Gravel2Gavel Construction & Real Estate Law Blog
The Philadelphia Department of Licenses and Inspections (L&I) a has issued a Notice regarding new Occupational, Safety and Health Administration (OSHA) 10 and OSHA 30 safety training (or equivalent) requirements in effect October 1, 2015. L&I is offering Safety Training Information Sessions on the new training requirements on September 30, October 7, and October 14 at 10 a.m. and 11 a.m.
Articles Posted in Construction Generally
Pennsylvania Appellate Court Confirms Exception to Economic Loss Doctrine For Claims Regarding Faulty Design Documents
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In Gongloff Contracting, L.L.C. v. L. Robert Kimball & Associates, Architects & Engineers, Inc., 2015 Pa. Super 149 (Pa. Super. Ct. July 8, 2015), the Superior Court of Pennsylvania reversed the trial court’s decision and held that a claim for negligent misrepresentation could be based on faulty design documents under Section 552 of the Restatement (Second) of Torts. The case was brought by a structural steel subcontractor (Gongloff) against the architect-engineer (Kimball) for a university convocation center. Kimball provided Gongloff and others with the design of the steel structure and repeatedly denied allegations of errors in the design. But Gongloff alleged that the “never-before-utilized” design was in fact defective, and that Gongloff experienced various problems and significantly increased costs as a result of changes made to correct the design. Continue Reading ›
CA Simplifies HIS Registration Requirements
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UPDATE: CSLB Taking Steps to Implement New, Simplified Home Improvement Salespersons Registration Process (posted November 12, 2015)
On September 8, 2015, California Governor Edmund G. Brown Jr. signed into law Senate Bill 561 (Monning), a bill that simplifies the home improvement salespersons (HIS) registration process to a single registration even if the HIS represents multiple employers. Section 7153 of California’s Business & Professions Code requires anyone who solicits, sells, negotiates, or executes home improvement contracts for a licensed contractor outside of the contractor’s normal place of business to be registered with the California Contractors State License Board (CSLB) as an HIS. In addition to the single registration provision, S.B. 561 will: (1) require a contractor to notify the CSLB in writing prior to employing a registered HIS, and when employment ceases; (2) allow the CSLB to accept an electronic application and signature from an HIS applicant, (3) require an HIS to have a current and valid registration with CSLB before making sales calls and transactions on behalf of a contractor, and (4) provide that registrations will be valid for 2 years from the month of issue. The new law takes effect on January 1, 2016.
Florida Delays Effective Date of Certain Sections of the Florida Building Code (5th Ed.)
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The effective date of certain sections of the Florida Building Code (5th Edition) have been delayed by the Florida Legislature until June 30, 2016. The sections are:
(a) Mandatory blower door testing for residential buildings or dwelling units as contained in Section R402.4.1.2 of the Florida Building Code, 5th Edition (2014) Energy Conservation Volume;
(b) A second fire service access elevator as contained in Section 403.6.1 of the Florida Building Code, 5th Edition (2014) Building Volume; and
(c) Mechanical ventilation for residential buildings or dwelling units as contained in Section R303.4 of the Florida Building Code, 5th Edition (2014) Residential Volume.
Additional Source: Florida Senate Bill 2502-A; Florida Department of Business & Professional Regulation
9th Cir. Holds that Information Quality Act Does Not Apply to Federal Agency Press Releases
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On September 8, 2015, the U.S. Court of Appeals for the Ninth Circuit issued a ruling interpreting the Information Quality Act (IQA) and its implementation by two federal agencies—the Office of Management and Budget (OMB) and the Department of Justice (DOJ). The case is W. Scott Harkonen, M.D., v. U.S. Department of Justice; U.S. Office of Management and Budget. The question before the Court of Appeals was whether the Administrative Procedure Act and the IQA “confer the right to judicial review of a federal agency’s refusal to correct allegedly false or misleading information published by the agency in a press release”. Affirming the district court, the Court of Appeals held that Dr. Harkonen could not obtain judicial review of an allegedly erroneous press release. According to the Ninth Circuit, the IQA does not establish any standard to measure the accuracy of, for example, statements made in a press release. The decision is significant because there have been so few decisions interpreting the IQA and, moreover, because government agencies make extensive use of press releases in their day-to-day operations.
California’s New “Made in U.S.A.” Labeling Standard
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California Governor Edmond G. (Jerry) Brown Jr. recently signed into law Senate Bill 633 (Hill), a bill that modernizes California’s “Made in U.S.A.” labeling standard to reflect the real-world market in which companies make products using components from around the globe. Continue Reading ›
January 2016, New Hampshire Will Require Mold Assessment Certification
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Starting January 1, 2016, New Hampshire will require persons who perform residential “mold assessment” services for remuneration to possess a valid national “third party certification” for mold assessment. Under the new law, any professional hired by a homeowner, in which the primary work contracted for is not mold assessment, will be exempt from the certification requirement.
Continue Reading ›
Illinois Amends Mechanic’s Lien Act to Permit Substitution of Mechanic’s Lien With Eligible Surety Bond
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On July 29, 2015, Illinois Governor Bruce Rauner signed into law House Bill 2635 to amend Illinois’ Mechanic’s Lien Act (Act) to permit the substitution of an “eligible surety bond,” as defined, for a mechanic’s lien. The new law expressly contemplates that a person may file a petition to substitute a bond for the lien on a property with the court of the county in which the property is located, and if there is a pending mechanic’s lien foreclosure action, the application may be filed at any time prior to 5 months after the filing of the mechanic’s lien foreclosure action complaint or counterclaim by a mechanic’s lien claimant. If the court finds that an eligible surety bond has been posted, it is required to issue an order (1) substituting the bond for the property securing the lien claim; and (2) substituting the lien claimant’s right to recover on the bond for the lien claimant’s causes of action that could be asserted under Section 9, 27, or 28 of this Act. The new laws is effective January 1, 2016.
In Reversal, California Supreme Court Allows Assignment of Coverage for Liability Claims
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Yesterday, Pillsbury attorney Robert Wallan published his client alert titled In Reversal, California Supreme Court Allows Assignment of Coverage for Liability Claims. The Alert discusses the California Supreme Court’s reversal of its own heavily criticized decision in Henkel Corp. v. Hartford Accident & Indem. Co. (2003) 29 Cal. 4th 934. The case is Fluor Corp. v. Superior Court. The California Supreme Court announced that its rule against assignment, set forth in Henkel, must be reversed because the earlier decision failed to consider a 19th-century statute that dictates a ruling favoring assignability.
SEC Adopts Final Pay Ratio Disclosure Rules
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Today, Pillsbury attorneys Mark Jones, and Jessica Lutrin published their client advisory titled SEC Adopts Final Pay Ratio Disclosure Rules. The Advisory discusses the SEC’s adoption of its Final Rule under the Dodd-Frank Act to require U.S. public companies to disclose the ratio of the annual total compensation of their principal executive officer to the median annual total compensation of all employees.
Additional Source, SEC Proposes Pay Ratio Disclosures