During the last month or two there has been a rise of news reports regarding potential earthquakes in California at a greater magnitude than in recent history: see here and here. These risks have even been reported recently in a London newspaper. While the unusual Southern California “big one” warning is now past
Damages Claims
“All Risk” Coverage Is Not Equal to “All Loss” Coverage Under Customary Provisions in California Builder’s Risk Policies
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…
On Guard: A Look at Subcontractor Default Insurance
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 …
Considerations Before and After the Government Comes Knocking (or Preparing for Condemnation)
The status of infrastructure throughout the United States, and the need to expand and rebuild facilities, is often in the news. Funding these improvements remains a challenge, but when funding is identified, the government often has to acquire private property. If the government and the property owner are unable to reach agreement, the acquisition may…
No Crane Trespassing! Swingway Easements Make Good Neighbors
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 …
Hate Negotiating? Think It is a Waste of Time? Think Again. Seven Habits of Successful Negotiators
If you dislike negotiating, you are not alone. But successful negotiators understand and embrace the opportunities that a negotiation presents. In my recent article for the Daily Journal of Commerce, I discuss seven habits of successful negotiators that can help you successfully conclude your construction-related negotiations. Read the full article here.
“Hate Negotiating? …
NYC Crane Collapse Likely to Fuel Crane Objections and Easements
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…
Take Care in Reaching for Deep Pockets: Don’t Let Insurance Companies Off the Hook When Drafting Settlement Agreements in Construction Defect Cases
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 …
Protections Against Subcontractor Defaults
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 …
The Latest DIRT in California: Additional Mandatory Reporting for Excavators, Operators and Contractors?
Those that “dig in the dirt” are very familiar with the Damage Information Reporting Tool (DIRT), which was launched in 2003 by the Common Ground Alliance (CGA). Over the years California has enacted several statutes requiring anyone moving dirt to notify a regional notification center of the area of planned disturbance that may impact a subsurface…