Anaheim California Construction Expert Witness Directory

Are Construction Contract Limitation of Liability Clauses on the Way Out in Virginia?

March 11, 2024 — Christopher G. Hill - Construction Law Musings
Remember BAE Systems and Fluor? This post is the third here at Construction Law Musings relating to this case which is a seemingly never-ending source for content. In the prior post discussing this case, the Court found that Va. Code 1-4.1:1 which bars waiver of a right to payment before work is performed did not apply because Fluor had provided work before execution of the contract or any change orders. In the most recent opinion in this long-running litigation, and after a motion to reconsider by Fluor that was granted, the Court re-examined this finding along with the contractual language found in the Limitation of Damages (LOD) clause and came to the opposite conclusion regarding certain change orders that remained unpaid by BAE. The Court first looked to the language of the contract itself and specifically the language in the LOD provision that states “Except as otherwise provided in this Subcontract.” The Court then looked at the change order provision and its typical equitable adjustment language and the mandatory nature of the equitable adjustment language. The Court found that the LOD provisions did not apply to change orders both because price increases due to change orders are not “damages” and because of the exception language in the LOD provision itself. Read the full story...
Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com

Appellate Court of Maryland Construes Notice Conditions of A312 Performance Bond in Favor of Surety

January 02, 2024 — Joel P. Williams - White and Williams LLP
The Appellate Court of Maryland issued a reported opinion in a case construing an American Institute of Architects (“AIA”) A312 performance bond. In Wildewood Operating Company, LLC v. WRV Holdings, LLC, et al. 2023 Md. App. LEXIS 720 (Oct. 30, 2023), the Appellate Court of Maryland held that a performance bond surety was discharged from liability where the owner/obligee failed to give the surety notice of the contractor’s default termination until after a third party had completed the work. The project concerned the construction of an assisted living facility in St. Mary’s County, Maryland. The owner, Wildewood Operating Company, LLC, entered into an A312-2010 performance bond with Clark Turner Construction, LLC, as contractor, and First Indemnity of America Insurance Company, as surety. When Clark Turner failed to complete certain stormwater management work adjacent to the site, Wildewood, Clark Turner, and other parties entered into a Work Agreement to address completion of the work. The surety was not a party to the Work Agreement. Read the full story...
Reprinted courtesy of Joel P. Williams, White and Williams LLP
Mr. Williams may be contacted at williamsj@whiteandwilliams.com

Construction Litigation Roundup: “A Fastball Right to the Bean!”

May 06, 2024 — Daniel Lund III - Lexology
The Metropolitan Municipality of Lima, Peru, filed suit in federal court in Washington DC to vacate two separate arbitration awards rendered against the city in international arbitration proceedings subject to the Federal Arbitration Act. The city had contracted to build, improve, and maintain various highways in and around the city. To pay for this infrastructure, Lima agreed that the contractor would “receive revenues from existing and new toll booths.” Apparently, the City of Lima forgot how much citizens of the area loathed tolls, and, according to the court, the local public officials “quickly truckled” (how apropos for a road project!) to the pressure. As a result, revenues promised to the contractor were not forthcoming, and the city did nothing about it. The contractor initiated arbitration, and the city countered by arguing that the contractor had bribed its way into the contract. The city lost and was held in breach. Read the full story...
Reprinted courtesy of Daniel Lund III, Phelps
Mr. Lund may be contacted at daniel.lund@phelps.com

Courts Will Not Second-Guess Public Entities When it Comes to Design Immunity

May 13, 2024 — Garret Murai - California Construction Law Blog
It was a bizarre confluence of events. Jorgen Stufkosky was driving on SR-154 in Santa Ynez, California. Martha Aguayo was driving on the same highway ahead of Stufkosky when she struck a deer causing it to fly across the centerline into traffic from the opposite direction. The deer struck a SUV causing its driver to lose control. The driver of the SUV crossed the same centerline where he collided head on with Stufkosky, killing him. Stufkosky’s children later sued the California Department of Transportation in the case Stufkosky v. California Department of Transportation, 97 Cal.App.5th 492 (2023), alleging that their father’s death was due to Caltrans’ negligent design of SR-153, inadequate number of deer crossing signs, and its high posted speed limit. While in the trial court, Caltrans filed a motion for summary judgment on the ground that Caltrans was immune from liability under Government Code section 830.6, the so called “design immunity” statute. The trial court agreed and the Stufloskys appealed. Read the full story...
Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

White and Williams Announces Partner and Counsel Promotions

February 19, 2024 — White and Williams LLP
PHILADELPHIA–White and Williams LLP is pleased to announce the promotion of the following attorneys: Paul A. Briganti, Patrick A. Haggerty, Timothy (T.J.). Keough, Randy J. Maniloff, and Eric A. Sauter. All five attorneys have been promoted to the Firm’s partnership. The Firm has also promoted Michael L. DeBona, Lynndon K. Groff, and Susan J. Zingone from Associate to Counsel. “All of our new Partners and Counsel enrich the firm both internally and externally. They have demonstrated a deep commitment to providing our clients with best-in-class service and through their dedication and leadership earned elevation to partner and counsel at White and Williams,” said firm Managing Partner Tim Davis. “We look forward to their many continued successes and contributions to the Firm.” Paul A. Briganti practices out of the Philadelphia office and represents national and international insurance companies in coverage disputes and complex commercial litigation. He has significant experience litigating and advising clients on issues arising under various lines of coverage, including general liability, cyber, D&O, employers liability, commercial auto and homeowners. In addition, Paul is an editor of the firm’s Complex Insurance Coverage Reporter newsletter and a regular pro bono volunteer with the Senior Law Center. He received his J.D. from Villanova University School of Law. Read the full story...
Reprinted courtesy of White and Williams LLP

CGL Policy May Not Cover Cybersecurity and Data-Related Losses

March 25, 2024 — Susana Arce - Saxe Doernberger & Vita, P.C.
The construction industry, like many other industries, has experienced an increased reliance on, and implementation of, technology in the past few years. Smart phones and tablets are used on most project sites, computers are an integral part of the planning process, and various software programs are used throughout the construction process. Likewise, much of the machinery and equipment used during construction (e.g., total stations, trucks, tower cranes) is interconnected, and in some cases, operated or monitored remotely.1 With an increase in technology comes a risk of cybersecurity and data-related losses. Many large businesses purchase Commercial General Liability (“CGL”) insurance and assume cybersecurity and data-related losses are covered. Unfortunately, this is generally not the case. CGL policies typically cover three general types of damage: bodily injury, property damage, and advertising injury. Read the full story...
Reprinted courtesy of Susana Arce, Saxe Doernberger & Vita, P.C.
Ms. Arce may be contacted at SArce@sdvlaw.com

Legal Battle Kicks Off to Minimize Baltimore Bridge Liabilities

May 06, 2024 — Brendan Murray - Bloomberg
The owner of the ship that destroyed Baltimore’s Francis Scott Key Bridge, causing the indefinite closure of the port a week ago, is seeking to limit its liability to about $44 million. According to reporting by my Bloomberg News colleagues citing legal experts, the company — Grace Ocean — could face hundreds of millions of dollars in damage claims. On Monday it filed a petition jointly with Synergy Marine, which was operating the Singapore-flagged container ship Dali. They claim the collapse of the bridge was “not due to any fault, neglect, or want of care” of the companies and that they shouldn’t be held liable for any loss or damage from the disaster. Read the full story...
Reprinted courtesy of Brendan Murray, Bloomberg

Natural Hydrogen May Seem New in Town, but It’s Been Here All Along

April 22, 2024 — Elina Teplinsky & Sheila McCafferty Harvey - Gravel2Gavel Construction & Real Estate Law Blog
When it comes to renewable energy, hydrogen is hailed as a pivotal resource in the zero-carbon game plan. Hydrogen energy is accessible, produces lower greenhouse gas emissions and can use existing gas infrastructure to power electricity and heat, produce other gases and fuels, and more. Recently, a “new” type of hydrogen—has captured the attention of climate scientists. Natural hydrogen—often referred to as gold hydrogen—stands apart from other, more established types of hydrogen, which require extraction and expensive maneuvering to produce. Natural hydrogen exists underground in its pure form (i.e., it’s not combined with other molecules). Estimates vary, but some researchers suspect that Earth holds as much as five million megatons of hydrogen beneath our feet. Extracting just 2 percent of that supply, in theory, has the potential to get us to net-zero emissions for 200 years. From Past Prediction to Accidental Discovery Viacheslav Zgonnik, CEO of the Denver-based startup Natural Hydrogen Energy, told the New York Times that Russian chemist Dmitri Mendeleev (also known as the “Father of the Periodic Table”) wrote about the presence of natural hydrogen as long ago as 1888. Somehow, the information was lost along the way, and when pockets of such hydrogen were occasionally found, they were treated as anomalies. Reprinted courtesy of Elina Teplinsky, Pillsbury and Sheila McCafferty Harvey, Pillsbury Ms. Teplinsky may be contacted at elina.teplinsky@pillsburylaw.com Ms. Harvey may be contacted at sheila.harvey@pillsburylaw.com Read the full story...

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