to the adage, “an ounce of prevention is worth a pound of cure.” This is simply a reactive approach to issues and risks. The other two approaches are more proactive and better suited to understand and manage risk.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Construction Contract Basics: No Damages for Delay
May 06, 2024 —
Christopher G. Hill - Construction Law MusingsAfter WAY too long a hiatus, I am back with another in my series of “Construction Contract Basics” posts. In past posts, I’ve covered venue provisions, attorney fee provisions, and indemnity clauses. In this post, I’ll share a few thoughts (or “musings”) on the topic of so-called “no damages for delay” clauses. These clauses essentially state that a subcontractor’s only remedy for a delay caused by any factor beyond its control (including the fault of the general contractor), after proper notice to the owner or general contractor, is an extension of time to complete the work.
These types of clauses generally make it impossible for a subcontractor (if found in a Subcontract) or Contractor (if found in a Prime Contract) that is delayed through no fault of its own to recover any damages relating to the expenses that are inevitably caused by such delays. Such expenses/damages could include additional supervisory time (including more high-dollar superintendent payments), acceleration costs, demobilization/mobilization costs, and other related expenses. These can add up to real money. Couple that with the inevitable liquidated damages or delay damages that will occur should a contractor or subcontractor cause any delay, and this becomes a very one-sided proposition.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Candis Jones Named to Atlanta Magazine’s 2024 “Atlanta 500” List
February 26, 2024 —
Candis Jones - Lewis Brisbois NewsroomAtlanta, Ga. (February 9, 2024) – Atlanta Partner Candis R. Jones has been named to Atlanta Magazine’s 2024 “Atlanta 500” list of the most powerful law professionals in Atlanta. This is the fourth year in a row she has received this recognition.
To compile this list, the publication reviewed nominations from the public and consulted experts across various sectors. The magazine’s editors and writers considered not only the status of the nominees within their respective organizations, but also whether the nominees were visionaries who led programs for their communities and created opportunities for employees. According to Atlanta Magazine, this list is “an anthology of the power that resides in Atlanta.”
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Candis Jones, Lewis BrisboisMs. Jones may be contacted at
Candis.Jones@lewisbrisbois.com