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|New York’s Appellate Division Reverses Collateral Estoppel Ruling Against Payment Bond Sureties in Suit to Enforce Arbitration Award|
Thomas F. Giordano; Schnader Harrison Segal & Lewis LLP;
January 7, 2016, previously published on November 2015A recent decision by the First Department of the Supreme Court, Appellate Division, addresses the preclusive effect of arbitration awards in subsequent judgment enforcement suits against payment bond sureties. In Five Star Electric Corp. v. Federal Insurance Co., 127 A.D.3d 569, 8 N.Y.S.3d 98 (1st...
|Does an "Unrealistically Low" Price For a Fixed Price Contract Permit an Agency to Simply Eliminate a Proposal from Competition?|
Alan I. Saltman; Smith, Currie & Hancock LLP;
January 5, 2016, previously published on December 4, 2015The Court of Federal Claims just issued a significant opinion in KWR Construction Inc. v. United States, regarding an agency's rejection of a proposal on the basis that the offeror's price was unrealistically low. The procurement was for a multiple-award construction contract and was set aside for...
|Special Considerations for Subcontractors and Suppliers on P3 Projects|
Todd M. Heffner; Smith, Currie & Hancock LLP;
December 8, 2015, previously published on November 17, 2015Public Private Partnerships, or P3s, are aptly named because they truly mix aspects of public and private construction. But does that mean they are like public projects and subject to state or federal bonding requirement and prompt payment obligations? Or are they like private projects with lien...
|Decisions, Decisions, Decisions: A Guide to Effective Procurement Contracting in Australia|
Gregory K. (Greg) Begaud, John B. Cooper; Jones Day;
December 2, 2015, previously published on November 2015“In any moment of decision, the best thing you can do is the right thing, the next best thing is the wrong thing, and the worst thing you can do is nothing.”
|Charbonneau Commission Report|
Borden Ladner Gervais LLP;
November 30, 2015, previously published on November 25, 2015After 261 days of hearings, the Report of the Commission of Inquiry on the Awarding and Management of Public Contracts in the Construction Industry (the “Charbonneau Commission”) was tabled and released to the public on November 24, 2015.
|A Court’s Bold Step to Limit General Contractor Liability|
Joseph A. Merlino; Rudolph Friedmann LLP;
November 30, 2015, previously published on November 9, 2015General contractors are responsible for ensuring that a construction site is generally safe for those working there. This is a daunting and stressful task which often puts the general contractor directly in the cross-hairs of any litigation initiated by someone who is injured on site. But what...
|Are Public-Private Partnerships Subject to Prevailing Wage Laws?|
Stephen J. Kelleher; Smith, Currie & Hancock LLP;
November 17, 2015, previously published on November 4, 2015Public-Private Partnerships, often referred to as P3s or PPPs, are experiencing a growing popularity in construction. One reason for this is quite straightforward: as public entities, whether they be cities, states or public agencies, continue to experience tightening budgets, creative means of...
|OSHA Fines to Increase by Nearly 52%, Marking First Increase in 25 Years|
John D. Surma, Collin G. Warren; Adams and Reese LLP;
November 12, 2015, previously published on November 3, 2015OSHA critics often complain that the maximum allowed penalties have not changed since 1990 when the penalties were set at $7,000 (other than serious and serious) and $70,000 (repeat or willful). The “Bipartisan Budget Act of 2015” will both cause a dramatic increase in those amounts and...
|OSHA’s New Regulation on Confined Spaces in Construction|
Conor H. Meeks; Taft Stettinius & Hollister LLP;
November 6, 2015, previously published on October 28, 2015On May 4, 2015, the Occupational Safety and Health Administration (OSHA) issued a new regulation on confined spaces in the construction industry. Previously, there was only one rule for construction employers - provide training to employees who enter confined spaces. The new regulation (29 C.F.R....
|Contractor Payments: Take the Money and Run, Even if the Bankruptcy Trustee Later Comes Calling|
Bruce J. L. Lowe; Taft Stettinius & Hollister LLP;
November 6, 2015, previously published on October 28, 2015Imagine this scenario: your client is a contractor, subcontractor or materialman on a construction project. Having completed the work, your client is promptly paid in full. Because of this, your client doesn’t bother to file a mechanic’s lien on the project. However, within 90 days...