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|Principal Architects on Residential Projects Liable for Construction Defects Outside Their Control; Developers and Owners May Pay the Price|
Meredith A. Jones-McKeown; Sheppard, Mullin, Richter & Hampton LLP;
July 24, 2014, previously published on July 16, 2014On July 3, 2014, the California Supreme Court decided the much watched case Beacon Residential Community Assoc. v. Skidmore, Owings & Merrill, LLP. The court held that the “principal architect” “owes a duty of care to future homeowners in the design of a residential building ....
|Act 117 Signed into Law Amending the Mechanic’s Lien Law and Easing Construction Lending|
Derek P. Dissinger; Barley Snyder;
July 24, 2014, previously published on July 18, 2014A few months ago we published an article titled, “Pennsylvania House and Senate Pass Bills to Ease Construction Lending.” The article described Senate Bill 145 of 2014 which contemplated amendments to the Mechanic’s Lien Law of 1963 authored to ease construction lending....
|Pennsylvania Mechanics' Lien Law Amended, Clarifying Open-End Construction Loan Mortgage Priority|
Duane Morris LLP;
July 23, 2014, previously published on July 16, 2014On July 9, 2014, Pennsylvania Governor Tom Corbett signed into law Act 117 of 2014, which amends the Pennsylvania Mechanics' Lien Law (MLL), 49 P.S. 1101, et seq., to provide that a construction loan secured by an open-end mortgage where at least 60 percent of the proceeds are "intended to pay...
|Contract's Notice Provision Bars Claim for Extra Work|
James K. Bidgood, Jay R. Houghton, Joseph Young; Smith, Currie & Hancock LLP;
July 22, 2014, previously published on July 7, 2014The United States Court of Federal Claims recently held that a contractor’s claim for additional compensation for a change should be denied because the contractor failed to satisfy its contract’s written notice requirements. K-Con Building Systems, Inc. v. The United States, 114 Fed....
|Reed Construction Data - Economy Improving Slowly but Surely|
Michael R. Bosse; Bernstein Shur;
July 22, 2014, previously published on July 18, 2014Reed Construction Data reports that the economy continues to improve but challenges remain. Based upon recent construction data from Reed Construction, the industry’s economy continues to improve even though it remains sluggish and somewhat uneven. Year-to-date, seasonally adjusted spending...
|The Economic Loss Doctrine Scaled Back in Massachusetts|
Asha Echeverria; Bernstein Shur;
July 22, 2014, previously published on July 18, 2014In a case recently decided by the Massachusetts Supreme Court, the Court reaffirmed that the Economic Loss Rule applies to construction cases in Massachusetts. The trustees of the Market Gallery Condominiums in Lowell filed an action against Ayer Properties seeking damages for the negligent...
|City of Quincy, Massachusetts Bidding Requirements Pre-empted by Federal Law|
David P. Ray; Bernstein Shur;
July 22, 2014, previously published on July 18, 2014In a case just decided by the First Circuit Court of Appeals in Boston, the Court has concluded that a City of Quincy, Massachusetts ordinance requiring bidders on municipal projects in the city to engage in a specific type of apprentice training program violated the Federal Employment Retirement...
|Amendments to Ohio P3 Legislation Add Bonding Requirements with a Twist|
Lisa M. Wampler; Cohen Seglias Pallas Greenhall & Furman PC;
July 21, 2014, previously published on July 11, 2014It is no secret within the construction industry that public-private partnership (P3) project delivery has recently become all the rage. The demand for infrastructure repairs and improvements is high, and the public dollars needed to fund them are scarce. P3 projects incorporating public and...
|Cameron Parish Supports SCT&E LNG Project|
Sutherland Asbill Brennan LLP;
July 18, 2014, previously published on July 16, 2014SCT&E LNG went before the Cameron Parish Police Jury to formally announce the twelve million metric tons per annum (mtpa) Liquefaction Project on Monkey Island. At the meeting, the Cameron Parish Police Jury announced its decision to fund a $150,000 feasibility study to determine the construction...
|Public Policy Limitations on Indemnity for Sole or Partial Negligence|
Stephen J. Kelleher; Smith, Currie & Hancock LLP;
July 18, 2014, previously published on July 7, 2014Contractors often develop standard contracts for use on a variety of projects, tailored most often to the demands and particular needs of the owner and the project involved. Often these standard contracts include indemnification provisions that require the subcontractor to indemnify the general...