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|Not Your Average Bond - Design Services in Alternative Project Delivery Methods|
Alyssa M. Bussey; Smith, Currie & Hancock LLP;
June 2, 2015, previously published on May 5, 2015The rise in popularity of alternative project delivery methods that combine design services complicates the already opaque world of surety bonds. As a general matter, for any project type, a bond is a tripartite transaction in which the contractor pays a percent of the penal sum of the bond to the...
|Key Questions about Virginia’s Statute of Repose|
Edward E. (Ned) Nicholas; Vandeventer Black LLP;
May 28, 2015, previously published on March 2015Builders and design professionals are sometimes sued for personal injuries and property damages arising out of their construction and design work. Because buildings tend to last for decades, builders and design professionals would face decades of potential exposure to such suits if it weren’t...
|Duty of Care: A Professional Consultant¿s Duty to Warn|
Jacy A. J. Whittaker; Parris Whittaker;
May 27, 2015, previously published by ParrisWhittaker.com on May 26, 2015Parties to commercial contracts owe various contractual duties to each other according to the terms of the contract. But what is the duty of care of a professional consultant to others, for instance, to warn of potential construction problems where there is a risk to others or property?
|Are You Covered? Managing Risk with Commercial General Liability and Builder¿s Risk Insurance|
Christopher Markus; Dressman Benzinger LaVelle psc;
May 21, 2015Although markedly different in purpose and nature, commercial general liability (CGL) and builder¿s risk insurance products are both critical for construction professionals concerned with managing risk.
|Construction Contract Claims Against a Third-Party Lender? The Unforeseen Consequences of a Standard Practice|
Travis A. Knobbe; Spilman Thomas & Battle, PLLC;
May 20, 2015, previously published on May 18, 2015For those of us who commonly represent lenders, there is nothing more unsettling than hearing the words “course and pattern of conduct” or “dominion and control” or some variation of the same. Any suit where someone seeks to impose liability on a bank for something above and...
|Critical Change for Serving Preliminary 20-Day Notices for Arizona Public Projects|
Mark D. Bogard; Jaburg Wilk;
May 19, 2015On April 30, 2015, Arizona¿s most common construction industry practice for serving a Preliminary Twenty Day Notice (¿Prelim¿) on an Arizona public project-first class mail with certificate of mailing-was invalidated by the Arizona Court of Appeals in Cemex Construction Materials South, LLC v....
|Virginia Legislation Significantly Impacts Construction Industry|
Douglas T. Stark; Spilman Thomas & Battle, PLLC;
May 19, 2015, previously published on May 18, 2015At its recently-concluded 2015 Regular Session, the Virginia General Assembly passed legislation which will significantly affect those persons who deal with potential mechanic’s lienors. The revision to section 43-3 of the Virginia Code declares that any attempt by a subcontractor or...
|North Carolina Gearing Up for Major Road Improvement Projects|
Stephanie U. Roberts; Spilman Thomas & Battle, PLLC;
May 19, 2015, previously published on May 18, 2015Few things shout “economic development” louder than substantial road improvement projects. For Division 9 of the North Carolina Department of Transportation (“NCDOT”), many more developments are underway. The Winston-Salem Northern Beltway (“Northern Beltway”) is...
|Righting a Wrong in West Virginia - The Residential Construction Right to Cure|
John R. Teare; Spilman Thomas & Battle, PLLC;
May 19, 2015, previously published on May 18, 2015In residential construction, problems can arise with customers that cause expensive litigation. In West Virginia, a right to cure in residential construction by statute can alleviate such costs.
|Court Can Act as Bondsman and Require Contractors to Procure Warranties Through Specific Performance|
Suriya Edwards, Julie Teal; Withers Bergman LLP;
May 15, 2015, previously published on April 30, 2015We come across situations sometimes where contractors agree to enter into contract with clients, with a form of bond or collateral warranty attached to the contract. The contract is signed and works commence on site. Both the contractor and the client are well into the project. The contractor then...