Choice of Law and Forum Selection Clause in Design Subcontract Unenforceable in California

by Kent Holland | Feb 1, 2016 | Newsletter Article

J. Kent Holland, J.D. ConstructionRisk, LLC On a California project, where an architect’s agreement with its landscape design subconsultant called for all disputes to be resolved by the courts in Texas, applying Texas law, a California appellate court held the forum...

Cosmetic Defects Found To Be Basis For Termination Of Contractor For Default

by Kent Holland | Feb 1, 2016 | Newsletter Article

By MATTHEW DEVRIES, posted in BEST PRACTICES, CASE LAW, CLAIMS AND DISPUTES on December 9, 2015. In the construction world, many of us lawyers talk about what is known as a material breach in order to support a termination of the contract.  In other words, the event...

Contractor’s Defamation Suit against Inspector Dismissed due to Conditional Privilege to Advise Owner Concerning Contractor’s Work

by Kent Holland | Feb 1, 2016 | Newsletter Article

J. Kent Holland ConstructionRisk, LLC A homeowner hired a firm to investigate the cause of their leaky roof, and based on the investigator’s report that the roof had been installed over soaking wet fiber-board roof insulation, the homeowner sued the roof...

Developer is Third Party Beneficiary of Window Manufacturer’s Warranty but Economic Loss Doctrine Prevents Recover of Consequential Damages

by Kent Holland | Jan 13, 2016 | economic loss doctrine, Newsletter Article

Kent Holland, J.D. ConstructionRisk, LLC Where the developer of an apartment complex filed suit as an intended beneficiary under the contract between a window manufacturer and one of the subcontractors on the project, the trial court denied the manufacturer’s demurrer...

Federal Court Holds Engineer May Be Liable to Contractor for Both Breach of Professional Duty and Negligent Misrepresentation

by Kent Holland | Jan 13, 2016 | Newsletter Article

Kent Holland, J.D. ConstructionRisk, LLC The United States District Court for the Northern District of California held that an engineer who prepares documents that contractors will rely on when preparing their bids owes a duty of care to the contractors, and thus can...

Prime Contractor Liable for Failing to Pay Sub Full Amount the Prime Received from Government for the Sub’s Work

by Kent Holland | Jan 13, 2016 | Newsletter Article

Kent Holland, J.D. ConstructionRisk, LLC A subcontractor performing masonry work for renovations of buildings at the Langley Air Force Base recovered in a breach of contract action against the Prime Contractor who, after receiving full payment for the subcontractor’s...