Contractors Should Ensure Subs, Suppliers Comply With Buy American Act

Joshua EtemadiBonds, Construction

The federal government has a long-standing pref­erence for incorporating domestic materials and products into public construction projects. While a number of statutes and regulations promote this policy, the Buy American Act of 1933 (BAA) is the oldest and arguably most well-known. The essence of the BAA’s construction provisions sounds simple: the use of foreign-produced materials and products on public construction projects is prohibited. However, a dense web of regulations and statutes interact to create exceptions and exemptions to the BAA’s application, making the BAA one of the most complex bodies of law to comprehend. Those contractors who fail to comply with the BAA’s requirements can face costly legal issues, debarment or, in some situations, criminal investigation and prosecution. With the …

Report: Majority of Contractors Not Utilizing Emerging Safety Tech

Joshua EtemadiBonds, Construction

Most construction contractors are not utilizing emerging technology such as drones to improve workplace safety, but change is expected as the benefits of using these technologies are proven, awareness grows and their prices start to decrease, according to a new study. The study found that 62% of contractors do not use any of these technologies, which is “no surprise” considering they are still emerging, according to the report by Silver Spring, Maryland-based CPWR-The Center for Construction Research and Training and New York-based Dodge Data & Analytics published Tuesday. Tell me more >>>

DOT Working With Surety To Complete Delayed Bridge Project In Queens

Joshua EtemadiBonds, Construction

The oft-delayed bridge deck replacement project at the intersection of Metropolitan Avenue and Fresh Pond Road isn’t going to be wrapping up anytime soon.  According to the Department of Transportation, its contract with New Jersey-based firm Mugrose Construction for the project at the Middle Village-Ridgewood border was defaulted, indefinitely delaying construction. “The DOT defaulted the contractor working on the Metropolitan Avenue bridge deck replacement,” an agency spokesperson told the Chronicle in a Wednesday email. “We are working closely with the bonding company to get this project completed as quickly as possible after it suffered delays beyond our control.” Read the article >>>

Michigan Appeals Court Rules For Contractor Over City, Surety Over Contractor

Joshua EtemadiBonds, Construction, News

A claim against the city of Adrian in a 2009 downtown facade restoration project survived an appeal while a claim by a bonding company is to be granted following a state appellate court opinion. In an opinion published Dec. 5, a three-judge panel of the Michigan Court of Appeals affirmed a decision by Lenawee County District Judge Anna Marie Anzalone to dismiss the city of Adrian’s motion for summary disposition in a lawsuit against it by the project’s general contractor, Campbell-Durocher Group Painting and General Contracting LLC, and its principals, Jack and Carrie Campbell. The Court of Appeals reversed Anzalone’s decision to not rule in favor of Auto-Owners Insurance Co. in its lawsuit against the Campbells over bond payments. Read …

South Carolina Contractor’s Success Story Began With His First Bid Bond

Joshua EtemadiBonds, Construction, News

The C.F. Evans story begins in the years following World War II when Clarence Felder Evans, an Army veteran, joined his cousin, Fred Evans, to learn as much as he could about construction. Buoyed by the baby boom, their company, Evans Construction, fielded requests from families seeking to build homes of their own in Orangeburg, Holly Hill, Aiken and other South Carolina communities. The growing company at that time provided quality craftsmanship, hired and supervised talented employees, and encouraged a sense of pride in their work that is still present today. Read the full story >>>

Pennsylvania Lawsuit Alleges Subcontractor Is Owed $52,170 From Payment Bond

Joshua EtemadiBonds, Construction, News

A recently-filed lawsuit in Pennsylvania state court sees a Glassport construction and paving group suing one of its subcontractors and a bond company, in connection with a project for construction work of municipal buildings in Penn Hills. Murin & Murn, Inc. of Glassport filed suit in the Allegheny County Court of Common Pleas on Dec. 6 versus The Ohio Casualty American Insurance Company of Seattle, Wash. and Wheels Mechanical Contracting & Supplier, Inc. of Elrama. Tell me more >>>

Improper Installation Of Stone Veneer Creates Risk Of Mold, Rot

Joshua EtemadiBonds, Construction, News

We all remember the litigation nightmare surrounding synthetic stucco or EIFS (exterior insulation finish systems) in the recent past. Now, commentators worry that Adhered Concrete Masonry Veneer, also known as manufactured stone veneer, when installed improperly, poses the potential to cause widespread litigation similar to EIFS. In case you do not recall, EIFS became a popular exterior on residential structures in America during the 1980s. However, in the mid-1990s, home inspectors noticed some EIFS-clad homes experienced significant amounts of moisture damage, particularly those on the coast of North and South Carolina. News and media outlets began to widely publicize extensive litigation over EIFS-clad homes. Read the article >>>

What Will Trump’s 2018 Infrastructure Package Include?

Joshua EtemadiBonds, Construction, News

Donald Trump’s administration is reportedly planning to unveil its long-promised infrastructure proposal in January, according to The Wall Street Journal. Trump administration officials spoke about the plan’s release as early as March of this year. The president himself said it was largely completed in May, announcing it would be coming in two to three weeks. A themed Infrastructure Week at the White House in June came and went without mention of any details about the plan. Transportation Secretary Elaine Chao then said it would be released sometime in the fall. Read more here >>>

Pennsylvania Construction Union’s Suit Against Contractor’s Surety Alleges Breach of Contract

Joshua EtemadiBonds, Construction, News

A Pittsburgh-based non-profit corporation claims a bonding company has neglected to pay it more than $150,000 in contributions and wage deductions, and has initiated litigation to recover that amount. Operating Engineers Local 66, AFL-CIO & Construction Industry Combined Funds, Inc. of Pittsburgh filed suit in the Allegheny County Court of Common Pleas on Nov. 27 versus Allegheny Casualty Company, of Newark, N.J. Tell me more >>>

California Wage Law To Let Subs’ Employees File Claims Against GCs’ Bonds

Joshua EtemadiBonds, Construction, News

In mid-October, California passed a bill which will make general contractors liable for any unpaid wages and fringe benefits owed to employees of subcontractors. The ruling will go into effect on Jan. 1, and will apply to all private construction projects entered into after that date. Needless to say, the bill was met with resistance on the side of contractors who argued that it would further inflate costs which would ultimately be borne by buyers. While the bill does provide ways for contractors to seek indemnity from subcontractors who do not pay their employees, it does not offer possibilities to avoid the liability altogether. Read the bill overview >>>