Construction

When Choice of Law Made a Difference

Choice of law clauses are not usually the subject of intense negotiation, in part as there is substantial consistency among the laws of the various states. But not always, as parties on a New Jersey project learned. A difference in the New Jersey and… Read More
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Dispelling Myths about Insurance Coverage of Defective Construction

Lawsuits over defective construction often result in one or more parties attempting to invoke insurance coverage, at least to cover defense costs if not to cover the underlying claims. Some fifty years after courts began parsing the extent of insuran… Read More
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Surety’s Indemnity Rights Eliminated by Subsequent Arbitration Agreement

Most readers are familiar with the concept that performance bond sureties expect to recoup, from their principals, every dollar of cost incurred in responding to demands on the bond. And most readers are aware that the typical general indemnity agree… Read More
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Contractor who Funded CCIP has “Principal Employer” Immunity from Injured Subcontractor Worker Claims

The Connecticut Supreme Court has held that workers’ compensation immunity from injured worker tort claims extends to the contractor that funded a project Contractor Controlled Insurance Program, or CCIP. The claims arose from an explosion at the K… Read More
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Bad Faith Violation of Procurement Code Does Not Require Sanctions

The Pennsylvania Supreme Court has held, over a sharp dissent, that a public authority’s bad faith violation of the PA Procurement Code payment sections does not require imposition of sanctions or attorneys’ fees. The decision focused on use of t… Read More
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No End Run on Contract Claims Allowed against Remote Party

One would think the message has penetrated by now, to subcontractors and vendors. But a New York court has had to address this issue once again, and has confirmed the legal principle: if party A has a contract with party B, party A won’t be allowed… Read More
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Timely and Untimely Notice of Claims – What’s the Difference?

New York passed a law on June 18, 2016, affecting the right of a public authority to bar a claim due to untimely notice. Richard Dyer of Duane Morris has written a summary. The law appears intended to address the situation where contractors have lost… Read More
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Novel Damage Theory, for Loss of Use Claim, Fails

A developer marketed condominiums for sale. Several units were damaged by a burst water pipe, but the repaired units were eventually sold for the original price. (Insurance covered the cost of repair.) The developer then sued some of the parties invo… Read More
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When Does the Sub’s Bid Become Binding? Yet Again.

Once again, the courts have been called upon to decide whether a GC and sub had a binding commitment – or not – after a failed negotiation while a project was underway. This time it was a curtain wall sub for an 18-story office building in Milwau… Read More
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Damage from Defective Construction Was an “Occurrence” Leading to Insurance Coverage

The Iowa Supreme Court has weighed in on the issue of whether damage arising from defective construction work can be an “occurrence” triggering insurance coverage. It appears that the damages awarded after a jury trial included both remedial work… Read More
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