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
Courthouse Reporter Series: The Bizarre Case That Required a 117-Year-Old Expert
December 04, 2023 —
Todd Heffner & Di'Vennci Lucas - The Dispute ResolverA recent decision by the Georgia Court of Appeals, Munro v. Georgia Department of Transportation, highlights how overly specific and inflexible rules of evidence can create peculiar results.
Munro involved a dispute over the design of a Georgia intersection. No. A23A0404, 2023 WL 4194716 (Ga. Ct. App. June 27, 2023). The plaintiff alleged that the defendant improperly designed the intersection, never corrected that improper design, and failed to properly maintain the intersection. These claims were dismissed for a very odd reason: the plaintiff’s expert witness wasn’t old enough.
The case arose from a car accident. A vehicle in which the plaintiff Munro was a passenger collided with a tractor trailer crossing an intersection. Munro sued the Georgia Department of Transportation (DOT) for negligently designing, maintaining, and inspecting the intersection. The DOT filed a motion to dismiss for lack of subject matter jurisdiction on the ground of sovereign immunity and a motion to exclude the testimony of the Munros’ expert witness, among other motions. The trial court dismissed the case in full on the sovereign immunity ground and denied the other motions as moot. The Munros appealed.
Reprinted courtesy of
Todd Heffner, Troutman Pepper and
Di'Vennci Lucas, Troutman Pepper Read the full story...Mr. Heffner may be contacted at
todd.heffner@troutman.com
Illinois Court of Appeals Addresses Waiver and Estoppel in Context of Suit Limitation Provision in Property Policy
February 05, 2024 —
James M. Eastham - Traub LiebermanIn Naperville Hotel Partners, LLC v. Liberty Mut. Fire Ins. Co., 2023 IL App (3d) 220440-U the Illinois Third District Court of Appeals addressed whether failure to include reference to a limitations provision in reservation of rights correspondence to an insured can be deemed a waiver of the provision or otherwise estop the insurer from relying on the provision.
The claim involved water damage sustained at the Insured’s motel as a result of numerous rain events that occurred between 2015 and 2020. Liberty Mutual issued an insurance policy that covered several buildings including the subject hotel. The policy required that any legal action based on the coverage had to be brought "within two (2) years after the date on which the physical damage occurred, extended by the number of days between the date you submitted the statement of loss to us and the date we deny the claim in whole or in part."
Plaintiffs filed their claim with Liberty Mutual in May 2019. In June of 2019 Liberty Mutual sent a reservation of rights letter to the Insured which requested more information and listed the "immediate written notice of loss" provision as a potential basis for excluding coverage but did not list the two-year time-limitation on legal action. Liberty Mutual also did not mention the provision in subsequent communications with the Insured.
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James M. Eastham, Traub LiebermanMr. Eastham may be contacted at
jeastham@tlsslaw.com
Top 10 OSHA Violations For The Construction Industry In 2023
February 26, 2024 —
Dominic Donato & Jeff Miragliotta - Kahana FeldEvery year, the Occupational Safety and Health Administration (OSHA) publishes their top violations in the construction industry. And typically, the most common violations are consistent year after year. What separates 2023 is the number of citations involving Fall Protection, Scaffolding, Ladders, and the failure to use personal protective equipment (PPE) or other life safety equipment (LSE). The following is the list of the Top Ten OSHA violations for 2023:
(10) Toxic and Hazardous Substances. There were 382 citations issued for “hazardous communication” and improper warnings issued to construction employees.
(9) Excavations. There were 395 citations issued for failure to provide proper and specific excavation requirements and instructions.
(8) Scaffolding – Aerial Lifts. There were 481 citations issued for improper lifting equipment and supports for building scaffolding.
Reprinted courtesy of
Dominic Donato, Kahana Feld and
Jeff Miragliotta, Kahana Feld
Mr. Donato may be contacted at ddonato@kahanafeld.com
Mr. Miragliotta may be contacted at jmiragliotta@kahanafeld.com
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Real Estate & Construction News Roundup (3/6/24) – Steep Drop in Commercial Real Estate Investment, Autonomous Robots Being Developed for Construction Projects, and Treasury Department Proposes Regulation for Real Estate Professionals
April 08, 2024 —
Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law BlogIn our latest roundup, major league sports franchises turn to real estate to increase their value, the Associated Builders and Contractors releases a guide on artificial intelligence, New York City helps landlords convert empty office space into housing, and more!
- The Treasury Department proposed a regulation that would require real estate professionals to report information to the agency about all-cash sales of residential real estate to legal entities, trusts and shell companies. (Fatima Hussein, AP)
- For decades, major league teams depended on ticket sales, concessions and TV deals to generate revenue, but team owners in recent years have turned to real estate development to bring in extra cash and drive up the values of their franchises. (Nathaniel Meyersohn, CNN)
- The U.S. commercial real estate market saw a steep drop in investment last year, with the market plummeting by more than 50% to the lowest level since 2012 and CBRE noting a 91% year-over-year drop in direct real estate company investments. (Yuheng Zhan, Business Insider)
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Pillsbury's Construction & Real Estate Law Team
Meet BWBO’s 2024 San Diego Super Lawyers Rising Stars!
April 29, 2024 —
Bremer Whyte Brown & O'Meara LLPBWB&O is proud to announce San Diego Partner
Johnpaul Salem, and Associates
Christina Matian and
Angelo Perillo have been selected in the 2024 San Diego Super Lawyers list as Rising Stars for their work in Civil and Personal Injury Litigation. To read Super Lawyers’ digital publication, please click
here.
SELECTED AS RISING STARS
Johnpaul Salem: 2023-2024
Christina Matian: 2024
Angelo Perillo: 2024
Super Lawyers is a rating service of outstanding lawyers from more than 70 practice areas who have attained a high degree of peer recognition and professional achievement. The objective of Super Lawyers’ patented multiphase selection process is to create a credible, comprehensive, and diverse listing of outstanding attorneys that can be used as a resource for attorneys and consumers searching for legal counsel.
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Bremer Whyte Brown & O'Meara LLP
Key Economic & Geopolitical Themes To Monitor In 2024
January 16, 2024 —
Global Insights Center Staff - The HartfordSlowing US Economic Growth and Flattening Interest Rates
Growth in the first half of 2023 averaged approximately 2.0%, driven mainly by private sector investments outside of the residential housing sector, government spending, and strong consumer demand. In 2024, The Hartford’s Global Insights Center is expecting investments and government spending to continue and may support growth in the year. However, consumer health may start to weaken due to elevated leverage, higher interest rates, and sticky inflation.
Since the Federal Reserve began to increase interest rates, consumer activity and household finances have not been tremendously affected. However, as revolving interest rates (credit card loans) continue to reset that may change, especially since household savings rates fell below pre-pandemic levels and may affect consumer demand.
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Global Insights Center Staff, The Hartford
Wyncrest Commons: Commonly Used Progress Payments in Construction Contracts Do Not Render Them Installment Contracts
December 11, 2023 —
Benjamin J. Hochberg - Peckar & Abramson, P.C.In BIL-JIM Construction Company, Inc. v. Wyncrest Commons, LP, 2023 WL 7276637 (Unpublished, decided November 3, 2023), the New Jersey Appellate Division was asked to consider two issues regarding the interpretation and application of a construction contract that utilized the standard form American Institute of Architects owner/contractor agreement (AIA Document A101-2007) (the “AIA Contract”). Specifically, it was asked to consider: 1) whether a modified AIA Contract was an “installment contract,” whereby each progress payment was subject to its own statute of limitations; and 2) whether and when work had been approved in the context of New Jersey’s Municipal Land Use Law. While the decision is presently unpublished, it provides guidance as to how form contracts utilizing the same or similar terms will be treated by New Jersey’s courts and is a reminder that the potential for future claims must be considered during contract negotiations.
Discussion
The primary issue in Wyncrest was whether an AIA Contract was an “installment contract,” and the remaining issues turned on the resolution of this question. Wyncrest, the owner for the project at issue, did not dispute that its contractor, BIL-JIM Construction Company, Inc., had not been fully paid for work that it had performed in connection with a construction project located in Ocean County, New Jersey. Instead, Wyncrest argued that because its AIA Contract with BIL-JIM required that invoices be presented and paid monthly, it constituted an “installment contract.” As such, older payments would be treated as individual transactions and were time barred by the applicable statute of limitations. The trial court agreed with Wyncrest’s characterization of the AIA Contract as an “installment contract,” and found that BIL-JIM’s invoices were each subject to their own statute of limitations. However, the trial court disagreed with Wyncrest’s argument that BIL-JIM’s claim for retainage—which was submitted at the end of its work at the project—was time barred.
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Benjamin J. Hochberg, Peckar & Abramson, P.C.Mr. Hochberg may be contacted at
bhochberg@pecklaw.com