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May 2011 Construction Law Newsletter

May 2011, vol. 1, no. 1

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In This Issue…

Upcoming CLE

From Opening to Close – A Construction Trial and the Technology to Win Your Case
October 23 - Chicago

Full CLE Calendar…

Related Court Cases

Construction Contracts
Cabrera v. ESI Consultants, Ltd.
Plaintiff was injured while working on construction project on Washington Street bridge in Chicago; his employer had contracted with City to do certain work on project, including sandblasting and painting bridge. Plaintiff sued City, and two subcontractors. Court properly granted summary judgment for all Defendants. Neither subcontractor entrusted work to employer and retained control over employer’s work such that they would owe a duty to Plaintiff under Section 414 of Restatement (Second) of Torts. Contracts between subcontractors and employer did not state that subcontractors would supervise employer in manner in which its workers did their work. Contract with City provided that City’s supervision of employer was discretionary, so that City is immune pursuant to Section 2-201 of Tort Immunity Act. (REYES and McBRIDE, concurring.)

Mechanic's Lien Act
GX Chicago, LLC v. Galaxy Environmental, Inc.
Dispute over mechanics liens arising from construction project to develop real property owned by Plaintiff. Court correctly construed language of Section 30 of Mechanics Lien Act that "the court shall find the amount due from the owner to the contractor" to refer to the amount due from owner to lien claimants' immediate contractor. Court correctly found that outstanding amount owed on contract between general contractor and subcontractor limited funds recoverable from Plaintiff and general contractor to satisfy liens of that subcontractor and its subcontractors. When parties to relevant contract have agreed as to amount owed on contract, there is no longer a triable issue of material fact as to that amount, even if a non-party contends otherwise. It is consistent with liberal construction of Mechanics Lien Act to permit court, in its equitable discretion, to require deposit of funds and thus extinguish liens of subcontractors. (CONNORS and HARRIS, concurring.)

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