Real Estate & Construction News Roundup (10/18/23) – Zillow’s New Pilot Program, Production Begins at Solar Panel Plant in Georgia, and More Diversity on Contracts for Buffalo Bills Stadium
November 27, 2023 —
Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law BlogIn our latest roundup, Netflix announces plans to open brick-and-mortar locations, NYU develops a way to examine buildings using drones, robots and AI, distressed U.S. commercial real estate hits a 10-year high, and more!
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Pillsbury's Construction & Real Estate Law Team
Construction Litigation Roundup: “How Bad Is It?”
September 25, 2023 —
Daniel Lund III - LexologyHow bad is it?
“Not that bad,” said an Illinois federal court to a surety which was complaining that its subcontract performance bond terms had not been satisfied by the obligees on the bonds (the general contractor and the building owner).
In response to $3.6 million demand by the obligees on the performance bond, the surety filed an action in federal court in Illinois seeking to have the court declare that the surety had no further obligation on its performance bond. The surety urged that the obligees had not fulfilled the prerequisite requirements in the bond to make a claim on the bond (which, although the court never identified the bond form, was a bond form that closely resembled the AIA A312-2010 performance bond).
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Daniel Lund III, PhelpsMr. Lund may be contacted at
daniel.lund@phelps.com
Cape Town Seeks World Cup Stadium Construction Collusion Damages
March 19, 2015 —
Janice Kew – Bloomberg(Bloomberg) -- The City of Cape Town filed a civil damages claim against builders Aveng Ltd., Wilson Bayly Holmes-Ovcon Ltd. and Stefanutti Stocks Holdings Ltd. for colluding on a tender for a stadium built for the 2010 FIFA Soccer World Cup.
The claim for at least 428 million rand ($35 million) will be heard in the North Gauteng High Court, Ian Neilson, Cape Town’s executive deputy mayor, said by phone on Monday. The amount claimed is subject to change, he said.
Antitrust authorities fined 15 builders, including the trio facing the Cape Town claim, a total of 1.5 billion rand in June 2013 for rigging contracts for projects including the construction of stadiums for the 2010 World Cup hosted by South Africa. Aveng was fined 307 million rand, WBHO 311 million rand and Stefanutti 307 million rand.
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Janice Kew, BloombergMs. Kew may be contacted at
jkew4@bloomberg.net
COVID-19 Response: California Occupational Safety and Health Standards Board Implements Sweeping New Regulations to Prevent COVID-19 in the Workplace
December 14, 2020 —
Peter Shapiro, Drake Mirsch & Jade McKenzie - Lewis BrisboisOn November 19, 2020, the California Occupational Safety and Health Standards Board (OSHSB) proposed sweeping and significant new emergency standards to reduce employee exposure to COVID-19. These standards have been accepted by the Office of Administrative Law and are effective as of November 30, 2020. Accordingly, it is critical that employers familiarize themselves with these new requirements and begin to implement these standards as quickly as possible.
The standards include COVID-19 prevention in the workplace, multiple COVID-19 infections and outbreaks in the workplace, “major” COVID-19 outbreaks in the workplace, prevention in employer provided housing, and prevention in employer-provided transportation to and from work. They apply to all California employers and places of employment, except places with one employee who does not have contact with others, employees working from home, or employees in specified health care facilities, services or operations when covered by section 5199.
COVID-19 Prevention Program
Employers are required to establish, implement, and maintain an “effective” written COVID-19 Prevention Program. Under the Program, an employer is responsible for developing a system for communicating about COVID-19, identifying and evaluating COVID-19 hazards, investigating and responding to COVID-19 cases, correcting COVID-19 hazards, providing training and instructions to employees regarding COVID-19, ensuring all employees are physically distanced, providing face coverings, implementing policies regarding personal protective equipment and recordkeeping, ensuring COVID-19 cases are excluded from the workplace, and prohibiting symptomatic employees from returning to work unless certain requirements are met.
Reprinted courtesy of
Peter Shapiro, Lewis Brisbois,
Drake Mirsch, Lewis Brisbois and
Jade McKenzie, Lewis Brisbois
Mr. Shapiro may be contacted at Peter.Shapiro@lewisbrisbois.com
Mr. Mirsch may be contacted at Drake.Mirsch@lewisbrisbois.com
Ms. McKenzie may be contacted at Jade.Mckenzie@lewisbrisbois.com
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When it Comes to COVID Emergency Regulations, Have a Plan
December 07, 2020 —
Christopher G. Hill - Construction Law MusingsAs I hope readers of this construction corner of the “blogosphere” know, Virginia adopted emergency COVID workplace regulations effective July 27, 2020, and with enforcement beginning at the end of September. Among the various items found in these regulations are general requirements for all employers, including among others, the requirement to self determine the employer’s risk level and disinfecting requirements. The regulations also have some requirements that seem specially directed toward construction industry employers. These include among them engineering controls and various requirements relating to communications with subcontractors. For a good overview of these requirements, see this great post at the Virginia Bar Association’s construction law blog.
One item that is not included in the emergency regulations is a statement that following the regulations immunizes an employer from COVID infection-related lawsuits. For this reason, among others, all construction (and other industry) employers should have a COVID plan that meets the requirements of these regulations at whatever “hazard level” that employer meets. These plans should be written and distributed to all employees and include protocols for workplace/job site screening and what to do if there is a need for contact tracing. I also highly recommend that any plan be created with the help of a good Virginia workplace safety consultant well versed in the COVID regulations.
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The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Nevada Supreme Court to Decide Fate of Harmon Towers
June 28, 2013 —
CDJ STAFFThe Nevada Supreme Court started hearings on Tuesday, June 4 over the fate of Harmon towers. MGM Resorts is hoping to obtain permission from the court to tear down the tower, which they claim could collapse should an earthquake strike Las Vegas. Perini Corp, the builder, wants the building to remain standing in order to support their claim that the building’s flaws are through design and not construction errors.
KLAS quoted one of Perini’s lawyers claiming that MGM had pursued a media strategy to prejudice potential jurors against the contractor. “CityCenter hired Cedric and Bunting to place advertisements with the media to win the hearts and minds of the community and to convince the public pretrial that Perini was, quote, ‘scum of the earth.’”
If the Supreme Court gives the go-ahead, demolition would begin soon. Still pending, is the $500 lawsuit over the allegations of construction defects.
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What Rich Millennials Want in a Luxury Home: 20,000 Square Feet
February 15, 2018 —
Patrick Clark – BloombergA new generation of affluent homebuyers powered by a surge in inherited wealth is driving the luxury-home market, demanding larger spaces and fancier finishes, according to a report heralding “the rise of the new aristocracy.”
Prospective homebuyers under 50 account for most of those shopping for homes priced at $1 million or more, according to the
report. Nearly a quarter of high-net-worth consumers between 25 and 49 said they would look for at least 20,000 square feet when they made their next home purchase; it was just 6 percent for respondents 50 or older. The report is based on a survey of more than 500 consumers with at least $1 million in investable assets, conducted last month on behalf of Luxury Portfolio International, a network of real estate brokerages.
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Patrick Clark, Bloomberg
Stormy Seas Ahead: 5th Circuit to Review Whether Maritime Law Applies to Offshore Service Contract
July 26, 2017 —
Richard W. Brown & Afua S. Akoto - Saxe Doernberger & Vita, P.C.Earlier this year, the 5th Circuit applied the Davis factors to determine the validity of an indemnity clause in a Master Services Contract. In Larry Doiron Inc. et al., v. Specialty Rental Tool & Supply LLP et al., the court affirmed the notion that if a contract provides services on navigable waters aboard a vessel, a maritime contract exists, even if the contract calls for incidental or insubstantial work unrelated to the use of a vessel. With this decision, plaintiffs were granted indemnification for a crane injury and all was well on the open seas.
The 5th Circuit made waves, however, on July 7, 2017, when it agreed to rehear the case en banc. In its petition for rehearing, defendant STS argued that: (1) the original opinion conflicted with Supreme Court precedent by applying tort law principles to a contract case; (2) the court misapplied the Davis factors and the decision was contrary to Davis because the historical treatment of specialty well service work has been established as non-maritime; (3) the court needed to address whether a contract is subject to maritime or land-based law in the context of offshore mineral exploration.
Reprinted courtesy of
Richard W. Brown, Saxe Doernberger & Vita, P.C. and
Afua S. Akoto, Saxe Doernberger & Vita, P.C.
Mr. Brown may be contacted at rwb@sdvlaw.com
Ms. Akoto may be contacted at asa@sdvlaw.com
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