Category: Construction Law
Impact of Inflation on the Construction Sector
From supply chain shortages to increased costs in essential materials and skilled labor, construction companies are feeling the negative effects of inflation. Initially, COVID-19 took the front runner for increases in pricing and supply chain disruptions across the nation and globe, but new challenges have arisen which continue to place pressure on prices of lumber,
The Specialized Knowledge of Construction Engineering Firms and their Duty to Disclose Conditions
Construction engineering firms should be aware of a recent ruling regarding a firm’s duty to disclose housing conditions to purchasers. In the case 21 Kristin Condominium Ass’n v. Pioneer Engineering & Environmental Services, the First District of the Illinois Appellate Court reversed a circuit court’s dismissal of a complaint that alleged negligent misrepresentation on the
Illinois’ “Stay at Home” Order & Construction Work
Illinois’ “Stay at Home” Order & Construction Work On March 20, 2020, Gov. J.B. Pritzker issued an executive “Stay at Home” Order, requiring Illinois residents to stay in their homes to prevent the spread of COVID-19. Residents are encouraged to only leave their homes to meet their basic needs like making trips to the grocery
Florida Construction Law Statute of Limitations Update
Last summer, Florida Governor Scott signed a new bill into law which made important amendments to the statute of limitations for construction contracts. Under the previous statute, actions based upon the design, planning, or construction of an improvement to real property were required to be commenced within four years of an alleged construction defect. That
New Contractor / Sub-contractor Laws
Recently, Illinois passed two laws that have implications that will affect many contractors and their payments to subcontractors. The first new law deals directly with Illinois Department of Transportation (IDOT) mobilization payments. A mobilization payment is an advance payment made for the preparatory work and operations necessary to move personnel, equipment, and supplies to a
First Appellate Court Clarifies the Implied Warranty of Habitability
On February 17, 2017, the First District Appellate Court issued a new decision which confirmed and clarified Illinois law regarding the implied warranty of habitability. The decision, Sienna Court Condominium Ass’n v. Champion Aluminum Corp., 2017 IL App (1st) 143364, came as a result of three consolidated appeals. The Decision confirmed and clarified three aspects
ILLINOIS COURTS DETERMINE THE DIFFERENCE BETWEEN “PAY-WHEN-PAID” AND “PAY-IF-PAID” CONTRACTUAL LANGUAGE
In 2006, Lake County Grading Co. was contracted by FCL Investors, Inc. (“FCL”), to excavate and install a sewer line for a development in Northbrook, Illinois. FCL was previously hired by Northshore Center THC to be the general contractor for the development after taking out a mortgage to develop the property. After submitting and receiving
“Occurrence” Must Damage More Than the Project Itself to Trigger Insurer’s Duty to Defend
Under a commercial general liability policy, does an insurer have a duty to defend its insured when the insured’s work damages property that was outside the scope of work to be performed by the insured? This question has been asked many times, but was, until recently, unanswered under Illinois law. In the recent case of
Beyond Contract Liability: When a General Contractor Has to Pay a Subcontractor He Never Hired
The general rule concerning contracts holds that the only parties that can be held liable are those that signed the contract. In other words, you or your business generally can’t be held liable for a contract you did not sign. This simple rule is fundamental to contracts in the construction business. A general contractor hires