Justia Construction Law Opinion Summaries

Antelope Development LLC was formed to develop a residential subdivision in Bennett, Colorado. The LLC took out construction loans from the bank at the start of the project; before it was finished, the LLC had exhausted its financing. The LLC entered into oral agreements with Respondent AC Excavating for work on the subdivision. AC Excavating was paid for some but not all of its work. Petitioner Donald Yale, a member of the LLC, realized that the LLC had insufficient funds to meet its obligations, so he placed some of his own money in the LLC's bank account. Yale then applied these funds to the LLC's general business expenses and some outstanding subcontractor invoices. AC Excavating still was not paid in full. AC Excavating sued Yale alleging, among other things, that the LLC had violated Colorado's construction trust fund statute by failing to hold the funds in the LLC's bank account in trust for payment to AC Excavating. AC Excavating further alleged that Yale thereby committed theft, permitting it to claim treble damages and attorney fees under the state Rights in Stolen Property statute. The trial court ruled in favor of Yale, and AC Excavating appealed. The appellate court reversed. Upon review, the Supreme Court held that the LLC member's voluntary injection of capital into the company did not constitute "funds disbursed to a contractor . . . on a construction project" under the construction trust fund statute, as that money was not required to be held in trust. The Court also concluded the appellate court erred in remanding the case for a determination of whether Yale was civilly liable for theft under the Rights in Stolen Property statute. View "Yale v. AC Excavating, Inc." on Justia Law

In 1987, Waterfront purchased 5.3 acres in Philadelphia’s Central Riverfront District, zoned G-2 industrial. In exchange for rezoning to C-4 commercial, for a mixed-use, high-rise project, Waterfront agreed to restrictive covenants. When financing became possible in 2005, Waterfront obtained a permit for demolishing existing structures and constructing a 28-story apartment tower and entered into a financing agreement with a construction start date of February 2006. Waterfront had to postpone construction. In March 2006, the city extended to the site a zoning overlay with a height restriction of 65 feet and a width restriction of 70 feet. Waterfront alleged mistake; that the area councilman admitted that inclusion of the site was a mistake; and that Mayor Street stated that he would not have signed it had he known that the height restriction applied to the site. Waterfront unsuccessfully sought repeal, but never applied for a permit under the ordinance and did not seek a variance. Waterfront filed suit. In 2010 the city rescinded application of the height restriction. The district court held that the rescission mooted federal constitutional claims, denied Waterfront’s motion to amend to attack the width restriction, and granted the city summary judgment on all other claims. The Third Circuit affirmed. View "CMR D.N. Corp. v. City of Philadelphia" on Justia Law

Appellant filed a complaint in district court after making an unsuccessful construction bid to the Town of Thayne City Council, claiming (1) a civil rights violation pursuant to 42 U.S.C. 1983, (2) that the Town failed to provide an independent observation of the bid evaluation and selection process, and (3) a breach of the covenant of good faith and fair dealing. The district court granted the Town's motion for summary judgment on the 42 U.S.C. 1983 claim and dismissed the remaining claims for failure to state a claim. The Supreme Court summarily affirmed given the deficient brief filed by Appellant and Appellant's failure to comply with the Wyoming Rules of Appellate Procedure. View "Call v. Town of Thayne" on Justia Law

In this construction defect case, defendant moved for summary judgment, and the trial court granted the motion. Plaintiff then filed a "motion for reconsideration" of the summary judgment ruling. The court meanwhile entered judgment, and plaintiff filed a notice of appeal. When the trial court later denied the motion for reconsideration, plaintiff did not file a new notice of appeal. The question in this case was whether plaintiff needed to do so. Defendant argued that, because a motion for reconsideration constitutes a motion for new trial, its filing rendered plaintiff's earlier notice of appeal premature and, as a consequence, a nullity. Plaintiff argued that the motion for reconsideration did not constitute a motion for a new trial and thus had no effect on the filing of the notice of appeal. The Court of Appeals concluded that, under "Carter v. U.S. National Bank," (747 P2d 980 (1987)), a motion for reconsideration constitutes a motion for a new trial. Nevertheless, the court held that the filing of the motion did not have the effect of rendering the appeal a nullity. Consequently, the court concluded that plaintiff was not required to file a new notice of appeal. Upon review, the Supreme Court held that "Carter" and earlier decisions declaring that a motion for reconsideration of a summary judgment constitutes a motion for a new trial were incorrectly decided. In this case, plaintiff's filing of the motion for reconsideration of the summary judgment did not render the filing of the notice of appeal premature. Accordingly, the Court affirmed the decision of the Court of Appeals on different grounds. View "Assoc. Unit Owners of Timbercrest Condo v. Warren" on Justia Law

The Phenix City Board of Education ("the Board") sought mandamus relief from the Russell Circuit Court's denial of the Board's motion to dismiss or, in the alternative, for a summary judgment on claims brought against it by The Lisle Company, Inc. ("Lisle"). Because the Board is immune from suit pursuant to § 14, Ala. Const. 1901, the Supreme Court granted the Board's petition and issued the writ. View "Lisle Company, Inc. v. Phenix City Board of Education" on Justia Law

The issue before the Supreme Court in this petition was whether G.L. 1956 section 5-6-2 permits only licensed electricians to install underground hollow polyvinyl chloride (PVC) material that is devoid of any electrical wiring or conductors. The Board of Examiners of Electricians, the Rhode Island Department of Labor and Training (DLT), and the Superior Court all determined that 5-6-2 required a licensed electrician to perform such work. The petitioners, Reilly Electrical Contractors, Inc. (Relco), Michael McSheffrey, Robert Rutledge, John Brewer, and Ray Bombardier, disagreed and petitioned the Court for a writ of certiorari. Upon review of the statute at issue here, the Court affirmed the judgment of the Superior Court. View "Reilly Electrical Contractors, Inc. v. Rhode Island" on Justia Law

A charter city entered into certain contracts for the construction of public buildings. A federation of labor unions then petitioned the superior court for a peremptory writ of mandate, asserting that the city must comply with California's prevailing wage law notwithstanding local ordinances stating otherwise. The prevailing wage law requires that certain minimum wage levels be paid to contract workers constructing public works. At issue on appeal was whether, under the state constitution, the subject matter of the state's prevailing wage law was a "statewide concern" over which the state has primary legislative authority, or whether the matter was a municipal affair and therefore governed by the charter city's local ordinances. The Supreme Court affirmed the court of appeal, which in turn affirmed the trial court's judgment denying the union's petition for a writ of mandate, holding that there was no statewide concern at issue in this case, and therefore, the state's prevailing wage law did not apply to the charter city. View "State Bldg. & Constr. Trades Council v. City of Vista" on Justia Law

Plaintiff Phaneuf Funeral Home appealed a superior court order that granted motions for summary judgment in favor of Defendants Little Giant Pump Company, Boyer Interior Design, Leviton Manufacturing Company and The Elegant Earth, Inc. Phaneuf hired Boyer to do interior design and light renovation work in the basement and adjacent hallway of the funeral home. In the hallway, Boyer installed a wall-mounted water fountain that it purchased from Elegant, an Alabama-based household goods retailer. Defendant Leviton supplied the fountain’s power cord to Little Giant, which manufactured the fountain. A fire broke out at the funeral home. Alleging that the water fountain’s defective pump and power cord caused the fire, Phaneuf brought negligence and strict product liability claims against each defendant, although it later withdrew its negligence claim against Boyer. Each defendant moved for summary judgment, arguing that Phaneuf’s claims were time-barred by RSA 508:4-b, I (2010), the statute of repose for “Damages From Construction.” The superior court agreed, and granted each motion. Upon review of the facts in the superior court record, the Supreme Court affirmed the lower court's grant of summary judgment as to Boyer, but reversed as to the remaining defendants. The case was remanded for further proceedings. View "Phaneuf Funeral Home v. Little Giant Pump Co." on Justia Law

Plaintiff Paul Braunstein, the owner and operator of an Arizona engineering and land surveying firm that previously performed work for the Arizona Department of Transportation, sought damages based on Arizona's use of an affirmative action program in its award of a 2005 transportation engineering contract. The district court concluded that Braunstein lacked standing to seek damages in this equal protection suit because he never demonstrated that the challenged affirmative action program affected him personally or impeded his ability to compete for subcontracting work. The Ninth Circuit Court of Appeals affirmed in part and reversed in part, holding (1) the district court correctly concluded that Braunstein lacked standing; but (2) the district court erred in awarding Defendants attorneys' fees and imposing sanctions against Braunstein's attorneys for unreasonably prolonging the proceedings. View "Braunstein v. Ariz. Dep't of Transp." on Justia Law

Access to the Ambassador Bridge between Detroit and Windsor, Ontario necessitated traversing city streets. The state contracted with the Company, which owns the Bridge, to construct new approaches from interstate roads. The contract specified separate jobs for the state and the Company. In 2010, the state obtained a state court order, finding the Company in breach of contract and requiring specific performance. The Company sought an order to open ramps constructed by the state, asserting that this was necessary to complete its work. The court denied the motion and held Company officials in contempt. In a 2012 settlement, the court ordered the Company to relinquish its responsibilities to the state and establish a $16 million fund to ensure completion. Plaintiffs, trucking companies that use the bridge, sought an injunction requiring the state to immediately open the ramps. The district court dismissed claims under the dormant Commerce Clause, the motor carriers statute, 49 U.S.C. 14501(c), and the Surface Transportation Assistance Act, 49 U.S.C. 31114(a)(2). The Sixth Circuit affirmed. For purposes of the Commerce Clause and statutory claims, the state is acting in a proprietary capacity and, like the private company, is a market participant when it joins the bridge company in constructing ramps. View "Mason & Dixon Lines Inc. v. Steudle" on Justia Law