Section Newsletter Articles on Construction Law

2015 AAA Construction Industry Arbitration Rules: Fair, efficient & economical arbitrations? By Randall S. Rapp and John N. Rapp Construction Law, June 2017 While the 2015 Rules may not cause significant changes in all arbitrations, they ultimately provide arbitrators adept at managing their arbitrations with the power to provide fairer, more efficient, and more economical arbitration experiences. But the new Rules also add complexity and open the door to court-like discovery and procedures.
Living with the New AAA Construction Industry Arbitration Rules By Raymond A. Fylstra Construction Law, June 2017 While widely and justifiably hailed for modernizing arbitration procedures, the new Rules still leave large gaps and create difficult dilemmas for parties who have already agreed to arbitrate.
Some insurance industry help for defective construction claims By Geoff Bryce Insurance Law, June 2017 According to current case law, the standing rule in Illinois is that there is no comprehensive general liability insurance coverage for any construction defect claim where the claim is that only the building itself was damaged.
Developer insolvency not required for direct implied warranty of habitability claims against residential builders By Raymond M. Krauze Construction Law, April 2017 The ruling in 1120 Club Condominium Association opens the door to future claims against residential builders/general contractors who are not involved in the sale of residential units nor in contractual privity with the homeowners and eliminates a defense that residential builders/general contractors have often relied upon in defeating implied warranty of habitability claims.
Some industry help for no CGL coverage for defective construction claims By Geoff Bryce Construction Law, April 2017 The standing rule in Illinois is that there is no comprehensive general liability insurance coverage for any construction defect claim where the claim is that only the building itself was damaged.
A winter’s tale—Snow liability and construction law By Nathan B. Hinch Construction Law, April 2017 The decision in Murphy-Hylton v. Lieberman Management Services, Inc. is important in clarifying what had been a split issue among Illinois appellate courts – to what extent does the Snow and Ice Removal Act (the “Act”) provide immunity when the claim arises from a snow or ice-related issue, but NOT from the alleged negligent removal of naturally accumulating snow or ice.
Choice of law, choice of forum, and public policy By Howard M. Turner Construction Law, March 2017 This article considers the validity, applicability, and effect of The Illinois Building and Construction Act, including when it is preempted by the Federal Arbitration Act.
The sworn contractor’s and subcontractor’s statements By Paul Peterson Construction Law, March 2017 Balancing the desire to obtain good statutory documentation and the need to get the parties paid so the job gets done is not well understood and is not an easy job.
Why construction law? By Stanley N. Wasser Construction Law, March 2017 Trying to decide which area of law to practice? Here's why you should consider construction law.
Oh! Those limitations By Samuel H. Levine Construction Law, January 2017 Four recent Illinois cases address claims limitations.
“Pay if paid” clauses upheld by First District By Jim Dash Construction Law, January 2017 In the first published Illinois decision on the topic in 30+ years, the court in Beal Bank Nevada v. Northshore Center THC, LLC,held on September 30, 2016 that “pay if paid” clauses remain enforceable in contract if the payment condition is an unambiguous condition precedent to payment.
Whither the Doctrine of Implied Warranty of Habitability in new construction—did the Illinois Supreme Court change course in Fattah v. Bim? By Joseph R. Fortunato, Jr. Real Estate Law, January 2017 The recently decided case of Board of Managers of the 1120 Club Condominium Association v. 1120 Club, LLC, et al, seems to breathe new life into the concept of the Implied Warranty of Habitability, but important questions remain unanswered.
Limitations on the rights of fringe benefit funds to collect in a lien foreclosure action By Charles B. Lewis and Adam L. Gill Construction Law, September 2016 A recent decision by the Circuit Court of Cook County, The Chicago District Council of Carpenters, et al., v. Ten East Delaware, LLC, et al clarifies a Fringe Benefits Funds’ standing to record and foreclose upon a mechanics lien against property for work performed by union members.
Previous waiver of the implied warranty of habitability bars claim by subsequent purchaser By Steven D. Mroczkowski Construction Law, September 2016 Fattah v. Bim is a well-reasoned, logical clarification of the body of law governing the implied warranty of habitability.
Henderson Square Condominium puts a bullseye on condominium developers By Geoffrey A. Bryce Construction Law, June 2016 In Henderson Square Condominium Association v. Lab Townhome LLC, the Supreme Court expanded the basis upon which developers can be sued for defective condominium conversions and construction.
Illinois federal court decision holds that alleged property damage outside of subcontractor’s scope of work triggers the duty to defend By Clifford J. Shapiro Construction Law, June 2016 Westfield Insurance Company v. National Decorating Service, Inc. specifically rejects the argument that property damage to any part of a building or structure allegedly caused by a subcontractor’s defective work cannot be covered accidental “occurrence” under the CGL policy.
Specifically naming defendant in caption of summons required Supreme Court Rule 101(d) By Bradford J. Peterson Construction Law, February 2016 Although Supreme Court Rule 101(d) provides that a Summons must “substantially comply” with the model form, such substantial compliance is insufficient where the caption of the Summons fails to name the defendant being served.
Theories of contractor liability for jobsite inuries By Jason G. Schutte and Eric Waldman Construction Law, February 2016 This article outlines the theories of contractor liability for jobsite injuries under Restatement (Second) of Torts §414 and § 343, as well as the various exceptions to these theories and rules under Illinois law.
Is it really new? By Bruce H. Schoumacher Construction Law, January 2016 A recent federal government contract case considered whether equipment delivered to the site was new. You may be surprised at the result.
What are you worth—The new U.S. DOT DBE regulations By Margery Newman Construction Law, January 2016 One of the most hotly contested revisions of the U.S. DOT's Disadvantaged Business Enterprise program relates to the personal net worth form and related requirements to qualify.
The resulting loss exception to the Defective Workmanship Exclusion: Are you covered? By Adam B. Whiteman Construction Law, September 2015 The First District recently issued an opinion that may help insureds determine whether they will be able to get insurance coverage for damage resulting from a cause which itself is excluded from coverage.
Pay If/When Paid clauses in Illinois By Jim Dash Construction Law, July 2015 As a matter of pure contract, “Pay When Paid” or “Pay if Paid” clauses generally are enforceable in Illinois so long as the contract makes payment to the upstream party an unambiguous condition precedent to payment downstream. And if (sub)contractor does not have, or believes that it does not have, the leverage to negotiate the terms of its contract, it often will accept the contract, “Pay When/If Paid” clause and all, just in order to get the work.
North Shore Bank and the ever-changing work completion dates By Paul Peterson Real Estate Law, June 2015 In this case the First District Appellate Court was confronted with two mechanics lien claims where neither claimant could prove they did work on the work completion date sworn to in their respective mechanics lien claims and reaffirmed under oath in various court filings.
North Shore Bank and the ever-changing work completion dates By Paul Peterson Commercial Banking, Collections, and Bankruptcy, June 2015 In this case the First District Appellate Court was confronted with two mechanics lien claims where neither claimant could prove they did work on the work completion date sworn to in their respective mechanics lien claims and reaffirmed under oath in various court filings.
The 10-year statute of limitations for breach of contract claims applies to express indemnity claims even if the express indemnity claim alleges construction defects and is based on a construction contract; Cause of action accrual provisions are enforceable under Illinois law By Clifford J. Shapiro Construction Law, April 2015 The recent case of 15th Place Condominium Association v. South Campus Development Team LLC, contains two important holdings for construction lawyers.
The 2014 construction year in review By Samuel H. Levine Construction Law, April 2015 A digest of statutory and case law of interest to construction attorneys.
Court upholds limitation of liability clause By Doug Giese Construction Law, February 2015 The recent case of Boshyan v. Private I. Home Inspections, Inc., outlines the tension that exists between “public policy” considerations and written contract terms which seek to impose liquidated damages and limit liability for a breach.
Henderson Square Condominium Association v. LAB Townhomes, LLC raises statute of limitations issues By Clifford J. Shapiro Construction Law, February 2015 A new Illinois ruling enforces cause of action accrual provisions and holds that express indemnity claims in a construction contract are subject to a 10-year statute of limitations.
North Shore Bank and the ever-changing work completion dates By Paul Peterson Construction Law, February 2015 In this case the First District Appellate Court was confronted with two mechanics lien claims where neither claimant could prove they did work on the work completion date sworn to in their respective mechanics lien claims and reaffirmed under oath in various court filings.
Young v. CES, Inc. By Paul B. Porvaznik Construction Law, February 2015 In October 2014, the Second District expanded on the Illinois Mechanics’ Lien Act’s substantive and timing requirements and also examined Illinois agency law and discussed what services are and aren’t lienable in Young v. CES.