On May 16, 2019, I will chair The Seminar Group’s Construction Defect Litigation seminar in Portland, Oregon. The seminar will include a panel of knowledgeable lawyers with broad experience litigating construction defect and related insurance disputes. Among those presenting will be two of my colleagues Lou Ferreira and Andrew Gibson. Click here to learn more … Continue Reading
Rejecting an argument that the ADA preempts all contractual claims for indemnity and contribution, the Ninth Circuit recently upheld a public owner’s right to seek contribution for damages arising out of ADA violations caused by the designer and contractor of a transportation facility. See City of Los Angeles v. AECOM Services, Inc. (here). This decision … Continue Reading
Many building developers utilize a single purpose entity limited liability company (an “LLC”) to purchase and develop property, such as an apartment complex, a subdivision, or a shopping center. Generally, an LLC’s debts, whether incurred or judicially imposed, belong only to the LLC, not to its members. However, an LLC’s individual member may be subject … Continue Reading
In a very recent decision, the Fourth District Court of Appeal in Blanchette v. Superior Court affirmed the plain language of the Home Builder’s Right to Repair Act, holding that even a facially insufficient notice of defect triggers the obligation of a builder to respond within 14 days. The statute, Civil Code section 895 et. … Continue Reading
Many times I hear from people who want to “save money” and serve as their own “owner-builder” under the exemption to the California Contractor’s Licensing law, which generally requires that any “construction” work over $500 to be performed by a licensed California contractor in the absence of an exemption. (Bus. & Prof. Code section 7048). … Continue Reading
Recent rulings indicate that courts across the country view project owners’ and developers’ liability for ADA claims differently than they do other compliance violations. Owners’ attempts to raise questions of contractor negligence, breach of contract or breach of warranty are being rejected. So what can a project owner do? In my recent article for the … Continue Reading
A common insurance question asked by our owner/developer clients when they discover that their completed project has defects is whether their own insurance will cover the cost to fix the defect or any damage from the defect. While trying hard not to sound like the proverbial lawyer, we often have to say “it depends.” What … Continue Reading
Continuing a disturbing trend, another recent case finds that an architect is not liable for a design that failed to comply with the ADA and Section 504 of the Rehabilitation Act (RA). In Chicago Housing Authority v. DeStefano & Partners, Ltd. (here), an Illinois appellate court followed several other federal and state decisions in holding … Continue Reading
Whether you call it SDI or SubGuard, subcontractor default insurance is yet another consideration for public and private project owners as they look at protection from subcontractor default. But what exactly is this relatively new option and when is it most appropriate? In my recent article for the Daily Journal of Commerce, I discuss SDI, … Continue Reading
Joseph McCarthy, a real estate attorney in Stoel Rives’ Seattle office, was recently interviewed by television station KIRO 7 in Seattle for a segment titled “Law meant to protect Wash. homeowners instead pushing up condo prices.” The piece discusses how the consumer warranties contained in the Washington Condominium Act, found at Chapter 64.34 RCW, fostered … Continue Reading
Earlier this year, my colleague Eric Grasberger authored a blog post about a crane collapse in Lower Manhattan. In that post, he mentioned that neighboring landowners may seek to prevent cranes from intruding into the airspace above their property. Contractors and owners alike are often surprised to learn that a crane swinging over adjacent property … Continue Reading
Oregon’s law on statutes of limitation and/or repose periods on construction claims is complex and ever-changing. A recent Oregon Supreme Court ruling has introduced yet another instance of differing time limits on construction defect claims. In my recent article for the Daily Journal of Commerce, I discuss Schell v. The Schollander Companies, Inc. and the … Continue Reading
In Shell v. Schollander Companies, Inc., the Oregon Supreme Court affirmed a line of appellate decisions distinguishing between defect claims arising out of construction performed for an owner and defect claims arising out of an owner’s purchase of an existing structure. In Schollander, the homeowner sought recovery for defects in the construction of a spec … Continue Reading
On Friday, February 5, one man died and three were injured when a 565-foot crane toppled in gusty winds in lower Manhattan, not far from the World Trade Center. The investigation will likely take weeks to months as experts try to reconstruct whether the engineering, erection, operation or manufacture of the crane, or some combination … Continue Reading
It will happen to almost every contractor at some point — an owner or project developer will try to sue you. Hopefully your insurer agrees you are covered, and you’ve dodged a bullet. But if your insurer tells you that you are not covered, things get sticky. One common strategy is for the parties to … Continue Reading
Subcontractor default is a construction project nightmare that can result in significant additional costs and delay completion of the project. But there are two chief options to protect against such risks — performance bonds and subcontractor default insurance. In my recent article for the Daily Journal of Commerce, I outline the unique characteristics of each … Continue Reading
Contractors often have limited liquid assets, so insurance and bonding are often the best resources available to an owner to protect against contractor default or defective work. However, not all policies and bonds are created equal, and owners should make sure these resources provide the security the owner needs. In my recent article for the … Continue Reading
Complex construction projects carry complex problems as they approach completion. In my recent article for the Daily Journal of Commerce, I address 10 potential pitfalls that owners, contractors and design professionals may encounter, and I offer tips to help you prepare for them. Read the full article here. “Finishing Strong vs. Finishing Wrong: Tips & … Continue Reading
In my recent article, “Provision Providing for Early Accrual of Statute of Limitations Held Inapplicable,” I discuss the Oregon Supreme Court’s reversal of a trial court’s decision that, by the terms of the parties’ contract, plaintiff’s tort claims accrued on the date of substantial completion and were time-barred. Read the full article, here. “Provision Providing … Continue Reading
The apartment business is booming right now. Unfortunately, construction defects persist as well, particularly in garden-style and wood-framed construction. Most developers are savvy enough to maintain a good insurance program, but many do not understand (until too late) that the policies they bought may not cover the risk of construction defects. As an owner-developer, neither your property … Continue Reading
You may have recently heard that on December 11, 2013, the California Supreme Court denied the builder’s Petition for Review of the published decision in Liberty Mutual Insurance Co. v. Brookfield Crystal Cove LLC, 163 Cal. Rptr. 3d 600, Cal. App. 4th 98 (2013). For builders and contractors, this is very frustrating news and undermines the … Continue Reading
The Oregon Supreme Court will review two recent Court of Appeals decisions related to statutes of limitation and repose on construction projects. In the first case, Sunset Presbyterian Church v. Brockamp & Jaeger, Inc., the Oregon Supreme Court will address the following questions: (1) When the construction contract includes an accrual provision, is the statute … Continue Reading
On September 26 and 27, 2013, The Seminar Group will present its 18th Annual Oregon Construction Law seminar in Portland, Oregon. I will be speaking about Integrated Project Delivery, which is an emerging project delivery method emphasizing collaboration among project participants. Three of my partners also will be presenting: Guy Randles, program co-chair, will speak … Continue Reading
